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Rep. Wesley Hunt is flown to Washington from campaigning in Texas to get the vote in the US House of Representatives to 215-215 on a War Powers Resolution on the president's action in Venezuela. He was driven directly to the House with escort from the Washington Dulles Airport by Capitol Police. Such is the drama in the House nowadays as Democrats look for ways to restrict the president's action in the international arena on the Monroe Doctrine. The resolution if passed would require Congress to authorize the action to deploy troops. The Venezuelan action was taken quickly in a few hours bringing Maduro to the US. The US set a naval blockade of the country which has fallen apart with high inflation and mismanagement, corruption and drug trafficking after Chavez entered Venezuelan politics with a military coup in 1998 and set up an authoritarian government. When he died the power was handed to a person who lacked experience tackling a complex oil economy and inflation reached 1000 percent destroying the economy. The Monroe doctrine had fallen into disuse since 1824 and its revival in 1904 by Teddy Roosevelt which made it difficult for the US to take action in the interests of peace and security in its neighborhood free of European colonial powers. Russia withdrew from Venezuela after the Trump administration set a new start for US Russia relations based on "respect" for Russia as a power in Northern Europe. In 1824 the situation facing Venezuela and other South American countries blocked by president Monroe was intervention by France, Spain to collect debts.  President Teddy Roosevelt affirmed the Monroe Doctrine during his term 1900-1909 to ensure fairplay, democratic governance and good governance in the western hemisphere free of European powers. In 2026 much of this is being misrepresented in a torrent of what TR called "mendacity." The issue of Greenland and security for the Eastern seaboard of America from foreign powers is also getting the same treatment by the US and European press with no mention of Admiral Perry's discoveries in Greenland for the US Navy in 1890's, and Denmark as a colonial power which had no belief in representation of local people having transferred its colonies in Asia and other parts of the world to other nations for payment or in exchange of territory. The entire population of Denmark of 6 million is smaller than the Houston area and the entire population of Greenland of 50,000 would not fill a baseball stadium, and yet it seeks to block US security for the entire eastern seaboard of  North America from foreign powers in 2026 after it did so in 1947 when Harry Truman offered $100 million for Greenland, as the Cold War intensified in Eastern Europe. ...

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Growth is back in the eurozone. The OECD estimates 2.1% growth in 2017 and 1.9% growth in 2018 for the eurozone countries. Business investment is up significantly- up 5.7% in the first half of 2017. Worldwide business investment in 2016 was at 1.3 trillion euros, up 7.2% from the prior year, according to Eurostat.

New investment for electric vehicles in the auto industry is also up significantly in an industry that provides 10% of all jobs in manufacturing. Yet business investment is only half of what it needs to be- to makeup 5% of GDP- to spur good job creation, says this report in the WSJ. Use of automation is also limiting the number of jobs created. Real wage growth is also lacking.

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The new Samsung Fod smartphone is $500 costlier than the priciest Apple iPhone. It provides a tablet sized phone with glass display that bends in half, so that it can be closed as a wallet and fit in the pocket. It has 6 cameras, can run 3 apps simultaneously and measures 7.2 inches diagonally when open.

In an effort to have a wider lineup at different prices there will be 4 versions of the Galaxy S10, similar to a strategy of Apple to go to a wider lineup.

Smartphone sales have declined for five quarters, including  4.9% decline in the last quarter of 2018, according to IDC. The new versions are an effort to stop the decline.

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More proof that China's real estate prices resemble the period of the bubble in real estate prices in Tokyo in the late 1980's. One parking space goes for $760,000 in Hong Kong in a luxury development.

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The comparison by Goldsmith and Moyn has picked the wrong Roosevelt. Only Washington in the war of independence, Lincoln in the Civil War over slavery, and FDR Franklin Delano Roosevelt in the Great Depression and economic collapse, fall in that category and there is no one and nothing to compare with both the struggles they fought and the challenge to the survival of the US. On the next scale comes TR Teddy Roosevelt, and this is the Roosevelt to compare DJT with. TR was unconventional, TR spoke a different language and could be frank and outspoken. TR actions matched his words, as his days on the Indian frontier and with the Rough Riders. TR also had one term plus completing McKinley's term after his assasination. And TR like DJT did not like his successor and did everything to make the comeback denouncing the policies of his successor William Howard Taft in the 1912 election, which TR lost to Democrat Woodrow Wilson. All this is true for DJT in 2026. TR denounced the shift away from his "progressive policies" and the shift to corporate interests of Republican Taft. In this sense also DJT is similar as he denounced the shift to corporate interests of the Bush/Clinton/Bush/Obama years. TR was no country club Republican and was willing to confront opponents in the politics to fight for the benefit of the working man, splitting the Republican party in the process. This is true of DJT. TR launched the rebuilding of the Navy, and announced he would reassert the Monroe Doctrine. DJT is doing the same and is reasserting the Monroe Doctrine. One could say that DJT feels the hidden TR in him and like Teddy Roosevelt is putting America in the place it once was. For TR the industrial revolution had distorted a country founded on the backs of settlers owning the land independent and rugged, as industry turned the country into corporate interests and workers in factories with few rights, and poor working conditions and wages. This TR even as a Republican fought to reverse. In DJT there is the Republican also of a different mould who fights to reverse the situation created by Bush/Clinton/Bush/ Obama over three decades since the 1990's when America has fallen to new lows when drug trafficking gangs in Mexico and Venezuela are able to run rampant over the western hemisphere, when elites in Canada and the US act impotent in the face of this, or living in their own world away from the streets and neighborhoods of America devastated by drug trafficking, towns and neighborhoods from Janesville to Flint economically deprived as elites shifted manufacturing overseas to China in complete indifference to the American worker and his family, and carried out wars in remote parts of the world such as hills of Afghanistan and deserts of Iraq no worker or farmer in America had even heard of or cared about since the American continent was settled in 1600. If there is a Woodrow Wilson around the corner who won in 1912, for the 2028 election, then it is someone who like Wilson will take policies to benefit the American worker and farmer and his family, and America as a Nation to a better place over the next decade. A passage from Teddy Roosevelt from his Autobiography about who TR was struggling against illustrates this point- "They favored Civil Service Reform; they favored copyright laws, and the removal of tariffs on works of art; they favored all the proper (and even more strongly the improper ) movements for international peace and arbitration; in short, they favored all good and many goody-goody, measures so long as they did not cut deep into social wrong or make demands on National and individual virility. They opposed, or were lukewarm, about efforts to build up the army and the navy, for they were not sensitive regarding National honor, and above all they opposed every non-milk-and-water effort, however sane to change our social and economic system in such a fashion as to substitute the ideal of justice towards all for the ideal of kindly charity from the favored few to the possibly grateful many." (Theodore Roosevelt, Autobiography, Chapter 5 title: Applied Idealism, 1913) ...

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The broken world economy has hurt the American people, in small communities and towns across the US whose societal fabric was destroyed by a system of world trade with abuses done by China. Japan, European Union, Canada and Mexico since 2000. Shortsighted American leaders and economists allowed this to happen. Robert Lighthizer on the New World Order a new system of world trade that replaces the old in 2026. The old trading system was one in which lip service was made to free trade while all the time the system was used by Japan, Germany, China, Canada, Mexico and other nations to build non tariff barriers and other policies to support their industry  at the expense of the United States leading to disillusionment in the US. The facts are mind boggling- the loss of 5 million jobs, many small communities across the US decimated with loss of jobs. About 20 trillion in wealth transfers to China and other countries over 2000-2020, with foreigners owning $27 trillion more of US assets than the US owns of theirs. US Trade Deficits that went up by 40% in 4 years of the Biden administration from $800 billion to $1.2 trillion. Economists and weak leaders got it all wrong allowing this to happen from Geoge W. Bush to Clinton Bush and Obama. Lighthizer says "shortsighted leaders aided and abetted this process," from 1990 to early 2010. Consider that US had 17.3 million  people in manufacturing, in factories all over the US in 1970, in 1999 we had the same number of jobs, even though there were changes in technology and productivity- the US held its own with the rest of the world. The Bush, Obama years were the worst for the US industry - by 2026 we have 12.6 million - loss of 4.7 million jobs since 1999. And real median household income took a big hit growing from $72,000 to $84,000 about 17% in the last 25 years, compared to twice that in the period 1975-2000 prior quarter century. The result is the fracturing of American society- and dire consequences for healthcare as communities suffered from loss of jobs leading to drug overdoses, alcohol abuse and suicides, which are common in post industrial American communities. Think of this fact: two thirds of America's workforce that does not have a college degree, that is working class people, lives 8 fewer years than college graduates, a gap that was only 2.5  years in 1992. The wars carried on by Bush and continued by Obama in the Middle East also wracked these same communities till Biden and DJT pulled out. One has only to drive across America to see this with one's own eyes. Trade may be an abstract topic for economists and politicians- there is nothing abstract about this. And the economic growth of the US has suffered with the unfair trading system with China, European Union, Japan, Canada and Mexico. From 1945 to 2000 American growth was 3.2% a year. Since 2000 only 2 years of growth over 3%. US has not seen historically normal growth for the last 19 years and at this rate (if we continued along this path) the Congressional Budget Office says 1.8% growth for 2027-2035. There are other factors yet the the major driver of this is our trade deficit of $1.2 trillion dollars a year. It is a story of remarkable persistence in the Nation's interest through 2 adminstrations- this Lighthizer story. Lighthizer fought Japanese commercial interests as Deputy Trade Representative under Ronald Reagan, and as US Trade Representative under DJT in the first DJT administration in 2016-2020. His Deputy at the time is Jamieson Greer who is now the US Trade Representative in the second DJT adminstration in 2025. For 30 years this brave American patriot has fought to reverse the bad actions of presidents and economists that have led to devastating losses in the American countryside. He says any new trading system must be perceived as fair to working people. It will survive only if working people think it is good for them. It cannot and must entrench a small, permanent elite. The benefits going to labour must be at least as great as those going to capital. It should create fulfilling high paying jobs for the vast majority of the American people. This is America's new promise to its people, its new compact with its people. ...

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Amanda Lacaze of Australian rare earths maker Lynas- what can be learned from her experience in rare earths? Lynas is a Australian mining company with a mine in an eroded volcano Mount Weld that has a concentration of rare earths metals. In 2014 it was faced with China's near monopoly of rare earths and price subsidies, lack of awareness in financial markets and the government about the importance of rare earths in manufacturing. It was a period under the Obama administration that after the Bush administration had little grasp of the importance of manufacturing in America and how its decline would affect communities across the Nation, economists trumpeted the virtue of free markets without grasping how China would wrestle control of manufacturing with state subsidies and aggressive pricing and of strategic new technologies.  This included rare earths where the monopoly was close to 100%- if it is 90% today it is because of companies like Lynas. Production processes at Lynas's plant in Malaysia were not sufficiently developed in 2014. When Amanda Lacaze (now 66 years and head of Australia's Minerals Agency) joined Lynas in 2014 the first problem aside from getting Japanese creditors to restructure loans because of aggressive pricing by Chinese firms was to improve manufacturing processes to get 95% quality instead of 48% quality (measured in number of quality rejected product). This was achieved in the first year. To do this she thinned her management ranks and closed offices in Sydney (to cut costs) and moved management to Malaysia where the problems in manufacturing processes would make or break the company. She was able to get creditor Japanese government backed Japan Australia Rare Earths financial institution to renew and extend loans. Had this not happened the company may not exist today. It shows the sheer foolishness that pervaded most of the American industry at that time, the failed economic theory that said America could not support its industry when rivals were supporting theirs, the Bush and Obama administrations that had no understanding of how the industrial competition was takin place in world trade that could substitute other nations for America' s dominance in manufacturing and did little to push back and regain the position for America in world trade. This ignorance continues in some sections of business today that cannot see the plain facts and refuses to see the enormous damage to the Nation from the destruction of its manufacturing base and loss of good jobs in communities across the US. Lynas is now getting contracts from the US government for rare earths and is the only reason China's dominance in rare earths in 90% and not 100% along with MP Materials of the US. Planning was discredited in the crazy euphoria that turned the fall of the Berlin Wall and the Communist Soviet Union, as economists never understood that planning that was used by the Soviets and Chinese in their Five Yer Plans is just borrowed from centuries of basic ways of conducting business that had originated with the Industrial Revolution in Britain. Without planning the growth of the British Navy and the industry that supported it Britain could never have gained the dominance that it did in the 19th century Industrial Revolution. As the Industrial Revolution spread in the US in the 19th and twentieth century every major company had a 1 year Operating plan and a Long Range Plan for 5 Years and 10 Years. The government would have identified rare earths with foresight as one of the newer technologies and the manufacturing infrastructure needed to support its development if these plans were developed at the different levels of government and at the highest levels. This was done under market economy in China. Instead DJT was forced to step back from trade negotiations with China for unfair trade when China held out with a threat to stop export of rare earths materials in 2025, because a huge hole or gap in planning happened at the highest levels of the US government. That happened 11 years after 2014 when Australian rare earths maker Lynas survival was in doubt under a new CEO Amanda Lacaze. This is only one of many misses in American manufacturing and industry, in world trade, that came from misguided economic theory and failure to grasp the basic facts behind the success of the Industrial Revolution in Europe and the US. ...

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Greg Ip tells India's story, piped water for hundreds of millions of Indians, massive increases in road and rail, rapid development of infrastructure, aviation, ports logistics. WSJ graph shows country growth of economies for Japan, China, India, Germany in 2000 and 2020. By 2000 Japan had grown its economy to become about half the size of the US economy with two decades of rapid growth since 1980. China repeated this process with two decades of hyper growth since 2000 to become about 75% of the US economy by 2020. The graphs also show Japanese growth tailing off so rapidly after 2000 in relation to the US economy that it is now only about 25% of the US economy. China is likely to follow the same path as growth slows and with an aging population to become about 35-40% of the US economy by 2040 from 75%. India following the process that happened in Japan and in China is likely to become close to 35-40% of the US economy by 2040 from about 18% today, with the fastest growth over the next two decades for the most populous country in the world. Greg Ip points out what has been achieved since 2014 with the Modi government. Good governance without leakages of public funds dedicated to infrastructure, ease of living, GST one India one tax so that growing pool of funds from taxes fund rapid development with no leakages to corrupt officials,  Swacch Bharat or Clean India, clean water from taps, electricity and cooking gas for the whole population of India with dates for completion. All this Ip calls removal of the shackles that existed for far too long even past 2000 and 2010 when China had vastly surpassed India from its low point in 1980 after Mao and the Great Proletarian Cultural Revolution. India today is in as much a pace of development as China in the 1990's and Japan in the 1960's, except that it now has the benefit of grasping how development can be done in a way that does not affect climate and health in adverse ways as happened with China's hyper growth -which also led to the tragic loss of manufacturing for workers and communities in the US and Europe due to the economic theories of laissez faire of the Reagan era. Reagan theory for governments not working with industry that were applied indiscriminately during the Clinton, Bush, Obama and Trump presidencies for three decades led to shipping manufacturing overseas with no regard for the risks and dangers. What Greg Ip fails to mention is the uniqueness of India that is united by Vedanta, Hinduism and Buddhism for thousands of years, and which keeps the fabric of society together when it is divided by 13 language groups. These 13 language groups are: Hindi 43% of the population, Bengali 8%, Marathi 7%, Telugu 7%, Tamil 6%, Gujarati 5%, Urdu 4%, Kannada 4%, Odia 3%, Malayalam 3%, Punjabi 3%, Assamese 1%, English 1%. It was the vision of the early leaders Vivekananda, Gokhale, Mohandas Gandhi, Nehru, Sardar Patel, that united a diverse country with many languages and cultural variation. And it is this vision of Vivekananda that is creating the Good Governance under Sab ka Vikas, Sab ka Viswas, Sab ke Saath, Sab ka Prayas of today- development for all, with the confidence of all, with the support of all, the efforts of all. Without a disciplined direction based on hard work India could not make it this far or fulfill the aspirations of its youthful population by 2040. ...

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Preliminary results show the SPD Social Democrats leading in Germany. The SPD had 25.7% of the vote, ahead of Merkel's CDU at 24.1%. This is the worst showing for the CDU in German elections. The environmentalist Greens Party came in at 14.8% of the vote. The pro-business FDP Free Democrats came in at 11.5%, the far right AfD at 10.3%, and the socialist Left party at 4.9%. Parties calling for big infrastructure investments in Germany with tax increases emerged as big winners reflecting the public mood in Germany after CDU led coalitions with SPD for the last eight years focused on the eurozone crisis and opened migration into Germany, while neglecting much needed investment in broken infrastructure. Both the SPD and Greens are calling for big investments and taking on additional borrowing to do so. They now have a combined 42% of the vote, and 47% when combined with the socialist Left. The Afd with 10% remains mainly a fringe party - and primarily a result of Merkel's decision to open migration from war torn Arab countries which she later reversed, and from from the CDU's failure to tackle social and economic problems of eastern Germany.    ...

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Japan's car exports have grown in the last six years to double what they were before, growing to $40 billion. This includes a jump in export of SUV's vehicles. Just in the first quarter of 2018 the export of automobiles from Japan to U.S. is up by 10%. Japan is not keen on talking about this issue. President Trump is looking at negotiating a one on one trade deal with Japan instead of through the TPP agreement. as this is seen as a better way to address a $60 billion trade deficit. TPP is not a solution for the U.S. imbalance in trade with Japan as Japan already has no tariffs on imported cars. Yet other barriers exist that make it difficult for U.S. automakers. Ford exited Japan in 2016 and the U.S. has only 1% of the Japanese market. Japanese buyers stay away from American cars and prefer the smaller highly fuel efficient cars made in Japan by Japanese automakers. Perception of buying home made also exist. Other barriers also exist such as zoning and for setting up dealerships, unique safety standards. Japanese automakers make most of the sedans in the U.S. but export the SUV's from Japan. ...

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The message of the Five Star Party of Beppe Grillo against cronyism, the older politics in Italy, corruption in government, unrestricted immigration, clearly resonated in the south of Italy with the party winning in southern Italy. FIve Star brings younger faces to the Italian parliament just as Macron's movement did in France. The Democratic Left Party under Renzi was a clear loser as it won about 20% of the vote compared to 32% of the vote and over 216 seats in parliament for Five Star. Renzi and the left parties clearly failed to gauge the voter's mood and frustration with economic conditions- 11% unemployment and 18 million Italians at risk of poverty reports BBC News. About 600,000 immigrants entered Italy from North Africa and other regions creating anti-immigration sentiment that shifted support to Five Star and the right wing Northern League under Salvini, which had broadened its appeal from its local base in Milan to all of Northern Italy under Salvini, 44 years old. The Northern League won in most of Northern Italy and with the Forze italia of Berlusconi won 37% of the vote. A coalition of Five Star and the Nrothern League would bring together 2 Euroskeptic parties. ...

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This report in DW.com says contrary to the stereotypes about rightwing AfD voters being less educated, low income, new studies show the AfD voters come from all levels of society. There is only one thing in common and that is they all think having so many refugees is bad for Germany. They don't want refugees to migrate to Germany. Recently the AfD has made gains in German elections with chancellor Merkel's policy leading to a large number of refugees entering Germany. Germany has seen a realignment in many ways. The Social Democrats have lost support as voters shifted to the Greens party which now has about 20% support among German voters, and the Free Democrats have come back to about 10% under Mr. Lindner. The AfD swing as the mood shifts away from Merkel's policies, is one of many trends in Germany. The Christian Democrats also have a new leader as the traditional parties go back to their roots following a period when Merkel's policies erased many of the differences between the traditional SPD and CDU during the period of coalition governments dominated by Merkel's Christian Democrats. The SPD suffered serious election losses as Merkel pursued centrist positions. ...

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The German company Bayer faces an unusual situation trying to settle all lawsuits for Roundup weed killer that claim it causes cancer. It is settling lawsuits even while the product remains on the shelves at retailers. Bayer is not allowed to put warning labels by the EPA and regulators on Roundup that is on the shelves, because the EPA says glyphosate is not a chemical that causes cancer.  Bayer has already lost in three jury trials and faces the unusual predicament of not being able to remove the ingredient or put a warning label to avert future litigation. Bayer had lost a third of its stock value as the legal situation worsened. Investors are very critical of the acquisition of Monsanto for $63 billion by CEO Mr. Baumann in June 2018. Monsanto sold Roundup and this is how it ended up in Bayer's products with sales of $200 million. The legal settlements plan is 50 times this. $8 billion for current lawsuits and $2 billion for future lawsuits. And future lawsuits are unpredictable creating uncertainty for Bayer. Investors question whether such an acquisition was a good idea in the first place. ...

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Total household debt, including mortgages and credit cards, as a percentage of disposable income, has declined from 130% in 2007 to 116% in 2010. The Federal Reserve reported this data recently. Much of the reduction in debt was done through defaulting or walking away from mortgage loans, and some of it by reducing expenses. Commercial banks wrote off $118 billion in mortgage, credit card and other consumer debt in 2010, according to the Fed data. This amounts to half of the total $209 billion in debt reduction for household debt, which includes new mortgages and credit card debt. Economists say the level of household debt is still high because household debt at a level lower than 100% of disposable income is where it should be. Many consumers are still in a weak condition because of the weak job market, which has resulted in their using up some of their retirement savings till a job at a lower pay is found. Job cuts at the state and local level are still looming as state governors reduce their deficits. Total U.S. nonfinancial debt went up by 4.8% to $36.3 trillion, with a 20% increase in federal debt. Higher gasoline and food prices also act as a tax on households in 2011....

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Clarence Cammers, 64, one of Paul Ryan's constituents back home in Wisconsin, has a question for Ryan at one of his townhall meetings. Clarence is worried about what would happen to his son Tim, 32, if Medicare cuts went through and his son had to use vouchers for getting health insurance. Ryan's district includes Racine withe high unemployment, and Janesville which was devastated by the closing of the General Motors plant in 2010. Most of the people there are conservative, believe in fiscal responsibility and a balanced budget, but they are also older, working class people. Some of them like Clarence are dependent on their Social Security check to get by from month to month and are not sure they can cope with the kinds of cuts Ryan is proposing. In this story Clarence and Tim discuss the meeting and come to the conclusion that Tim will lose either way- with taxes going up or Tim not getting the retirement that he should be getting. Clarence a life long saver decides he will cut back on his expenses and save $588 from his $1912 monthly social security check for Tim. Tim has severe attention deficit disorder and works for $10 an hour in food prep at a resort....

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Land reforms in China to improve rural incomes and increase agricultural production with larger farms to keep food price inflation down two key goals in today's China. And both long neglected in the headlong rush to industrialize and urban centred modernization which left a huge gap which now must be fixed that gap in incomes for the rural 700 million peopr in the countryside who have seen their incomes stagnat and the rural -urban gap widen with farmer protest against corrupt officials seizing land for factories exacerbating the situation for years. Only the 10-12% a year growth has kept the situation under some control as rural folk could depend on income from migrant labor or the young women who left the countryside to work in cities where factories for exports turned out goods for western markets. With this market in serious trouble in debt burdened western societies China may be looking at growth of half the previous rate down to 6%,and so this is move to change the focus to building a bigger domestic market through raising rural incomes as well as urban incomes and shift China's focus to the domestic and Asian markets like India and other Asian countries....

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Chinese are saving for the future as there is no safety net, no social security and no welfare or food stamps.And this means there will be a strong cutback in consumption and in sales of most products in China. Even before this global economic crisis China was becoming even more export oriented. In the last decade consumption as percentage of GDP actually declined from 47% to 37%. And the $586 billion stimulus has some measures to boost consumption but most of the money will go to infrastructure like new highways, railroads and airports. Housing construction is coming to a halt with home prices down 15% in Shenzen. And layoffs among exporters in the area north of Hong Kong like Li Kai which made 9 million sneakers for New Balance in 2007 will make 7 million in 2008, and is laying off 22% of its workers. Migrant workers are headed back home. The sales of foreign firms will be affected. GM's Buick brand saw sales decline an estimated 12% this year and JD Powers estimates decline in 2009 by 21%. Researcher BDA China sees cell phone sales down to 9% growth each year for next 5 years, down from 30% increases in the past 5 years....

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Louis Uchitelle talks to Stanley Moses, an economist at Hunter College in New York, and others, to find out if things will work out as expected with the $700 billion or $800 billion that Obama plans to invest in infrastructure, energy, and other things to generate the 3 million jobs and investment. Will this generate private investment like the Interstate Highway program which ocurred during the Eisenhower days and set the economy on fast growth, or will it generate enthusiasm and jobs for a few years, and just as Roosevelt backed off in 1937 to let private investment pick up he found that it was still too weak to make a difference. The point that he hears from some experts like Moses is that the current times are setting up for a deep downturn, so that is not reminscent of the Eisenhower years when the economy was getting on the growth track after the war years. Its not exactly like the Roosevelt years either, because of the many changes that have ocurred in a modern economy, but in terms of the mood, the collapsing investment, consumer spending and credit and the collapsing growth in emerging markets which hits exports, this is a situation that is not easily reversed with a few years of aggressive government spending. Things have to change in the public's mood and in private industry's initiative to invest that would return the economy to a growth pattern, and this may be a long time coming with so much deterioration happening at the same time....

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Raul Baduel, a Venezuelan military officer who rose to lead the Fourth Armored Division, the Army, and then became Defense Minister after he rescued Chavez during the chaotic days following the 2002 coup in Venezuela. He thought it was aainst the constitution then and now he felt that the efforts to amend the constitution with the recent referendum were also against the constitution. He come from humble beginnings like Chavez, and was determined like Chavez to follow the lead of Simon Bolivar in leading the oppressed classes in Venezuela get free from the ruling elites. However after Chavez concentrated power in himself and decided to amend the constitution in his favor, Baduel broke ranks with Chavez and worked to defeat the efforts to amend it through referendum vote. When the referendum was lost by Chavez, and the Election Commission decided to postpone announcing the results Baduel went on television saying that for the good of the country the Election Commission had to be fair and good not yield to any pressures. The Election Commission did so and Chavez within hours conceded defeat. Baduel has an interesting personal life. He is a vegetarian, is deeply mystical, follows his own religion and also religions of the east such as Islam, Buddhism and Taoism. He works while listening to Gregorian chants. Venezuelan opinion appears to have soured against military involvement in politics. Opposition leaders are now very unhappy about the military, the politicizing of the whole country and efforts to stay in power. ...

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Ranil Wickremesinghe of Sri Lanka, both Finance Minister and Prime Minister during this economic crisis, says to The HIndu in this interview- "It's hectic, this is a new experience. I am working eight days a week." He says he will firm up the staff level agreement with the IMF by June. Then he says comes the debt restructuring plan that gives a clear indication of what Sri Lanka has to do. By July there will be also the interim Budget.  He said "I must say that Indian assistance has helped us get through these difficult times." He says in addition to the $3.5 billion he is hoping to get another $500 million assistance for fuel. On austerity path Sri Lanka faces he says we have agreed with the IMF that vulnerable groups will have to be supported. He said if we look at what are called tough conditions, even if the IMF were not there, we would have to do it. The advantage of going with the IMF, you get something or everything. If you were to do it on your own you get nothing. On austerity he said yes there has to be austerity but we want it to be for the short term, so that even if 2023 will be a difficult year, in 2024 we can start moving. On the Adani investment of $500 million and Mr. Modi, he says  that he emphatically welcomes it. We need it at this moment and it is a good sign that investors are coming in, said Wickremesinghe. Look he said if anyone else in India wants to invest another $500 million I am not objecting. He said Sri Lanka needs to use its potential for wind energy which is big. ...

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Both sides have taken a pause in negotiations yet they are getting closer. There is also the conversation that we are not aware of that is taking place between McCarthy/McConnell and Biden about G7 leaders asking Biden on the debt talks. McCarthy will not want to affect the Ukraine counter offensive with all the talk about a debt default impacting the credibility of the US. McCarthy also could pass an agreement through the House with Democrats support with a small faction of Republicans not supporting him if push comes to shove and matters reach a critical point. By negotiating in good faith Biden is surely doing the right thing. The important thing is to let moderate Republicans have an opportunity to support him in the task of Renewal of America. The bigger task is 2024 which Biden has his eyes on, because this is how America will be made or unmade with the right choices and the right priorities. And Biden needs independents and Republicans who might consider supporting him to get things done for America's Renewal. House Speaker McCarthy's Republicans now support keeping spending at $1.65 trillion the 2023 levels. The Biden administration would consider a program of small cuts- no deep cuts. And only for 2 years. On work requirements for government aid to the poor and vulnerable Biden says he supported work requirements when he was a Senator in the US Congress. He outright excludes any work requirements for health benefits. Biden understands that in an economy with jobs going unfilled in construction and hospitality industries, and in child care and teaching, nursing, with higher minimum wages, people looking for work could find work to make a decent or tolerable living.   ...

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Was president Biden right to get the Fed, the FDIC and Treasury to cover the uninsured deposits in Silicon Valley Bank. Is it a good use of taxpayer money? $25 billion was provided by the Treasury to the Fed to stabilize other medium sized banks. The answer from the administration is that it was necessary to protect working families from any effects on the overall economy of the ripple effect on medium sized banks that were left unregulated by former president Trump's 2018 roll back of regulation on banks with less than 250 billion in assets.The Office of the Budget has shown that the government recovered all except $31 billion from the much larger bailout of 2008. Paul Krugman in NYT says the assets of SVB are invested in long term US Treasury securities which have value and should cover most of the cost of insuring depositors. Moral hazard is covered by the management at SVB and Signature losing their jobs and by the losses in stock value and bonds which are left unprotected as a cautionary signal to investors. A much larger impact is hidden in the hearts and minds of Silicon Valley who will be expected to reflect on the nature of their self serving deal where they oppose regulation of tech monopolies and of regulatory action except where it serves their  own interests, and see a laissez faire system that works for them but not for workers and families across communities in states across America. A situation made worse by the loss of America's manufacturing base on which issue Silicon Valley neither reflected or acted. ...

LyrArc Article Gist
The purpose of the National Education Policy was to prepare India's young people for India as a developed modernized country and to meet the educational needs of such an economy. The idea was to break the idea of silos based education that separate the science, engineering, medicine, law, arts, humanities, languages based education into separate non mixable parts. It is based on the idea that in modernized economies one needs critical thinking abilities, creative thinking, that mixes the humanities and arts with sciences, with engineering, and other scientific fields.  Because of India's diveristy, history of disadvantaged populations, to build an inclusive economy is also a goal to tap into the widest pool of human potential and talent in a country with 1.2 billion people. For this to happen the goals are set for inclusivity for gender and disadvantaged populations.  What is not in NEP is the investment part, and the governance part, both critical for it to be effective. Investment at 4-6% of GDP is inadequate, as this Brookings report point out. For healthcare and education, India has to expand its share of GDP dedicated to these two areas to make it comparable to other advanced nations. This will pay off in infrastructure development and exports led growth as inputs of education are key to get productivity up in manufacturing and in R&D. Governance is essential part of this overall plan as the public school system in India as in Brazil, Mexico and other countries suffers badly from a lack of attention- with discipline, transparency, good government, increasing incomes and rewarding teachers at every level. ...

LyrArc Article Gist
This report from Germany in DW.com says Germany tried to build a softer relationship with Russia during the leadership of Adenauer of CDU and  Brandt of SPD. This continued under Schmidt and Schroeder. Under Merkel of CDU the emotional aspect of the relationship as Russia retreated from Bolshevism and Soviet Union collapsed was lost. Little attention was paid to East Germany and to how the fall of the Soviet Union had affected Russia negatively,and became purely focused on German industry and trade with cheap Russian gas supplies. Even as Germany did not invest in shared burden for defense with the US, and Germany under Merkel increased dependence on Russian gas supplies to 55% with the Nordstream gas pipeline from Russia, and shut down nuclear energy.  As a result the emotional or mental health aspect of the relationship with Russia of Germany was lost under Merkel. The focus on purely financial aspect of things has been proved wrong both for the economy as physical infrastructure was neglected under Merkel and social infrastructure such as child care and other social aspects of society were sorely neglected. A new broader framework that needs to be built will have to keep this in mind.  All the hard work and good intentions of the Adenauer and Brandt years has been lost with the short sighted basis of relations based purely on finance and trade under Merkel's leadership. This happened also in the US relationship with China with the relations based purely on finance and trade under Clinton, Bush, Obama proving to be too fragile as they did not protect other social aspects within the two countries as inequality widened and whole segments of society were neglected.  ...