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The irony of the Afghan war is that the same pilots and planes that worked for the Soviet supported Afghan government, that the US under President Reagan supplied weapons and antiaircraft missiles to bring down, are now fighting the American war against insurgents. Antonov aircraft for transport and Mi-35 Hind helicopters, and Afghan crews that flew them are part of the airforce that the US is training and building up. The commander of Afghanistan's air corps is a formerMiG-21 pilot. By 2016 the 32 aircraft airforce is expected to grow to 120 aircraft at a total cost of $5 billion.

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Japan's Sanseito anti-immigration party gets 7 seats, enough to deprive the ruling LDP-Komeito alliance of its parliamentary majority. Prime Minister Ishida of the LDP party may not last more than a few months. The LDP seems to have lost its way like the Democrats in the US. A recent article in NYT says LDP wanted to bring in 60 million tourists to Japan each year to boost the economy. Yet Japanese people in cities have a hard time handling 40 million tourists in 2024, with reports of disturbance of the once quiet life in city neigborhoods and failure to adopt the culture and language of Japan. Reports of migrant/tourist or immigrant crime get much press coverage. Japan has 124 million people and birthrate of 1.26 below the birthrate of 2.1 needed to stabilize population. Business asks for new immigrants to fill unfilled positions. The public has different ideas and the migration is causing disturbance in traditional way of life in Japan. Similar to what is seen in the US and Germany in more striking ways. The nationalist parties including Sanseito say even if the population falls to 100 million this is more than the population of 90 million in Germany, and is enough to sustain its economy. Use of robotics and AI is not talked about as much but offers Japan, US and Germany, a way to make up for the loss of foreign labor. In essence both American, British, Spanish, German, French, Italian, Austrian, Dutch, Danish and Japanese society share a yearning for traditional ways of life that are being ruffled and disturbed by the migration, immigration, or over tourism affecting their countries. Politicians need to pay attention to people affected and not live isolated in their own neighborhoods from the people in other less sheltered communities and neighborhoods across their countries. ...

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It should be remembered as NHK points out that Mr. Obama never visited the Main Building of the Hiroshima Museum and only spent a little time in the East Building. It is the Main Building that Prime Minister Kishida- who represents Hiroshima City in parliament - wants Biden, Scholz and other G7 leaders to see. It is only in the Main Building that leaders can see the graphic images of the devastation of the atomic bomb dropped by the plane Enola Gay on Hiroshima.  A suggestion is for NHK to give a private broadcast to G7 leaders of the documentary already shown in Asia on NHK television last week.  Having seen it one can say that it in no way affects the use of nuclear deterrance. A suggestion for the Hiroshima Museum authority is for it to also show the devastation of Japanese bombing in Asia from World War II that  may have created the insular feeling in American public about the dropping of the bomb and only thinking it could have come sooner to save lives for the Allies, itself creating conflicting feelings and affecting mental health. A recent exhibition in Barcelona showed the Nazi bombing of Republican parts of Spain leading to millions of refugees crossing over to Europe. Similar situation happened in China and the images may have created America's insular feeling about the bomb dropped on Hiroshima. It is in everyone's interest to know, to comprehend the devastation in all places, the conflicting narratives that were told, and for people as spiritual values teach us to develop the virtuous conduct, the concentration and the wisdom that both the Bible and the Buddhist suttas teach Americans, Europeans and Asians. Something that was lost in the 18th, 19th and 20th centuries.    ...

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The kind of Nation America will be is already being determined in America's classrooms. The share of students chronically absent from US schools has jumped from about 15% before the pandemic in 2018 to 26% in 2023. In the richest districts from 10% to 19%, in the poorest districts from 19% and  to 32%. Losing about a third of children K-12 in schools for absenteeism is a huge learning loss to the Nation. Missing more than 10% of classes counts as chronically absent, the data is from 40 states in the US K-12. Majority White went from 13% to 22%, Majority Non White went from 17% to 32%. Analysis of data from American Enterprise Institute. This has real implications for learning loss and student behavior. Even school districts which opened earlier in the pandemic are affected to same degree with absenteeism doubling in Victoria, Texas school district. In this report NYT has a place where you can enter the school district name for instance entering Dearborn School District in Michigan and it shows the absenteeism has gone from 10% to 26% in this district and this means it has close to tripled. In adjoining Dearborn Heights it went from 25% to 44%. In New York City this goes from 25% pre pandemic to 36%. Compare this with the richest districts in the Nation when we entered Scarsdale we found absenteeism up from 4% to 7%, next Piedmont in California 6% to 9%. Irvine Unified relatively affluent 5% to 12%. What this means is that across the board there is learning loss and in addition the disparities are also growing from the wealthiest to the middle income and the larger population districts such as New York, and the diverse Dearborn, MI.  ...

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Musk DOGE 2025 and the 1941 Truman Committee- cutting waste in $4 trillion in spending.  With the Biden Infrastructure Act and other infrastructure, science and chips spending of $4 trillion the US needs to act to have oversight on waste and overspending in 2025. We just want to show that it is in the American tradition of democratic government, that an obscure Senator from Missouri, Democrat Harry Truman initiated such an effort called the Truman Committee when he addressed the Senate on Feb 10, 1941. The US Senate site describes this Special committee to Investigate the National Defense Program adjacent to this article. As the US prepared to enter World War II in Feb. 1941 an obscure Senator from Missouri rose up in the Senate to call for oversight over the $10.1 billion Roosevelt had got approval from the US Congress to spend on war efforts. The oversight was to fight overspending, waste and fraud in spending the huge amounts dedicated to the war effort. The result was the Truman Committee in the US Senate with as chairman of the committee Harry Truman 1941-1944, James Mead (NY) 1944-46, Harley Kilgore (Wisconsin) 1946-47, Ralph Brewster a Republican from Maine in 1947-48. These were the years when the US spent on the war effort- $330 billion in 1945 dollars, $4 trillion in 2024 dollars $212 in US government borrowings, $136 billion in war bonds With the Biden Infrastructure Act and other infrastructure, science and chips spending of $4 trillion the US needs to act to have oversight on waste and overspending in 2025. ...

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Zweig cautions against putting too much faith in experts, or quant models such as "value at risk" or VAR, used by JP Morgan to assess risk. He cites physicist Richard Feynmann: "You must not fool yourself- and you are the easiest person to fool." And the address Feynmann gave at the 1974 commencement of Caltech, in which he said avoid the "cargo cult" mentality of Pacific Islanders who believed that just by standing on runways they could make plane full of food and clothing land, similiar to the ways they did after World War II. Exaggerated returns of over 50% call for more vigilance to look at risks of failure.

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Court blocks deportation of a group of Venezuelans on the basis of Alien Enemies Act of 1798, says other remedies can be tried. This is one of 4 laws passed under John Adams in 1798 to remove citizens or subjects of a hostile nation during times of war or invasion. The case now goes to the US Supreme Court. The Court of Appeals of the Fifth Circuit is based in New Orleans with 3 Judges making the decision. Bush appointee Southwick joined Biden appointee Ramirez against Trump appointee Oldham in a 2-1 decision. Oldham in a 131 page dissent says-“Today the majority holds that President Trump is just an ordinary civil litigant. His declaration of a predatory incursion is not conclusive. Far from it. Rather, President Trump must plead sufficient facts — as if he were some run-of-the-mill plaintiff in a breach-of-contract case — to convince a federal judge that he is entitled to relief.” Southwick does not appear to see this as an invasion ignoring the deaths from fentanyl and drug trafficking in the US, the strain on public resources and cities of uncontrolled flow of migrants in recent years, saying- “A country’s encouraging its residents and citizens to enter this country illegally is not the modern-day equivalent of sending an armed, organized force to occupy, to disrupt or to otherwise harm the United States.” Yet even an armed organized force was pushed back in the War of 1812, and has little chance where the current problems have led to the deaths of more young Americans from drug trafficking than three times the deaths in the Vietnam and Korean Wars combined, three times the deaths in World War I and about 75% of the deaths in World War II, something that needs reflection and action. With the changing public sentiment in the UK and Europe and in the US on law and order and on migrants the Supreme Court is faced with coming up with a decision in the best interests of the Nation and its People. ...

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Marina Force of the WSJ gives this excellent report on Carles Puidgdemont, head of the Catalan party that is holding a referendum for independence from Spain in October 2017. The referendum is to be held on Oct. 1, 2017, and will be held in a tense region divided by pro and anti independence supporters, with the central government of Spain declaring the referendum illegal, and police obstructing voters. This has pushed Spain into a major crisis, as Puigdemont says he will declare independence after the vote, and the possibility that many voters may not have voted at all in this tense atmosphere. Here Marina describes the recent history of Spain that dates back to the period under General Franco's dictatorship when state rights in the Basque region, in Catalan region and in the northern region in Galicia, as well as other regions, were suppressed. Today there is regional autonomy and the languages in the regions such as Catalan are used in the autonomous regions. Prime minister Rajoy is from the Galicia region. His family suffered under Franco's dictatorship as he points out in his book- Mariano Rajoy, En confianza, Mi vida y mi proyecto de cambio para Espana. As a result Catalan leader Arturo Mas and other Spanish leaders including Rajoy from Galicia worked hard to establish autonomy for all the regions in Spain, including use of the local language in Valencia, Catalonia and the Basque region, a variation of Spanish. As in Scotland for most of the period after the end of the Franco dictatorship in the nineties, this focus on regional autonomy was seen as a big step forward. Puigdemont is journalist who was editor in chief of a Catalan newspaper in the 1980's. In 2006 he was elected to the Catalan parliament. In 2013 he was elected mayor of Girona, a city just north of Barcelona. It was in this period that the movement for Catalan independence moved forward setting the stage for the 2014 referendum with 81% voting for independence. In 2016 pro-independence parties won a majority in the Catalan parliament. This set the stage for a confrontation with the central government in Madrid that is now taking place. ...

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Russian president Putin tells the Italian newspaper Corriere Della Sera, before his visit to Italy, that the failure to carry out the agreement of Feb. 2015 called Minsk II- following the eruption in fighting at Debaltseve and Mariupol in eastern Ukraine- is because of the Poroshenko government in Kiev. He called on the U.S. and Europe to pressure the government in Kiev. The Ukrainian position is that the local elections cannot move forward until pro-Russian fighters and weapons are withdrawn, and the control of the border with Russia is given back to Ukraine. As western sanctions on Russia over intervention in Ukraine are coming up for renewal at a meeting of the G-7, Putin said he was committed to the Minsk II agreement for autonomy to be given to the region of the Luhatsk and Donetsk republics, which were established in the east with Russian assistance. Putin told the newspaper in an interview: "The document we agreed upon in Minsk, called Minsk II, is the best agreement and perhaps the only unequivocal solution to this problem. We would never have agreed upon it if we had not considered it to be right, just and feasible. On our part, we take every effort, and will continue to do so, in order to influence the authorites of the unrecognized, self-proclaimed Donetsk and Luhansk republics. But not everything depends on us. Our European and U.S. partners should exert influence on the current Kiev administration, We do not have the power, as Europe and the U.S. do, to convince Kiev to carry out everything that was agreed on in Minsk." That the two sides are far apart on issues is shown by Ukraine president Poroshenko's position that for an election to take place for implementing decentralization in the eastern region of Donetsk and Luhansk - "It is impossible to provide the election when the bandits and terrorists with guns are on the street. This is not free and not fair." Putin's position is that " Specifically there needs to be a constitutional reform to ensure the autonomous rights of the unrecognized republics. The Kiev authorites do not want to call it autonomy- they prefer different terms, such as decentralization. Our European partners, those very partners who wrote the corresponding clause in the Minsk agreements, explained what should be understood as decentralization. It gives them the right to speak their language, to have their own cultural identity and engage in cross-border trade- nothing special beyond the civilized understanding of ethnic minorities' rights in any European country." ...

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The skills to navigate different personalities and work patiently on the issues surrounding changes to the U.S. tax system of Rep. Dave Camp (MI), chairman of the U.S House of Representatives Ways and Means Committee, will be immensely useful in the effort to make changes to the U.S. tax system. Camp works well with fellow House Republican leaders Boehner, Ryan, Cantor, and his Democratic counterpart in the U.S. Senate Max Baucus. Camp is a good listener, refuses to engage in partisan criticism, and has the patience to work through difficult issues of achieving savings and keeping fairness in the the tax changes. Earlier efforts to achieve consensus in late 2011 failed, making it even more important to have leadership which can create productive debate and bridge the differences. The tax changes are part of the overall effort for U.S. economic recovery by reducing the deficit.

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The lack of jobs is a major problem for Tieling New City in Liaoning province in China. Liaoning provincial leaders started the plan to build a new city in 2005 to help revive the local rust-belt economy. The new city was planned for 60,000 residents in 2010 and 180,000 by 2015. Today because of few job opportunities most of the new city is empty. The business park is also empty. The original plan was to create growth in the province by creating 7 such urban centers and building highways and high-speed rail lines to connect them to Shenyang, a 90 minute drive south of Tieling. Rural residents would take up homes in the new urban areas with affordable homes, and businesses would be attracted to these smaller cities because of lower labor and land costs, but this has not happened. Credit Suisse property analyst Du Jinsong, says there are better job opportunities in higher tier cities, so that lower tier cities are seeing a net outflow of population. He found that in two thirds of 287 mostly small urban centers there were fewer residents than people registered to live there. ...

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Lord Mountbatten's elder sister Alice was the princess of Battenberg in Germany. Prince Philip's mother was Alice. In this way the last Viceroy of India, a naval officer in World War II, and Prince Philip, are intimately connected. It was Lord Mountbatten who formed a friendship with Jawaharlal Nehru as he negotiated with Gandhi, Sardar Patel and Nehru for the independence of India after the war.  This legacy continued for Prince Philip as he and Princess Elizabeth established a friendly relationship with post 1947 India. After the overthrow of the Greece monarchy following World War I, Prince Philip and the Greece royal family sought refuge in England. Both Mountbatten and Philip are great grandsons of Queen Victoria. Mountbatten is a name adopted by Lord Mountbatten's father to avoid anti-German sentiment in England, adding Mount to Batten from Battenberg. Mountbatten's father was German and became a naturalized British citizen, serving in the British military.  Prince Philip adopted it as his surname after he went to live with his maternal uncle as a young boy. Prince Philip joined the Britannia Naval War College. In 1934 he was introduced to Princess Elizabeth by Lord Mountbatten at a family wedding.  The relationship is significant because of the contribution the two Mountbattens made to the transition to self-rule or Swaraj in India and to the British Commonwealth with its role for India and Britain. ...

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Erfurt is a very German city in the heart of Germany with its many churches and medieval past, the home town of Martin Luther. Katrin Bennhold provides this exceptional report of how Erfurt is coping with new refugees from talking to town officials and observing the process of resettlement. Erfurt has a population of 208,000 with only about 500 Muslims, and few people from Africa. The town's mayor sees it as the biggest challenge since World War II, larger than reunification with the east, as 300 migrants arrive every week and 4000 have to be resettled by Christmas 2015. Under Germany's quota system the state of Thuringia gets 2.5% of refugees, and Erfurt gets 10% of this. When the Soviet bloc expelled 14 million Germans from the eastern territories in the bloc, 670,000 passed through camps in Erfurt. The difference now is the language barrier, and the anxiety among some Germans of how this could change their lives, which is visible from the questions asked at a town hall meeting in Erfurt. Because of the suddenness with which Germany was confronted with the refugee problem it will take time to get organized- in September 2015 there is a shortage of housing space, cots, temporary shelters, translators, social workers, and some of the infrastructure has to be put in on an improvised basis. Rarely has a people come under the spotlight of world attention in modern communications media, in the way small cities and towns throughout Germany are now facing, and providing a glimpse into the hearts and souls of so many....

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"Defend blue sky and breathe together" says a painting on a brick wall in the coal producing region of Shanxi, northern China. China is finally acting seriously to impose strict environmental rules from the top. Old coal stoves are thrown into a dump as China shifts away from coal stoves to heat homes. So many new homes shifted to natural gas in Shanxi province. population 37 million, that demand overwhelmed natural gas supplies. Results are to be seen in cleaner air in Taiyuan, capital of the province and in Beijing itself.  President Xi's commitment to climate change accord reached in Paris is seen as firm in this report in the NYT. The head of the gas, coal and power markets division of the International Energy Agency, Mr. Peter Fraser, says that even though homes use only 6% of total coal used in China, the effects are disproportionately high because homes do not have any emission reduction mechanisms. Natural gas demand has increased by 16% in 2017 as provincial officials eager to meet the demands issued in Beijing to cut coal emissions even let some homes and schools go without heat in an early winter spell. This extraordinary report shows how in cities in northeastern China the people welcome the change to natural gas and cleaner air. Even in coal country, in cities like Linfen population 4.4 million, the change is seen as people welcome the clean air and officials build natural gas connections to execute the plans issued in Beijing. In Beijing itself Greenpeace estimates show 54% reduction in PM 2.5, harmful particulate matter for breathing by 54%, a startling fact showing Beijing's determination and effectiveness of its actions. Natural gas is more expensive and citizens do not complain in neighboring provinces near Beijing because the state provides adequate subsidies to compensate people. Decrees are being enforced to avoid coal stove use with people knowing they could see action by authorites if reported. Compare this to the problems of crop burning around New Delhi, in Haryana and Punjab provinces, and one can see that centralized control and direction has advantages when used in the right way for a good purpose and supported by people who want to breathe clean air. ...

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"China's Superbank," by Henry Sanderson and Michael Forsythe looks at the rise of China Development Bank to provide insights into the two decade real estate boom in China, and the trillions of dollars in loans made by state owned banks to finance China's state owned industries and infrastructure development. The authors say these loans based on land owned by the state, improved with roads and other infrastructure and then sold to industry, have helped finance China's urbanization and industrial development. But it has also created problems including eviction of farmers from the land by local government authorites increasing inequality, led to misallocation of capital on bad projects, and an unsustainable model of development focussed on state owned companies. A major side effect of this is not covered in the book. This is the impact of crowding out of credit for private industry in China, with privately owned business having to pay higher rates in the underground loan market or lacking financing. A major focus of the report "China: 2030" by the World Bank and China's official think tank Development Research Center is on reversing this development to come up with a sustainable development model. The report was supported by World Bank chief Zoellick and China's new prime minister Li Keqiang. "The Great Rebalancing," by Pettis, a finance professor at Beijing University, looks at the other side of the financing of China's boom- the low interest rates on savings for China's consumer. This reduces household incomes and reduces purchasing power as the interest rates are lower than the rate of inflation. Lower value of China's currency also reduces the purchasing power for China's consumers. Estimates show the low interest rates cost China's workers and consumers somewhere in the range of 3 to 8% of GDP annually in bank deposit income. This money is funnelled through the banking system to make more loans for infrastructure and growth at the state owned companies, concentrating exraordinary level of financing in one direction. As a result the consumption share of GDP in China has actually fallen in the two decades of hyper development. This is about 34% compared to 50-55% for other Asian economies....

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U.S. President Richard Nixon adopted Keynesian policies to boost the economy after tightening monetary policy failed in 1970. In 1971 Nixon turned to higher fiscal spending to get the economy closer to full employment. He also adopted wage and price controls. By 1972 the economy had recovered, inflation was at 5.7% and unemployment at 4.9%, and Nixon won re-election. This was the only recovery in an election year since World War II. In international affairs Nixon's policy was to leave the Bretton Woods system and floating the dollar. With a new administration in 1974 inflation surged to 11% and unemployment to 5.6%, because wage and price controls worked only for a short period.

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China's prime minister Li Keqiang visited India in May 2013 with a trade delegation to improve trade ties with india. Trade between India and China is growing rapidly, with the growth in imports of telecommunications and power equipment, and consumer manufactured goods. Trade was at $76 billion in the year ending March 31, 2012 and is expected to reach $100 billion by 2015, making China the largest exporter of goods to India, according to Indian government data. The trade is lopsided with India's trade deficit increasing by 42% to about $40 billion in the last fiscal year. India is seeking improved access for its information technology and pharmaceutical companies to the Chinese market to correct the imbalance.

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Adolf Merckle, a native of Dresden, left for West Germany after World War II and built up businesses RatioPharm a generics pharmaceutical maker, and Heidelberg Cement. After making a bad bet in shortselling of VW shares, just when the Prosche family moves ran up the price of VW shares from 210 euros to 1000 euros in 2 trading sessions to obtain majority control of VW, Merckle faced losses of several hundred million euros and possible loss of RatioPharm. A badly timed acquisition by Heidelberg Cement also created worsening finances for Merckle's business. When he failed to get a bridge loan Merckle committed suicide. A public outcry prevented the state government there to provide any loans to Merckle.

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Thomas Hoenig was Governor of the Kansas City Federal Reserve Bank for 20 years. Here he talks about the dangers of "too big to fail" with Gretchen Morgenson of the New York Times. He is due to retire at the age of 65 in 2011. Hoeinig has stood for conservative safe financial practices for U.S. financial institutions throughout his 20 year old career, and cautioned against extending the government safety net for banks that engage in risky financial activities including derivatives trading. And essential element of safe financial practice and part of necessary market discipline, he has pointed consistently, is the fear that taking on risky activities or acting recklessly has a price- creditors can take out their funds if they see a banks as unsafe, and the financial institution may have to be broken up or closed. He joins Alan Meltzer in his criticism of Federal Reserve policies under first Greenspan and then Bernanke that take on the job of stimulating the economy and creating jobs through a very loose monetary policy after the collapse of a bubble. Hoenig sees the role of the Fed in such situations as a neutral player. The reason say Meltzer and Hoenig is that the Fed has not given enough thought and attention to the long term consequences of its policies. What were the consequences of the low rate policies in 2003 asks Hoenig? It promoted another bubble and the mortgage meltdown of 2008. What were the consequences of QE II asks Meltzer in an op-ed piece in the Wall Street Journal on August 11, 2011, "The Folly of Economic Short-Termism?" It has failed to revive the economy or reduce unemployment. Hoenig also points to questions of fairness and equity that arise when banks are treated differently and farmers, seniors and other groups are asked to make sacrifices....