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Today's Stories January 11, 2008 Dave Lindorff Did Hillary Really Win New Hampshire? More Questions About Diebold Voting Machines Paul Craig Roberts No Escape from War and Unemployment January 10, 2008 Alexander Cockburn Now Nader Claims He Didn't Endorse Edwards Bob Wing Marqueece Harris-Dawson Race Within the Race: Obama, the NH Vote and the Specter of Tom Bradley Michael Donnelly White Women Gone Wild? David Macaray Three Big Reasons for the Decline of Labor Unions China Hand Bush's Delusional Policy Pushes Pakistan to Brink of Catastrophe Ayesha Ijaz Khan Saudi Arabia and Pakistan: Brotherly, Friendly Countries? Rannie Amiri Obama, Man of Kansas or Kenya? Website of the Day Iranian Video of the Hormuz Incident   January 9, 2008 Cockburn / St. Clair The Empire Strikes Back Dave Lindorff The Bad News from New Hampshire: Death By Triangulation John Chuckman Pardon My Laughter: Watching the US Primaries from Canada James Bovard Stomping Freedom: Inside the Martial Law Act of 2006 Alan Farago As Florida Sinks: the View from the Titanic Russell Mokhiber Why Picket the New York Times in DC on Friday? William S. Lind Kicking the Can Down the Road in Iraq Peter Morici Beyond the Sophistry: Why the Trade Deficit Matters Josh Reubner Sudan vs. Israel: Double Standard on Divestment Mike Roselle The Pursuit of Happiness Website of the Day Bottles of Tears on the Wall: Steve Perry on NH   January 8, 2008 Paul Craig Roberts No Jobs for the New Economy (or the Old) Russell Mokhiber The Black Hillary: Obama is Just Another Political Sedative Robert Fantina The Gulf of Tonkin and the Strait of Hormuz Dave Zirin Butts on Parade Shamako Nobel I Am an Emcee: the Politics of Hip Hop John Ross Zapatista Women Encounter Themselves Brenda Norrell Apaches Defend Homeland from Homeland Security Laura Carlsen Why Bolivia Matters Patrick Irelan Remember the Maine! Evelyn J. Pringle The Holes in Bush's FDA Jonathan M. Feldman After Iowa and New Hampshire: a Strategy for Rebuilding the Peace Movement Michael Dickinson Playing Soldier Website of the Day Sean Hannity on the Run!   January 7, 2008 Chris Floyd There Will Be Blood: But No Justice for Iraq Atrocities John Blair Remove That Man! Creeping Fascism in Indiana Uri Avnery The Case of the White Bird Andy Worthington Who Are the Gitmo Saudis? Binoy Kampmark Needling the Convict: Lethal Injection and the Supreme Court David Macaray Women on Strike Ralph Nader Obamarama: the Politics of the Smooth Mood Michael Donnelly It's the War Vote(s), Stupid! Ron Jacobs Ron Paul's Run: Is Being Against the War Enough? Gideon Levy The Hostile President Dave Lindorff A Real 9/11 Cover-Up? Sibel Edmonds, Turkey and the Bomb Website of the Day Plagues and Pleasures on the Salton Sea   January 5 / 6, 2008 Douglas Valentine Good Guys in Black Hoods Kevin Young The US Occupation and Popular Opinion in Iraq Richard Rhames Saddam Who? Saul Landau Bush Snatches Defeat from Victory Marc Lynch Why Bush's Iran Strategy is Failing Robert Fantina Iowa, Democrats and the Iraq War Donna Volatile Antiwar Soldier: an Interview with Jonathan Hutto, Sr. Jelle Bruinsma Norman Finkelstein in The Netherlands Bob Sutcliffe Remembering Andrew Glyn, Rebel Economist Harvey Wasserman Anti-Nuclear Renaissance Missy Beattie Why Obama Can't Save Us David Swanson Remembering the Separation of Powers Jacob Hornberger The Importance of the Padilla Case Shepherd Bliss Survival Tools from Kokopelli Farms Ron Jacobs Bleeding Kansas Poets' Basement Patti Smith, B.R. Gowani and Peter Buknatski Website of the Weekend Jimmy Dean Sausage Call Complaint   January 4, 2008 Cockburn / St. Clair A Good Night in Iowa Jonathan Cook War Crimes Airbrushed from History Paul Craig Roberts Thinking for Yourself is Now a Crime Stan Goff Ron Paul's Monkeywrench Dave Lindorff Clinton's Iowa Flop Exposes DLC Myths as Frauds Niranjan Ramakrishnan To Pindi Station Allan Nairn U.S. Elections Over Before They Began Joshua Frank The Failures of Sectarianism Peter Morici Economy on the Skids Mary McInnis Iowa Cocky-Us: How to be a Caucus Tease Website of the Day The Return of Obama Girl   January 3, 2008 Fatima Bhutto Farewell to Wadi Bua Pam Martens The Free Market Myth Dissolves into Chaos Joanne Mariner The Presidential Candidates and Torture Zoltan Grossman Remember the '80s: Social Movements Between Woodstock and the Web David Domke The Echoing Press and Huckabee Norman Solomon Edwards Reconsidered Nikolas Kozloff Return of the Faux Liberal Jacob G. Hornberger The Padilla Case and the Future of Habeas Corpus Martha Rosenberg Quit Picking on Huckabee's Son, Michael Vick Russell Means This Property is Condemned: a Notice to Those Occupying Lakotah Lands Website of the Day WolfQuest   January 2, 2008 Jeff Taylor The Left and Ron Paul M. Shahid Alam The Life and Death of Benazir Bhutto: a Pakistani Tragedy Gary Leupp Madness Compounding Madness: Calls for Intervention in Pakistan Paul Craig Roberts Criminals with Badges Heather Gray Georgia's Racist Death Penalty Fred Gardner and Shobhit Arora Dr. Strangelove's Nemesis David Macaray Labor Unions and Taft-Hartley Benjamin Dangl Fear and Loathing in Bolivia     January 1, 2008 Iain A. Boal City of Disappearances B. R. Gowani Benazir's Death in Crisistan Shahid Mahmood Bhutto and the Press Linn Washington, Jr. Old Injustices Endure: From Crack Sentences to Racial Profiling Harvey Wasserman Taking Leonard Peltier to Iowa: the Moral Low Point of the Clinton Era John Ross 2008, Already a Year to Forget Website of the Day The Thrill is Gone: BB and Gladys   December 31, 2007 Alexander Cockburn Goodbye 2007 and Good Riddance! Tariq Ali Pakistan, the Aftermath Liaquat Ali Khan The Perfidy of Pakistan's Rulers Wajahat Ali After Bhutto, a Nuclear Pakistan? Robert Fisk Who Killed Bhutto? Ajai Sahni Myths and Realities About Benazir Bhutto and Pakistan's Dark Future Marwan Bishara You Say Talk, I Say Attack: The Middle East and the US Presidential Election Campaigns Uri Avnery The Beilin Syndrome Mark T. Harris Does This Happen in Canada? Brenda Norrell Resistance and Censorship Website of the Day A People United Will Never Be Defeated   December 29 / 30, 2007 Alexander Cockburn Options in America: Kill Yourself or Have a Baby Tariq Ali Indignation and Fear Stalk Pakistan Fawzia Afzal-Khan My Encounter with Benazir Bhutto Gary Leupp The U.S. and Pakistan After 9/11: Blowback from an Unholy Alliance China Hand Pakistan Stares Into the Abyss Jacob Hornberger Stop Medddling in Pakistan John Chuckman Pakistan and the Failure of Quick-Fix Politics Missy Beattie Evaluating Bush with the Bhutto Corruption Standard Ralph Nader Who Will Take the Next Step? Fidel Castro There Hasn't Been a Day in My Life When I Haven't Learned Something Robert Fantina The Sham of Homeland Security Greg Moses Beauty from the Heart of Texas Catherine Lutz What We Can Not See: Art and Bombing Kristin Van Tassel Seeing in the Dark Kim Nicolini Redacted: Brian DePalma's Scream of Outrage Phyllis Pollack Keith Richards Runs With Rudolph Once More Poets' Basement Landau, Gibbons and Davies Website of the Weekend Driving Karachi in Search of the Perfect Naan   December 28, 2007 Farzana Versey The Complex Electra Wajahat Ali A Pakistani Requiem Binoy Kampmark Death in Rawalpindi: Bhutto and Her Legacy Ayesha Ijaz Khan Not Dead Yet: The Pakistan People's Party Still Survives Anthony DiMaggio Turkey's Bombing of Iraq Ray McGovern Creeping Fascism Jim Goodman Biofuels, the Biggest Scam Going Ron Jacobs Transcending the Colonizer's History: Iran, a People Interrupted Russell Hoffman Mini-Nukes by Toshiba John Murphy Greens Gone Wild Website of the Day Guiliani Campaign Official: "Only Rudy Can Defeat the Muslims"   December 27, 2007 Dilip Hiro A Tragedy Foretold: Will Bhutto's Death be a Boost for Her Party? Murtaza Shibli Who Killed Bhutto? Stephen Soldz Fallujah, the Information War and U.S. Propaganda Bill Quigley Locked Outside the Gates Paul Craig Roberts The Great American Lock-Up Omer Subhani Killing Bhutto: What Happens Next in Pakistan? Marjorie Cohn The Torture Tape Cover-Up: How High Does It Go? Allan Nairn Cataclysm By Money Whim Jacob G. Hornberger Smearing Ron Paul: Shame on the NYT Norman Solomon Channeling Suze Orman Patrick Irelan Rumsfeld Spills the Ink Ben Tripp Pass the Razor Blades Website of the Day Quagmire, For What It's Worth   December 26, 2007 Charles Tripp From One Saddam to Fifty Paul Armentano No-Knock, You're Dead Rannie Amiri Lebanon in Search of a Government Stanley Heller Brzezinski and Charlie Wilson's War John Walsh Two Unreasonable Men Martha Rosenberg The Strange Career of Scott Gottlieb Norman Madarasz Bolivia Amends New Constitution and Faces Mutiny from Within Website of the Day Cockburn at the Battle of Ideas   December 25, 2007 Patrick Cockburn Conscience and Empire December 24, 2007 Andrea Peacock A Dark Ride on the Border Tariq Ali Thinking of Edward Said Uri Avnery Help! A Ceasefire! Jill Jameson Burma is Not Back to Normal: A Trip from Rangoon to Mae Sot Steve Melendez Russell Means Goes to Washington Mike Whitney The Big Fix Chuck Munson Not Getting It About New Orleans John Walsh Clueless Crusaders Farzana Versey Tony Blair and the Hawking of Religion Richard Neville Dreaming of a White House Christmas Website of the Day Back in the USSR December 22 / 23, 2007 Alexander Cockburn Mike Huckabee's Ascending Chariot Ralph Nader Politics and Profits: How the Oil Cartel Gets Its Way Andy Worthington Intelligence Failures, Battlefield Myths and Unaccountable Prisons in Afghanistan Ahmad Faruqui The Comedian of Pakistan Bill Moyers Society on Steroids Rev. William E. Alberts Blessed are the Peacemakers Timothy J. Freeman From Kant to Lennon: Can War Really be Over? Anthony DiMaggio Democrats Continue to Capitulate on Iraq Fred Gardner Molecule of the Year, Cannabiodiol Paul Krassner Enhanced Hazing Techniques Seth Sandronsky 17 Years of Meanness: Repealing California's Three Strikes Law William Loren Katz Christmas Eve Freedom Fighters: Recalling the Battle of Lake Okeechobee Michael Dickinson In the Dungeon of the Zabita Ron Jacobs Why Leon Russell Still Matters David Vest Doyle Bramhall's "Is It News?" Poets' Basement Orloski, Davies and Ford Website of the Weekend George W. Hates Santa   December 21, 2007 John Ross New Massacres Loom in Mexico Jacob Hornberger Nothing Can Morally Justify the Invasion of Iraq Dick J. Reavis A Way Out of the Newspaper Abyss Jeff Cohen and Norman Solomon The 2007 P.U.-litzer Prizes Peter Morici Business as Usual as Recession Looms Jack McCarthy Let Us Now Praise Judith Regan (Even If She Did Sleep with Bernie Kerik) Raúl Zibechi Sex and Revolution Steve Early How the Presidential Candidates Made Me an Atheist David Macaray Union Aftermath Patrick Bond Zuma, the Center-Left and the Left-Left in S. Africa Lakota Freedom Delegation A Declaration of Independence from the USA Website of the Day Solomon v. Beck: Tale of the Tape   December 20, 2007 David Rosen Mitt Romney's Secret Life as a Pornographer Alan Farago The Huckster and the Wreckage: Jeb Bush and the Subprime Mortgage Crisis Laura Carlsen Standing Up to NAFTA Ashley Dawson The Return of the Bread Riot Wayne Smith and Jennifer Schuett Cuba Changes, US Policy Stagnates Website of the Day How to Talk to a FoxNews Reporter   December 19, 2007 Saul Landau Is the NIE Bush's Watergate? Paul W. Lovinger Hillary the Hawk Norman Solomon The Mad Corporate World of Glenn Beck Dave Zirin George Mitchell's Drugs of Choice Marjorie Cohn Bush Still Spinning Iranian Nukes Sen. Russell Feingold The Iraq War is Exhausting Our Nation Sonja Karkar A Christmas Reflection on Palestine Anthony Papa Open the Drug Gulags Christopher Ketcham Pave the Holy Lands with Good Intentions Davey D Britney's Little Sister is Pregnant: Should We Blame Hip Hop? Website of the Day When Republicans Use the F-Word on TV   December 18, 2007 R. F. Blader The Politics of Teen Pregnancy George Wuerthner Gunning for Wolves in Idaho Steven Higgs Can the NAFTA Superhighway be Stopped? Vijay Prashad Encounters with Ghadar David Macaray The Free Rider Problem Ralph Nader Nine Books That Make a Difference: a Reading List for the Holidays Eva Liddell Privatizing War Abroad, Invading Privacy at Home Martha Rosenberg While the Bodies are Still Warm: Drugs, Shrinks and Shooters Dave Lindorff When Impeachment is Out of Print Peter Morici The Consequences the Trade Deficit Website of the Day Ron Paul: How Fascism Will Come to America   December 17, 2007 Mike Whitney Staring Into the Abyss Tom Barry Planning the War on Immigrants Uri Avnery A Gaza Masada? Greg Moses Crossing the Line in Texas Allan Nairn Terrorism; Counter- Terrorism: Excuses for Murder Patrick Bond South Africa's Fight Between Hostile Brothers Stephen Lendman Police State America Charles Jonkel Grizzly Right of Way Laray Polk An Inside-Out Crisis in Gaza Stephen Fleischman Pawns in Their Game December 15 / 16, 2007 Peter Linebaugh A People's Penny for the Magna Carta Howard Zinn Bomb After Bomb Standard Schaefer The Greening of Big Tobacco Raymond J. Lawrence Let's Take Christ Out of Christmas Alan Farago Down on Desolation Row: the Vultures and the Growth Machine Saul Landau Lord Byron and the Bad Tourists Jenna Orkin Lying to "Reassure" the Public: Bush's EPA and the Post-9/11 Toxic Air Cover-Up Ahmad Samih Khalidi Why a Palestinian "State" is a Punitive Construct Robert Fantina Politics By Photo-Op Missy Comley Beattie Resistance Amid the Ruins Ramzy Baroud Of Mormons and Muslims James L. Secor A Vision for China's Future Elijah Wald Ike Turner's Music Won't be Forgotten Website of the Weekend The Alliance for the Wild Rockies Needs (and Deserves) Your Support   December 14, 2007 JoAnn Wypijewski The Dirty Cad: What Giuliani's Sex Life Tells Us About Him John Ross Iraqi Refugees Return: One Cruel Hoax Jacob Hornberger Terror Suspects Belong in Federal Court Andy Worthington Guantánamo and the Supreme Court: What Happened? Allan Nairn "Shoot Them on the Spot": Rewarding War Crimes Dave Zirin The Mitchell Report: Absolving the Owners Dave Lindorff The First Cut is the Deepest Misty MacDuffee Toxic Grizzlies Ben Terrall What Happened to Lovinsky Pierre-Antoine? Dr. Mustafa Barghouthi Prerequisites for Peace Website of the Day Sen. Kit Bond: "Waterboarding is Like Swimming"   December 13, 2007 Paul Craig Roberts Shrinking the Dollar from the Inside-Out Mike Whitney Dershowitz for the Defense--of Waterboarding Ron Jacobs Blank Check DemocratsL the Great War Funding Conspiracy Norman Solomon The USA's Human Rights Daze Peter Morici The Dragon and the Toothless Dog: China Doesn't Flinch Sandy Mayes Blocking the Strykers: 13 Days of War Resistance at Port Olympia Franklin Lamb The UN in Lebanon: Whose Mission Is It Fulfilling? Jacob Hornberger Don't Reform the CIA, Abolish It Nadim Rouhana An Interloper in My Own Land Dave Zirin On Pigskin and Petrol Website of the Day Rachel's Needs (and Deserves) Your Support! December 12, 2007 Allan Nairn US Intelligence is Tapping Indonesian Phones Alan Farago How Sprawl Eats Its Young Ray McGovern Torture, Lies and Videotape Winslow T. Wheeler The Phony Pentagon Budget Cuts Evan Jones The Raid on Great Western: Why an Australian Bank Might Spell Doom for the US Farm Belt James Petras An Open Letter to Sarkozy on the Exchange of Political Prisonsers Joel Hirschorn The Horserace Fiction: Clinton, Obama and the Democratic Machine Joshua Frank Why Ron Paul Deserves Our Attention Sherry Wolf Why the Left Should Reject Ron Paul Dan Bacher Survey of a Fish Graveyard Website of the Day Men Eating Bugs                 Subscribe Online

January 11, 2008 Cracks in the System Banking on Thin Ice By KENNETH COUESBOUC The banking system has two historic functions. The first is to make the circulation of money easier, safer and faster, by allowing depositors to pay by cheque, bank card, etc. The second is to create account money, by granting credit. The two functions are distinct, but both concern the payment of value and cannot avoid interacting. Accounts are kept of all deposits. Small and large sums are credited and debited, moving among different accounts in the same bank or between banks. Once a day, all these movements are added up by a clearing-house, and each bank is given the state of its balance. (As the larger banks are doing business 24/24, 7/7, all around the world, the daily clearing process has lost its precision. On the other hand, computer technology makes it possible for banks to appraise their balances constantly.) For some banks, the sums credited are larger than the sums debited. For the others, the situation is reversed. Some banks have a surplus of money on their accounts. The others are in the red and must settle that debt before they can begin a new day's business. Usually, the banks with the surplus lend it to the banks in the red. The other function of banks is to grant credit to depositors. To do this they increase the value of deposits with virtual money. This is possible because only a small fraction of the total deposits actually moves around at the end of the day. As most of the value deposited never leaves the bank, it can be increased at will. However, as a security, banks are obliged to own collateral, such as gold, currency, bonds, stocks, real estate, etc. The value of which must be superior to a certain minimum fraction of the credit granted (currently 8%). The interest paid on the credit granted by banks is their principal source of income. Wishing to maximise their incomes, banks face a double dilemma. Increasing the amount of credit granted means increasing the value of their collateral. But collateral is ever a fluctuating value. Stocks and real estate are particularly volatile. Their values frequently swell rapidly and deflate suddenly. And the more stable forms (gold and currency) pay neither rent nor dividends. The fluctuation of value on the market means that collateral can gain or loose value as of itself. So the problem banks face is the choice of collateral and the temptation to follow the rising market value of their collateral, by a corresponding rise in the amount of credit they grant. The market values of the different forms of collateral rise and fall independently, each following its own particular cycle. But, every now and then, they move together in the same direction. At present, three forms of bank collateral, stocks, bonds and real estate, are valued at historic highs. The corresponding amounts of credit granted depend on these high values being maintained. It seems, however, that the three values mentioned above have peaked simultaneously. And that the desperate efforts at keeping them all up there together are doomed. The weakest link is the rate of interest. It varies inversely to the market value of bonds. When interest rates rise, the value of bonds must drop accordingly (1). And, with inflation looming in the wake of mounting commodity prices, this two way movement seems inevitable in a very near future. And rising rates of interest will have a less immediate effect on the housing market and the value of real estate. They will also hit the stock market and credit in general, when the falling value of collateral reduces the amount of credit that can be granted (some have already called for a lowering of the necessary minimum fraction). A reduced supply that will put up the "price" of credit, cumulating with the increases due to inflation. Rising prices and the interruption of cheap borrowing are the ordinary consequences of every credit bubble. But the cyclical coincidence of three forms of collateral, in their rise, peak and forthcoming slump, is a rare occurrence. It has facilitated an unprecedented swelling. But it also means that there are no secure forms of collateral to fall back on. As, apart from the three, currency is an obvious target for inflation. And gold is almost exclusively held by central banks and, anyway, there is nowhere nearly enough of it around. The most likely scenario is stagnation accompanying inflation. Probably (inevitably?) for several years, as the gigantic paper structure of sub-prime junk that has filled so many balloons with hot air will not be absorbed painlessly overnight. This time the collapse will not be limited to Argentina, or the Asian "Dragons". This time it concerns the whole Developed World. A financial turmoil of such magnitude that holding it off till after the November elections seems an impossible task. And yet, the presidential candidates have not voiced an inkling of what is brewing. No one seems to realise how thin the ice is. So how will they react when it all begins to crack? Kenneth Couesbouc can be reached at kencouesbouc@yahoo.fr 1. A bond labelled $100 pays $5 a year interest, that is 5%. If the rate of interest rises to 10%, then the $5 paid by the bond is 10% of only $50. The market value of the bond has been halved.   Your Ad Here

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