Wednesday, November 26, 2014

Conservation In The Time Of Control Fraud

(Commentary posted by Roger Erickson.)




Conservation In The Time Of Control Fraud

This is an interesting story on the role of Hank Paulson in personally funding conservation in China.

What are your thoughts while considering Hank Paulson simultaneously involved in conservation PLUS epic financial looting the last 15 years?

That brings up contradictory implications of Biblical proportions. Forget Peter, he's been robbing the entire US MiddleClass to pay Paulson, and apparently feels compelled to do penance by conserving some but not all habitats.

Maybe Hank's funding a private reserve for Control Frauds, so they'll never again have to get down on bended knee in front of their victims & accomplices.

Wouldn't Middle Classes everywhere do a far better job of conserving their own environments if they weren't robbed blind beforehand? No habitat for the human Middle Class?

Methinks "Herr-los" Paulson is uselessly robbing his own mirror here. He can't see the conservation for the robbery, so he vainly pursues one to try to personally fund the other.

Hank, Hank, Hank. Just give it a rest? NeoLiberalism is not a prerequisite for Christian Scientists.

A surprising inability to see the big picture? Or a massive, purposeful Control Fraud, and an outright traitor to his own nation, in more ways than one. So far, no court has subpoenaed Hank to find out, nor investigated him thoroughly enough to display the implications for an American ex Middle Class that has yet to decide how to respond to Hank's weirdly selective conservation efforts.


Zach Przystup — China-US Relations: The Return of Mao’s Noose

‘The U.S. and China are locked in a great power competition, and their primary goals are incompatible.’…
National visions are powerful motivators. For the U.S., a national vision of liberal democracy and free markets has translated into permanent forward deployment of the U.S. military and the world’s largest alliance system. Underlying this forward strategy is the belief that liberal democracy is the best form of government, and that it must be protected at home and given to others when possible. This American vision is less than three centuries old; China’s view of itself as the center of the universe goes back thousands of years. As scholar Yan Xuetong notes, Chinese people believe China’s fall from preeminence to be “a historical mistake which they should correct.” If it is true that old habits die hard, the main tenets of China’s national vision are unlikely to change. 
By pivoting to Asia, Washington is placing a bet that Beijing desperately wants to avoid a disastrous conflict as much as it does, and that the status quo in the region will endure. By tightening the noose, Beijing is trying to call its bluff. As Sun Tzu might observe, both sides are trying to win without fighting. 
For now, that may be a viable strategy. But even if China continues its steady growth, avoids threatening its neighbors, and generally demonstrates that it is a responsible stakeholder in the international system, it is inconceivable that it would allow another superpower to have the best real estate in its own neighborhood. At some point, the U.S. and China’s national visions will collide. When that happens, Washington and Beijing will both have to make a monumental decision about the future of East Asia, and the rest of the world.
The Diplomat
China-US Relations: The Return of Mao’s Noose
Zach Przystup | Assistant Director for Global Executive and Diplomatic Education at The Fletcher School of Law and Diplomacy at Tufts University

Aditya Velivelli — The deadly land policies planned by Modi’s advisers and the links to Ukraine and Honduras


I don't know where to begin to summarize this it has so much intrigue where the stake runs into the multi-billions. And Pierre Omidyar is right in the middle of it. This land scheme is right out of the playbook of ultra-neoliberal economist Hernando De Soto who contends that land titling is the magic wand to lift poor nations out of poverty through legal systems establishing (private) property rights. It's another iteration of enclosure.

Kafila
The deadly land policies planned by Modi’s advisers and the links to Ukraine and Honduras
Aditya Velivelli

Tuesday, November 25, 2014

UK Parliament debates money, QE, and banking

Last week, the UK Parliament held a debate on modern money, touching on banking, QE, interest rates, and inflation. This debate was almost certainly the result of the bold video and paper released by the Bank of England earlier this year. Many of the MMT talking points were spoken by MP's, to my great pleasure.

The debate was led off by Conservative MP Steve Baker. He got many things right at first, however later divulged into hyperbole about QE and inflation, while bringing up traditional Hayek talking points about 'price discovery.' Later comments by Labour MPs were more on point.

The UK Positive Money site picked up this debate and covered it here. 

Watch the entire debate here. Its certainly very depressing to see our friends across the pond having a honest, detailed debate about money. Meanwhile, many members of the US Congress are seriously considering impeachment of the sitting president.

David F. Ruccio — Piketty wars: episode III—revenge of the Right


 Phil Gramm and Michael SolonJohn Cochrane, and Deirdre McClosky. 

Because liberalism is self-organizing and self-regulating, you know, like nature. May be not perfect but the best that nature could do with the resources at her disposal. Quit complaining and enjoy the prosperity. In liberal societies even the poor have TV's. Celebrate freedom.

Occasional Links & Commentary
Piketty wars: episode III—revenge of the Right
David F. Ruccio | Professor of Economics University of Notre Dame Notre Dame

Russia — Insider Astounding: Top Ukrainian Politician Explains his Nazi Beliefs


Full-on Nazi.

The interesting matter is that the Right Sektor won a relatively few seats in the recent election, but its leaders have been appointed to top government positions.

Peter Radford — McCloskey Disses Democracy

Peter Radford takes down Deirdre McCloskey's take down of Thomas Pikettythat Greg Mankiw opined was "compelling".

This is a good one. Here are a couple of excerpts for the flavor.
Actually it’s McCloskey dissing what she calls leftish economists generally, although poor Piketty and his notorious book provides the moment she seizes to attack us misguided folk. Riven through with fundamental error and hopelessly soft we have all, apparently, misunderstood the great sweep of history. 
The lesson from which is that all is swell if we just leave it alone. We need to set aside our petty and foolish concerns about the environment, and a whole host of other nonsense about market imperfections – and, yes, government imperfections too – we need to acknowledge the great wealth that surrounds us, and gorge on the pile of goodies that capitalism has brought us.…

If the great spirit in the sky was working tirelessly throughout those two hundred years or so, then surely the benefits ought to have accrued more evenly. Why is the material leap more focused towards the end? At least for the ungrateful poor who don’t realize they are actually wealthy.
 
Perhaps it had something to do with democracy. Or, alternatively put, the push back by folk like my grandmother against the system that seemed to be permanently stacked against them. They voted repeatedly to distribute wealth more evenly, to limit the risks of living in the spirit’s system, and to otherwise guard against to excesses of the capitalists. They had a sense of balance. A sense that allowed the economic system to flourish but within more decently proscribed limits. Distribution was important because it allowed everyone to feel an equal participant. Excess undermines that feeling. 
Yes, Deirdre, distribution does matter. It matter s a lot. In fact it matters so much that rightists – I resist the obvious impulse to use the word “wrongists” – wanting to defend the great spirit in the sky ought to pay very great attention. 
Because maldistribution can, and I will stay polite here, mess things up. Big time. Really big time. It creates political problems in a democracy. And that then creates problems for the economy.
The key point:
The tradition in which McCloskey sits, denies forcibly and very loudly that the government can play any role whatever in the economy. It has constructed an entire intellectual edifice – Smith-Say-Mises-Hayek-Friedman et al – to enforce that denial. It has sought to interfere in the democratic process in order to neuter any influence that process might have.
Like I've been saying capitalism and democracy are antithetical.

The Radford Free Press
McCloskey Disses Democracy
Peter Radford

Best line: "The system-we-cannot-name is rooted in venal bourgeois values. You said so yourself Deirdre."


Monday, November 24, 2014

Malaysia Today — MH17 – A Scandal In The Making

I am a Dutch citizen who lives here in Malaysia. This morning I read some news regarding MH17 in Elsevier, a worthy Dutch news magazine. 
As you should know the Dutch government signed an agreement with 3 other countries (Belgium, Australia and Ukraine) about the manner in which the JIT would investigate the MH17 disaster. 
According to Elsevier sources, this (secret) agreement has one condition that ensures all parties within the JIT group (including Ukraine) have the right to secrecy. In other words: if any of the parties finds that certain evidence might be damaging, it is entitled to demand complete secrecy by all JIT members. 
Of course an incredible situation: how can Ukraine, one of the two suspected parties, ever be offered such an agreement?…
Besides the fact that the MH17 plane was Malaysian territory and Malaysia was not even allowed to join the JIT this is an absolute scandal of epic proportions. It shows the JIT investigation for what it is: a corrupt and useless exercise.
Malaysia Today
MH17 – A Scandal In The Making
Jan Fluitketel

Izabella Kaminska — On the hypothetical eventuality of no more petrodollars

Imagine the scenario. It’s 2025 and the volume of home-produced oil is so great that the US is near energy independent as far as crude imports are concerned. 
With that energy independence, the amount of dollars flowing out of the US and over to net energy producers (and traditional dollar reserve hoarders) such as Saudi Arabia, Russia and Mexico has come crashing down. 
So how would such a dollar-flow contraction affect the global economical and political balance? 
According to Citi’s credit team, it would likely affect things a lot.…
The Financial Times — FT Alphaville
On the hypothetical eventuality of no more petrodollars
Izabella Kaminska

Evan Halper — White House threatens to put brakes on alternative fuels

As biotech masterminds and venture capitalists scramble to hatch a new generation of environmentally friendly fuels that can help power the average gasoline-burning car, they are confronting an unexpected obstacle: the White House. 
Yielding to pressure from oil companies, car manufacturers and even driving enthusiasts, the Obama administration is threatening to put the brakes on one of the federal government's most ambitious efforts to ease the nation's addiction to fossil fuels. 
The proposed rollback of the 7-year-old green energy mandate known as the renewable fuel standard is alarming investors in the innovation economy and putting the administration at odds with longtime allies on the left.
Even the Third Way is against the White House on this.
"It is disheartening to see how much potential to slow climate change we are missing out on by not doing this," said Ryan Fitzpatrick, a clean energy adviser at Third Way, a Washington group that seeks bipartisan policy solutions.
Read more here: http://www.mcclatchydc.com/2014/11/24/247941_white-house-threatens-to-put-brakes.html?rh=1#storylink=cpy
McClatchy
White House threatens to put brakes on alternative fuels
Evan Halper | Tribune Washington Bureau


Read more here: http://www.mcclatchydc.com/2014/11/24/247941_white-house-threatens-to-put-brakes.html?rh=1#storylink=cpy
At this rate Obama is going to take the title of worst president ever from W.

Robert Parry — Possible Motives for Ousting Hagel

Six years into his presidency, Obama still doesn’t seem to understand that just because some people have impressive credentials doesn’t mean they know what they’re doing. Indeed, in a profoundly corrupted system – like the one that now controls Official Washington – rewards are handed out to people who serve the corrupt interests or at least don’t get in the way. 
In a time of corruption, the countervailing forces of wisdom and courage will never be found among the credentialed, but rather among the outcasts of the establishment, those who were forced to the margins because they objected to the venality, because they stood up against misguided “group think.” 
But Obama has been unwilling – or possibly unable – to come to grips with this reality. Despite his personal intelligence and rhetorical skills, Obama never has been willing to challenge people cloaked in credentials – those who went to the best schools, worked at big-name firms, won prestigious awards or held fellowships at famous think tanks. 
The tragedy of Obama is that I’m told that he understands the stupidity of the modern U.S. establishment and does sometimes consult with “realists” who offer practical advice for how he can resolve some of the most nettlesome problems facing the United States around the world. But he does so virtually in secret, with what politicians like to call “deniability.”
Consortiums News
Possible Motives for Ousting Hagel
Robert Parry

See also Paul Pillar, The Risks of No Iran-Nuke Deal

The actual risk to the US, although Pillar doesn't mention it, is China stepping in. A Russian, Chinese, Iran alliance would really give the neocons heartburn, and this seems to be the trajectory in which US (neocon) intransigence is pushing.

Henry Giroux — Current "Reforms" Attempt to Drive Young People Out of Democracy

"I think that what we have seen since the 1980s is the recognition on the part of the right that the educative nature of politics is really crucial and important. They want to take control of those institutions that produce particular kinds of subjects, dispositions, attitudes, particular modes of desire that are compatible with market values and market social relationships. So the school becomes a reproductive tool that aligns itself with the belief that the market has the ability to govern all social life," Giroux tells Camilla Croso in this interview. "Schools are public spaces and by default, they are at odds with a market rationality. The people who control corporate power globally, today, have no interest in the public, public values or public goods."
HG: Actually, the public as a democratic public sphere that encourages critical dialogue and an engaged citizenry is the enemy of the market for them because it's a non-commoditized sphere that basically can produce all those things that are considered hazardous to corporate interests. That is, it produces people who can imagine otherwise and hence act otherwise; it can produce people who believe in thoughtfulness, critical exchange, civic courage [and] social responsibility, and are more than willing to hold power accountable. Public spheres are places in which thinking becomes dangerous and, in that sense, they have to be shut down. 
Furthermore, there is an enormous effort on the part of the right, all over the globe, to privatize these public spheres and to turn them into risk-free investments for accumulating capital and profits for the relatively few, for the rich, for politicians, all of whom then can make enormous amounts of money off them. They can disempower faculty, they can treat students as consumers and they can basically use them as a way to accumulate capital. 
Truthout
Henry Giroux: Current "Reforms" Attempt to Drive Young People Out of Democracy
Camilla Croso, Latin-American Campaign for the Right to Education | Interview
Henry A. Giroux currently holds the McMaster University Chair for Scholarship in the Public Interest in the English and Cultural Studies Department and a Distinguished Visiting Professorship at Ryerson University. His most recent books include: Youth in Revolt: Reclaiming a Democratic Future (Paradigm 2013), America's Educational Deficit and the War on Youth (Monthly Review Press, 2013), Neoliberalism's War on Higher Education (Haymarket Press, 2014), and The Violence of Organized Forgetting: Thinking Beyond America's Disimagination Machine (City Lights, 2014). The Toronto Star named Henry Giroux one of the 12 Canadians changing the way we think! Giroux is also a member of Truthout's Board of Directors. His website is www.henryagiroux.com.
Giroux is becoming one of the leading public intellectuals of the left.

F. William Engdahl — Russia Turns East at Shocking Speed with China Mega Energy Deals

While Western mainstream media concentrates attention on the emissions agreement signed by US President Barack Obama and Chinese President Xi at the recent APEC Beijing Summit, Russia’s Putin and China’s Xi quietly signed major new energy agreements that will have enormous geopolitical significance in bringing about the very nightmare that US strategists such as Zbigniew Brzezinski warned about way back in 1997 when America seemed indomitable as sole Superpower.…
They reportedly discussed “the current international and regional security situations, regional issues as well as the relationship between the two militaries”, said Xinhua. One can wonder just what those “situations” might be, perhaps the brazen US and EU intervention into Ukraine to give the excuse for financial warfare and a proxy war against Russia, and perhaps the US National Endowment for Democracy’s “Umbrella Revolution” in Hong Kong, designed to rattle Beijing as well as the Obama “Asia Pivot” military focus on China? The Washington neo-conservative hawks and their backers in the CIA, State Department and NSC are managing to accelerate the very Eurasian alliance that is they are trying to destroy.…First appeared:
New Eastern Outlook
Russia Turns East at Shocking Speed with China Mega Energy Deals
F. William Engdahl

See also Hungary’s Viktor Orban: Washington’s New Enemy ImageFirst appeared

Janet Allon — Paul Krugman: Deluded New Majority in Congress Insists We're Living in an Ayn Rand Novel


The new meme is the same as the old meme — reduce dependence on government by eliminating the nanny state and instituting a night watchman state that is solely focused on security and property.

AlterNet
Paul Krugman: Deluded New Majority in Congress Insists We're Living in an Ayn Rand Novel
Janet Allon

Paul Verhaeghe — Neoliberalism has brought out the worst in us

An economic system that rewards psychopathic personality traits has changed our ethics and our personalities… 
We tend to perceive our identities as stable and largely separate from outside forces. But over decades of research and therapeutic practice, I have become convinced that economic change is having a profound effect not only on our values but also on our personalities. Thirty years of neoliberalism, free-market forces and privatisation have taken their toll, as relentless pressure to achieve has become normative. If you’re reading this sceptically, I put this simple statement to you: meritocratic neoliberalism favours certain personality traits and penalises others.…
There are constant laments about the so-called loss of norms and values in our culture. Yet our norms and values make up an integral and essential part of our identity. So they cannot be lost, only changed. And that is precisely what has happened: a changed economy reflects changed ethics and brings about changed identity. The current economic system is bringing out the worst in us. 
The Guardian
Neoliberalism has brought out the worst in us
Paul Verhaeghe | Professor and Chair of the Department for Psychoanalysis and Counseling Psychology, Ghent University

Branco Milanovic — Why individualism does not necessarily imply preference for a minimalist state?


Rand, Mises, Hayek, and left libertarianism briefly compared and contrasted.

Global Inequality
Why individualism does not necessarily imply preference for a minimalist state?
Branco Milanovic

John Helmer — Circle The Russian Wagons – Belief In Patriotism, Sacrifice, And Putin Rise In Reaction To Us, Eu Sanctions, Media War


Russians digging in for the long haul?

What he doesn't mention is how long Europe can wait impatiently watching its Russian markets slipping to development in Russia and substitution from non-Western countries.

Dances with the Bears
Circle The Russian Wagons – Belief In Patriotism, Sacrifice, And Putin Rise In Reaction To Us, Eu Sanctions, Media War
John Helmer

Neil Wilson — The Sovereign Money Illusion


Another money illusion deconstructed.

3spoken

Sunday, November 23, 2014

Eric Zuesse — U.S. Among Only 3 Countries at U.N. Officially Backing Nazism & Holocaust-Denial; Israel Parts Company from Them; Germany Abstains


More US soft power erosion.
Ukraine voted no on this resolution because this new Ukrainian Government is the only nazi regime in the world, and they are doing the standard nazi things, and so what they are doing is in violation of numerous international laws, which are not being enforced, but which are re-asserted and re-affirmed in this resolution, though Ukraine and the Ukrainian situation aren’t at all mentioned in the resolution. The United States voted no on it, because the U.S. Government had placed them into power. And Canada voted no on it because their far-right Prime Minister, Stephen Harper, has been a virtually unquestioning supporter of all U.S. foreign-policy positions, and wants U.S. President 
Barack Obama to approve construction of the Keystone XL pipeline to assist the Koch brothers and other large oil giants to profitably transport and sell to Europe and around the world, tar-sands oil from Canada’s landlocked Athabasca region. 
Germany abstained from voting on this resolution because their leader, Chancellor Angela Merkel, does not want to offend the U.S. President by voting for a resolution that the U.S. Government strongly opposes; and also because, as today’s leader of the land where nazism started — in the first nazi political party, the Nazi Party of Germany — she does not want Germany to vote against a resolution that condemns Nazism. If Germany were to have voted against this anti-nazi resolution, she would have faced a political firestorm at home. So, Germany abstained, in order not to offend Obama on the one side, and her public on the other. 
Key to understanding the vote on this resolution is knowing the relevant historical background, which has largely to do with the world’s only nazi-led Government: today’s Ukraine. Consequently, the remainder of this article will explore that issue in depth, so that this otherwise-incomprehensible U.N. vote will become comprehensible.
Washington's Blog
U.S. Among Only 3 Countries at U.N. Officially Backing Nazism & Holocaust-Denial; Israel Parts Company from Them; Germany Abstains
Eric Zuesse

Steven Teles — Restrain Regressive Rent-Seeking

America today faces three great challenges. Inequality, driven in particular by a spike in incomes at the very highest end, is threatening the public’s belief in the justice of our economic system. Innovation in products and services that actually add to human flourishing and produce meaningful employment, driven by new firm formation, appears to be stagnating. Finally, Americans both on the right and left increasingly believe that our political system is rigged to benefit organized insiders, while critical public problems remain unaddressed.… 
The standard image of how our economy works, and where the wealth of a good chunk of the 1 percent comes from, is wrong. The really important question, if we want to put our economy on a trajectory of greater productive innovation, less inequality, and more political legitimacy, is what explains this explosion of upward redistributing rent? How did this happen at a time that all of the political conversation was about the wonders of markets? How, if at all, might we actually restructure our politics to make it possible to claw back these rents, thereby liquidating unjust politically-protected fortunes, creating space for greater economic opportunity, and unleashing greater innovation?
Cato Institute
Restrain Regressive Rent-Seeking
Steven Teles | associate professor of political science at Johns Hopkins University
h/t Brad DeLong

Finian Cunningham — Europe Veering From US Abyss Over Russia?

It’s long overdue but better late than never that Europe might just be back-pedalling on America’s aggressive agenda towards Russia. The business-like visit to Moscow this week by Germany’s Foreign Minister Frank-Walter Steinmeier suggests that Europe can come to its senses to seek a diplomatic resolution of the escalating tensions over the Ukraine crisis – tensions that could spark a wider continental war, or worse.
Steinmeier met with his Russian counterpart Sergei Lavrov in which the pair stressed the need to find a political end to the violence in Ukraine. The German diplomat – the first high-level European envoy to Moscow in several months – also talked about normalising relations between his country and Russia and of finding a way to rescind the economic sanctions that Brussels has imposed on Moscow over recent months.

EU ministers in Brussels balked at imposing a fourth round of sanctions earlier this week, showing a growing division over the policy among European governments.

Interestingly, Steinmeier said his visit to the Russian capital was following up on positive discussions held last weekend with President Vladimir Putin at the G20 summit in Australia. The German foreign minister said the task now was to prevent a new spiral of violence in Ukraine.

Given that Germany is the European Union’s largest economy, we can fairly say that Berlin’s political attitude is going to hold sway for the rest of the bloc.

Meanwhile, the contrast with the European attitude, as seen this week through Steinmeier, could not be sharper in Washington.
Germany blinks. Putin and Xi chuckle. Obama, McCain and the neocons fume.

Strategic Culture Foundation
Europe Veering From US Abyss Over Russia?
Finian Cunningham

Also

Oriental Review
The Usa And Nato Have Hammered Out The Cold War 2.0 With Russia. How To Overcome It?
Valdimir Kozin | Professor of the Russian Academy of Military Sciences

Adam Parsons — Sign me up to Russell Brand's sharing revolution

“The agricultural Revolution took thousands of years,” he writes, “the industrial Revolution took hundreds, the technological tens. The spiritual Revolution, the Revolution we are about to realise, will be fast because the organisms are in place; all that needs to shift is consciousness, and that moves rapidly.”
Open Democracy
Sign me up to Russell Brand's sharing revolution
Adam Parsons

Daniel Little — How professionals think

The topic of how actors arrive at their choices and behavior has come up a number of times here. The rational choice model has been considered (link), and other, more pragmatist approaches to agency have been considered as well (link). Finally, a number of posts have considered the idea of character as a key determinant of action (link). 
A team of distinguished experimental economists have recently provided a different perspective from any of these on the subject of agency and action. Alain Cohn, Ernst Fehr, and Michel André Maréchal recently published a provocative piece in Nature that appears to show that a certain segment of white-collar professionals (bankers) make very different decisions about their actions depending on the “frame” within which they deliberate (link). If they are thinking within the everyday frame of personal life and leisure, their actions are as honest as anyone else’s. But if they are prompted to think within the frame of their professional environment, their actions become substantially less honest. That professional environment is the large international bank.… 
This is a striking set of findings for a number of reasons. First, it strongly suggests that there are strong markers and incentives within the social environment of the bank that lead its employees to behave in dishonest ways. There is something about working in and around a financial institution that appears to provoke dishonesty. This sounds like a "culture of workplace" kind of effect. It suggests perhaps that bankers are acculturated over an extended period of experience to possess traits of character and behavior that lead them to behave dishonestly.

But second, the data seem to refute the "culture and character" interpretation. The same set of experiments supports the finding that when these same individuals approach the coin-tossing task with a mental framework oriented towards everyday personal life, their choices revert to the generally honest behavior of the broader population. In other words, these findings do not support the idea that banking either recruits or creates dishonest people. Rather, the findings seem to imply that banking encourages dishonestbehavior within the specific framework of banking business and only while the workplace signals are salient.
Bill Black calls it a criminogenic environment. It's actually well known that institutional culture is highly influential on individual behavior, and that the culture is established by the leadership in that subordinate imitate superiors, regardless of whether this takes place intentionally or not. The buck stops in the corner office.

Understanding Society
How professionals think
Daniel Little | Chancellor of the University of Michigan-Dearborn, Professor of Philosophy at UM-Dearborn and Professor of Sociology at UM-Ann Arbor

Phil Stewart — U.S. plans to arm Iraq's Sunni tribesmen with AK-47s, RPGs, mortars


 I thought Kalashnikov products were sanctioned. I guess sanctions don't apply to the US government.

Reuters
U.S. plans to arm Iraq's Sunni tribesmen with AK-47s, RPGs, mortars
Phil Stewart

Vladimir Kozin — Why is Russia going to skip the Nuclear Security Summit in the US?

Reports and commentary periodically appear on this subject in the American media that only note Russia’s refusal to participate in the 2016 summit, without citing her motives or reasons, which is nothing more than a futile attempt to put pressure on the Russians, as well as a desire to expose her “unconstructive” approach to this problem and thus force some change in it. 
But it is important to highlight something truly fundamental here: Russia is not dismissing the need to examine and discuss this urgent and vital issue of international magnitude. Indeed, the motives behind Moscow’s refusal have an entirely different origin. 
The Russian Foreign Ministry explained that its aversion to taking part in the preparations for the fourth summit, to be held in the US, has nothing to do with the Ukrainian crisis or even some other circumstances unrelated to this forum, but rather stems from the following:
Summary: The US is stacking the deck in its favor.

Oriental Review
Why is Russia going to skip the Nuclear Security Summit in the US?
Vladimir Kozin

circuit — It's baaack: Paul's Japan paper (monetary policy and expectations in an era of low inflation) (trying not to be monkish)

One of the ongoing debates in economic policy these days is the question of whether a central bank alone can be effective at getting an economy out of the doldrums. 
The most famous exposition of the idea that a central bank alone has the ability to boost economic activity is Paul Krugman's paper entitled "It's baaack: Japan's Slump and the Return of the Liquidity Trap" (1998). 
In the paper, Prof. Krugman explains that, in a (hypothetical) world of Ricardian equivalence in which fiscal policy has no effect on the real economy, the central bank can get households and firms to borrow and spend by announcing it will bring about higher inflation in the future.

Prof. Krugman knows that the assumption of Ricardian equivalence is far fetched and unrealistic; he only includes this simplifying and unrealistic assumption to make his point that the central bank alone can stimulate the economy when fiscal policy is unavailable as a policy option (due to policymakers ideological aversion to public spending, the presence of high public debt, etc.).
 
Now before I go any further I want to say that I'm a huge fan of Paul Krugman. I think he's one of  the most sensible economic commentators out there and I agree with almost all his views on policy. On the effectiveness of central banks alone to boost economic activity, however, I'm quite skeptical. 
The logic in Prof. Krugman's paper can be summarized as follows:
Fictional Reserve Barking
It's baaack: Paul's Japan paper (monetary policy and expectations in an era of low inflation) (trying not to be monkish)
circuit

Merijn Knibbe — Dear Deirdre, Distributional Issues Do Matter. Always. And everywhere.

Deirdre McCloskey has written a lengthy Piketty criticism – and she totally agrees with Piketty. It’s Friedmanian in spirit: a self-concious, eloquent (even more eloquent than Friedman!) defense of the market based upon clever arguments and our experience with markets, though also more literate and less US centered than the typical Friedman piece. But it’s a somewhat weird piece. She states that she totally disagrees with Piketty. But she doesn’t. In fact she totally shares his vision: it’s all about g. She defines ‘g’ as ‘The great enrichment’. And states, just like Piketty, that g, or the high growth rate of our economy, saved us from becoming a rentier economy. And just like Piketty she does not seem to understand balance sheets. More on that below.
Real-World Economics Review Blog
Dear Deirdre, Distributional Issues Do Matter. Always. And everywhere.
Merijn Knibbe

John Gray — A Point of View: The writer who foresaw the rise of the totalitarian state

The 19th Century Russian novelist Fyodor Dostoyevsky wrote about characters who justified murder in the name of their ideological beliefs. For this reason, John Gray argues, he's remained relevant ever since, through the rise of the totalitarian states of the 20th Century, to the "war against terror".
When liberalism becomes illiberalism.

BBC News Magazine
A Point of View: The writer who foresaw the rise of the totalitarian state
John Gray

Saturday, November 22, 2014

David Glasner — Misunderstanding Reserve Currencies and the Gold Standard

In Friday’s Wall Street Journal, Lewis Lehrman and John Mueller argue for replacing the dollar as the world’s reserve currency with gold. I don’t know Lewis Lehrman, but almost 30 years ago, when I was writing my book Free Banking and Monetary Reform, which opposed restoring the gold standard, I received financial support from the Lehrman Institute where I gave a series of seminars discussing several chapters of my book. A couple of those seminars were attended by John Mueller, who was then a staffer for Congressman Jack Kemp. But despite my friendly feelings for Lehrman and Mueller, I am afraid that they badly misunderstand how the gold standard worked and what went wrong with the gold standard in the 1920s. Not surprisingly, that misunderstanding carries over into their comments on current monetary arrangements.
Uneasy Money
David Glasner | Economist at the Federal Trade Commission

Dr. Housing Bubble — The middle class migration out of California

People look at population growth in California and see nothing that stands out. Digging into the numbers you find some interesting figures. First, the main reason California is actually growing is because of international migration. California for well over a decade is losing domestic residents. That is, “domestic” Californians on a net basis are heading out of the state. On a more micro level, you are seeing the middle class either being phased out of the state or being pushed into lower priced inland regions. It is an interesting trend that is also happening in the tech hungry Bay Area. Housing continues to be an important topic because the vast majority of income is spent on housing. California has one of the highest percentage of families spending half or more of their monthly income on either rent or housing payments. In places like Los Angeles the main international migration is coming from Asia. You also see this driving up real estate values in certain areas and this contributes to domestic out migration. The migration numbers are interesting and shed light on this global trend.
Dr. Housing Bubble
The middle class migration out of California: While domestic migration is up, foreign migration is filling the gap.