Tag Archives: economy

International, U.S.

White Horse & World War 3: Russia restates warnings to the United States, concerning Syria and Iran

“Iran is our close neighbor, just south of the Caucasus. Should anything happen to Iran, should Iran get drawn into any political or military hardships, this will be a direct threat to our national security.”-Dmitri Rogozin, Deputy Prime Minister of Russia

“Syria must be left alone and the sides to the conflict must be assisted in breaking the stand off and starting negotiations. No one must interfere with Syria. This is dangerous.”

“If we add the escalating tensions around Iran to the situation in Syria and the consequences of the Libyan war, then the upcoming ‘scorching’ Arab Summer, which is following the Arab Spring, will hardly be to anyone’s taste.”

I looked, and there before me was a white horse! Its rider held a bow, and he was given a crown, and he rode out as a conqueror bent on conquest.

 

Business/Economics, Idaho, U.S.

Economic Recovery? 100% inflation: January 14 last day to get your Powerball Lottery ticket for only $1

Saturday, January 14, will be the last day you can get a Powerball Lottery ticket for  $1.00.  To “celebrate” the lottery’s 20th anniversary the price of one “play” will now cost $2.00.

Lottery officials claim the 100% increase in the price of a lottery ticket is worth it because they’ve increased the size of most jackpot winnings.  For example the new starting jackpot amount will double from $20 million to $40 million.

They also claim it will be easier to win.  They’re reducing the number of red Powerball numbers used.  Instead of 39 red numbers, there will be 35.  But since I’ve played the lottery for at least two decades, and never won anymore than $10.00, the 100% increase in the price of one play is enough to make me stop playing.

 

 

Business/Economics, U.S.

Corporate & Government incompetence: USPS paid FedEx $1.4 billion in 2010! Or did they?

Cash strapped U.S. Postal Service paid FedEx (called Federal Express until 1994) $1.4 billion in 2010, to send USPS packages!

It’s ironic because not only is FedEx a contractor with the USPS (one of the biggest), it’s also a rival of the USPS.

One consulting group, SJ Consulting, suggested the USPS stop sending so many airfreight packages through FedEx.  But here’s the thing, before anyone gets upset with the Postal Service, didn’t we postal customers actually pay for the cost of shipping those packages on FedEx?

Business/Economics, International, U.S.

Pale Green Horse & What Economic Recovery? USDA to close 259 offices, how safe will your food be now?

I looked and there before me was a pale horse! Its rider was named Death, and Hades was following close behind him.  They were given power over a fourth of the earth to kill by sword, famine and plague, and by the wild beasts of the earth.

On January 9, 2012, the U.S. Department of Agriculture announced they will have to close 259 offices across the country.  Budget concerns overrule food safety concerns.

Agriculture Secretary Tom Vilsack is trying to cut $150 million from the USDA budget. The closures will affect 46 states, and includes seven foreign offices.

“They wiped out the entire Midwest.”-Andrew Lorenz, deputy district manager for the Food Safety and Inspection Service in Minneapolis

Lorenz says the office closings in his area have effectively shut down federal food inspection in Minnesota, Montana, the Dakotas and Wyoming!

Lorenz also said this could only mean USDA employees losing their jobs (on top of the 7,000 who were forced to take early retirement last year).

Agriculture Secretary Tom Vilsack expressed concern: “Our workload is at record highs, we have less money and fewer people and work to do and we tried to address how do you do that without interrupting service.”

However, USDA undersecretary for food safety, Elisabeth Hagen, contradicted her own boss’s statement: “There will be no reduction in inspection presence at slaughter and processing facilities and no risk for consumers. Not only do we have a statutory obligation to be in every facility, we have an unwavering commitment to food safety. We will still be on the job, in every facility, every day.”

Now how do you do that with thousands less employees?

Business/Economics, International, U.S.

Media Incompetence or Complicity? Olympus not first Japanese company to lose billions, and then try to hide it. It happened before, in the 1990s, but the reporter who was about to blow the whistle was literally sent out of the country.

“If we had published the story, the result for Yamaichi shareholders and people connected with the company might have been very different.”– Shigeo Abe, investigative journalist

Right now the Olympus scandal is still making headlines in Japan.  Partly because many people find it hard to believe that a company could lose so much money on “investments” then try to cover it up with more bogus investments and company take overs.  Yet something similar happened in the mid 1990s, but then it was deliberately hushed up by the Japanese media!

In 1994 journalist Shigeo Abe, and a few other reporters, did some investigating and discovered that one of Japan’s biggest securities firms, Yamaichi, had hidden millions in losses by creating fake companies.  The deception started in 1992.

Shigeo Abe’s bosses at his newspaper didn’t jump for joy at the thought of having such a scandalous story, instead they ordered him to leave the country! (shimanagashi, the feudal practice of sending political troublemakers away)

“The Yamaichi president had called the Nikkei president and pressured him to not run it. He said: ‘If we go bankrupt it will cause chaos in the economy.’ And that was that.”– Shigeo Abe, investigative journalist

He was gone for three years.  It was at the end of that three years that Yamaichi Securities finally went bankrupt, despite the story not being published (there’s a lesson for you who believe in the “see no evil, hear no evil, speak no evil” philosophy). Japanese taxpayers got stuck with a debt bill equal to several million U.S. dollars (not to mention the huge losses for stockholders).

Shigeo Abe says what is going on with Olympus is similar. He said the Japanese media knew Olympus was in trouble at least one year before it was reported (guess who reported it first?).  He says nothing in the mainstream media is reported without official consent from the government or corporations: “There are no real scoops in Japanese newspapers. They are almost always authorized leaks.”

As a former TV news producer (six years), I can say the same applies to the mainstream U.S. media.

What happened to Shigeo Abe? He decided that the mainstream media is totally ineffective so he create an independent magazine called FACTA (not to be confused with the so called Fair and Accurate Credit Reporting Act). It was his 100% subscriber supported magazine that revealed the Olympus scandal!

 

 

 

 

 

 

Fukushima

Government Incompetence: Only 330 cats & dogs rescued from radiation zone in Japan, hundreds more still roaming lose!

The Japanese government announced that 330 cats and dogs have been rescued from the no entry zone around the damaged Fukushima Daiichi nuclear plant, just in the month of December.

The Environment Ministry, and government of Fukushima Prefecture, have conducted rescue operations for dogs and cats.  However, citizens groups have been doing their own rescuing since 11 March 2011.

Several pet rescue blogs talk about the difficulty of dealing with government bureaucracy, in trying to get into the no entry zone.  Some citizen pet rescuers broke the law by going into the highly contaminated area without government permission.

Pet shelters in Japan need financial support to help care for those pets that’ve been rescued. Many pets lost their human companions to the tsunamis. Most pet rescues took place in the tsunami hit areas, but relatively little has been done in the radiation danger zone.

For those who can help, you can check out globalanimal.org. They have contact info of several of the private rescue groups in Japan, and interesting animal rescue stories.

FOOD CRISIS: HALF MILLION LIVESTOCK STARVING TO DEATH IN JAPAN!

Business/Economics, International

Black Horse: March 11, 2011 Japan disasters destroy more than 500 companies, car sales lowest in 3 decades, record unemployment

Private credit firm Teikoku Databank says Japan’s March 11 disasters forced 510 companies to fail by December 31, 2011.  All together the companies had more than $9 billion in debt.

The construction sector had the most bankruptcies.  But even though contracts for repairing disaster hit areas are finally increasing, the struggling economy is causing a decline in construction in other parts of Japan, basically canceling out the effect of increased construction contracts in disaster areas.

For the Japanese automotive sector, sales of Japanese cars are at the lowest point in 34 years!  It’s all because of the quakes and tsunamis, and the ongoing nuclear disaster, directly affecting parts production for Japan’s car makers (add to that the recent flooding in Thailand which is having the same effect).

The result is that many of Japan’s major companies are moving production to other countries like China.  Of course that means unemployment is skyrocketing.

In August the Japanese Labor Ministry reported a record 38 year high in unemployment percentage. In November the official number of unemployed Japanese hit 2.88 million!

…there before me was a black horse! Its rider was holding a pair of scales in his hand. Then I heard what sounded like a voice among the four living creatures, saying, “A quart of wheat for a day’s wages, and three quarts of barley for a day’s wages, and do not damage the oil and the wine!”

International, U.S.

White Horse, Red Horse, Black Horse: The United States reveals its plans for conquest, war and slavery. Creation of new U.S. Joint Force of 2020. U.S. Congress could be military’s greatest enemy!

I looked, and there before me was a white horse! Its rider held a bow, and he was given a crown, and he rode out as a conqueror bent on conquest.

Then another horse came out, a fiery red one. Its rider was given power to take peace from the earth and to make men slay each other.

I looked, and there before me was a black horse! Its rider was holding a pair of scales in his hand. Then I heard what sounded like a voice among the four living creatures, saying, “A quart of wheat for a day’s wages, and three quarts of barley for a day’s wages, and do not damage the oil and the wine!”

            “I’d like to begin by thanking President Obama for coming here this morning, and for his vision, guidance and leadership as this Department went through the intensive review we undertook to develop the new strategic guidance we are releasing today.

“This guidance recognizes that this country is at a strategic turning point after a decade of war and large increases in defense spending. As the President mentioned, the U.S. military’s mission in Iraq has now ended, continued progress in Afghanistan is enabling a transition to Afghan security responsibility, the NATO effort in Libya has concluded with the fall of Qaddafi, targeted counterterrorism efforts have significantly weakened al Qaeda and decimated its leadership, and now as these events are occurring, the Congress has mandated that we achieve significant defense savings.

“But even as our large-scale military campaigns recede, the United States still faces a complex and growing array of security challenges across the globe, challenges that call for a reshaping of America’s defense priorities, focusing on the continuing threat of violent extremism, proliferation of lethal weapons and materials, the destabilizing behavior of Iran and North Korea, the rise of new powers across Asia, and the dramatic changes in the Middle East.

“All of this comes at a time when America confronts a serious deficit and debt problem which is itself a national security risk that is squeezing both the defense and domestic budgets. Even facing these considerable pressures, including the requirement of the Budget Control Act to reduce defense spending by $487 billion over 10 years, I do not believe that we must choose between national security and fiscal responsibility. The Department of Defense will play its part in helping the nation put its fiscal house in order.

“But the President has made clear, and I have made clear, that the savings we have been mandated to achieve must be driven by strategy and rigorous analysis, not by the numbers alone.

“Consequently, over the past few months, we have conducted an intensive review to guide defense priorities and spending over the coming decade, in light of strategic guidance from the President and the recommendations of this Department’s senior military and civilian leadership. This process has enabled us to assess risk, set priorities, and make hard choices. Let me be clear, this Department would need to make a strategic shift regardless of the nation’s fiscal situation. That is the reality of the world we live in.

“As difficult as it may be to achieve the mandated defense savings, this has also given us in the Department of Defense the opportunity to reshape our defense strategy and force structure to more effectively meet the challenges of the future, deter aggression, shape the security environment and decisively prevail in any conflict.

“From the beginning, I set out to ensure that this strategy review was inclusive. Chairman Dempsey and I met frequently with Departmental leaders, including my Under Secretaries, the Service Chiefs, Service Secretaries, Combatant Commanders and senior enlisted advisors. We’ve discussed this strategy and its implications with the President, with members of Congress, and with outside experts.

“Four overarching principles have guided our deliberations:

  • First, we must maintain the world’s finest military, one that supports and sustains the unique global leadership role of the United States;
  • Second, we must avoid hollowing out the force– a smaller, ready, and well-equipped military is preferable to a larger, ill-prepared force that has been arbitrarily cut across-the- board;
  • Third, savings must be achieved in a balanced manner with everything on the table, including politically sensitive areas that will likely provoke opposition from parts of Congress, industry, and advocacy groups;
  • Fourth, we must preserve the quality of our All-Volunteer Force and not break faith with our men and women in uniform or their families.

“With these principles in mind, I will focus on some of the significant strategic choices and shifts that are being made. But first, let me be clear that the U.S. military will remain capable across the spectrum. We will continue to conduct a complex set of missions ranging from countering terrorism and weapons of mass destruction to maintaining a safe, secure and effective nuclear deterrent. We will be fully prepared to protect our interests, defend our homeland and support civil authorities.

“Our goal is to achieve this U.S. force for the future with the following significant changes:

“First, the U.S. joint force [notice no explanation of what the “joint” U.S. force is] will be smaller and leaner, but its great strength will be that it is more agile, flexible, ready to deploy, innovative and technologically advanced.

“Second, as we move towards this new joint force, we are also rebalancing our global posture and presence, emphasizing the Pacific and the Middle East — these are the areas where we see the greatest challenges for the future. The U.S. military will increase its institutional weight and focus on enhanced presence, power projection, and deterrence in Asia-Pacific. This region is growing in importance to the future of the United States economy and our national security. This means, for instance, improving capabilities that maintain our military’s technological edge and freedom of action.

“At the same time, the United States will place a premium on maintaining our military presence and capabilities in the broader Middle East. The United States and our partners must remain capable of deterring and defeating aggression while supporting political progress and reform.

“Third, the United States will continue to strengthen its key alliances, build partnerships and develop innovative ways to sustain U.S. presence elsewhere in the world.

“The long history of close political and military cooperation with our European allies and partners will be critical to addressing the challenges of the 21st century. We will invest in the shared capabilities and responsibilities of NATO, our most effective military alliance. The U.S. military’s force posture in Europe will of necessity continue to adapt and evolve to meet new challenges and opportunities, particularly in light of the security needs of the continent relative to emerging strategic priorities elsewhere. We are committed to sustaining a presence that will meet Article 5 commitments, deter aggression, and the U.S. military will work closely with our allies to allow for the kinds of coalition operations NATO has undertaken in Libya and Afghanistan.

“In Latin America, Africa and elsewhere in the world, we will use innovative methods to sustain U.S. presence, maintaining key military-to-military relations and pursuing new security partnerships as needed. Whenever possible, we will develop low-cost and small-footprint approaches to achieve our security objectives, emphasizing rotational deployments and exercises, and other innovative approaches that maintain presence.

“Fourth, as we shift the size and composition of our ground, air, and naval forces, we must be capable of successfully confronting and defeating any aggressor and respond to the changing nature of warfare.

“Our strategy review concluded that the United States must have the capability to fight in several conflicts at the same time. We are not confronting the threats of the past. We are confronting the threats of the 21st century and that demands greater flexibility to shift and deploy forces to fight and defeat any enemy anywhere. How we defeat that enemy may vary across conflicts. But make no mistake — we will have the capability to confront and defeat more than one adversary at a time.

“As a global force, our military will never be doing only one thing — it will be responsible for a range of missions and activities across the globe of varying scope, duration, and strategic priority. This will place a premium on flexible and adaptable forces that can respond quickly and effectively to a variety of contingencies and potential adversaries.

“In addition to these forces, the United States will emphasize building the capacity of partners and allies to more effectively defend their own territory and interests through better use of diplomacy, development and security force assistance.

“In accordance with this construct and with the end of U.S. military commitments in Iraq, and the drawdown already underway in Afghanistan, the Army and Marine Corps will no longer need to be sized to support the large scale, long-term stability operations that dominated military priorities and force generation over the past decade.

“Lastly, as we reduce the overall defense budget, we will protect our investments in special operations forces, new technologies like ISR and unmanned systems, space and cyberspace capabilities and our capacity to quickly mobilize. These investments will help the military retain and continue to refine and institutionalize the expertise and capabilities that have been gained at such great cost over the last decade.

“Most importantly, we will structure and pace the reductions in the nation’s ground forces in such a way that they can surge, regenerate, and mobilize capabilities needed for any contingency. Building in reversibility and the ability to quickly mobilize will be key. That means reexamining the mix of elements in the active and reserve components, maintaining a strong National Guard and Reserve, retaining a healthy cadre of experienced NCOs and midgrade officers, and preserving the health and viability of the nation’s defense industrial base.

“This strategic guidance is a first step in this Department’s goal to build the Joint Force of 2020, a force sized and shaped differently than the military of the Cold War, the post-Cold War force of the 1990s, or the force built over the past decade to engage in large-scale ground wars.

“This strategy and vision will guide the more specific budget decisions that will be finalized and announced in the coming weeks as part of the President’s budget. In some cases we will be reducing capabilities no longer of top priority. In other cases we will invest in new capabilities to maintain a decisive military edge against a growing array of threats.

“There is no question that we have to make some tradeoffs, and that we will be taking on some level of additional but acceptable risk in the budget plan we release next month. These were not easy choices.

“We will continue aggressive efforts to weed out waste and reduce overhead, reform business practices, and consolidate duplicative operations. But budget reductions of this magnitude will inevitably impact the size and capabilities of our military. And as I’ve said before, true national security cannot be achieved through a strong military alone — it requires strong diplomatic, development, and intelligence efforts and, above all, it requires a strong economy, fiscal discipline and effective government.

“The capability, readiness and agility of the force will not be sustained if Congress fails to do its duty and the military is forced to accept far deeper cuts, in particular the arbitrary, across-the-board cuts currently scheduled to take effect in January of 2013 through the mechanism of sequester. That would force us to shed missions, commitments, and capabilities necessary to protect core U.S. national security interests, resulting in a demoralized and hollow force.

“And finally, I’d also like to address our men and women in uniform, and the civilian employees who support them, whom I know have been watching the budget debates here in Washington with concern about what it means for them and their families. You have done everything the country has asked you to do, and more.

“You have put your lives on the line, and fought to make our country safer and stronger. I believe this strategic guidance honors your sacrifices and strengthens the country by building a force equipped for the future. I have no higher responsibility than fighting to protect you and your families, just as you have fought and bled to protect our country.

“There is no doubt that the fiscal situation this country faces is difficult, and in many ways we are at a crisis point. But I believe that in every crisis, there is opportunity. Out of this crisis, we have the opportunity to end the old ways of doing business and build a modern force for the 21st century that can win today’s wars and successfully confront any enemy, and respond to any challenge of the future. Our responsibility is to protect the nation’s security and keep America safe. With this joint force [again, no clear explanation of “joint force”], I am confident we can effectively defend the United States of America.

“Thank you.”-Leon Panetta, Secretary of Defense for the United States

Business/Economics, Idaho, U.S.

What Economic Recovery? Idaho’s Coldwater Creek still struggling, $124 million in losses, former employee leaves to start her own company. Forget Coldwater Creek keep your eye on Meesh & Mia

According to some reports, Idaho based Coldwater Creek finished 2011 with a net loss of at least $124 million!  They also saw a 20% drop in sales in their last quarter of 2011, after a 28% drop in sales the quarter before that!

The problem seems to be that Coldwater Creek’s prices, and quality of goods, are targeted to mid range consumers.

One big factor with this bad economy is that the middle class is shrinking, with some lucky to make it to the upper classes, but most ended up in the lower classes.  As a result consumer spending is matching that trend.  Only low end and high end retailers seem to be doing better.  Those retailers still catering to mid level consumers are suffering.

On January 3, the Coeur d’Alene Press wrote about Elizabeth Turley, a former Coldwater Creek and Chico’s employee, who started her own clothing business in Sandpoint, Idaho.

The company is called Meesh & Mia, and is targeting consumers that Coldwater Creek probably should have; young college women.  Meesh & Mia focuses on providing fashionable women’s clothing with university logos, and with the bad economy pushing a lot of women into college, business is booming.

Up ’till Meesh & Mia, most college clothing was targeted towards men and athletes.  But Turley also credits exposure in the national media with her company’s success, and blames the national media for troubles at Chico’s and Coldwater Creek: “It was kind of funny, because I had tried without any success when I was at Chico’s and again at Coldwater Creek to get placement on the Today Show.  And then here we were, little Meesh & Mia, making a debut. Kathy Lee and Hoda touched our product and the guest, a Southern Living editor, ever so briefly said, “great companies like Meesh & Mia.'”

Some stock analysts tried to end 2011 by sounding upbeat about Coldwater Creek, but it looks like Meesh & Mia is where to invest your money.  Turley expects to double her employees in 2012, as well as expand her customer base by adding 135 colleges and universities to her client list.

“It’s remarkable that no one has done this before! We’re certain that others will follow our lead, but it’s a $10 billion market, so there’s room for competition.”-Elizabeth Turley, Meesh & Mia founder

 

 

 

Business/Economics, International, Technology, U.S.

White Horse, Black Horse, Red Horse & Political Hypocrisy: Obama signs record military spending bill, then says spending needs to be cut. What he means is to cut spending on troops, increase spending on weapons. 80,000 soldiers will lose their jobs. More Wars to follow

I looked, and there before me was a white horse! Its rider held a bow, and he was given a crown, and he rode out as a conqueror bent on conquest.

I looked, and there before me was a black horse! Its rider was holding a pair of scales in his hand. Then I heard what sounded like a voice among the four living creatures, saying, “A quart of wheat for a day’s wages, and three quarts of barley for a day’s wages, and do not damage the oil and the wine!”

Then another horse came out, a fiery red one. Its rider was given power to take peace from the earth and to make men slay each other.

On January 1, U.S. President Barack Obama signs the National Defense Authorization Act for Fiscal Year 2012.  That means at least $662 billion taxpayer dollars will be spent on the Department of Defense.

On January 5, Obama hypocritically states that defense spending must be cut! He blames it on “…the Budget Control Act passed by Congress last year.”

But here’s the thing, Obama is not really talking about overall defense spending cuts, he’s talking about shifting defense spending, and targeted cuts.  U.S. troops could lose out on pay and benefits, in order to increase spending on high tech weapons systems.  They’re already losing their jobs.

“As we reduce the overall defense budget, we will protect and in some cases increase our investments in special operation forces in new technologies, like…. unmanned systems, in space and in particular in cyberspace.”-Leon Panetta, Defense Secretary

Obama and company said the cuts would not affect pay and benefits for troops and veterans, but that’s already happened.  There are many cases across the country where veterans have been cut off because of budget problems.

Analysts say there’s no way to keep spending on high tech weapons without affecting troop pay/benefits, or even without reducing the number of military personnel (already in 2011 the U.S. Army laid off 50,000 personnel).

According to a report by Military.com Leon Panetta has asked the U.S. Army to cut another 80,000 troops in 2012!

That’s fine if your not going to fight wars anymore, but Obama and company flat lied about that.  Obama said “Yes, the tide of war is receding…”   Well, if the tide of war is receding then why spend more money on more weapons?  Because the tide of war is not receding, at least in the eyes of our leaders.  Obama even says so: “As I made clear in Australia, we will be strengthening our presence in the Asia Pacific, and budget reductions will not come at the expense of that critical region.  We’re going to continue investing in our critical partnerships and alliances, including NATO, which has demonstrated time and again, most recently in Libya, that it’s a force multiplier.  We will stay vigilant, especially in the Middle East.”

What Obama is saying is that the he expects more war in the Middle East, and a new front to open in Asia!  Defense Secretary Panetta backs that up: “…as we move towards this new joint force, we are also rebalancing our global posture and presence, emphasizing the Pacific and the Middle East — these are the areas where we see the greatest challenges for the future. The U.S. military will increase its institutional weight and focus on enhanced presence, power projection, and deterrence in Asia-Pacific. This region is growing in importance to the future of the United States economy and our national security. ”