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A Media Unmoored from Facts

A Media Unmoored from Facts

Exclusive: Mainstream U.S. journalism has completely lost its way, especially in dealing with foreign policy issues where bias now overwhelms any commitment to facts, a dangerous development, writes Robert Parry.


Several weeks ago, I received a phone call from legendary investigative reporter Seymour Hersh who had seen one of my recent stories about Syria and wanted to commiserate over the state of modern journalism. Hersh’s primary question regarding reporters and editors at major news outlets these days was: “Do they care what the facts are?”

Hersh noted that in the past – in the 1970s when he worked at The New York Times – even executive editor Abe Rosenthal, who was a hard-line cold warrior with strong ideological biases, still wanted to know what was really going on.

Washington Post's editorial page editor Fred Hiatt.

Washington Post’s editorial page editor Fred Hiatt.

My experience was similar at The Associated Press. Among the older editors, there was still a pride in getting the facts right – and not getting misled by some politician or spun by some government flack.

That journalistic code, however, no longer exists – at least not on foreign policy and national security issues. The major newspapers and TV networks are staffed largely by careerists who uncritically accept what they are fed by U.S. government officials or what they get from think-tank experts who are essentially in the pay of special interests.

For a variety of reasons – from the draconian staff cuts among foreign correspondents to the career fear of challenging some widely held “group think” – many journalists have simply become stenographers, taking down what the Important People say is true, not necessarily what is true.

It’s especially easy to go with the flow when writing about some demonized foreign leader. Then, no editor apparently expects anything approaching balance or objectivity, supposedly key principles of journalism.

…click on the above link to read the rest of the article…

Intelligence Community Olive Branch on Data Sharing Greeted With Skepticism

TOP INTELLIGENCE COMMUNITY lawyer Robert Litt has offfered a rare olive branch to privacy advocates on Wednesday, in the form of information.

In a post on one of their favorite blogs on Wednesday, Litt, general counsel for the Office of the Director of National Intelligence, outlined new intelligence data-sharing guidelines that he said will be released soon.

The post, on Just Security, was essentially a response to reporting last month from the New York Times’s Charlie Savage that the NSA would soon be sharing with other government agencies the raw, unfiltered intelligence from the depths of its massive overseas spying programs.

“There has been a lot of speculation about the content of proposed procedures that are being drafted to authorize the sharing of unevaluated signals intelligence,” Litt wrote.

The New York Times story raised concerns that the data, which inevitably includes information about Americans, would become too easily accessible by intelligence agencies including the FBI, potentially leading to fishing expeditions.

Litt provided his assurances that “these procedures are not about law enforcement, but about improving our intelligence capabilities.”

He also emphasized that there would be no additional collection of information—and that all the same privacy protections that currently exist will apply.

Privacy advocates and policy analysts interviewed by The Intercept were pleased Litt made the effort to reach out, noting some positive features of his announcement—like the possible restriction on sharing intelligence with state and local law enforcers.

Nathan White, senior legislative manager for digital rights organization Access Now, had entreated the intelligence community just the day before for more information on how the FBI would get access. “I hope that Litt replied to my op-ed means they’re taking these concerns seriously,” White wrote in a message to The Intercept.

…click on the above link to read the rest of the article…

Brazil Is Engulfed by Ruling Class Corruption — and a Dangerous Subversion of Democracy

THE MULTIPLE, REMARKABLE crises consuming Brazil are now garnering substantial Western media attention. That’s understandable given that Brazil is the world’s fifth most populous country and eighth-largest economy; its second-largest city, Rio de Janeiro, is the host of this year’s Summer Olympics. But much of this Western media coverage mimics the propaganda coming from Brazil’s homogenized, oligarch-owned, anti-democracy media outlets and, as such, is misleading, inaccurate, and incomplete, particularly when coming from those with little familiarity with the country (there are numerous Brazil-based Western reporters doing outstanding work).

It is difficult to overstate the severity of Brazil’s multi-level distress. This short paragraph yesterday from the New York Times’s Brazil bureau chief, Simon Romero, conveys how dire it is:

Brazil is suffering its worst economic crisis in decades. An enormous graft scheme has hobbled the national oil company. The Zika epidemic is causing despair across the northeast. And just before the world heads to Brazil for the Summer Olympics, the government is fighting for survival, with almost every corner of the political system under the cloud of scandal.

Brazil’s extraordinary political upheaval shares some similarities with the Trump-led political chaos in the U.S.: a sui generis, out-of-control circus unleashing instability and some rather dark forces, with a positive ending almost impossible to imagine. The once-remote prospect of President Dilma Rousseff’s impeachment now seems likely.

But one significant difference with the U.S. is that Brazil’s turmoil is not confined to one politician. The opposite is true, as Romero notes: “almost every corner of the political system [is] under the cloud of scandal.”

…click on the above link to read the rest of the article…

“It’s All F**ked”: Brazil Descends Into Chaos As Rousseff, Lula Wiretaps Trigger Mass Protests

“It’s All F**ked”: Brazil Descends Into Chaos As Rousseff, Lula Wiretaps Trigger Mass Protests

Just yesterday, we said the following about Brazil: It seems as though this country can’t get through a single day without some piece of political news or economic data creating confusion and turmoil.

We said that on the way to noting that central bank chief Alexandre Tombini looked set to resign for fear that former President Lula’s new cabinet position and attendant promise to “turn the economy around” would lead invariably to government interference in monetary and FX policy.

As regular readers and Brazil watchers alike are no doubt aware, the BRL has been on a veritable rollercoaster ride of late and it’s all thanks, one way or another, to Lula. The currency rallied on his arrest, sold off when he was offered a position in Rousseff’s cabinet, and now, is headed sharply higher after a court injunction blocked his nomination as chief of staff.

The injunction appears to stem from some 50 audio recordings released to the media on Wednesday by Judge Sergio Moro, the lead prosecutor in the car wash probe. At least one of the recordings seems to suggest that Rousseff did indeed offer Lula the ministry post in order to shield him from prosecution.

The most damning call was recorded on Wednesday afternoon, when Rousseff can be heard telling Lula that she is sending him his ministerial papers “in case of necessity.” Obviously, that sounds a lot like an attempt to make sure Lula has proof of his new position in case authorities come to arrest him before he’s sworn in. In Brazil, ministers can only be tried in the Supreme Court which, as you might imagine, could take virtually forever compared to lower courts.

Lula was questioned earlier this month in connection with the possibility that he received luxury properties in exchange for favors tied to the Petrobras scandal.

…click on the above link to read the rest of the article…

Sweden Minister Says Cashless Society “Not Possible”; Elderly, Disabled People Blamed

Sweden Minister Says Cashless Society “Not Possible”; Elderly, Disabled People Blamed

It was just a little over a week ago when we reported that Sweden had begun a 5-year countdown to becoming a cashless utopia.

As The Local reported, “cash transactions today represent no more than two percent of the value of all payments made in Sweden, [and that estimate] will drop to below 0.5 percent within the next five years.”

According to Visa, Swedes use debit cards three times more than other Europeans. Even the homeless accept electronic payments. “The spread of debit cards has had a profound effect even on the street level with fruit and veg traders and even buskers and retailers of homeless magazines accepting cards or electronic payments using the popular Swedish smartphone app Swish,” The Local goes on to note.

As 65-year-old Stefan Wikberg told The New York Times in December, using SMS and mobile card readers effectively helped him climb out of homelessness after losing his IT job. He sells magazines for Situation Stockholm, a charitable organization and his sales rose 30% once he went digital. “Now people can’t get away,” he said. “When they say, ‘I don’t have change,’ I tell them they can pay with card or even by SMS.”

As The Times goes on to write, churches and museums now prefer cashless payments and “at more than half of the branches of the country’s biggest banks, including SEB, Swedbank, Nordea Bank and others, no cash is kept on hand, nor are cash deposits accepted.”

This may all sound rather surreal to some, but for Swedes it’s not only normal, but desirable.  “No one uses cash,” said Hannah Ek, a 23-year-old student at the University of Gothenburg. “I think our generation can live without it.”

…click on the above link to read the rest of the article…

Forget the Praise: BC’s Carbon Tax Is a Failure

Forget the Praise: BC’s Carbon Tax Is a Failure

Higher emissions, slow growth, regressive taxation. Sorry, what’s to celebrate?

Premier Clark at GLOBE 2016

‘We think in British Columbia a carbon tax is a really successful way to go,’ BC’s premier said last year. The only problem is it doesn’t work. Photo of Premier Clark at GLOBE 2016 by Mychaylo Prystupa.

“Let’s cut the crap about B.C.’s carbon tax. The impact of the carbon tax has been overstated by people who love carbon taxes, and it’s annoying that the tax has generated so much uncritical praise.” — Marc Lee, pro-carbon tax economist.

To hear it from Premier Christy Clark, our province is a beacon of trailblazing perfection in the battle against climate change.

And the crowning glory of B.C.’s efforts is the carbon tax introduced in 2008. The tax now adds 6.67 cents a litre to the price of gasoline and imposes costs on other fuels for residents and industries.

“We think in British Columbia a carbon tax is a really successful way to go,” Clark said in November 2015 before jetting to the Paris climate change talks.

Cue the applause, from the New York Times to the Organization for Economic Co-operation and Development to new group Smart Prosperity that launched last week in Vancouver, with none other than Prime Minister Justin Trudeau to validate Clark’s claims that you can price carbon and reduce greenhouse gas emissions — without hurting your economy.

The only problem is that B.C.’s carbon tax doesn’t work.

Marc Lee, senior economist for the Canadian Centre for Policy Alternatives in the province, likes carbon taxes. But “don’t believe the hype on B.C.’s carbon tax,” he says.

“The reality is that since 2010, B.C.’s GHG emissions have increased every year; as of 2013 they are up 4.3 per cent above 2010 levels,” Lee writes on the CCPA website.

Even on a per capita basis, emissions have risen.

…click on the above link to read the rest of the article…

Obama to Expand Surveillance State Powers by Signing a 21 Page Memo

Obama to Expand Surveillance State Powers by Signing a 21 Page Memo

As the Apple vs. FBI battle rages in the court system and throughout the halls of Congress, Obama decides to do what he does best. Using “his pen” to make consequential decisions unilaterally.

Just another day in the American banana republic.

The New York Times reports:

WASHINGTON — The Obama administration is on the verge of permitting the National Security Agency to share more of the private communications it intercepts with other American intelligence agencies without first applying any privacy protections to them, according to officials familiar with the deliberations.

The change would relax longstanding restrictions on access to the contents of the phone calls and email the security agency vacuums up around the world, including bulk collection of satellite transmissions, communications between foreigners as they cross network switches in the United States, and messages acquired overseas or provided by allies.

The idea is to let more experts across American intelligence gain direct access to unprocessed information, increasing the chances that they will recognize any possible nuggets of value. That also means more officials will be looking at private messages — not only foreigners’ phone calls and emails that have not yet had irrelevant personal information screened out, but also communications to, from, or about Americans that the N.S.A.’s foreign intelligence programs swept in incidentally.

Robert S. Litt, the general counsel in the office of the Director of National Intelligence, said that the administration had developed and was fine-tuning what is now a 21-page draft set of procedures to permit the sharing.

Until now, National Security Agency analysts have filtered the surveillance information for the rest of the government. They search and evaluate the information and pass only the portions of phone calls or email that they decide is pertinent on to colleagues at the Central Intelligence Agency, the Federal Bureau of Investigation and other agencies. 

…click on the above link to read the rest of the article…

An Escalating War on Cash

An Escalating War on Cash

On February 16th, The Washington Post printed the article, “It’s time to kill the $100 bill.” This came on the heels of a CNNMoney item, the day before, entitled “Death of the 500 euro bill getting closer.” The former cited a recent Harvard Kennedy School working paper, No. 52 by Senior Fellow Peter Sands, concluding that the abolition of high denomination notes would help deter “tax evasion, financial crime, terrorist finance and corruption.” In recent days, former Treasury Secretary Larry Summers, ECB President Mario Draghi, and even the editorial board of the New York Times, came out in support of the elimination of large currency notes. Apart from the question as to why these calls are being raised now with such frequency, the larger issue is whether these moves are actually needed or if they merely a subterfuge for more complex economic manipulations by central banks to extend control over private wealth.
In early 2015, it was reported that Spain had already limited private cash transactions to 2,500 euros. Italy and France set limits of 1,000 euros. In France, all cash withdrawals in excess of 10,000 euros in a single month must be reported to government agencies. In the U.S., such limits are $10,000 per withdrawal. China, India and Sweden are among those with plans under way to eradicate cash.
On April 20, 2015, the Mises Institute reported that Chase, a subsidiary of JPMorgan Chase and a bailout recipient of some $25 billion (ProPublica, 2/22/16), had announced restrictions on its customers’ ability to use cash in the payment of credit cards, mortgages, equity lines and auto loans. Before that, on April 1, 2015, Chase, in concert with JPMorgan, updated its safe deposit box lease agreement to provide, “You agree not to store any cash or coins [including gold and silver] other than those found to have a collectible value.”

…click on the above link to read the rest of the article…

New York Times Editorial Board Endorses Economic Fascism – Supports Banning the $100 Bill

New York Times Editorial Board Endorses Economic Fascism – Supports Banning the $100 Bill

I cannot overstate the significance of today’s New York Timeseditorial board endorsement of the elitist scheme to ban large denomination cash from public circulation. This is the latest example of the editorial board putting the interests of the establishment ahead of the citizenry, while at the same time employing a nonsensical argument to support its position which channels emotion rather than logic.

This public support for a de facto cash ban by the New York Times must not be viewed in a vacuum. It should be read in conjunction with its recent absurd endorsement of Hillary Clinton in the Democratic primary. I highlighted that previously published piece of fiction in the post, A Detailed Look at The New York Times’ Embarrassing, Deceitful and Illogical Endorsement of Hillary Clinton. Here are a few excerpts:

The New York Times’ endorsement of Hillary Clinton against Bernie Sanders in the Democratic primary consists of an unreadable, illogical piece of fiction. In this post, I will critique the paper’s position in detail, but first I want to take a step back and explain to people what I think is going on in the bigger picture.

In its endorsement of Hillary, the New York Times editorial board did such a sloppy job I can’t help but think it may have done permanent damage to its brand. Upon reading it, my initial conclusion was that the editorial board was either suffering from Stockholm syndrome or merely concerned about losing advertising revenues should they endorse Sanders. Then I thought some more and I realized my initial conclusions were wrong. Something else is going on here, something far more subtle, subconscious and illuminating. The New York Times is defending the establishment candidate simply because the New York Times is the establishment.

…click on the above link to read the rest of the article…

Repricing Reality

It ought to be a foregone conclusion that Mr. Obama’s replacement starting January 20, 2017 will preside over conditions of disorder in everyday life and economy never seen before. For the supposedly thinking class in America, the end of reality-optional politics will come as the surprise of their lives.

Where has that hypothetical thinking class been, by the way, the past eight years? Don’t look for it in what used to be called “the newspapers.” The New York Times has become so reality-averse that the editors traded in their blue pencils for Federal Reserve cheerleader pompoms after the Lehman incident of 2008. Every information-dispensing organ has followed their lede: The Recovery Continues! It’s a sturdy plank for promoting the impaired asset known as Hillary.

Don’t look for the thinking class in the universities. They’ve surrendered their traditional duties to a new hybrid persecution campaign that is equal parts Mao Zedong, the Witches of Loudon, and the Asylum at Charenton. For instance the President of Princeton, Mr. Eisgruber, was confronted with a list of demands that included 1) erasure of arch-segregationist Woodrow Wilson’s name from everything on campus, and 2) creation of a new all-black (i.e. segregated) student center. He didn’t blink. Note: nobody in the media asked him about this apparent contradiction. That’s how we roll these days.

Don’t look for the thinking class in business. The C-suites are jammed with people still busy buying back stock in their own companies at outlandish prices with borrowed money. Why? To artificially boost share price and thus their salaries and bonuses. Does it do anything for the fitness of enterprise? No, in fact it makes future failure more likely. Why is their no governance of their insane behavior?

…click on the above link to read the rest of the article…

Negative Interest Rates Show Desperation of Central Banks

Negative Interest Rates Show Desperation of Central Banks

Image: MarketWatch

Japan has joined the EU, Denmark, Switzerland and Sweden in imposing negative interest rates.

Indeed, more than a fifth of the world’s GDP is now covered by a central bank with negative interest rates.

The Wall Street Journal notes:

TOKYO—Japan’s central bank stunned the markets Friday by setting the country’s first negative interest rates, in a desperate attempt to keep the economy from sliding back into the stagnation that has dogged it for much of the last two decades.

BBC writes:

The country is desperate to increase spending and investment.

***

Japan has been desperate to boost consumer spending for years. At one point it even issued shopping vouchers to stimulate demand.

The New York Times writes:

Moving to negative rates reflects a measure of desperation on the part of central banks. Their traditional tools have been largely exhausted, as most countries’ interest rates have been pushed to almost nothing.

MarketWatch’s senior markets writer, William Watts, notes:

This might not be the sort of capitulation stock-market investors were anticipating.

The Bank of Japan’s surprise decision Friday to start charging depositors for parking excess reserves at the central bank triggered a global equity rally. But several monetary policy watchers and market strategists worried that the move was an acknowledgment that the world’s central banks are running out of ammunition in the battle against deflation.

“This is an interesting move that looks a lot more like desperation or novelty than it looks like a program meant to make a real difference,” said Robert Brusca, chief economist at FAO Economics.

Kit Juckes, global macro strategist at Société Générale, underlined the moment in a note to clients:

…click on the above link to read the rest of the article…

 

Stocks Slump After Saudis Threaten Nukes Against “Nefarious” Iran

Stocks Slump After Saudis Threaten Nukes Against “Nefarious” Iran

Earlier this month, a black swan landed in the Mid-East when Saudi Arabia executed prominent Shiite cleric Nimr al-Nimr along with 46 other “terrorists.”

Most of those executed were not Shiites but that didn’t matter. Al-Nimr was a key voice among Saudi Arabia’s dissident Shiite minority and his death reverberated across the Shiite community, sparking mass protests from Bahrain to Pakistan.

Al-Nimr was executed on a Saturday. By Sunday evening the Saudi embassy in Tehran was ransacked and burned and Riyadh had cut diplomatic ties with Iran. The other Gulf monarchies followed suit and by the end of the following week, the stage was set for widespread sectarian strife.

As we wrote in the aftermath of al-Nimr’s execution, the ordeal couldn’t have come at a worse time for the Obama administration. With the countdown to Implementation Day for the nuclear deal under two weeks, the last thing The White House needed was to be thrust into the middle of a dispute between a traditional ally (the Saudis) and a new “friend” (the Iranians).

The Sunni world (not to mention the Israelis) already feared that the lifting of international sanctions against Iran and the attendant cash windfall would strengthen Tehran just as the Ayatollah looks to preserve and expand the so-called Shiite crescent by consolidating his influence in Iraq and bolstering the Assad government in Syria. The money, some critics say, will invariably be channeled to Hezbollah and Iran’s Shiite militias which effectively function as Iraq’s only effective security force. Additionally, the nuclear deal’s opponents wonder if Iran will plow its newfound wealth into the country’s famous ballistic missile program, which is alive and well as demonstrated by the test-firing of the Emad in October.

…click on the above link to read the rest of the article…

Budget Cuts and Negligence Poisoned the Drinking Water in Flint, Mich.

Budget Cuts and Negligence Poisoned the Drinking Water in Flint, Mich. 

    Michigan Gov. Rick Snyder in 2011. (Michigan Municipal League / CC BY-ND 2.0)

Calls for the resignation of Michigan Gov. Rick Snyder are intensifying in the face of evidence that he allowed 100,000 residents of the city of Flint to continue cooking, drinking and bathing in water known to be contaminated with lead.

Democratic presidential candidate Bernie Sanders is among those demanding that Snyder leave office.

“There are no excuses,” Sanders said in a statement released Saturday. “The governor long ago knew about the lead in Flint’s water. He did nothing. As a result, hundreds of children were poisoned. Thousands may have been exposed to potential brain damage from lead. Gov. Snyder should resign.”

“[F]amilies will suffer from lead poisoning for the rest of their lives,” Sanders continued. “Children in Flint will be plagued with brain damage and other health problems.”

Reports say the problem began in spring 2014, when the cash-strapped city switched water sources, hoping to save money. Corrosive water drawn from the Flint River stripped lead from pipes, resulting in high levels of the toxic metal appearing in the blood of children. Subsequently, the city switched sources again.

Julia Lurie at Mother Jones magazine reported that cases of Legionnaires’ disease in the area have spiked over the past year and a half, with 10 people dying out of a total of 87 cases. Marc Edwards, a scientist at Virginia Tech who helped expose the water’s lead contamination, told the Detroit Free Press that there’s a “very strong likelihood” that the change in water supply enabled the disease’s recent surge.

The New York Times reports:

In the last three weeks, a panel appointed by Mr. Snyder reported that state officials had for months wrongly brushed aside complaints about the contamination. The governor apologized for the state’s performance, Michigan’s top environmental regulator resigned, and federal agencies announced that they were investigating.

…click on the above link to read the rest of the article…

One Way to Unrig Stock Trading

One Way to Unrig Stock Trading

AMERICA’S equity markets are broken. Individuals and institutions make transactions in rigged markets favoring short-term players. The root cause of the problem is that stocks trade on numerous venues, including 11 traditional exchanges and dozens of so-called dark pools that allow buyers and sellers to work out of the public eye. This market fragmentation allows high-frequency traders and exchanges to profit at the expense of long-term investors.

Individual investors, trading through brokers like Charles Schwab, E-Trade and TD Ameritrade, suffer first as the brokers profit by hundreds of millions of dollars from selling their retail orders to high-frequency traders and again as those traders take advantage of the orders they bought.

Market depth, critically important to investors who trade large blocks of securities, also suffers in the world of high-frequency traders. Startling evidence for the lack of robustness in today’s market comes from a 2013 Securities and Exchange Commission report that found order cancellation rates as high as 95 to 97 percent, a result of high-frequency traders’ playing their cat and mouse game. Market depth is an illusion that fades in the face of real buying and selling.

Photo

Brad Katsuyama, founder of IEX, testified about the state of U.S. stock markets last year on Capitol Hill.CreditDoug Mills/The New York Times 

Securities markets work best as a central clearinghouse where all buyers and sellers of stocks come together. Not so long ago, when the New York Stock Exchange and the Nasdaq operated as virtual monopolies, American equity markets were the envy of the world. Until 2000, Nasdaq was wholly owned by a nonprofit corporation; the New York Stock Exchange was nonprofit until 2006. To ensure that they would operate in the public interest, they were treated much like public utilities.

…click on the above link to read the rest of the article…

“I Know Of No One Who Predicted This”: Russian Oil Production Hits Record As Saudi Gambit Fails

“I Know Of No One Who Predicted This”: Russian Oil Production Hits Record As Saudi Gambit Fails

Russia also took the top spot in May, marking the first time in history that Moscow beat out Riyadh when it comes to crude exports to Beijing. “Moscow is wrestling with crippling Western economic sanctions and building closer ties with Beijing is key to mitigating the pain,” we said in October, on the way to explaining that closer ties between Russia and China as it relates to energy are part and parcel of a burgeoning relationship between the two countries who have voted together on the Security Council on matters of geopolitical significance. Here’s a look at the longer-term trend:

You may also recall that Gazprom Neft (which is the number three oil producer in Russia) began settling all sales to China in yuan starting in January. This, we said, is yet another sign of the petrodollar’s imminent demise.

On Monday, we learn that for the third time in 2015, Russia has once again bested the Saudis for the top spot on China’s crude suppliers list. “Russia overtook Saudi Arabia for the third time this year in November as China’s largest crude oil supplier,” Reuters writes, adding that “China brought in about 949,925 barrels per day (bpd) of Russian crude in November, compared with 886,950 bpd from Saudi Arabia.”

This is an annoyance for Riyadh. China was the world’s second-largest oil consumer in 2014 and closer ties between Moscow and Beijing not only represent a threat in terms of crude revenue, but also in terms of geopolitics as the last thing the Saudis need is for Xi to begin poking around militarily in the Arabian Peninsula on behalf of Moscow and Tehran.

…click on the above link to read the rest of the article…

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