The government of Japan and the communist dictatorship ruling mainland China announced a landmark agreement this week to facilitate trade between the two powers without using the U.S. dollar, relying instead on the Japanese yen and the Chinese yuan.
According to the terms of the deal, the two governments agreed to encourage trade directly in yen and yuan without having to use American dollars as an intermediary — the current practice. Companies in Japan and China will soon be able to convert the currencies directly. And the Japanese government also agreed to hold Chinese yuan in its foreign-reserves portfolio.
It remains unclear exactly how and when the agreement will be implemented. But according to news reports, both governments have already set up a working group to iron out the details. Officials said the move was aimed at reducing risk and transaction costs.
The new currency deal comes as the communist Chinese dictatorship has been taking increasingly bold steps to expand the international role of the yuan. The regime’s officials have also become ever-more vocal in attacking the dollar’s global reserve status, calling instead for a more international system managed by a world entity such as the International Monetary Fund (IMF).
National Transportation Safety Board Chairwoman Deborah Hersman has called for states to mandate a total ban on cellphone usage while driving. She has also encouraged electronics manufacturers — via recommendations to the CTIA —The Wireless Association and the Consumer Electronics Association — to develop features that "disable the functions of portable electronic devices within reach of the driver when a vehicle is in motion." That means she wants to be able to turn off your cellphone while you're driving.
With very little evidence, the National Highway Traffic Safety Administration claims that there were some 3,092 roadway fatalities last year that involved distracted drivers. Americans ought to totally reject Hersman's agenda. It's the camel's nose into the tent. Down the road, we might expect mandates against talking to passengers or putting on lipstick while driving. They may even mandate the shutdown of drive-in restaurants as a contributory factor to driver distraction through eating while driving. You say, "Come on, Williams, you're paranoid. There are already laws against distracted driving, and it would never come to that!" Let's look at some other camels' noses into tents.
Rep. David Reichert (R-Wash.) along with two other House members has asked the Internal Revenue Service to investigate the American Association of Retired Persons (AARP) for acting more like a profit-making insurance company rather than a tax-exempt advocate for senior citizens. The AARP’s close control and micro-marketing management of companies it allows to use its brand amounts to profit-making activity that should be taxable, assert the lawmakers and others. But for years the AARP has largely successfully defended its non-profit status all the while growing into the seventh largest insurance company in the country.
Reichert, a member of the House Ways and Means Committee, told Fox News: “They’re really trying to manage these companies to increase their revenues.” And they have succeeded greatly. During the recession, when many of its members were struggling financially, AARP’s revenues just from its affiliation with United HealthCare alone jumped from $284 million in 2007 to $427 million in 2009 and $670 million in 2010. But because of their tax-exempt status, little of this is subject to income tax.
How did your U.S. Representative and Senators vote on last summer's debt deal that raised the national debt limit while promising to reduce future spending and deficit projections? How did your Representative vote on a measure that would have repealed the federal phaseout of the ubiquitous incandescent light bulb? And how did your Senators vote on an amendment to prohibit U.S. citizens from being held indefinitely in the ongoing war against terrorism without being given a trial?
The answers to all three questions above are in our latest "Freedom Index" in the January 9, 2012 issue of The New American and also available online as a downloadable PDF.
The New American's "Freedom Index" is a congressional scorecard that rates all members of the House and Senate based on their adherence to constitutional principles of limited government, fiscal responsibility, national sovereignty, and a traditional foreign policy of avoiding foreign entanglements. The index is published four times each two-year congressional term; each index rates Congressmen based on 10 key votes.
Even the left-leaning Washington Post has acquired a sour taste over the Obama administration’s deplorable investment in Solyndra, the defunct solar-panel maker that reaped more than $500 million in taxpayer-backed loan guarantees. The administration’s fervor for the so-called "green" energy program, the newspaper noted in a recent article, was "infused" with political motives that spawned reckless policymaking and resulted in millions of wasted taxpayer dollars.
"Meant to create jobs and cut reliance on foreign oil, Obama’s green-technology program was infused with politics at every level, The Washington Post found in an analysis of thousands of memos, company records and internal e-mails," the article reads. "Political considerations were raised repeatedly by company investors, Energy Department bureaucrats and officials at the White House."
"The records, some previously unreported, show that when warned that financial disaster might lie ahead, the administration remained steadfast in its support for Solyndra."
How well can a shrimp perform on a treadmill? It’s a question that has puzzled mankind for ages. Fortunately, some researchers at the College of Charleston, South Carolina, are in the process of answering it — at a cost to U.S. taxpayers of a mere $682,570 (and counting).
The project first came to light in an April 2011 report on the National Science Foundation (NSF) issued by Sen. Tom Coburn (R-Okla.). Coburn, famous for his annual reports on government waste, found what he considered to be “over $3 billion in mismanagement at NSF,” including $1.5 million to build a robot that can fold laundry (at a rate of one towel every 25 minutes), $300,000 to study whether Facebook’s FarmVille helps build personal relationships, and (at the time of the report) $559,681 to see if shrimp’s treadmill performance is impaired by disease. Since then, says CNSNews.com, the shrimp research grant has been increased to $682,570.
The study is, in fact, not as ridiculous as it sounds. According to a description of the study on the NSF’s website, it aims to discover how “human-made marine stresses [are] affecting the marine life we need.” Specifically, College of Charleston biology professors Louis Burnett and Karen Burnett
On December 22 President Barack Obama released the following message through the White House’s Twitter account: "Thanks to all who shared #40dollars [sic] stories. Today's victory is yours. Keep making your voices heard — it makes all the difference. — bo"
This was in direct response to the Republican House of Representatives capitulating to the President and the Democratic Senate and allowing a shortened 2-month extension of the payroll tax cut, rather than forcing through the 1-year extension that the GOP was gunning for.
President Obama started off his speech in Osawatomie, Kansas, on December 6 with a positive nod to free-market economics. Referring to Theodore Roosevelt’s economic thoughts, Obama acknowledged that the free-market system has been the most successful system in history in delivering the highest standard of living to the greatest number of people: “He believed then what we know is true today, that the free market is the greatest force for economic progress in human history. It’s led to a prosperity and a standard of living unmatched by the rest of the world.”
But then Mr. Obama added a disclaimer, a large one. “But Roosevelt also knew that the free market has never been a free license to take whatever you can from whomever you can.”
That opens the door to more than putting Bernie Madoff in jail. Given the high degree of elasticity in their egalitarian and redistributive goals, it can give a free license to politicians to take whatever they can from whomever they can.
Mike Shedlock, who has been watching the Jefferson County, Alabama, municipal bond bankruptcy and default closely, has turned up some more fraud. It appears that the original bonds issued to pay for the county’s new sewage treatment plant weren’t bonds after all, but warrants. But they were sold as the same thing, backed by the “full faith and credit” of the county. In the event of bankruptcy investors holding the warrants were to be first in line to receive their interest payments, ahead of any other creditors. And if there isn’t enough money even for that, the investors were assured that the county would do whatever is necessary to redeem them, even if it meant raising taxes or fees on the citizens.
But a warrant isn’t a bond; instead, it is merely a right granted to its holder to purchase a bond in the future. The county board of commissioners decided against issuing bonds as that would have required a referendum by the taxpayers who, at the time, were already suffering from increased sewage rates — four increases over the past 10 years. The likelihood of approval was between slim and none.
What do Americans fear the most: big business, big labor, or big government? According to the latest Gallup poll, 64 percent of Americans surveyed at the beginning of December said the biggest threat that would face the nation in the future would be government — a jump of 11 percentage points from the beginning of the Obama years in 2008, when only 53 percent said government was the threat to keep one’s eye on.
Not surprising for many conservative Americans, the only time the fear of government was at a higher peak was in 1999 to 2000, at the tail end of the Bill Clinton years, when a whopping 65 percent of Americans thought government would be the biggest future threat.
Back in 1965 Gallup began asking Americans: “In your opinion, which of the following will be the biggest threat to the country in the future — big business, big labor, or big government?” And throughout the past 45 years, Americans have always expressed more concern over government than they did for business or organized labor. “Concerns about big business surged to a high of 38% in 2002, after the large-scale accounting scandals at Enron and WorldCom,” recalled Elizabeth Mendes, deputy managing editor at Gallup. She noted that concerns over big labor “have declined significantly over the years, from a high of 29% in 1965 to the 8% to 11% range over the past decade and a half.”