Saturday, August 15, 2009

Bearing the Burdens of the Imperial City

On an almost daily basis, in any city or town newspaper in the country, one can read articles about how this or that state or local government service is having its budget slashed severely if not being eliminated entirely altogether.

Now, I am not talking about non vital services like oh… Multibillion dollar programs that seek to give money to politically connected and now semi-government-owned car companies. I’m talking about the basics of government services like education and road maintenance.

I’m talking about state run welfare programs.

I’m talking about local unemployment insurance programs.

With the country in what our mainstream press finally admitted was a recession only months ago (which is how you know we are in a depression) in full swing, state and local governments are even cutting prison inmate meals down to two a day. Mentally unstable juvenile offenders are being warehoused in prisons for lack of funds for proper mental health care programs.

Some localities are even putting onerous burdens on homeless families living in shelters, putting in place rules that treat these downtrodden people as if they were criminals.

Indeed, many state and local governments are on the brink of financial insolvency.

See, the thing is that state and local governments have these things called budgets. These are real budgets though, unlike federal budgets. State and local government budgets are like our own household budgets. They must be adhered to. If the City of Boston, for example, can’t afford something, it doesn’t buy it. If there are shortfalls in revenue, then there must be corresponding spending cuts.

This isn’t the case with the budget of our Federal Imperial City. Budgets in Washington DC have almost no meaning.

With local governments cutting the most vital and basic of services our Federal government somehow has oodles of dollars to shower down on the frivolous, the unnecessary, the preposterous, and the absurd. Not only have the Feds not cut a dime in spending – they have increased spending, dramatically, across the board.

Under this state of affairs, what I find the most astonishing about the current circus like Universal Health Care "debate" is that we are even having it at all.

While my own Commonwealth of Massachusetts can’t even afford its own comparatively modest universal health care program due to budget constraints our national political and media class is engaged in a Kafkaesque tempest over implementing a sure to be wildly expensive and unresponsive national health care program. And regardless of which one of our two fraud political parties leave their imprimatur upon it, the Republican "solution" is sure to differ from the Democratic one only in that it would have some half-assed faux "market mechanism" behind it which would amount to the same thing — federally run health care for a population of 300 million.

State and local governments don’t have a federal reserve that allows them to create money out of thin air. They don’t have a trillion dollar a year "defense" budget with a far flung global military empire that allows them to "negotiate" the value of the dollar and defray the costs of their reckless spending to the rest of the world (and in grown-up reality land that is exactly why the United State of DC can even be talking about Universal Health Care coverage at this point).

State and local governments are dying on the vine. The governmental institutions that are actually closest to us — that are the most responsive to popular pressure, that know best where money needs to be spent — are being throttled by the current economic conditions.

Meanwhile, the most distant, unrepresentative, and unresponsive of governments — our federal government — throws fantasy money around to those interests savvy enough or connected enough to get it.

How long can this state of affairs last? The military muscle of the United State of DC can only wrangle so many concessions out of foreign countries through various convoluted financial and monetary schemes to float their unchecked spending. The rest comes from us. The Feds don’t care if an already floundering Boston city government has to cut teachers and policemen. They demand their tribute from us regardless. And they will choose what to spend the money they graciously send back to us upon, not us, and it is more often than not idiotic compared to what we are forced to cut in our local budgets.

Now, I am a libertarian. I don’t even believe in much of what my state government does. But I have to wonder about so called "progressives" who sit by and watch as our Imperial City spends billions upon things like "Cash for Clunkers" and debates increased aid to Pakistan while homeless families are being turned out in the cold by strapped local governments.

Is it only a matter of time before local politicians start to rightly point a blaming finger at the Feds?

by Christopher Dowd

Toyota tops U.S. "cash for clunkers" sales

CHICAGO, Aug. 14 (Xinhua) -- Three major U.S. automakers lost ground to foreign rivals in the latest tally of "cash for clunkers" sales as Toyota Motor Corp. dethroned General Motors Co. (GM) as the top seller, reports reaching here said Friday.

Toyota has sold 18.9 percent of vehicles purchased through the clunkers program, surpassing GM, which has sold 17.6 percent.

As of Friday morning, U.S. dealers had submitted voucher requests for just over 1.5 billion dollars, representing 358,851 vehicle purchases.

The three major U.S. automakers -- GM, Chrysler and Ford sold 42.1 percent of all clunker replacements, which is down from an initial 47 percent of sales and slightly below the automakers' 44 percent U.S. market share.

Ford Motor Co. is in third place with a 15.4 percent market share. Honda Motor Co. is in fourth with 12.9 percent. Chrysler Group LLC's share fell to 9.1 percent, down from 10.6 percent on Aug. 5.

Foreign automakers now dominate the top 10 list of vehicles sold through the U.S. cash for clunkers program, with just two Ford vehicles on the list: the Ford Focus FWD in third and the Ford Escape FWD in seventh.

Several automakers, including GM, Ford and Toyota, have boosted production of fuel-efficient models as a result of the sales sparked by the program.

The Toyota Corolla retained the top spot overall, followed by the Honda Civic. The Toyota Camry is in fourth, followed by the Toyota Prius. Rounding out the top 10 are the Hyundai Elantra, the Honda Fit in eighth, the Nissan Versa in ninth and the Honda CR-V FWD in 10th.

About halfway through the 3 billion-dollar program, 83 percent of trade-ins are trucks and 59 percent of new vehicle purchases are cars.

On Thursday, U.S. Transportation Department approved plans to allow customers to order vehicles from automakers, a move that should benefit domestic automakers. Many dealers have reported shortages of fuel efficient U.S. vehicles, in part because GM and Chrysler sharply reduced production during their stays in bankruptcy.

Last Friday, President Barack Obama signed a law adding 2 billion to the program, which was in danger of running out of the first 1 billion dollars.

China-ASEAN Investment Agreement signed

BANGKOK, Aug. 15 (Xinhua) -- China's Commerce Minister Chen Deming and the economic ministers from 10 ASEAN member states Saturday morning signed the ASEAN-China Investment Agreement during the 41st ASEAN Economic Ministers Meeting (AEM) and related meetings here.

The signing of the investment agreement, together with already-signed China-ASEAN agreements of the trade in goods and services, completed the negotiation process of China-ASEAN Free Trade Area (FTA), which is to be realized by January 1, 2010.

"The China-ASEAN FTA will be an advanced FTA that covers an extensive area of 13,000,000 square kilometers with a population of 1.9 billion ", Chen told Xinhua after the signing ceremony.

The Investment Agreement, 27 clauses included, tries to provide a free, transparent and justice investment mechanism for investors from both sides, who can enjoy most-favored-nation treatment, citizen treatment, and fair and equitable treatment on reciprocal investment, said Zhang Kening, Counselor from the International Department of the Chinese Commerce Ministry.

China and the 10-nation Association of Southeast Asian Nations (ASEAN) launched their cooperation dialogue in 1991 and signed the China-ASEAN Framework Agreement on Comprehensive Economic Cooperation in 2002, proposing the ASEAN-China FTA by Jan. 1, 2009.

After the two sides had negotiated since 2003, the agreement would expand trade and investment between ASEAN and China as well as enhance economic ties with China, Thailand's Commerce Minister Porntiva Nakasai said in a news release.

Both sides agreed to support foreign direct investment of their investors, as well as promote and protect investments of Parties to the Agreement by giving non-discriminatory and fair treatment to investors, compensating investors in case of expropriation and providing for investors-State dispute settlement, Porntiva said.

Investment facilitation and protection will result in increase in production, exports, and trade volume of both sides, Porntiva said.

Porntiva said China is an important trade partner of ASEAN and is the fourth largest export market of ASEAN. In 2009 (January-September) ASEAN export to China was approximately 85.6 billion U.S. dollars.

China is the third largest source of import of ASEAN. Imports from China valued at nearly 107.0 billion U.S. dollars, the Thai minister said.

This will lead to an increase in green field investments and reinvestment of profit in sustainable way. This is in line with the objectives of the ASEAN Economic Community, she said.

China is the 8th largest investor in ASEAN, with accumulated investments as of 2008 valued at 6.1 billion U.S. dollars, while ASEAN accumulated investments in China as of 2008 were valued at 5.6 billion U.S. dollars, she said.

The 41st meetings have been focusing on the economic integration within the ASEAN region as the ASEAN Economic Community is expected to complete in 2015, in which investment, capital and skilled labor can flow freely.

Thai Deputy Prime Minister Korbsak Sabhavasu, who presided over the official opening ceremony on Friday, said that it is crucial that the ASEAN region will be the outward-looking group since it is essential to live harmoniously within other community in the world as the ultimate goal for ASEAN integration.

Prior to the official opening ceremony, high level officials from the 10 ASEAN-member countries began on Wednesday discussing and setting up economic policies and topics prior to submitting to the related ministers on these following days.

And, on Thursday, the ASEAN economic ministers and Indian Minister of Commerce and Industry Anand Sharma signed a long-awaited free trade agreement (FTA) for trade in goods after over six years of intense negotiations.

Japanese PM expresses remorse for victims of World War II

Japanese PM Taro Aso on Saturday expressed his remorse for the victims of World War II.
·Aso said Japan should humbly reflect upon the past, and pass the lesson to the next generations.
·Japan inflicted great pains to people of many countries, especially those in Asian countries, he said.

TOKYO, Aug. 15 (Xinhua) -- Japanese Prime Minister Taro Aso on Saturday expressed his remorse for the victims of World War II during which Japan inflicted great pains to people of many countries, especially in Asia.

Japanese Prime Minister Taro Aso bows at the altar during the memorial ceremony for millions of Japan's war dead at the Nihon Budokan hall in Tokyo, capital of Japan, Aug. 15, 2009. (Xinhua Photo)
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Aso also said Japan should humbly reflect upon the past, not forget the pain of the war and pass the lesson to the next generations.

Aso made the remarks at a televised ceremony to pay respect to millions of Japan's war dead at the Nihon Budokan hall in Tokyo on the 64th anniversary of the end of World War II.

"Three million Japanese died during the World War II. At the same time Japan also inflicted great pains to people of many countries, especially those in Asian countries. Along with deep regret, I express my remorse for the victims of war," said Aso.

Emperor Akihito and Empress Michiko also attended the ceremony, leading a one-minute silence at noon.

Emperor Akihito, whose father Hirohito issued the surrender on Aug. 15, 1945, said he hoped Japan would never again wage a war.

However, former Japanese Prime Ministers Junichiro Koizumi and Shinzo Abe visited Tokyo's war-related Yasukuni Shrine on Saturday morning.

One of Aso's Cabinet ministers -- consumer affairs minister Seiko Noda -- also visited the shrine on Saturday.

The Yasukuni shrine, which honors some 2.5 million Japanese war dead including 14 leading war criminals, is seen as a symbol of Japan's past militarism.

Koizumi was the first sitting prime minister in 21 years to visit the shrine in 2006. His visit soured Japan's relations with its Asian neighbors.

Japanese Emperor Akihito and Empress Michiko bow at the altar during the memorial ceremony for millions of Japan's war dead at the Nihon Budokan hall in Tokyo, capital of Japan, Aug. 15, 2009.

Japanese Emperor Akihito and Empress Michiko bow at the altar during the memorial ceremony for millions of Japan's war dead at the Nihon Budokan hall in Tokyo, capital of Japan, Aug. 15, 2009.(Xinhua Photo)
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Abe's visit on Saturday is his second in a row, although he had avoided visiting the shrine while he was prime minister.

Japan's main opposition leader Yukio Hatoyama, widely tipped to become the next prime minister after the Aug. 30 general election, had indicated that he would not visit the shrine if elected.

Chinese, Brazilian presidents mark 35th anniversary of diplomatic ties

BEIJING, Aug. 15 (Xinhua) -- Chinese President Hu Jintao and his Brazilian counterpart Luiz Inacio Lula da Silva on Saturday exchanged congratulatory messages on the 35th anniversary of diplomatic ties between the two countries.

President Hu, in his message, said the relationship had developed profoundly, showing great potential across a broad range of areas since the establishment of diplomatic relations, especially the establishment of the Sino-Brazilian strategic partnership.

Against the background of a complicated and deep change in the world's economic and political situation, strengthening the dialogue and cooperation between the two countries and honoring the consensus that had been reached were in line with the basic benefits and wills of the two peoples, Hu said. That would also maintain and support peace, stability and development in the world.

China was willing to work with Brazil to promote the Sino-Brazilian strategic partnership and to open a brighter future for diplomatic ties between the two nations, said the Chinese president.

In Lula's message, he said Brazil and China, as two big developing countries, had made a great contribution to the world since the establishment of their diplomatic relations.

He added that, on the basis of friendly cooperation, further deepening the Brazilia-China strategic partnership would benefit the economic growth of the two countries and the two peoples.

Chinese, Japanese pacifists commemorate Nanjing Massacre

 Japanese pacifists attend an assembly to commemorate the victims at the Memorial Hall of the Victims in Nanjing Massacre By Japanese Invaders in Nanjing, capital of east China's Jiangsu Province, Aug. 15, 2009. Chinese people and Japanese pacifists attended commemorating ceremonies on Aug. 15, the 64th anniversary of the victory day of the Chinese anti-Japanese war. (Xinhua/Han Yuqing)

Japanese pacifists attend an assembly to commemorate the victims at the Memorial Hall of the Victims in Nanjing Massacre By Japanese Invaders in Nanjing, capital of east China's Jiangsu Province, Aug. 15, 2009. Chinese people and Japanese pacifists attended commemorating ceremonies on Aug. 15, the 64th anniversary of the victory day of the Chinese anti-Japanese war. (Xinhua/Han Yuqing)

Taiwan death toll from Typhoon Morakot hits 121

TAIPEI, Aug. 15 (Xinhua) -- Typhoon Morakot killed at least 121people and left 53 missing in Taiwan as of Saturday morning, local disaster response authorities said.

A farmer looks over a damaged banana plantation in Kaohsiung, southeast China's Taiwan Province, Aug. 14, 2009. The storm brought by typhoon Morakot resulted in serious damage and great casualties in the south of Taiwan since late last week.

A farmer looks over a damaged banana plantation in Kaohsiung, southeast China's Taiwan Province, Aug. 14, 2009. The storm brought by typhoon Morakot resulted in serious damage and great casualties in the south of Taiwan since late last week.(Xinhua Photo)



Another 45 people were injured after the worst typhoon to hit the island in nearly five decades caused havoc across central and southern regions.

Sixty-six people died in Kaohsiung, 24 in Tainan, 17 in Pingdong, six in Chiayi and six in Nantou. Other counties like Changhua and Yunlin had one death each.

More than 21,000 people have been evacuated, and almost 5,000 were staying in 44 shelter areas set up after the disaster.

Morakot caused more than 11.1 billion New Taiwan Dollars (338 million U.S. dollars) in damages to agriculture and forestry. Among the worst-hit regions were Pingdong, Kaohsiung and Tainan.

Villagers search for lost belongings in a damaged village in Kaohsiung, southeast China's Taiwan Province, Aug. 14, 2009.

Villagers search for lost belongings in a damaged village in Kaohsiung, southeast China's Taiwan Province, Aug. 14, 2009.(Xinhua Photo)
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People from a wide range of social sectors including government, enterprises, entertainment and TV stations have donated cash and goods worth millions of New Taiwan Dollars to support the disaster-relief work.

Photo taken on Aug. 14, 2009 shows a house buried by debris flow in Kaohsiung, southeast China's Taiwan Province.

Photo taken on Aug. 14, 2009 shows a house buried by debris flow in Kaohsiung, southeast China's Taiwan Province.(Xinhua Photo)

A farmer moves away the wood brought by flood from her field in Kaohsiung, southeast China's Taiwan Province, Aug. 14, 2009.

A farmer moves away the wood brought by flood from her field in Kaohsiung, southeast China's Taiwan Province, Aug. 14, 2009. (Xinhua Photo)
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Villagers search for lost belongings in a damaged village in Kaohsiung, southeast China's Taiwan Province, Aug. 14, 2009.

Villagers search for lost belongings in a damaged village in Kaohsiung, southeast China's Taiwan Province, Aug. 14, 2009.(Xinhua Photo)