Tuesday, June 19, 2012

The Sorcerer's Apprentice.

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While the current approach to political relations with Russia at Cabo San Lucas as described by American Ambassador Michael McFaul is appropriately "businesslike," and cordial; it is important to observe, or re – discover one overall issue that presents itself with any assertive if not aggressive Russian regime at this point.  There is a huge overhang in Russian society to date of the “class of 1937,” as this legacy, political, administrative, cultural and scientific does determine and visibly affect the modern polity of the Russian Federation in many ways, internal and external (see article from “The Economist” magazine,) especially with respect to the utility of and gainful aims of a now  understated leftist / authoritarian Russian regime at this point.  In typical fashion, and without regard to the seriousness of it, the Russian regime itself has gratuitously accepted and begun to abuse its status as a WTO (nothing to do with Warsaw, for example,) member at this time.  One might find numerous examples of late of the Russian Federation “scoring” in international trade as the result of its newly – won trade status, hardly a reason or reasons to have others take notice of this harmonious trade organization.  The article from “The Economist” also suggests Russian candidacy for the O.E.C.D., and this seems likely only in the event there are many again Russian sympathisers within that Western cooperation and development organization at this point as well.  There have indeed been for years, and as such a consideration as far as Russia is concerned only calls for further confusion about global economic issues and the emphasis in Eastern Europe on “heavy” industrial economics and its supposedly enticing appetite for financial windfalls and profiteering (even in the distant past under the soviets.)  The magazine article cited here also appropriately calls for a stoppage of the arms business going on with Syria in view of the war there, something the Russians have been notorious over their relations with the Middle East for years starting in the 1960’s – and no one is likely to bully them out of it anytime soon. 

That all of this should add up to more cessions to the Russian Federation does not really add up at all, despite the efforts of some to balance the arguments and discussion about what needs to happen with Russia and trade, politics, human rights  and so on.  Human rights remains an opaque and unresolved issue in that country and a subject of hot contention and debate among commentators everywhere people are allowed to have free discussion; including in places like Seattle, the source of the Jackson – Vanik legislation from years ago that in its own understated way maintains linkage between civil, political, civic, human, administrative and other freedoms in Russia with its international status and recognition by the great powers.  The questions about ushering in a new foreign policy on Russia (in repealing by the one, Jackson – Vanik and other measures) and allowing it to continue its leviathan centrist ways along Hegelian lines, essentially without respect from its  administration as to its own internal debates, even as they are proposed in places like Cabo do indicate a kind of economic ‘playing with fire’ the great powers are doing at present in view of the overall inadmissible tone of that federation’s leadership at this point.  This is indeed observable in the meetings between heads of state at the latest G20, especially in what concerns its puffing itself up economically and its adversarial posture to even its near neighbors in Eastern Europe, not to mention its supposed overseas trading and administrative partners including now the U.S., U.K., France and others.

See also, "New York Times" article.

Sunday, June 3, 2012

After Hearing about The Romney Economic Policy.

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Mr. Glen Hubbard, obviously a Ph.D., was on the television today at CNN in the role of Mr. Romney’s chief economic advisor or spokesman at this point.  Several salient issues arose during his talk with the blogger / commentator Mr. Zakaria including the deficit and insurance woes that have been badgering candidates for a long time, including Mr. Obama, the current U.S. president.  Mr. Hubbard, in speaking about the budget issues delivered an excellent essay on the difficulties of carrying on as the society with the most civic, political and other freedoms anywhere, and his presentation appeared to be a kind of “you don’t get something for nothing” type trial balloon.  Sometimes indeed in the process of electing officials, the voters can be handed, and for various reasons, nothing for something, in which case there is much negative clamouring and scandal.  It does appear from his spokesman the Romney campaign wants to work out its promises to the American people without being unrealistic.  These were some of the issues Mr. Hubbard fielded this morning, and without claiming to analyze whatsoever the process of lightening the budget load, his explanation turned on revenue collection or spending reductions.  Depending upon what the people want, the candidate appears to be listening to how people want to approach austerity measures:  Through “cutbacks,” “budget controls,” “constraints,” and the like, or “new revenue,” and / or revenue collection.  The actual plan might be a combination of both, which would do something to eliminate widespread use of loopholes and weak points in both budgeting and tax policy.  The substance of the interview consisted of Mr. Hubbard presenting this, but not necessarily presenting anything beyond overall policy definitions, and the viewer was left with likes or dislikes as the case might be, along with policy and party choice as well. 

There is another issue, and that is unless any budgetary policy or tax policy is successful, mostly as a surprise or some overriding spontaneity, what will the U.S. populace do given the risk to public finances upon even at first the examination of policies as successes or failures?  There’s no answer to this, and while in the olden days, one Republican president instituted wage and price controls to accomplish monetary and fiscal goals alike, and this under a policy that was publicly unfavourable, it does appear such unusual approaches to the budget and trade, and the federal revenue issue, need be considered.  The wage and price controls were a palliative, but woke up a lot of people to attention about where the public finances of the U.S. were headed at the time.  By this writing, the author can not mention the advantage of budgetary controls over tax reform, nor vice versa, though these are not exclusive and maybe some policy – maker could determine some arithmetic identity without the present and ubiquitous gallows humour on these topics, and that would give any federal administration some hope of having an actual fiscal / monetary goal to accomplish apart from the abysmal picture some economists paint of public affairs and money these days.  That any such goal would be attainable in terms of federal finances will remain to be seen, and there are many pessimists about the current, related metrics as recorded, not to mention the prospective ones.  Austerity measures were mentioned in the talk on television today, and all forbid the U.S. having a reaction to austerity policies, either formally at election time or in the street, if they are indeed needed at this time.

Another topic at the talk with Fareed Zakaria was national health insurance and the compulsory provisions of this policy concerning coverage, and for which the president is being sued by the Catholic Church given certain provisions.  People like me know that the actual insurance problem as it is approached by policy – makers is quite intractable as there is only so much insurance that can go around.  People believe that their insurance is a kind of financial instrument at times and treat health insurance exploitatively as such on many occasions, and this is a sin.  Health insurance has to be paid for, unfortunately for everyone, and this financial issue and the role of health care in the U.S. economy really make such issues the subject of extreme opinions and educated and technical debates and discussions alike.  The idea of the Massachusetts health care system was discussed as portable to the entire country, and Mr. Hubbard suggested it is not – indeed the demographics (an important health care parameter, even determinative of actuarial and other aspects of insurance plans) of a state like Massachusetts are obviously dissimilar to those of West Virginia or Florida; and one can not bolt a standard from a Massachusetts public health plan onto California or Idaho, either.  This is what makes solutions to such issues incredibly difficult and the subject of adversities, including economic and social ones, business and cultural, etc.  One idea that has not been greatly discussed, at least not publicly, is a national public health system as an auxiliary to private care with pay – as – you – go and / or insurance coverage itself with a deductible or co – payment.  Such a system could be self – financing and profitable for the government and would stratify, equalize and reduce the financial burden of any federal system.  MediCare for older U.S. citizens is an example of such a system as weighted towards federal oversight, though any new system might be a health care / maintenance auxiliary to private insurance concerns.  By this writing, the author is surprised this was not discussed with regard to either the Massachusetts plan or the required health insurance as currently promoted by the president.  Without sounding litigious, Catholics because they have values accruing to very technical issues about women’s rights, women’s right to choose and decide, and abortion itself, and other issues that would be addressed by an umbrella federal health plan, do have, and I mention informally here, an argument with the law.  Catholic bishops and perhaps even the pope would do well to provide some decisive guidance here, and as of yet I have heard none.  Also, and as an endnote, neither Zakaria nor Hubbard brought up any economics argument or policy about what to do with trade.  This probably means both parties are in agreement about some policy as already implemented and will not contest each other on these grounds so far (maybe both main presidential candidates admire and accept the current status quo on trade and will just discuss this secondarily in any debate.)  The trade issue as examined by anyone at this point has to do with long – term labour productivity and benefits and the level they are at today.  Developed and developing economies that apparently have more productive labour forces also have less history in them on contests for higher wages and management changes in the modern sense.  This is why the so – called productivity statistics could be questioned – other countries are less in – touch with modernity than the U.S. is at this point (hush,) and any focusing on the labour market only in economic policies in Western economies causes things like prices, interest rates, bank and other rates, including growth rates and productivity measures themselves to first gather and then integrate improper bias that skews and could ruin business – this would be uncalled – for under the circumstances.

Please pardon typhographical errors.  THS 

(an admirable time ...) ... without swearing allegiance.


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THS



Sunday, May 20, 2012

A gauche, gaucher, ...

That the French have recently provoked a new socialist rally in Europe by their most recent election is not surprising, especially given the propensity for the French people against austerity and other restrictive measures in their history.  Originally, the French Revolution of 1789 itself might be construed at least in part a reaction to a kind of belt - tightening of its kind in the day.  The new socialist banner in the form of the French tricolor flying over the Elysee these days has one hearkening to the days, obviously, of the Mitterand regime of 1980's - 1990's character; a government at the time in tepid acceptance of the Stalinist past of Eastern Europe, and hedging its bets against anyone who might emerge victorious in the Cold War at the time (concluded probably officially in 1991, though marxism is apparently still officially, again, alive and well in a number of fine and notable nation - states at this point in 2012.)  The occasional resurgence of socialist politics in France, a la Martine Aubry, can not be interpreted literally as an overall acceptance of marxism in its various forms, but more a reaction to the politics of Charles de Gaulle that sought, despite the practical difficulty of this, to assert the identity and influence of the French everywhere and in as many societal domains as possible in order to separate the identification of France from that of a wine and cheese society.  De Gaulle did chase the grail of national identity in his own country, first through his military career and a number of wars, of which the terrible fights in places like Indochina and Algeria, away from colonial convenience and exploitation into the more modern world of industrial - strength international politics and administration.

Many of his countrymen in de Gaulle's time felt a great sacrifice for colonial ties and their efforts at socio - economic development of the colonies.  This de Gaulle also attempted to deal with by dissolving administrative ties and domains in many places that resulted in the French colonies and national territory shrinking significantly from status as the second world colonial power behind U.K. to perhaps the tenth.  People resented this, and as such this policy created many acute dramas in the politics of de Gaulle and his followers.  That the general passed from complications of angina late in life and that his departure from life was entirely natural was the envy of many French who worked in the colonies and believed in a far - reaching and influential France.  De Gaulle knew and knows in his entombment the influence of France is no less, and perhaps greater than in the days of the larger colonial territories and the debate on maintaining and keeping them or allowing them independence according to his belief was resolved in that even disaffected and far - flung places would keep their French identity, and they have done so to a great extent. 

The socialists who have come to power in that country in the latest presidential elections are not gaullists, even in the least, though they do believe in enhancing French influences in the world via different channels and different media, especially in the Southern Hemisphere, the Pacific Islands, and in the world at large that needs to develop a new appetite for French culture and institutions.   The socialists in Europe do believe in the superiority of urban life and while centric ideas are important and have a place, it is also important to know this is on the level of popular taste, not popular practice or any realm of possibility for most people.  French cities are like any big cities that have a heterogenious population and many indigenous people seek out more frugal ways to live when the country is under socialist influence, somewhat due to leftist backlashes but due also to real considerations about where the Paris - Bourse and the real estate markets are going in that country right now.  Under Mitterand, these two important sectors of the French economy were decimated, and the national treasury took on ways to build up the scale of government and implement works projects, even needlessly replacing pavestones, signposts and so forth.  Francois Hollande and his government are a derivative of this as the country has all the edifices it needs and a currently a tangled bureaucracy at the occasion of his inauguration a few days ago, for the most part.  What can the French do to avoid an exodus of capital and intangibles in view of Hollande's inheritance of the Mitterand regime and methods, and practices as off - the - shelf?

There is probably not very much that can be done first to assuage the French voting public who were irate enough with conservative measures to give the Hollandes a small majority mandate, and then to address the myriad of problems around public and international finances affecting the country at this point.  All this, though the socialists did comprise new methods to keep people at work and active, and additional benefits of equalizing opportunities and socio - economic statures of everyone in the nation and everywhere the French internationally are evindent as well.  The difficulty of this, as a legacy of first, again, the reluctance to continue with conservative policies, and then building the French image and commercial success anew will probably be much more expensive than anyone can imagine at this point into the future.  The profile of the country at this point might be more similar in character to an Argentina, or Portugal, for instance, with incipient and multiple systemic flaws in the weave of its political and administrative landscape.  France might even have difficulty selling tourism and its own cooking as places like New York, Brazilia, and Toronto have appeal for people with more gainful and promising adventures for travelers right now. 

Imitating the soviets and the form of socialism the country suffered through during the 1980's while blaming circumstances on the parties to the Cold War, the new French president Hollande probably has to speak with a thicker, more urbane, national accent; will have to materialize to an extent the requirement to stop the presses on his associates' economic and administrative aspirations, and the French might as well have to re - calibrate their societal efforts in different territories to allow the domestic government to continue with its convenience policies. This might in turn provoke some regret on the part of French voters against Sarkozy who pledged austerity and other economic measures not based upon a national decline, but issues in need of immediate remedy and immediate priority on the front - end. Socialism according to the Hollande government might just include a minimalist approach to overall policy as a saving measure despite the large political and societal landscape his administration has to cover, and despite the complexities of the country's international place. Then, some sort of "radiant future," or success campaign(s) including public finance might help the economy in its turbidity. This will take time as the world economy has to recover and the new leadership obviously will have its adventures and meddling to continue the intrigue.

Sunday, May 6, 2012

OR, EN PROVINCE (AU DELA DE PARIS...)

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A VOUS DEMANDER PARDON SANS TOUS LES « LETTRES, BATONS, ET CHIFFRES » PROPRES AU CLAVIER FRANCAIS: LE MOT DESCARTES SOIT DEPUIS LONGTEMPS UN MOT CLEF POUR TOUS LES GENTS DE L’OCCIDENT, MEME AU NIVEAU DE SES IDEES ETANT EXPRIMEES DANS LES TEXTES PHILOSOPHIQUES DE NOS JOURS. IL EST POSSIBLE QUE LE RUMEUR SUR LES VAMPIRES S’INTERESSANT DE L’OBJET DU CRANE DE DESCARTES EXISTE DEPUIS LONGTEMPS AUSSI. AU MOMENT DE MON ENFANCE, ON M’A DEMANDE PERSONELLEMENT SI JE VOULAIS VOIR GRATUITEMENT AVEC UN LAISSER – PASSER CE CRANE FORMIDABLE, DORENAVANT PLACE DANS LA BIBLIOTHEQUE NATIONALE. POUR LE PREMIER, J’ADMIRAIS CE GENT, MAIS JE N’AVAIS PAS ENVIE SPECIALEMENT DE CONTEMPLER LA TAILLE DE SA TETE, PAR EXEMPLE. DEUXIEMENT, JE ME CROYAIS AUSSI A LA MORBIDITE DEJA ETANT DONNE LE PROPOS. PLUS LOIN, J’AVAIS VU DES PORTRAITS DES ETUDES DES CRANES HUMAINS, ET UNE SEULE CURIOSITE SUR CE POINT, ET JE ME CROYAIS EXPULSE DE TOUS.
LES RUMEURS SONT APPARAMMENT DANS LE DOMAINE DE LA POSSIBILITE DES LORS LE PROPOS DE REMUER DE NOUVEAU CE CRANE FAMEUX DEPUIS LA « BIBLIOTHEQUE NATIONALE, » JUSQUE DANS LA MUSEE DE L’HOMME ENTRE CRO – MAGNON ET UN FOOTBALLEUR, JUSQU’EN PROVINCE (POINT D’ORIGINE?) J’AI PRIS MON LAISSER – PASSER ET JE L’AI GARDE DANS LAS POCHE PENDANT DEUX JOURS SANS VOULOIR DEPLACER, MANIER, ENDOMMAGER CE CRANE NI AVEC MA PRESENCE, NI AU NIVEAU DE CE QU’ON PEUT IMAGINER. MALHEUREUSEMENT, CET AIEUL N’EST PAS PARMI NOUS POUR PRONONCER SES SOUHAITS LA – DESSUS (ENDROIT DE DOMICILE,) ET AU LIEU DE CONSIDERER LA VALEUR DE LA TRADITION EN LE GARDANT DANS PARIS, ON PLUTOT SAISIT SON OMBRE POUR LE CONTRAINDRE EN PROVINCE. CETTE PREOCCUPATION AVEC « L’ENDROIT » A VOIR DESCARTES A PART DU CENTRE DE PARIS DOIT ETRE CONSIDEREE DE NOUVEAU UN DISCOURS EN – DESSUS DE TOUT DE CELUI VERSANT L’ARGENT DE LA PATRIE FRANCAISE A NOUSE ENTENDRE PARLER, LUI AUSSI.