http://www.youtube.com/watch?v=1JeFMwpjol4&feature=player_embedded
CANADIAN HOMELAND SECURITY WERE EUGENICIST IS IN
http://csis.org/taxonomy/term/7/expert
I WAS LISTENING TO DOUG HAGMANN TONIGHT AND HE SAID HE WAS SITTING BESIDE A CANADIAN POLITICIAN WHO SAID THIS DEPLORABLE STATEMENT ABOUT THE WORLDS CITIZENS.HERES WHAT THE NEW WORLD ORDER NUTCASE POLITICIAN SAID:IT WOULD BE OK FOR THIS VIRUS (H1N1-LAB MADE FLU)TO KILL A LOT OF PEOPLE,BECAUSE WE NEED A THINNING OF THE POPULATION.HE NEVER SAID WHAT CANADIAN POLITICIAN SAID IT BUT HE SAID IT WAS IN A MEETING IN THE LAST 2 WEEKS.SO THIS TELLS US WE HAVE NEW WORLD ORDER EUGENICIST NUTCASES IN OUR CANADIAN GOVERNMENT THAT WANT US DEAD TO.WE ARE IN TROUBLE FOLKS......LOOKOUT.IT WILL BE SOMEONE FROM CSIS OR CANADIAN HOMELAND SECURITY THAT MADE THIS DEPLORABLE STATEMENT,YOU CAN BET I'LL TRY TO REVEAL HIS OR HER NAME IF I CAN GET IT.
Jay Rockefeller Can’t Deny His Connection to Modern Eugenics
Kurt Nimmo Infowars July 22, 2009
Near the end of the video here shot by WeAreChange activists, the great-grandson of John D. Rockefeller can only offer a telling smile when asked about the eugenics history of his family.Go find somebody else to talk to,snaps the West Virginia senator when politely asked to elaborate.WeAreChange confront Jay Rockefeller. As briefly documented in the short video, the Rockefeller family essentially created the modern eugenics movement from scratch. As John B. Sharpless of the University of Wisconsin documented in 1993 after examining the files of the Rockefeller Foundation, the records of the Population Council, and the personal papers of John D. Rockefeller III, Rockefeller spawned foundations are responsible for a nearly unanimous change in attitudes and ideas about population that occurred during the 1960s.In addition to the Rockefeller Foundation and the Population Council, other foundations active in eugenics include the Ford Foundation, the Milbank Memorial Fund, the Carnegie Corporation, and the Conservation Foundation.The Carnegie Institution established a laboratory complex at Cold Spring Harbor on Long Island in 1904 that stockpiled millions of index cards on ordinary Americans, as researchers carefully plotted the removal of families, bloodlines and whole peoples.From Cold Spring Harbor, eugenics advocates agitated in the legislatures of America, as well as the nation’s social service agencies and associations,Edwin Black wrote for the San Francisco Chronicle in 2003.In the United States, key eugenic organizations funded by the Rockefeller, Harriman and Carnegie families included the American Eugenics Society, and its sister organization, the American Society of Human Genetics established in 1947, the above mentioned Cold Springs Harbor Experimental Station for the Study of Evolution, the Eugenic Record Office, and the Rockefeller Institute for Medical Research.It should be noted that J.D. Rockefeller and Averell Harriman were business partners of Prescott Bush in Brown Brothers Harriman. In addition to funding and promoting eugenics, they supported and funded the Nazi rise to power.Jay Rockefeller’s family is responsible for the racist eugenics policies that led to the mass extermination of millions.
The Rockefellers funded the Kaiser Wilhelm Institute in Germany, ultimately responsible for Hitler’s mass extermination policy. In addition to supporting Alexis Carrel, who advocated the use of poison gas to get rid of useless eaters, the Rockefellers funded the program that Josef Mengele worked in before he went to Auschwitz where he became medical commandant and experimented on concentration camp inmates. These gruesome medical experiments included needles used to change eye color, work on infections and blood transfusions, the removal of limbs without anesthetics, sex changes, sterilization, and other unspeakable crimes. Countless people were murdered and their organs, eyeballs, heads, and limbs sent to the Rockefeller group at the Kaiser Wilhelm Institute.The Rockefellers’ chief executive for the Kaiser Wilhelm Institute was the fascist Swiss psychiatrist Ernst Rudin. Rudin and his staff, as part of the Task Force of Heredity Experts chaired by SS chief Heinrich Himmler, crafted Germany’s sterilization law. Dr. Alexis Carrel of the Rockefeller Institute and a Nobel Prize winner publically applauded Hitler for advocating the mass murder of mental patients and prisoners.Rockefeller and his bankster cronies were up to their eyes in eugenics and mass extermination.Under the Nazis, the German chemical company I.G. Farben and Rockefeller’s Standard Oil of New Jersey were effectively a single firm, merged in hundreds of cartel arrangements. I.G. Farben was led, up until 1937, by the Warburg family, Rockefeller’s partner in banking and in the design of Nazi German eugenics,writes Anton Chaitkin. Standard-Germany president Emil Helfferich testified after the war that Standard Oil funds helped pay for SS guards at Auschwitz, the notorious mass extermination and slave labor camp.After the war, the Rockefeller eugenics movement experienced a facelift to distance itself from the discredited Nazis. In the 1950s, the Rockefellers reorganized the U.S. eugenics movement and added population-control and abortion groups. The Eugenics Society changed its name to the Society for the Study of Social Biology — a mere two months after Roe was handed down. The name was changed because it became evident that changes of a eugenic nature would be made for reasons other than eugenics, and that tying a eugenic label on them would more often hinder than help their adoption. Birth control and abortion are turning out to be great eugenic advances of our time. If they had been advanced for eugenic reasons it would have retarded or stopped their acceptance,commented Frederick Osborn, who oversaw the workings of the organization at the time.As documented by Rebecca Messall and others, Roe v. Wade relies directly and indirectly on the work of members of the British and American eugenic societies and of eugenics-related groups and initiatives. Abortion has nothing to do with choice or empowering women — it is about controlling the masses and culling the herd.
In his excellent study of the Rockefellers, Gary Allen explains that the Rockefeller game plan is to use population, energy, food, and financial controls as a method of people control which will lead, steadily and deliberately, into the Great Merger,a one-world government and global fascism. Understand that … enforced infertility is not planned for India or Senegal, but for the United States, where zero population growth is already a fact.But we are being led to believe that unless we give Big Brother total power over people’s rights to have children, we will all be ankle deep in human beings within a decade. Such august organizations as the National Academy of Sciences are helping to hawk this Rockefeller line… Curbing population growth is just part of the Rockefeller war on the American family. Abortion is another.Jay Rockefeller may deny knowledge of his family’s intimate connections to eugenics and abortion — and direct involvement in Hitler’s genocidal rampage across Europe — but the record is out there for all to see. It is easily researched on the internet.And maybe that is why Jay Rockefeller mused during a Senate committee hearing a few months ago that we’d all be better off if the internet never existed. Minus the internet and search engines, it will be far easier to lead the masses to near extinction if they go ignorantly blissful like lambs to the slaughter with little more resistance than a bleat.Drastically slashing world population and reducing the remainder into obedient slaves is the final act of the global elite. Jay Rockefeller knows it and that’s what his knowing smile was all about.
STORMS HURRICANES-TORNADOES
LUKE 21:25-26
25 And there shall be signs in the sun, and in the moon, and in the stars; and upon the earth distress of nations, with perplexity;(MASS CONFUSION) the sea and the waves roaring;(FIERCE WINDS)
26 Men’s hearts failing them for fear, and for looking after those things which are coming on the earth: for the powers of heaven shall be shaken.
Death toll rises to 12 from Japan landslides, floods JULY 23,09
TOKYO (AFP) – Rescue workers recovered a 86-year-old woman's body Thursday from mud and rubble that filled a nursing home in a landslide, raising to 12 the death toll after heavy rains hit western Japan, police said.Soldiers, police and emergency services staff continued their search for six people still missing in the aftermath of floods and landslides triggered two days ago by rainy-season torrential downpours in the region.Search operations are getting more and more difficult, but we are working on the assumption that there are survivors, said a police spokesman by telephone from hard-hit Yamaguchi prefecture on Honshu island.One person was still missing on the mud-filled ground floor of the nursing home where at least six people died when a large landslide Tuesday hit the building in Hofu City, 750 kilometres (470miles) west of Tokyo.We found the body of a woman inside the bathing facility on the ground floor in the afternoon,another police officer told AFP. She was later identified as 86-year-old Akiko Takemoto.
Rescue workers on Thursday afternoon also recovered the remains of two men.
One of them was found in a field near a country highway, where flows of mud and rocks hit a dozen cars and damaged some houses, police said. The other was dug from mud outside his home, about 1.5 kilometres (one mile) from the old people's facility.Of the 12 dead, 11 were killed in Yamaguchi and one, a man, drowned in a flooded river in the neighbouring prefecture of Tottori.At the nursing home, a man and a woman were found dead late Wednesday, a police official said, adding that both died after being suffocated by mud.Some 700 workers from the police, fire brigades and the Ground Self-Defence Force were operating in Hofu on Thursday, a city official said.
Rain hinders efforts to rescue 23 miners in China Wed Jul 22, 11:25 pm ET
BEIJING – Heavy rains hindered efforts to rescue 23 miners who became trapped early Thursday in flooding at a mine in northeastern China, a local authority said.After a week of torrential storms, the Xinyongfeng Coal Mine in Heilongjiang province flooded around 2 a.m. (1800 GMT, 2 p.m. EDT), stranding 24 miners underground, according to Zhao Xinzhi, spokesman for the Jixi city Coal Mine Supervision Bureau.Of the original 24 trapped miners, one escaped from the mine shaft, Zhao said.He declined to give any details of rescue efforts and the conditions in which the miners were trapped.Just over a week ago, three miners in southern China were rescued after spending 25 days in a flooded mine. They survived by drinking dirty water and chewing coal before rescuers burrowed through a collapsed tunnel to reach them.China is home to the world's deadliest mines, where an average of 13 workers are killed every day.
OZONE DEPLETION
ISAIAH 30:26-27
26 Moreover the light of the moon shall be as the light of the sun, and the light of the sun shall be sevenfold, as the light of seven days, in the day that the LORD bindeth up the breach of his people, and healeth the stroke of their wound.
27 Behold, the name of the LORD cometh from far, burning with his anger, and the burden thereof is heavy: his lips are full of indignation, and his tongue as a devouring fire:
MATTHEW 24:21-22,29
21 For then shall be great tribulation, such as was not since the beginning of the world to this time, no, nor ever shall be.
22 And except those days should be shortened, there should no flesh be saved: but for the elect’s sake those days shall be shortened (Daylight hours shortened)
29 Immediately after the tribulation of those days shall the sun be darkened, and the moon shall not give her light, and the stars shall fall from heaven, and the powers of the heavens shall be shaken:
REVELATION 16:7-9
7 And I heard another out of the altar say, Even so, Lord God Almighty, true and righteous are thy judgments.
8 And the fourth angel poured out his vial upon the sun; and power was given unto him to scorch men with fire.
9 And men were scorched with great heat, and blasphemed the name of God, which hath power over these plagues: and they repented not to give him glory.
THIS SO CALLED CLIMATE CHANGE IS THE SUN JUDGEMENT PREDICTED BY THE BIBLE AGAINST UNGODLY SINNERS.
Government monopsony distorts climate science, says SPPI The climate industry is costing taxpayers $79 billion and counting Washington, DC 7/22/2009 09:12 PM GMT (TransWorldNews)
The Science and Public Policy Institute announces the publication of Climate Money, a study by Joanne Nova revealing that the federal Government has a near-monopsony on climate science funding. This distorts the science towards self-serving alarmism. Key findings:The US Government has spent more than $79 billion of taxpayers’ money since 1989 on policies related to climate change, including science and technology research, administration, propaganda campaigns, foreign aid, and tax breaks. Most of this spending was unnecessary.Despite the billions wasted, audits of the science are left to unpaid volunteers. A dedicated but largely uncoordinated grassroots movement of scientists has sprung up around the globe to test the integrity of global warming theory and to compete with a lavishly-funded, highly-organized climate monopsony. Major errors have been exposed again and again.Carbon trading worldwide reached $126 billion in 2008. Banks, which profit most, are calling for more. Experts are predicting the carbon market will reach $2 - $10 trillion in the near future. Hot air will soon be the largest single commodity traded on global exchanges. Meanwhile, in a distracting sideshow, Exxon-Mobil Corp is repeatedly attacked for paying just $23 million to skeptics—less than a thousandth of what the US government spends on alarmists, and less than one five-thousandth of the value of carbon trading in 2008 alone.The large expenditure designed to prove the non-existent connection between carbon and climate has created a powerful alliance of self-serving vested interests. By pouring so much money into pushing a single, scientifically-baseless agenda, the Government has created not an unbiased investigation but a self-fulfilling prophecy.
Sound science cannot easily survive the vice-like grip of politics and finance. Says Nova, “For the first time, the numbers from government documents have been compiled in one place. It’s time to start talking of Monopolistic Science. It’s time to expose the lie that those who claim to save the planet are the underdogs. And it’s time to get serious about auditing science, especially when it comes to pronouncements that are used to justify giant government programs and massive movements of money.
Robert Ferguson, SPPI’s president, says: This study counts the cost of years of wasted Federal spending on the global warming non-problem. Government bodies, big businesses and environmental NGOs have behaved like big tobacco: recruiting, controlling and rewarding their own group-think scientists who bend climate modeling to justify the State’s near-maniacal quest for power, control, wealth and forced population reduction.Joanne Nova, who wrote our study, speaks for thousands of scientists in questioning whether a clique of taxpayer-funded climate modelers are getting the data right, or just getting the right data. Are politicians paying out billions of our dollars for evidence-driven policy-making, or policy-driven evidence-making? The truth is more crucial than ever, because American lives, property and constitutional liberties are at risk.Read Joanne Nova’s important paper Climate Money here: http://scienceandpublicpolicy.org/originals/climate_money.htmlContact Robert Ferguson: http://www.scienceandpublicpolicy.org/
bferguson@sppinstitute.org Tel. 202-288-5699
Muslim activists blocked Jews from moving in Thursday, 23 July 2009 12:32 News from Jerusalem ,The Old City Jerusalem,Newfound boldness follows Obama's demand to halt Jewish construction
In a nearly unprecedented move, Palestinian Authority President Mahmoud Abbas' Fatah party this week worked in an official capacity to block an attempt by Jews to move into a home in Jerusalem.The incident took place just days after the U.S. protested a legal Jewish construction project in Jerusalem and Fatah showed a newfound boldness to solidify an Arab hold of the city. The Palestinians claim eastern sections of Jerusalem as their future capital.We are permitted to resist any existing illegal settlement activity whether it's in Jerusalem or anywhere else, Dmitri Ziliani, a spokesman for the Jerusalem section of Fatah, told WND.According to Israeli law, however, the PA cannot officially act in Jerusalem, although Israeli police this week did not arrest the Fatah activists.On Tuesday, Ziliani and about a dozen Fatah activists, including PA Minister for Jerusalem Affairs Hatem Abdul Qader, holed themselves up inside a home in the Sheik Jarra neighborhood of eastern Jerusalem to block an attempt by Jews to move into the house.The home was originally Jewish, but its occupants were chased out during countrywide anti-Jewish Arab riots in 1929. Arabs then squatted on the property, with one family, the Hejazi family, becoming the de facto occupants until recently.Jewish groups say they legally purchased the property from the Hejazi family but that following Fatah pressure the family denied selling it back to the Jews despite documentation and even video evidence showing the sale went through.Fatah the past few months has executed four Arabs for selling land to Jews.The case is being disputed by the Arab family in an appeals court, although one court, whose ruling is legally binding, ruled in favor of the Jews. Those Jews showed up at the property Tuesday, backed up by Israeli police, only to find the Fatah activists inside.
Ziliani told WND it was not the first time Fatah acted in Jerusalem the past few weeks to thwart Jews from moving into homes in the city.There has been more than one house in the past four to five weeks where groups of settlers tried to break in to the house and form a new reality on the ground. We resisted and will continue to act, Ziliani said.Fatah is not the only agency actively working to thwart Jewish residency in eastern sections of Jerusalem.The State Department last weekend summoned Israel's ambassador to Washington to demand a Jewish construction project in eastern Jerusalem be immediately halted, it has been confirmed.The Obama administration has called for a halt to Jewish construction in eastern Jerusalem and the strategic West Bank in line with Palestinian claims on eastern Jerusalem as a future capital, even though the city was never a part of any Palestinian entity.The construction project at the center of attention, financed by Miami Beach philanthropist Irving Moskowitz, is located just meters from Israel's national police headquarters and other government ministries. It is a few blocks from the country's prestigious Hebrew University, underscoring the centrality of the Jewish real estate being condemned by the U.S.
Israeli Prime Minister Benjamin Netanyahu strongly rejected the State Department demand, telling a cabinet meeting Sunday that Israel's sovereignty over Jerusalem was not a matter up for discussion.Imagine what would happen if someone were to suggest Jews could not live in or purchase [property] in certain neighborhoods in London, New York, Paris or Rome,he said.The international community would certainly raise protest. Likewise, we cannot accept such a ruling on East Jerusalem, Netanyahu told ministers.Historically, there was never any separation between eastern and western Jerusalem. The terminology came after Jordan occupied the eastern section of the city, including the Temple Mount, from 1947 until it used the territory to attack the Jewish state in 1967. Israel reunited Jerusalem when it won the 1967 Six Day War.
While the U.S. strongly protests any Jewish construction in eastern Jerusalem, it has been actively aiding Palestinians building illegally on Jewish-owned land in eastern sections of the city, WND has exposed.wnd
Israel slams Clinton statement on nuclear Iran Wednesday, 22 July 2009 14:44 News from Jerusalem Hillary's defense umbrella??
A key minister in the Israeli government criticized U.S. Secretary of State Hillary Clinton's statement on Tuesday that Washington would provide a defense umbrella for its allies in the Middle East in the event that Iran develops nuclear weapons.Dan Meridor, Israel's minister for secret services, told Army Radio that the comments imply a willingness to reconcile with the eventuality of a nuclear-armed Iran.I heard, unenthusiastically, the Americans' statement that they will defend their allies in the event that Iran arms itself with an atomic bomb, as if they have already reconciled with this possibility, and this is a mistake, Meridor told Army Radio.Now, we don't need to deal with the assumption that Iran will attain nuclear weapons but to prevent this.Clinton said on Tuesday that the U.S. has a plan to prevent Iranian domination in the Middle East if it gets the nuclear bomb.We want Iran to calculate what I think is a fair assessment: that if the United States extends a defense umbrella over the region, if we do even more to develop the military capacity of those (allies) in the Gulf, it is unlikely that Iran will be any stronger or safer,Clinton said during a visit to Bangkok.The U.S. has asked 10 uranium-rich countries to tighten their monitoring of sales of the mineral to Iran, according to a document obtained by Haaretz. The move is based on an American estimate that Iran's uranium reserves will run out by 2010. A senior American delegation will arrive in Israel next week for talks on the dialogue between Iran and Western countries, especially regarding the Iranian nuclear program.The document was distributed by the U.S. State Department to 10 countries that produce yellowcake, a uranium concentrate used as a raw material for enriching uranium. The United States wants the countries to increase monitoring of the sale of yellowcake to Iran.
According to the document,As a consequence of its geology, Iran's reported indigenous uranium reserves are insufficient to support its current nuclear reactor program for sustained period of time .... Calculations based on Iran's rate of uranium conversion thus far suggest that Iran will run out of yellowcake in 2010.The document is defined as a so-called non-paper to be used in contacts with privately owned companies that produce the concentrate. It was sent to Russia, Canada, Australia, France, Germany, Britain, Kazakhstan and three others countries.UN sanctions prohibit the sale of uranium to Iran, but the United States fears that the Islamic Republic might be trying to acquire the material anyway.Iran could soon begin, or may have already begun, to look for outside suppliers of uranium, the document says.Extreme vigilance in dealing with Iran and its nuclear program is necessary given the requirements of the UN Security Council and the significant threat Iran presents to international peace and security.The document also notes that given Iran's publicly stated ambition to pursue its enrichment-related activities, we believe it critically important that the world's major uranium resource companies prevent all exports of uranium to Iran unless contained in fuel rods and for an established light-water reactor.Beyond the responsibility to prevent nuclear proliferation that we all share and the specific requirements of the UNSC, we believe that nuclear cooperation - particularly the provision of raw nuclear materials - with Iran is a significant business and reputational risk.It adds that we urge companies subject to your jurisdiction not to facilitate Iran's nuclear ambitions by engaging in new business deals with Iran until all concerns regarding its intentions have been resolved and confidence in the exclusively peaceful nature of its nuclear program has been established.Next Wednesday, a senior U.S. delegation led by National Security Adviser James Jones will arrive in Israel. He will be accompanied by President Barack Obama's special Mideast adviser, Dennis Ross, who recently served as Clinton's special adviser on Iran.The delegation will also include representatives of the CIA, Defense Department, Treasury and State Department. These officials were invited to Israel by National Security Advisor Uzi Arad, who will lead the Israeli side in what is said to be a continuation of talks held in Washington around three weeks ago.haaretz
Jul 23, 2009 6:13 Fatah has never recognized Israel By KHALED ABU TOAMEH JPOST
Fatah has never recognized Israel's right to exist and it has no intention of ever doing so, a veteran senior leader of the Western-backed faction said on Wednesday. A Palestinian woman rests next to a wall decorated with a graffiti supporting Fatah, in the West Bank refugee camp of Kalandia.World Rafik Natsheh, member of the Fatah Central Committee who also serves as chairman of the faction's disciplinary court, is the second senior official in recent months to make similar statements regarding Israel.Natsheh is also a former minister in the Palestinian Authority government who briefly served as Speaker of the Palestinian Legislative Council.Earlier this year, Muhammad Dahlan, another top Fatah figure, said that Fatah had never recognized Israel's right to exist despite the fact that it is the largest faction in the PLO, which signed the Oslo Accords with Israel.Natsheh's remarks came days before Fatah's general assembly that is slated to take place in Bethlehem on August 4.The assembly, the first in two decades, is expected to bring some 1,500 Fatah delegates together to discuss ways of reforming the faction and holding internal elections.One of the topics on the conference's agenda is whether Fatah should formally abandon the armed struggle and recognize Israel's right to exist.Fatah does not recognize Israel's right to exist,Natsheh said,nor have we ever asked others to do so.His comments, which appeared in an interview with Al-Quds Al-Arabi, came in response to reports according to which Fatah had asked Hamas to recognize Israel as a precondition for the establishment of a Palestinian unity government. All these reports about recognizing Israel are false,Natsheh, who is closely associated with PA President Mahmoud Abbas, said.It's all media nonsense. We don't ask other factions to recognize Israel because we in Fatah have never recognized Israel.
Asked about calls for dropping the reference to armed struggle from Fatah's charter, Natsheh said: Let all the collaborators [with Israel] and those who are deluding themselves hear that this will never happen. We'll meet at the conference [in Bethlehem].Natsheh stressed that neither Fatah nor the Palestinians would ever relinquish the armed struggle against Israel no matter how long the occupation continues.He said that Fatah, at the upcoming conference, would reiterate its adherence to the option of pursuing all forms of an armed struggle against Israel.
Another senior Fatah representative, Azzam al-Ahmed, confirmed that his faction would renew its pledge to pursue the armed struggle against Israel during the conference.
The Fatah conference won't obliterate the resistance option,he said.Fatah has been the target of a conspiracy to liquidate it ever since the signing of the Oslo Accords and the establishment of the Palestinian National Authority. The elimination of Fatah means the end of the revolutionary era which began in 1965 [when Fatah was founded]. He said that, more than four decades later, Fatah's main strategy and goals remain unchanged.The decision to convene the conference in Bethlehem has triggered a crisis in Fatah. Many Fatah living in Arab countries have protested Abbas's decision, saying it was inconceivable that the parley be held under Israeli occupation. They are still demanding that the conference be held in an Arab country to avoid a situation where Israel would try to prevent some delegates from arriving in Bethlehem. Meanwhile, there is growing concern in Fatah that Hamas would not permit hundreds of Fatah activists from leaving the Gaza Strip to attend the conference. Senior Fatah officials said that the conference would be called off if Hamas stopped the Fatah members from leaving the Gaza Strip.The officials said that Fatah leaders have been talking to Syria and Egypt about the possibility that Hamas might prevent their men from traveling to the West Bank. We made it clear to the Egyptians and Syrians that the conference would not be convened without the Fatah members from the Gaza Strip,a Fatah official in Ramallah told The Jerusalem Post.
ISRAEL WILL BECOME A NATION. LITERALLY IN THE SPRING.
GENESIS 12:1-3
1 Now the LORD had said unto Abram,(CHANGED TO ABRAHAM LATER) Get thee out of thy country, and from thy kindred, and from thy father’s house, unto a land that I will shew thee:(PALESTINE,ISRAEL)
2 And I will make of thee a great nation, and I will bless thee, and make thy name great; and thou shalt be a blessing:
3 And I will bless them that bless thee, and curse him that curseth thee: and in thee shall all families of the earth be blessed.
EZEKIEL 36:24
24 For I will take you from among the heathen, and gather you out of all countries, and will bring you into your own land.
EZEKIEL 37:9-28
9 Then said he unto me, Prophesy unto the wind, prophesy, son of man, and say to the wind, Thus saith the Lord GOD; Come from the four winds,(ALL THE WORLD) O breath, and breathe upon these slain, that they may live.(COME TO LIFE)
10 So I prophesied as he commanded me, and the breath came into them, and they lived, and stood up upon their feet, an exceeding great army.(ISRAEL WILL HAVE A POWERFUL ARMY)
11 Then he said unto me, Son of man, these bones are the whole house of Israel: behold, they say, Our bones are dried, and our hope is lost: we are cut off for our parts.(BURNED BY HITLER)
12 Therefore prophesy and say unto them, Thus saith the Lord GOD; Behold, O my people, I will open your graves, and cause you to come up out of your graves, and bring you into the land of Israel.(THE DRY BONES COME TO LIFE IN ISRAEL)
13 And ye shall know that I am the LORD, when I have opened your graves, O my people, and brought you up out of your graves,
14 And shall put my spirit in you, and ye shall live, and I shall place you in your own land: then shall ye know that I the LORD have spoken it, and performed it, saith the LORD.
15 The word of the LORD came again unto me, saying,
16 Moreover, thou son of man, take thee one stick, and write upon it, For Judah, and for the children of Israel his companions: then take another stick, and write upon it, For Joseph, the stick of Ephraim, and for all the house of Israel his companions:
17 And join them one to another into one stick; and they shall become one in thine hand.
18 And when the children of thy people shall speak unto thee, saying, Wilt thou not shew us what thou meanest by these?
19 Say unto them, Thus saith the Lord GOD; Behold, I will take the stick of Joseph, which is in the hand of Ephraim, and the tribes of Israel his fellows, and will put them with him, even with the stick of Judah, and make them one stick, and they shall be one in mine hand.
20 And the sticks whereon thou writest shall be in thine hand before their eyes.
21 And say unto them, Thus saith the Lord GOD; Behold, I will take the children of Israel from among the heathen, whither they be gone, and will gather them on every side, and bring them into their own land:
22 And I will make them one nation in the land upon the mountains of Israel; and one king shall be king to them all: and they shall be no more two nations, neither shall they be divided into two kingdoms any more at all:
23 Neither shall they defile themselves any more with their idols, nor with their detestable things, nor with any of their transgressions: but I will save them out of all their dwellingplaces, wherein they have sinned, and will cleanse them: so shall they be my people, and I will be their God.
24 And David my servant shall be king over them; and they all shall have one shepherd: they shall also walk in my judgments, and observe my statutes, and do them.
25 And they shall dwell in the land that I have given unto Jacob my servant, wherein your fathers have dwelt; and they shall dwell therein, even they, and their children, and their children’s children for ever: and my servant David shall be their prince for ever.
26 Moreover I will make a covenant of peace with them; it shall be an everlasting covenant with them: and I will place them, and multiply them, and will set my sanctuary in the midst of them for evermore.
27 My tabernacle also shall be with them: yea, I will be their God, and they shall be my people.
28 And the heathen shall know that I the LORD do sanctify Israel, when my sanctuary shall be in the midst of them for evermore.
MATTHEW 24:32
32 Now learn a parable of the fig tree; When his branch is yet tender, and putteth forth leaves, ye know that summer is nigh:(ISRAEL WAS LITERALLY REBORN JUST BEFORE SUMMER,MAY 14,1948).
MARK 13:28
28 Now learn a parable of the fig tree; When her branch is yet tender, and putteth forth leaves, ye know that summer is near:
DANIEL 9:24
24 Seventy weeks are determined upon thy people and upon thy holy city, to finish the transgression, and to make an end of sins, and to make reconciliation for iniquity, and to bring in everlasting righteousness, and to seal up the vision and prophecy, and to anoint the most Holy.
ISRAEL WILL BE IN CONTROL OF JERUSALEM, THE SIGN OF THE START OF THE LAST GENERATION.
LUKE 21:24
24 And they shall fall by the edge of the sword, and shall be led away captive into all nations: and Jerusalem shall be trodden down of the Gentiles, until the times of the Gentiles be fulfilled.
ISRAEL SATAN COMES AGAINST
1 CHRONICLES 21:1
1 And Satan stood up against Israel, and provoked David to number Israel.
ISRAELS TROUBLE
JEREMIAH 30:7
7 Alas! for that day is great, so that none is like it: it is even the time of Jacob’s trouble;(ISRAEL) but he shall be saved out of it.
DANIEL 12:1,4
1 And at that time shall Michael(ISRAELS WAR ANGEL) stand up, the great prince which standeth for the children of thy people:(ISRAEL) and there shall be a time of trouble, such as never was since there was a nation(May 14,48) even to that same time: and at that time thy people shall be delivered, every one that shall be found written in the book.
4 But thou, O Daniel, shut up the words, and seal the book, even to the time of the end: many shall run to and fro,(WORLD TRAVEL,IMMIGRATION) and knowledge shall be increased.(COMPUTERS,CHIP IMPLANTS ETC)
ISRAELS INHERITED LAND IN THE FUTURE
And here are the bounderies of the land that Israel will inherit either through war or peace or God in the future. God says its Israels land and only Israels land. They will have every inch God promised them of this land in the future.
Egypt east of the Nile River, Saudi Arabia, Israel, Jordan, Syria, Lebanon, The southern part of Turkey and the Western Half of Iraq west of the Euphrates. Gen 13:14-15, Psm 105:9,11, Gen 15:18, Exe 23:31, Num 34:1-12, Josh 1:4.
ALL THIS LAND ISRAEL WILL DEFINATELY OWN IN THE FUTURE, ITS ISRAELS NOT ISHMAELS LAND.
12 TRIBES INHERIT LAND IN THE FUTURE
EZEKIEL 47:13-23,48:1-35
13 Thus saith the Lord GOD; This shall be the border, whereby ye shall inherit the land according to the twelve tribes of Israel: Joseph shall have two portions.
14 And ye shall inherit it, one as well as another: concerning the which I lifted up mine hand to give it unto your fathers: and this land shall fall unto you for inheritance.
15 And this shall be the border of the land toward the north side, from the great sea, the way of Hethlon, as men go to Zedad;
16 Hamath, Berothah, Sibraim, which is between the border of Damascus and the border of Hamath; Hazarhatticon, which is by the coast of Hauran.
17 And the border from the sea shall be Hazarenan, the border of Damascus, and the north northward, and the border of Hamath. And this is the north side.
18 And the east side ye shall measure from Hauran, and from Damascus, and from Gilead, and from the land of Israel by Jordan, from the border unto the east sea. And this is the east side.
19 And the south side southward, from Tamar even to the waters of strife in Kadesh, the river to the great sea. And this is the south side southward.
20 The west side also shall be the great sea from the border, till a man come over against Hamath. This is the west side.
21 So shall ye divide this land unto you according to the tribes of Israel.
22 And it shall come to pass, that ye shall divide it by lot for an inheritance unto you, and to the strangers that sojourn among you, which shall beget children among you: and they shall be unto you as born in the country among the children of Israel; they shall have inheritance with you among the tribes of Israel.
23 And it shall come to pass, that in what tribe the stranger sojourneth, there shall ye give him his inheritance, saith the Lord GOD.
1 Now these are the names of the tribes. From the north end to the coast of the way of Hethlon, as one goeth to Hamath, Hazarenan, the border of Damascus northward, to the coast of Hamath; for these are his sides east and west; a portion for Dan.
2 And by the border of Dan, from the east side unto the west side, a portion for Asher.
3 And by the border of Asher, from the east side even unto the west side, a portion for Naphtali.
4 And by the border of Naphtali, from the east side unto the west side, a portion for Manasseh.
5 And by the border of Manasseh, from the east side unto the west side, a portion for Ephraim.
6 And by the border of Ephraim, from the east side even unto the west side, a portion for Reuben.
7 And by the border of Reuben, from the east side unto the west side, a portion for Judah.
8 And by the border of Judah, from the east side unto the west side, shall be the offering which ye shall offer of five and twenty thousand reeds in breadth, and in length as one of the other parts, from the east side unto the west side: and the sanctuary shall be in the midst of it.
9 The oblation that ye shall offer unto the LORD shall be of five and twenty thousand in length, and of ten thousand in breadth.
10 And for them, even for the priests, shall be this holy oblation; toward the north five and twenty thousand in length, and toward the west ten thousand in breadth, and toward the east ten thousand in breadth, and toward the south five and twenty thousand in length: and the sanctuary of the LORD shall be in the midst thereof.
11 It shall be for the priests that are sanctified of the sons of Zadok; which have kept my charge, which went not astray when the children of Israel went astray, as the Levites went astray.
12 And this oblation of the land that is offered shall be unto them a thing most holy by the border of the Levites.
13 And over against the border of the priests the Levites shall have five and twenty thousand in length, and ten thousand in breadth: all the length shall be five and twenty thousand, and the breadth ten thousand.
14 And they shall not sell of it, neither exchange, nor alienate the firstfruits of the land: for it is holy unto the LORD.
15 And the five thousand, that are left in the breadth over against the five and twenty thousand, shall be a profane place for the city, for dwelling, and for suburbs: and the city shall be in the midst thereof.
16 And these shall be the measures thereof; the north side four thousand and five hundred, and the south side four thousand and five hundred, and on the east side four thousand and five hundred, and the west side four thousand and five hundred.
17 And the suburbs of the city shall be toward the north two hundred and fifty, and toward the south two hundred and fifty, and toward the east two hundred and fifty, and toward the west two hundred and fifty.
18 And the residue in length over against the oblation of the holy portion shall be ten thousand eastward, and ten thousand westward: and it shall be over against the oblation of the holy portion; and the increase thereof shall be for food unto them that serve the city.
19 And they that serve the city shall serve it out of all the tribes of Israel.
20 All the oblation shall be five and twenty thousand by five and twenty thousand: ye shall offer the holy oblation foursquare, with the possession of the city.
21 And the residue shall be for the prince, on the one side and on the other of the holy oblation, and of the possession of the city, over against the five and twenty thousand of the oblation toward the east border, and westward over against the five and twenty thousand toward the west border, over against the portions for the prince: and it shall be the holy oblation; and the sanctuary of the house shall be in the midst thereof.
22 Moreover from the possession of the Levites, and from the possession of the city, being in the midst of that which is the prince's, between the border of Judah and the border of Benjamin, shall be for the prince.
23 As for the rest of the tribes, from the east side unto the west side, Benjamin shall have a portion.
24 And by the border of Benjamin, from the east side unto the west side, Simeon shall have a portion.
25 And by the border of Simeon, from the east side unto the west side, Issachar a portion.
26 And by the border of Issachar, from the east side unto the west side, Zebulun a portion.
27 And by the border of Zebulun, from the east side unto the west side, Gad a portion.
28 And by the border of Gad, at the south side southward, the border shall be even from Tamar unto the waters of strife in Kadesh, and to the river toward the great sea.
29 This is the land which ye shall divide by lot unto the tribes of Israel for inheritance, and these are their portions, saith the Lord GOD.
30 And these are the goings out of the city on the north side, four thousand and five hundred measures.
31 And the gates of the city shall be after the names of the tribes of Israel: three gates northward; one gate of Reuben, one gate of Judah, one gate of Levi.
32 And at the east side four thousand and five hundred: and three gates; and one gate of Joseph, one gate of Benjamin, one gate of Dan.
33 And at the south side four thousand and five hundred measures: and three gates; one gate of Simeon, one gate of Issachar, one gate of Zebulun.
34 At the west side four thousand and five hundred, with their three gates; one gate of Gad, one gate of Asher, one gate of Naphtali.
35 It was round about eighteen thousand measures: and the name of the city from that day shall be, The LORD is there.
2ND TEMPLE KIT - BUILD YOUR OWN TEMPLE - BUY HERE
http://www.thejerusalemgiftshop.com/product_info.php?cPath=81&products_id=729
NOW THIS IS A GREAT HEADLINE,ISRAELIS WANT TO MOURN AND PRAY ON THEIR TEMPLE MOUNT,NOT THE DOME OF THE MUDERERS (ARABS) MOUNT.GOD GAVE ISRAEL (ISAAC,NOT ISHMAEL (ARABS)THE LAND,ITS ISRAELS AND JERUSALEM WILL BE FOREVER ISRAELS AND THE TEMPLE MOUNT WILL BE FOREVER ISRAELS WHEN JESUS THE GOD OF ISRAEL AND THE WORLD IS RULING FOREVER FROM JERUSALEM.
Hundreds of rightists to attempt Tisha Be'Av Temple Mt. ascent Thursday, 23 July 2009 10:38 News from Jerusalem Right-wingers during a previous march. Photo AP
Hundreds of right-wing activists are intending to attempt to march up to the Temple Mount next Thursday morning, Tisha Be'Av, in protest of the US demand to cease construction in east Jerusalem.March organizer Gershon Salomon told the Jerusalem Post that as opposed to previous years when only a few dozen participants at most tried to go up to the mount, this year he was hoping for hundreds to protest the US pressure to stop settlement activity, and east Jerusalem construction in particular, and also the apparent weakness of our leaders,which he said he feared would lead to a division of Jerusalem and the loss of the Temple Mount.We're concerned that in the end, the Temple Mount will be part of a Palestinian state, with US backing, he told the Post. We will say to [US President Barack] Obama, Get your hands off Jerusalem and the land of Israel! He said flyers about the protest contained the message that we'll let Barack Hussein Obama and Binyamin Netanyahu know that we're not moving from here,as well as the words:Go to the Bible to find out to whom this land belongs!
Salomon expressed hope that unlike in previous years, this time, the security forces would allow the group to ascend the mount.What a tragedy that police have made it off limits to Jews, he bewailed, There is no [Israeli] flag, no talit, no siddur - and our requests to hold a reading of Megilat Eicha there on Tisha Be'av were turned down.
He said that the site had effectively been taken over by the Wakf.Salomon said that the demonstration was set to begin at the gates of the Temple Mount at 11:30 on Tisha Be'Av morning (Thursday), while the attempted ascent would begin at approximately 1:30p.m.On Wednesday, United Nations chief Ban Ki-moon added to the pressure on Israel to freeze east Jerusalem construction.I urge the government of Israel to commit fully to its obligations, including to freeze settlement activity and natural growth, said Ban in a message to a United Nations meeting in Geneva on the Middle East.If Israel continues settlement activity, it will not only be acting contrary to international law but also to a strong international consensus.He said if Israel did freeze settlement activity, it would facilitate a new environment of cooperation and common purpose from the countries in the region.jpost
SAUDI ARABIA HEAVILY INVOLED IN 911 TERRORIST ATTACKS.
http://therothshow.com/show-archives/july-2009/ (LISTEN TO JULY 10,09)(HR1)
Obama Sides With--Once Again--Saudi Arabia Over America
Posted by Candace E. Salima June 02,
2009 FROM JOSEPH FARAH'S G2 BULLETIN
Obama administration supports Saudi immunity in 9/11 lawsuit Brief seeking to deny Americans access to court remedies for attack Posted: June 01, 2009 9:07 pm Eastern
2009 WorldNetDaily
Editor's Note: The following report is excerpted from Joseph Farah's G2 Bulletin, the premium online newsletter published by the founder of WND. Subscriptions are $99 a year or, for monthly trials, just $9.95 per month for credit card users, and provide instant access for the complete reports.President Obama bowing to Saudi king at London's G20 summit meetings in 2009.The Obama administration has petitioned the U.S. Supreme Court to protect Saudi Arabia and four of its princes from being held accountable for their alleged role in the Sept. 11, 2001, terrorist attack on the United States that killed almost 3,000 Americans, according to a report in Joseph Farah's G2 Bulletin.Through its solicitor general, Elena Kagan, the Obama administration has asked that the Saudis be held immune under the Foreign Sovereign Immunities Act, or FSIA, even though there is ample U.S. evidence of complicity by the Saudi government and the named princes in support of al-Qaida's attack.While the FSIA generally protects a sovereign state, there are exceptions under which its provisions can be invoked. Such interpretations are left largely to the courts to determine.Families of the 9/11 victims, however, have expressed outrage over the Obama administration's filing. They regard the action as undermining the continuing fight against terror.In its recent friend-of-the-court brief filed with the U.S. Supreme Court in Federal Insurance Co. vs. Kingdom of Saudi Arabia, the Obama administration asked the court to deny a petition for a writ of certiorari,or higher court hearing, by the families of the victims of 9/11 in their effort to sue Saudi Arabia and its princes.In the original case filed in 2006, the families of the 9/11 victims allege Saudi Arabia and four Saudi princes acting in their capacity as high-level government officials and as individuals made donations to charitable organizations with the knowledge that the charities were diverting funds to al-Qaida. In response, the Saudi government invoked the FSIA as a basis to preclude a lawsuit by the 9/11 victims' families.In August 2008, the 2nd U.S. Circuit Court of Appeals upheld the 2006 ruling by U.S. District Judge Richard Casey in dismissing the claim against Saudi Arabia. The dismissal covered the four princes, a Saudi banker and a Saudi charity. In addition, the appeals court said that the exceptions to immunity didn't apply since the State Department had not designated Saudi Arabia as a state sponsor of terrorism.
There appears, however, to be a possible conflict in what the FSIA allows and a portion of a U.S. statute [28USC1605(a)] which states, in effect, that a foreign state shall not be immune from the jurisdiction of U.S. courts if the attack and funding for it occurred in the U.S.Although the United States disagrees in certain respects with the analysis of the court of appeals, further review by this Court to determine the best legal basis for that immunity is unwarranted,Kagan wrote.Fifteen of the 19 terrorists who hijacked U.S. aircraft and crashed them into the World Trade Center and Pentagon on 9/11 were from Saudi Arabia and were affiliated with al-Qaida. Intelligence and past actions link the Saudi government and the four princes with al-Qaida.In effect, the U.S. Government announced its opposition to allowing 9/11 victims and their families full access to the U.S. legal system in (the government's) effort to protect Saudi Arabia and its princes from being held accountable for their role in the attack on the United States,said Peter Leitner, who has assisted terror victims' families successfully in suing terrorist organizations for the past 12 years.
As power of Attorney for the family and estate of John P. O'Neill, former FBI (counter-terrorism) expert, I find it disgusting that the Obama administration has spat in the faces of these victims just as (Obama) prepares to leave for Egypt and Saudi Arabia while advocating for the closing of (the U.S. Guantanamo prison in Cuba) and giving full access to the U.S. court system to the terrorists currently imprisoned there,he said.
DOCTOR DOCTORIAN FROM ANGEL OF GOD
then the angel said, Financial crisis will come to Asia. I will shake the world.
JAMES 5:1-3
1 Go to now, ye rich men, weep and howl for your miseries that shall come upon you.
2 Your riches are corrupted, and your garments are motheaten.
3 Your gold and silver is cankered; and the rust of them shall be a witness against you, and shall eat your flesh as it were fire. Ye have heaped treasure together for the last days.
REVELATION 18:10,17,19
10 Standing afar off for the fear of her torment, saying, Alas, alas that great city Babylon, that mighty city! for in one hour is thy judgment come.
17 For in one hour so great riches is come to nought. And every shipmaster, and all the company in ships, and sailors, and as many as trade by sea, stood afar off,
19 And they cast dust on their heads, and cried, weeping and wailing, saying, Alas, alas that great city, wherein were made rich all that had ships in the sea by reason of her costliness! for in one hour is she made desolate.
EZEKIEL 7:19
19 They shall cast their silver in the streets, and their gold shall be removed: their silver and their gold shall not be able to deliver them in the day of the wrath of the LORD: they shall not satisfy their souls, neither fill their bowels: because it is the stumblingblock of their iniquity.
REVELATION 13:16-18
16 And he(FALSE POPE) causeth all, both small and great, rich and poor, free and bond, to receive a mark in their right hand, or in their foreheads:(CHIP IMPLANT)
17 And that no man might buy or sell, save he that had the mark, or the name of the beast, or the number of his name.
18 Here is wisdom. Let him that hath understanding count the number of the beast: for it is the number of a man; and his number is Six hundred threescore and six.(6-6-6) A NUMBER SYSTEM
WORLD MARKET RESULTS
http://money.cnn.com/data/world_markets/
HALF HOUR DOW RESULTS THU JULY 23,2009
09:30 AM +0.07
10:00 AM +63.18
10:30 AM +110.36
11:00 AM +137.39
11:30 AM +178.20
12:00 PM +168.91
12:30 PM +171.40
01:00 PM +190.60
01:30 PM +193.09
02:00 PM +182.43
02:30 PM +186.51
03:00 PM +202.75
03:30 PM +200.12
04:00 PM +188.03 9069.29
S&P 500 976.29 +22.22
NASDAQ 1973.60 +47.22
GOLD 950.20 -3.10
OIL 67.23 +1.83
TSE 300 10,669.28 +236.93
CDNX 1137.79 +14.34
S&P/TSX/60 648.20 +15.47
MORNING,NEWS,STATS
YEAR TO DATE PERFORMANCE
Dow +1.19%
S&P +5.63%
Nasdaq +22.15%
TSX Advances 726,declines 763,unchanged 268,Volume 1,854,996,670.
TSX Venture Exchange Advances 396,Declines 360,Unchanged 341,Volume 228,762,929.
Dow +10 points at 4 minutes of trading today.
Dow -16 points at low today.
Dow +189 points at high today so far.
GOLD opens at $948.90.OIL opens at $64.62 today.
AFTERNOON,NEWS,STATS
Dow -16 points at low today so far.
Dow +189 points at high today so far.
DAY TODAY PERFORMANCE - 12:30PM STATS
NYSE Advances 3,111,declines 564,unchanged 64,New Highs 114,New Lows 87.
Volume 3,155,622,206.
NASDAQ Advances 1,997,declines 591,unchanged 102,New highs 105,New Lows 09.
Volume 1,429,778,970.
TSX Advances 938,declines 399,unchanged 272,Volume 1,218,842,226.
TSX Venture Exchange Advances 310,Declines 255,Unchanged 288,Volume 173,882,490.
GERALD CELENTE ON JONES IN LAST HOUR
http://rss.nfowars.net/20090722_Wed_Alex.mp3
WRAPUP,NEWS,STATS
Dow -16 points at low today.
Dow +214 points at high today.
Dow +2.12% today Volume 271,524,223.
Nasdaq +2.45% today Volume 2,919,384,264.
S&P 500 +2.33% today Volume N/A
WALLSTREET AT 8 MONTH HIGH (WATCHOUT FOLKS TROUBLE)THE HIGHER THE WORSE LOST.
OBAMA HEALTHCARE BUDGET BREAKER PLAN
http://www.cnbc.com/id/15840232?video=1192030012&play=1
http://www.cnbc.com/id/15840232?video=1192030001&play=1
http://www.cnbc.com/id/15840232?video=1191872875&play=1
http://www.cnbc.com/id/15840232?video=1191868184&play=1
http://www.cnbc.com/id/15840232?video=1192002938&play=1
BERNANKE DAY 2 RECAP OF Q&A
http://www.cnbc.com/id/15840232?video=1191585186&play=1
http://www.cnbc.com/id/15840232?video=1191592836&play=1
http://www.cnbc.com/id/15840232?video=1191612786&play=1
http://www.cnbc.com/id/15840232?video=1191853986&play=1
http://www.cnbc.com/id/15840232?video=1191837894&play=1
PREPARE FOR AGE OF TURBULENCE
http://www.cnbc.com/id/15840232?video=1191092864&play=1
ASIAN IMPORTANT COUNTERPART TO DOLLAR
http://www.cnbc.com/id/15840232?video=1191990031&play=1
BANKING ON BANKS
http://www.cnbc.com/id/15840232?video=1191821330&play=1
GOLD AND APEC
http://www.cnbc.com/id/15840232?video=1191945354&play=1
http://www.cnbc.com/id/15840232?video=1191892889&play=1
RON PAUL ON MSNBC AUDIT FED
http://www.youtube.com/watch?v=msTHy91aIgA&feature=player_embedded
http://www.youtube.com/watch?v=kpkU9HckgrU&feature=player_embedded
http://www.youtube.com/watch?v=_9dy74-pk_Q&feature=player_embedded
http://www.youtube.com/watch?v=RYiHE35kCQI&feature=player_embedded
AUDIT THAT FED HAS 275 HOUSE MEMBERS AND 17 SENATE MEMBERS SIGNED UP.
Bernanke Sidesteps the Three Big Questions, Again Gary North
Lew Rockwell.com Thursday, July 23, 2009
In a recent international Bloomberg poll, Bernanke was rated by investors as the greatest central banker, the man who saved the world’s economy.All it took was a doubling of the monetary base and $3 trillion – as of today – of government bailout money.The FED still faces three problems. (1) If it deflates, the financial markets will collapse. (2) If it does nothing, there will be mass price inflation if banks start lending, making use of the FED’s doubling of the monetary base. (3) If banks don’t start lending, the recovery will not appear. The FED wants to avoid all three.
How?
His testimony on July 21 was a successful attempt to keep the public gulled. He avoided all three issues. He appeared before the House Committee on Financial Services, whose chairman is Barney Frank. Bernanke reiterated the fact that the global financial system nearly collapsed in late 2008. Aggressive policy actions taken around the world last fall may well have averted the collapse of the global financial system, an event that would have had extremely adverse and protracted consequences for the world economy. Even so, the financial shocks that hit the global economy in September and October were the worst since the 1930s, and they helped push the global economy into the deepest recession since World War II. I think he is correct. He never saw it coming. With one exception, the chairman of the central bank of Lebanon, none of his peers saw it coming. Their solution has been the same: monetary inflation.Now he has a selling job ahead of him. He has to persuade Congress that this near miss is behind us. Having come close to a financial collapse, central banks’ lowering of overnight interest rates saved the day. Trust him, he says.Today, financial conditions remain stressed, and many households and businesses are finding credit difficult to obtain. Nevertheless, on net, the past few months have seen some notable improvements.
He says that the FED saved the day.
Many of the improvements in financial conditions can be traced, in part, to policy actions taken by the Federal Reserve to encourage the flow of credit. For example, the decline in interbank lending rates and spreads was facilitated by the actions of the Federal Reserve and other central banks to ensure that financial institutions have adequate access to short-term liquidity, which in turn has increased the stability of the banking system and the ability of banks to lend. Basically, he told Congress that merely by announcing lower rates, the FED kept the world’s economy from collapsing. If it was that easy, why did the economy come so close to collapse? How did central banks so completely misjudge conditions? If they were blind then, are they blind now? It was not that the FED lowered overnight rates. It was that it doubled the monetary base and swapped T-bills for toxic assets at face value, thereby authorizing accounting subterfuge: American banks own liquid assets. They borrowed liquid assets. They still own hundreds of billions of dollars worth of unmarketable junk. Will the FED ever swap back? No.Congress doesn’t understand any of this. If it did, it would still do nothing.Is the economy that vulnerable? It is. But to admit this is to admit that the recovery should not be trusted.He assured the committee that Better conditions in financial markets have been accompanied by some improvement in economic prospects.What improvements? The best he could point to was tapering off of decline. There were no green shoots mentioned. Tapering off = positive signs.
Despite these positive signs, the rate of job loss remains high and the unemployment rate has continued its steep rise. Job insecurity, together with declines in home values and tight credit, is likely to limit gains in consumer spending. The possibility that the recent stabilization in household spending will prove transient is an important downside risk to the outlook.There will be a slight increase in output in the second half of 2009, gradual recovery in 2010, and some acceleration in 2011. Unemployment will continue to rise in 2009.He promised an exit strategy from monetary expansion. He always does. He does not say how or what. With the monetary base doubled, the FED now has to cut it by 50%. How? Silence.Accordingly, as I mentioned earlier, the FOMC believes that a highly accommodative stance of monetary policy will be appropriate for an extended period. However, we also believe that it is important to assure the public and the markets that the extraordinary policy measures we have taken in response to the financial crisis and the recession can be withdrawn in a smooth and timely manner as needed, thereby avoiding the risk that policy stimulus could lead to a future rise in inflation. The FOMC has been devoting considerable attention to issues relating to its exit strategy, and we are confident that we have the necessary tools to implement that strategy when appropriate.Sure the FOMC has the tools. The question is this: How to use them without bringing economy to the edge of another collapse? Perhaps the most important such tool is the authority that the Congress granted the Federal Reserve last fall to pay interest on balances held at the Fed by depository institutions. Raising the rate of interest paid on reserve balances will give us substantial leverage over the federal funds rate and other short-term market interest rates, because banks generally will not supply funds to the market at an interest rate significantly lower than they can earn risk free by holding balances at the Federal Reserve. Raising the rate of interest paid on deposits has the same effect as increasing the reserve requirement. I am all for this. But then where will the recovery come from? Banks are not lending.
He continued.
The attractiveness to banks of leaving their excess reserve balances with the Federal Reserve can be further increased by offering banks a choice of maturities for their deposits.Great! Then why will they lend to private industry? They won’t.He said the FED can do other things.For example, we can drain liquidity from the system by conducting reverse repurchase agreements, in which we sell securities from our portfolio with an agreement to buy them back at a later date. That is monetary deflation. Watch the economy fall into an even greater recession! If necessary, another means of tightening policy is outright sales of our holdings of longer-term securities. Not only would such sales drain reserves and raise short-term interest rates, but they also could put upward pressure on longer-term interest rates by expanding the supply of longer-term assets. Raise interest rates! Yes! That is what the FED did in 2006 through 2007. We know what happened.Ben is putting the shuck on Congress. Congressmen never ask the obvious: What will prevent a collapse next time?
Then there is the Federal budget. Stern Uncle Ben lectured the committee, knowing that the committee will do nothing.Prompt attention to questions of fiscal sustainability is particularly critical because of the coming budgetary and economic challenges associated with the retirement of the baby-boom generation and continued increases in the costs of Medicare and Medicaid.Prompt attention! Say, that’s a great idea! I have been waiting for 50 years, when my high school civics teacher said that Social Security would go bust in our lifetimes. Nothing so far.Addressing the country’s fiscal problems will require difficult choices, but postponing those choices will only make them more difficult. That’s what I said in print back in 1976. Nothing so far. Congress is still letting the programs go unfunded. It’s still pay as you go until the day it’s print as you go.Moreover, agreeing on a sustainable long-run fiscal path now could yield considerable near-term economic benefits in the form of lower long-term interest rates and increased consumer and business confidence. Unless we demonstrate a strong commitment to fiscal sustainability, we risk having neither financial stability nor durable economic growth.He is correct. That is why we are going to get neither financial stability nor durable economic growth.He then called for financial reform, meaning more power for the FED.The Federal Reserve has taken and will continue to take important steps to strengthen supervision, improve the resiliency of the financial system, and to increase the macroprudential orientation of our oversight.
He wants more transparency.
The Congress and the American people have a right to know how the Federal Reserve is carrying out its responsibilities and how we are using taxpayers’ resources. The Federal Reserve is committed to transparency and accountability in its operations. This does not include an audit by the FED by an agency not hired by the FED: the Government Accountability Office. Such an intrusion is a very bad idea, he said.The Congress, however, purposefully – and for good reason – excluded from the scope of potential GAO reviews some highly sensitive areas, notably monetary policy deliberations and operations, including open market and discount window operations. In doing so, the Congress carefully balanced the need for public accountability with the strong public policy benefits that flow from maintaining an appropriate degree of independence for the central bank in the making and execution of monetary policy. Financial markets, in particular, likely would see a grant of review authority in these areas to the GAO as a serious weakening of monetary policy independence. Because GAO reviews may be initiated at the request of members of Congress, reviews or the threat of reviews in these areas could be seen as efforts to try to influence monetary policy decisions. A perceived loss of monetary policy independence could raise fears about future inflation, leading to higher long-term interest rates and reduced economic and financial stability. We will continue to work with the Congress to provide the information it needs to oversee our activities effectively, yet in a way that does not compromise monetary policy independence. In short,hands off!
Here ended his lesson.
You have read my analysis. Presumably, it makes sense. I am not quoting out of context. I am quoting verbatim. You can see it’s a smoke screen. The FED doesn’t know what to do next.Congress cannot see this. The stock market ignores this. No one cares.
They also didn’t care with Greenspan, who was hailed as a genius. Where did he get us?
Its Official: U.S. Trapped in an Extended Deflationary Cycle
Washington’s Blog Thursday, July 23, 2009
Bernanke has just confirmed that the Fed’s prediction is for extended deflation.In an OpEd in the Wall Street Journal, Bernanke writes:My colleagues and I believe that accommodative policies will likely be warranted for an extended period. At some point, however, as economic recovery takes hold, we will need to tighten monetary policy to prevent the emergence of an inflation problem down the road.As the economy recovers, banks should find more opportunities to lend out their reserves. That would produce faster growth in broad money (for example, M1 or M2) and easier credit conditions, which could ultimately result in inflationary pressures…There you have it . . . straight from the horse’s mouth.Deflation is the problem for an extended period. Inflation could only threaten down the road, if faster growth and easier credit conditions ultimately might result in inflationary pressures.Remember, however, that food, energy and healthcare costs could still skyrocket, even as most other asset classes experience deflation.And if the U.S. defaults on its debts, the dollar would experience massive devaluation, which would cause hyperinflation for U.S. consumers (because it would take more dollars to buy the same goods or services). If the U.S. defaults, all bets are off.
European Union Warns Banks of Possible Forced Sales (Update2)
By Matthew Newman
July 23 (Bloomberg) -- Banks such as Lloyds Banking Group Plc and Dexia SA that received government bailouts may have to sell branches or units to win approval for restructuring plans under new European Union guidelines. The recommendations also call for stress tests, the disclosure of impaired assets and the possible closure of unprofitable operations, the EU said in a statement today. The guidelines will be used to review lenders that received aid after the credit crisis prompted EU governments to approve more than 3.77 trillion euros ($5.37 trillion) to support banks.We would impose a winding down if the viability of the bank isn’t assured, Philip Lowe, director general of the European Commission’s competition department, said at a press conference in Brussels today. The proposals, which don’t mention specific banks, increase pressure on national governments and lenders to turn in restructuring plans that comply with EU demands. European Competition Commissioner Neelie Kroes last month said Royal Bank of Scotland Group Plc and Lloyds might have to sell branches and units.Large state support may require some adjustments including structural measures, such as divestitures,the European Commission in Brussels said in a statement today.Governments must submit the plans within six months after the commission approved initial bailouts. The EU said it is reviewing a large number of individual cases.
Commerzbank, ING
The Brussels-based commission in May forced Germany’s Commerzbank AG to sell assets to win approval for a rescue plan and is reviewing a plan by ING Groep NV, the biggest financial services company in the Netherlands. RBS and Lloyds have recently submitted their restructuring plans to the commission, Lowe said. The EU is also reviewing proposals for another U.K. lender, Northern Rock Plc. Lowe said that there are 30 banks in the pipeline for restructuring plans and as many as 14 lenders have already submitted or will soon submit proposals. The government is working closely with the commission on state aid approval for the Asset Protection Scheme and Northern Rock, a U.K. Treasury spokesman said. Like the commission, we are focused on ensuring our actions enhance financial stability as well as ensuring we have a fully competitive banking sector.
Lloyds, HBOS
Lloyds acquired HBOS Plc during the financial crisis in January to become the U.K.’s biggest mortgage lender with a market share of about 28 percent and Britain’s biggest provider of checking accounts. The government took a 43 percent stake in the bank after it provided about 14.5 billion pounds to boost its capital. The bank is seeking to insure about 260 billion pounds of assets with the government. As we have previously stated we, along with all U.K. banks in receipt of state aid, are working closely with HM Treasury to demonstrate to the European Commission that Lloyds Banking Group has a strong plan to exit state aid,” London-based Lloyd’s said in a statement.At this stage it is too early to say what the result of the review will be.
The commission said banks must be viable in the long term in order to receive approval for state aid.We need to make banks viable again without state support and to re-invigorate competition in the single market,Kroes said in the statement. To contact the reporter on this story: Matthew Newman in Brussels at Mnewman6@bloomberg.net Last Updated: July 23, 2009 08:08 EDT
New EU Bank Rules Will Limit Acquisitions By REUTERS
Published: July 23, 2009 Filed at 10:25 a.m. ET
BRUSSELS (Reuters) - About 30 crisis-hit banks may have to divest assets and hold back on acquisitions to gain EU regulatory approval for their state bailouts under tough new rules on state aid to lenders unveiled on Thursday.The European Commission, which monitors whether state aid is compatible with EU competition rules, is taking a hardline stand after governments across the 27-country European Union injected billions to save banks hit by the credit crisis. The new guidelines will affect banks such as partially nationalised British lenders Royal Bank of Scotland
The financial crisis may not be over yet, but we need to start working seriously with member states to restructure European banks, Competition Commissioner Neelie Kroes said in a statement.We need to make banks viable again without state support and to reinvigorate competition in the single market, she said.Last month, Kroes warned Royal Bank of Scotland and Lloyds that they may have to sell a large chunk of their assets to comply with EU antitrust rules.The comments came after the Commission had approved restructuring plans by Germany's Commerzbank
IMF's Executive Board Backs $250 Billion SDR Allocation JULY 22,09
WASHINGTON -(Dow Jones)- The International Monetary Fund said Monday the executive board gave its backing to issuing $250 billion in special drawing rights to the fund's members, a key step toward the Group of 20's plan to boost global liquidity.
The SDR issuance, which will increase the foreign currency reserves of the 186 countries that belong to the IMF, still has to win the support of 85% of the voting power of the Board of Governors.The Board of Governors is scheduled to vote on the issuance of the IMF's quasi-currency on August 7, with the allocation expected to go into effect August 28. Each member state appoints a governor to the Board of Governors.The allocation was agreed to by G20 leaders in April as a way to help contain the global crisis by injecting liquidity into the global financial system. It complements a similar plan underway to triple the IMF's resources to $750 billion.
Emerging-market and developing countries will receive about $100 billion of the SDRs, including over $18 billion allotted to low-income countries.The SDR allocation is a key part of the fund's response to the global crisis, offering significant support to its members in these difficult times, IMF Managing Director Dominique Strauss-Kahn said in a statement.-By Tom Barkley, Dow Jones Newswires; 202-862-9275; tom.barkley@dowjones.com(Updates to add details.)
WASHINGTON -(Dow Jones)- The International Monetary Fund said Monday the executive board gave its backing to issuing $250 billion in special drawing rights to the fund's members, a key step toward the Group of 20's plan to boost global liquidity.
The SDR issuance, which will increase the foreign currency reserves of the 186 countries that belong to the IMF, still has to win the support of 85% of the voting power of the Board of Governors.The Board of Governors is scheduled to vote on the issuance of the IMF's quasi-currency on August 7, with the allocation expected to go into effect August 28. Each member state appoints a governor to the Board of Governors.Isabelle Mateos y Lago, an advisor in the strategy, policy, and review department, told reporters on a conference call she is pretty confident the proposal will pass since IMF Managing Director Dominique Strauss-Kahn can only schedule a vote if he believes there is broad support.The allocation was agreed to by G20 leaders in April as a way to help contain the global crisis by injecting liquidity into the global financial system. It complements a similar plan underway to triple the IMF's resources to $750 billion.Emerging-market and developing countries will receive about $100 billion of the SDRs, including over $18 billion allotted to low-income countries.
The SDR allocation is a key part of the fund's response to the global crisis, offering significant support to its members in these difficult times, Strauss- Kahn said in a statement.Low-income countries, which are now getting hit hardest by the crisis as trade and investment flows dry up, will see their international reserves jump by an average of 20%. By exchanging their SDRs for hard currency like dollars, those countries can pursue expansionary policies typically available only to richer nations, said Mateos y Lago.This allocation is going to provide, unconditionally, significant amounts of liquidity to the countries that need it the most,she said.
The allocation would be distributed in line with each member's quota, and would represent a 74% increase to their reserves with the fund. The U.S., with the highest quota, stands to receive nearly $50 billion in SDRs, followed by Japan and Germany, with about $15 billion each.Some advanced countries are considering using the SDRs they don't need to help support IMF lending to low-income countries, said Tom Krueger, deputy direct of the finance department.When asked about concerns that the liquidity injection may stoke global inflation pressures, Mateos y Lago said the allocation would amount to a fairly tiny 0.3% of global gross domestic product and doesn't pose much of a threat.The size suggests that there wouldn't be much of an impact, especially if you consider that not all of these $250 billion (SDRs) are likely to be spent right away,she said.The SDR - which is made up of a basket of the dollar, euro, yen and pound - has also been put forward by China and Russia as a potential alternative to the dollar amid concerns that the U.S. debt load may become unsustainable.With the allocation amounting to only 3% of global reserves, however, the SDR is still a long way from becoming a viable alternative as a global reserve currency, said Mateos y Lago.Still, the combined with plans for the IMF to issue its first bonds in SDRs to China, Russia and a couple of other advanced developing countries, the issue will likely remain a topic of debate at G20 meetings.It would take a number of such steps to increase substantially the role of the SDR, but certainly it is a step in that direction if you take a very long- term perspective, she said.-By Tom Barkley, Dow Jones Newswires; 202-862-9275; tom.barkley@dowjones.com
IMF proposes allocating 250-billion-dollar SDR to boost global liquidity
www.chinaview.cn 2009-07-21 00:47:41
WASHINGTON, July 20 (Xinhua) -- The executive board of the International Monetary Fund (IMF) has backed an allocation of Special Drawing Rights (SDRs) equivalent to 250billion U.S. dollars to provide liquidity to the global economic system by supplementing 186 member countries' foreign exchange reserves. The proposed SDRs will be allocated according to the IMF members' existing quotas in the fund. The equivalent of nearly 100 U.S. billion of the new allocation will go to emerging markets and developing countries.The proposal will now be submitted to the IMF's board of governors for final approval.The SDR allocation is a key part of the Fund's response to the global crisis, offering significant support to its members in these difficult times,IMF Managing Director Dominique Strauss-Kahn said. The SDR allocation was requested as part of a 1.1 trillion U.S. dollars plan agreed at the G20 summit in London in April and endorsed by the International Monetary and Financial Committee (IMFC) to tackle the global financial and economic crisis by restoring credit, growth and jobs in the world economy.If approved by the board of governors with an 85 percent majority of the total voting power in a vote scheduled to close on Aug. 7, the SDR allocation will be in effect on Aug. 28.The allocation is a prime example of a cooperative monetary response to the global financial crisis,Strauss-Kahn said. The SDR allocation will be made to IMF members that are participants in the Special Drawing Rights Department (currently all members) in proportion to their existing quotas in the fund, which are based broadly on their relative size in the global economy.
The operation will increase each country's allocation of SDRs by approximately 74 percent of its quota, and fund members' total allocation to an amount equivalent to about 283 billion dollars, from about 33 billion dollars (SDR 21.4 billion). SDRs allocated to members will count toward their reserve assets, acting as a low cost liquidity buffer for low-income countries and emerging markets and reducing the need for excessive self-insurance. Some members may choose to sell part or all of their allocation to other members in exchange for hard currency -- for example, to meet balance of payments needs -- while other members may choose to buy more SDRs as a means of reallocating their reserves.In supporting the allocation proposal, the executive board stressed that it should not weaken the pursuit of prudent macroeconomic policies, and should not substitute for a Fund-supported program or postpone needed policy adjustments.Editor: Mu Xuequan.
EU looking for better deal on data transfer
ANDREW WILLIS Today JULY 23,09 @ 09:15 CET
EUOBSERVER / BRUSSELS РEU justice commissioner Jacques Barrot on Wednesday denied accusations that the European parliament was being sidelined from discussions with the US on the transfer of financial data. In addition, Mr Barrot said the commission - set to gain a new mandate this month to renegotiate the terms under which financial data is transferred to the US for counter-terrorism purposes - will be pushing hard for favourable deal.We must negotiate an agreement based on reciprocity rather than allowing the US to continue as they have up until now as if they were top dog, the French commissioner told members of the newly formed parliamentary committee on civil liberties, justice and home affairs.Following the 11 September 2001 terrorist attacks, the US treasury department has been checking financial information provided by the Society of Worldwide Interbank Financial Telecommunication (SWIFT), a financial network owned by banks, in an attempt to prevent future attacks. The move initially proved highly controversial in Europe with member state protection supervisors saying the transfer of the financial data, including that of EU citizens, contravened EU laws. In 2007, an agreement was reached between the EU and US on the conditions under which a limited subset of the SWIFT data could continue to be transferred, and member states now generally agree that the process has merits. In addition, a European expert was sent over to the US to verify that the data was been used according to the agreed terms.A report by the French judge, Jean-Louis Brugui̬re, published in February of this year concluded that the SWIFT data was been used purely for anti-terrorism purposes and was also being deleted when no longer necessary, two important criteria under the EU-US agreement.
New deal
In a bid to comply better with EU data protection laws however, the SWIFT server is set to be moved from the US to Switzerland, resulting in the imminent renegotiation of the data transfer terms. It's one we would like to conclude under the Lisbon Treaty,said Mr Barrot referring to the EU's proposed new rulebook that would give the parliament a greater say in the area of justice and home affairs. MEPs have complained recently that the commission was attempting to push through the new deal under the current Nice rules that limit the parliament's powers of co-decision in the area.However ratification of the Lisbon Treaty is currently held up in a number of EU member states, with the commission therefore looking to negotiate a temporary agreement with the US until Lisbon comes into effect.All we are looking for is an interim decision to extend the status quo,said Mr Barrot responding to MEP questions.
Stockholm strategy
Mr Barrot also discussed the commission's proposed justice and home affairs plan for 2010-14 - known as the Stockholm strategy – with the committee. Although broadly welcoming the four-part blueprint, MEPs were critical of the lack of detail in certain areas of the document published last month, and insisted measurable criteria needed to be put in place so that the effectiveness of the plans could be assessed. Mr Barrot agreed that both ex-ante and ex-post implementation yardsticks needed to be put in place.The Stockholm programme aims to set up a framework for EU police and customs cooperation, rescue services, criminal and civil law cooperation, asylum, migration and visa policy for the next five years.Components include the mutual recognition of decisions made by different member state judicial systems and a convergence of sentences for criminal offences.The plan also envisages greater police co-operation in the area of cross-border crime and the setting up of an observatory to monitor migratory flows within the bloc.
Dairy farmers, police clash in EU quarter in Brussels JULY 22,09
BRUSSELS (AFP) – Angry dairy farmers clashed with police Wednesday at barricades around the European Union headquarters in Brussels, as they demanded help to tackle plummeting milk prices.Scores of farmers -- many of whom had descended on the Belgian capital in tractors -- tried to force their way through the blockades, set up at key points around the main EU buildings.Some lifted up barbed-wire barricades and threw them at police, while others hurled road signs and other objects, with officers using batons and shields to protect themselves.The demonstrators set fire to a straw man, in what they said was a symbol of the death of their industry.The European Commission rejected Wednesday any freeze or cut in milk quotas despite demands from France and Germany and dairy farmers hit by falling prices.Last November, EU farm ministers agreed to lift milk production quotas by one percent per year before scrapping them altogether in 2014-2015.But in recent months, European farmers have ramped up protests in search of support through financial aid or by limiting supplies, as dairy product prices collapsed due to low demand caused by the financial and economic crisis.Since 2007, milk prices have in the worst cases halved.The commission, the EU's executive arm, has agreed to introduce very targeted aid to the sector but has refused to go back on its decision to scrap the quota system.
Bank of Canada all but says recession over with new forecast
By Stephanie Dearing.JULY 22,09
In a new economic forecast released yesterday, the Bank of Canada all but declared the recession over for Canada. The new release contains upwardly revised forecasts for economic growth in 2010, with less contraction expected this year. Saying the recovery is nascent, the Bank of Canada has changed its predictions for Canada's economic outlook for the rest of this year and 2010. While the Bank does not predict growth this year, it has said that the economy will not shrink as much as was thought would occur earlier this year. The increase in growth for 2010 the Bank has forecast is slight (0.5%) but significant, signalling optimism about economic recovery for Canada, even though the Bank of Canada did hedge its bets by keeping the interest rate unchanged at 0.25%. The Bank of Canada had recently conducted a survey of businesses, saying the results indicate growing optimism. Canada's unemployment rate remains at 8.6%. The latest unemployment figures will be released by the government on August 7, 2009 and it is expected that the number of unemployed Canadians will continue to rise into 2010.
Interestingly, the International Monetary Fund (IMF) just announced that it is planning to inject $250 billion into the global economy, even though the IMF had issued a statement optimistically predicting that the recession would end this year. The move by the IMF was requested by the G20 leaders in April this year. A vote is yet to be held on the injection of money, but if approved, the funds will be released August 28th to IMF member's reserve assets.The recovery from the global financial crisis is expected to be a jobless recovery.
TEXT OBAMA JULY 10,09
http://www.google.com/hostednews/ap/article/ALeqM5gdg6aZEvHFxEzna1Yg3pG6dKURNQD99BR3SG2
Brazil on the International Stage Author: Stephanie Hanson, Associate Director and Coordinating Editor July 21, 2009 Introduction Strong Economic Foundations U.S.-Brazil Relations Energy Trade A Seat at the Table: Multilateral Institutions
Introduction
In the past several years, Brazil has assumed a more prominent voice on global trade and energy issues. As the global financial crisis took hold in 2008, Brazil appeared poised to recover more quickly than many others due to strong industrial and agricultural exports. Brazil's economic rise has led it to pursue greater influence in international forums at the same time that it fosters cooperation among countries in the developing world with south-south initiatives. Analysts say that the United States stands to benefit from a stronger Brazil that serves as a partner on energy and regional security initiatives, but it must be careful not to view Brazil's rise as a challenge, or, during a time of great economic turmoil, neglect the relationship.
Strong Economic Foundations
In the past decade, Brazil has developed a robust and diversified economy that ranks eighth in the world with an estimated gross domestic product (GDP) of nearly $2 trillion in 2008 (PDF). Economists attribute Brazil's growth to sound economic management, which has reduced inflation and attracted foreign investment, and the stabilization of its currency, the real. The country is well-positioned to weather the current economic downturn; its population of roughly 200 million has become a burgeoning consumer market, and its banking system has largely escaped the credit crisis. After several banks failed in the mid-1990s, Brazil tightened bank regulations. Some small distressed private banks were taken over by the government, and troubled state-owned banks were closed or purchased by foreign investors. As a result, Brazil's banks are strengthening the economy and making it more resistant to fluctuations in local and international markets,says a 2009 article published in the online business journal of the University of Pennsylvania's Wharton School. Yet some economists, including former director of international affairs at Brazil's Central Bank, Paulo Vieria da Cunha, caution that future economic growth could be constrained by the large size of the Brazilian state. The state spends between 40 and 50 percent of GDP, but da Cunha notes that: It's very inefficient, very corrupt, and full of problems.Brazil is learning to balance meaningful commercial diplomacy with political diplomacy in an unprecented way.- Kellie Meiman.Brazil's economic growth is largely export driven-both agricultural and industrial. It is the world's biggest exporter of sugar, chicken, beef, and coffee. Analysts agree that Brazil has the potential to produce even more agricultural exports. No other country has such a large untapped reserve of land, water, and farmers with the technology and expertise to add value to natural resources,wrote author Juan de Onis in a 2008 Foreign Affairs article.
Brazil also harbors a number of homegrown multinational corporations, such as Embraer, one of the world's largest aerospace companies. These companies have major investments overseas, so Brazil is learning to balance meaningful commercial diplomacy with political diplomacy in an unprecedented way,writes Kellie Meiman in a March 2009 report (PDF) from the Center for American Progress. In 2008, Sao Paulo's stock and commodity exchanges merged, which prompted a new inflow of foreign investment. Finally, Brazil discovered large deposits of offshore oil in 2008. Though the oil will be difficult to extract, industry analysts say the country could become a major oil exporter within the next decade.Given Brazil's strong economic position, analysts say that the Brazilian Foreign Ministry is intent on defining and cementing a new global leadership role for Brazil.Brazil is a nation that no longer wants to be viewed simply as the largest country in Latin America,writes foreign policy analyst David Rothkopf, who runs a consulting firm focused on emerging markets.Brazil wants a say in international affairs, and to be an agent of peace and stability,adds Paulo Sotero, director of the Brazil Institute at the Wilson Center.
U.S.-Brazil Relations
Brazil's ascendancy poses opportunities and challenges for the United States, which would like to have a stronger partnership with the country on security, trade, and energy matters. Compared to Mexico's Felipe Calderon and Colombia's Alvaro Uribe, which maintain close U.S. ties, relations with the administration of Brazilian President Luiz Inacio Lula da Silva are limited. According to the U.S. Congressional Research Service, there are ten bilaterial mechanisms in place for the U.S. and Brazilian governments to discuss issues of mutual concern. Under the administration of U.S. President George W. Bush, the two countries forged a cooperation agreement on biofuels. But they disagreed on global trade talks, ethanol subsidies, and climate change.Behind this failed agenda is an underlying resistance in the Brazilian political psyche to any hint of subservience to the United States,writes Onis in Foreign Affairs. For instance, Brazil held a summit of Latin American leaders in late 2008 and did not include the United States. Yet Lula was the first Latin American leader to visit President Obama in Washington, and the two leaders have since met several times--at G-20 meetings as well as the Summit of the Americas. Analysts see these initial meetings as positive. However, they also say the United States finds it frustrating that Brazil doesn't want to get too close. Brazil's foreign policy is maddeningly vague from a U.S. point of view, says Thomas J. Trebat, executive director of Columbia University's Institute of Latin American Studies.
CFR Task Force:The Task Force recommends that the United States build on its existing and welcome collaboration with Brazil on ethanol to develop a more consistent, coordinated, and broader partnership that incorporates a wide range of bilateral, regional, and global issues.
U.S.-Latin America Relations: A New Direction for a New Reality
Under Lula, Brazil has forged a moderate policy path that allows it to maintain positive relations with its neighbors, whether Venezuela, led by the leftist Hugo Chavez, or Colombia, a strong U.S. ally. It has served as a mediator in crises in Venezuela, Ecuador, and Bolivia. Brazil also commands the UN stabilization force in Haiti. Trebat suggests the United States should look to Brazil as an intermediary on regional security issues.By not being too closely aligned with the United States, they can still be seen as an honest broker,he says. Miami Herald columnist Andres Oppenheimer writes in a March 2009 column that Brazil has emerged as the key interlocutor between Latin America and the United States.Some analysts believe the current economic crisis is an opportunity for the United States and Brazil to develop a deeper partnership. But others note that Brazil seems more interested in forging strong ties with countries in Africa and Asia, as opposed to the United States. For instance, Brazil has expressed its allegiance to the developing world on climate change talks. A country that started its industrialization process 150 years ago has more responsibility than one starting yesterday; the United States has more responsibility than China, and Europe more than South America or Africa,said Lula in July 2009. Brazil has also cultivated stronger ties with China, which is now its largest trading partner. Experts differ on how the United States should handle this tension. David Rothkopf suggests that the United States should seek a new special relationship with Brazil,to keep Brazil from feeling slighted by U.S. prioritization of other matters. If the Obama administration only pays lip service to Brazil but slow walks the most important issues while seeking disproportionate payment in turn from the Brazilians ... then tension and distrust are likely to manifest themselves, he writes. Other analysts say the United States just needs to treat Brazil on more equal footing. The willingness of the U.S. government to listen to Brazil is important,says Sotero.
Energy
The United States and Brazil have forged cooperation agreements with the aim of increasing ethanol use throughout Latin America and creating a global market for biofuels, but frictions persist due to the U.S. tariff on Brazilian ethanol. The 54-cent per gallon tariff protects the U.S. domestic ethanol industry, which is corn-based, from Brazilian sugar-based ethanol, which is produced at a lower cost. Though some legislators have proposed ending the tariff, segments of the U.S. agriculture lobby strongly oppose such a measure. The Brazilian government has threatened to file a complaint with the World Trade Organization if the tariff is not reassessed, but Obama has signaled that he plans to continue the tariff. Experts are split on how serious this disagreement is, and what implications it has for the broader relationship. Some say the tariff prevents closer cooperation on energy issues, while others discount it, suggesting that Brazil understands why the United States can't eliminate the tariff.On the international stage, Brazil broke with India at the Doha round of global trade talks, pushing for lowered subsidies because they would make Brazilian goods more competitive.Some policymakers, including U.S. Assistant Secretary of State Thomas Shannon, have highlighted U.S.-Brazil cooperation on ethanol as grounds for a wider partnernship. The cooperation currently is based on a 2007 memorandum of understanding and an announcement, one year later, that both countries would help Guatemala, Honduras, Jamaica, Guinea-Bissau, and Senegal create biofuels industries. Some experts say these initiatives are too narrow. This limited dialogue is not broad enough to help address U.S. energy needs, climate change, or to build a global market for ethanol,writes Kellie Meiman. She recommends that the United States reduce its ethanol tariff.Many experts believe the United States will seek stronger energy ties with Brazil in light of its substantial offshore oil resources. The United States obtains most of its oil from Western Hemisphere suppliers, including Canada, Mexico, and Venezuela. Mexico's oil output is decreasing, and the United States would like to diversify itself away from Venezuelan oil because of the antagonistic relationship with Chavez.
Trade
On trade, Brazil has often taken a stance that aligns it with other developing nations and places it in opposition to developed countries, including the United States. Brazil's trade policy is not merely about making the nation wealthier, but making the nation more powerful,says Matias Spektor, senior research fellow at CPDOC, a Brazilian research center. In Latin America, it stauchly opposed the Free Trade Agreement of the Americas and announced its intention to increase trade within the Mercosur bloc of countries. An April 2008 report (PDF) from the Wilson Center's Brazil Institute said that Brazil is reluctant to expand its trade relations with the United States and the European Union because it fears that this would conflict with its south-south foreign policy strategy and potentially alienate its developing world allies.Some analysts believe that such a foreign policy goal runs counter to Brazil's economic best interest. For instance, the Mercosur bloc has not yielded concrete trade benefits for Brazil. A 2009 Congressional Research Service report on U.S.-Brazil relations notes that the Ministry of Foreign Relations continues to dominate trade policy, causing the country's commercial interests to be (at times) subsumed by a larger foreign policy goal, namely, enhancing Brazil's influence in Latin America and the world (PDF). The CRS report suggests that Brazil's focus on south-south initiatives has yielded few concrete results for the country.Yet Sotero says there is growing recognition within Brazil's policy circles that Mercosur has become a problematic and limiting relationship. Though there is no bilateral trade agreement between the two countries, the U.S.-Brazil trade relationship has grown substantantially in recent years; U.S. exports to Brazil rose from $12.3 billion in 2002 to $19.2 billion in 2006 (PDF). On the international stage, Brazil broke with India at the Doha round of global trade talks, pushing for lowered subsidies because they would make Brazilian goods more competitive. Brazil was peacemaker between India and the United States and Europe. Brazil was willing to cut a deal and wanted to bring India along but couldn't do it,Trebat says. Many analysts believe Brazil will continue to support global south initiatives, but in the end, it does want to trade more with the United States.Fundamentally Brazilians know what side of the bread the butter is on,Trebat says.
A Seat at the Table: Multilateral Institutions
Underlying much of Brazil's activism on the global stage is a belief that it should have a more influential role at multilateral bodies like the UN Security Council, the International Monetary Fund (IMF), and the G-8 group of advanced economies. Brazil would like U.S. support in its bid for a permanent seat on the UN Security Council. It would also like a decision-making role at the IMF.The fact you become a potential creditor makes your voice stronger,Claudio Loser, head of the IMF's Western Hemisphere Department from 1994 to 2002, told Bloomberg in April 2009.Brazil has been pushing very hard, together with countries such as India, China and Mexico, for the fund to better reflect the importance of emerging economies,Some analysts note, however, that Brazil will need to contribute funds to the IMF if it hopes to have a stronger role within the body. In June 2009, Brazil announced it will invest up to $10billion in notes issued by the IMF.The Wilson Center's Sotero says the United States should work with Brazil to assist countries in the global south with issues like food and energy security. The United States is interested in helping to increase agriculture yields across sub-Saharan Africa, and Brazil's agriculture research agency already has an office in Ghana from which it aims to assist other African countries.If local solutions are to be found for Africa's chronic food deficiencies, Brazil's expertise in tropical agriculture, supported by international financing, could prove vital,Onis writes.Weigh in on this issue by emailing CFR.org.
EU mulls including US in Georgia mission
ANDREW RETTMAN Today JULY 23,09 @ 07:31 CET
EUOBSERVER / BRUSSELS - EU states have started tentative internal talks on expanding the EU Monitoring Mission in Georgia (EUMM) to include personnel from other countries, such as the US or Turkey.The UK, the Netherlands and the Czech Republic at a meeting of EU diplomats in Brussels on Wednesday (22 July) spoke out in favour of opening up EU missions to third parties in principle.The UK is at the same time exploring potential French and German backing for a Georgian request to invite US monitors to join the EUMM.Some member states fear that a US presence would make the EU mission a target for attacks by Georgian separatist forces, however. EU officials also worry that the move could damage ongoing peace talks between Russia and Georgia in Geneva. The discussion comes after Russia earlier this year pulled the plug on UN and OSCE observers in Georgia.The withdrawals will leave the EUMM's 313 unarmed officers and administrative staff as the only international entity in the post-conflict theatre.There should be an interest from all sides in building bridges with the US or other parties to make sure there is a wider presence, both institutionally and on the ground,Georgia's EU ambassador, Salome Samadashvili, told EUobserver.US vice president Joe Biden on a visit to Tbilisi on Wednesday ducked press questions on prospects for US deployment. But a US official told this website that the US is consulting with the EU and Georgia on the best way forward.We believe a robust international monitoring presence is critical to conflict resolution,the contact said.Georgia has indicated that Turkey would also be a welcome addition to the EU team, with Turkey on Wednesday sounding a positive note on the idea.That would fit in quite nicely with our general support for any and all efforts to improve stability and well-being in Georgia,Turkey's foreign ministry spokesman Burak Ozugergin said.
EU foreign ministers meeting on Monday are expected to extend the EUMM's mandate for a further 12 months until 14 September 2010. The EUMM can be enlarged to include other countries at any time following a unanimous decision by EU states. But a formal discussion on enlargement is not foreseen before September, when EU institutions resume full activities after the summer recess.
