Rice price rises in South Asia….

“As the price of rice climbs across South Asia, farmers and millers in Thailand are sitting on stocks and waiting for it to rise even further, said a top rice exporter in Bangkok.

The exporter, who requested anonymity, told The Straits Times: ‘In my 25 years of trading, I have never seen such a bad position.’ There is a rice shortage in Bangladesh and China too, among other countries, while there is a wheat shortage in Afghanistan.

In local markets in Pakistan, the price of rice has gone up over the past month by more than 60 per cent year on year. India recently contributed to soaring world prices when it imposed a ban on rice exports — relaxed only partially to allow some supplies to Madagascar, Mauritius, the Comoros Islands and cyclone-hit Bangladesh. China has banned rice exports to ensure enough is available for domestic demand.

From Kansas to Kabul, high rice and wheat prices are worrying officials and economists, and beginning to hit consumers — especially tens of millions of poor people — harder than many can remember. In Singapore, while rice importers and supermarkets have no problems getting the staple grain, prices have escalated….”

More at the Independent.

Amazon Blog: Government of PR flacks, by PR flacks, for PR flacks

Where you get your words from doesn’t matter. That was the verdict of pundits and newsmen last week on the charges of plagiarism flung back and forth between the candidates.

Maybe.

But. in a time when words are increasingly going astray, a man or woman who makes his living with them can’t afford to fool around. He’d better stick with the ones he picks. And they’d better be his.

Four years ago, the country went to war for words later proved false. Word provided by politicians, pundits and newsmen… who should have known better. Who had a duty to their words – to keep them honest, unadulterated, and organic.

Because we swallow what they tell us.
We live or die by their words.

When words don’t anchor themselves in reality, then they’re only slogans…memes. The stuff of PR. We are dying by PR in this country.

It’s a major theme of Mobs, Messiahs and Markets.
The slogans that drive the mob crazy and pollute the conversation in our country.

If the point of words is to get what you want, then you can pitch them anyway you want. That’s the bottom -line.

But bottom-line thinking isn’t really what a conversation among citizens is about.
That’s what corporations do.

If our country is a business – even a not-for-profit business – run to achieve a social goal, however noble, or meet a production quota, however magnificent, then it doesn’t really matter whether anyone plagiarizes. It doesn’t matter how words are treated. It only matters that they do what we want them to do and take us where we want to go.

But if your country is not a corporation but an association of individuals, then words have to mean something more than slogans to move your listeners this way or that. They have to be more than tools to get your way.
You have to treat them with respect, like the people who speak them With care.

Like fine cutlery at a dinner. You don’t bend them or break them and you don’t pinch them, even from friends.

Real words are an exploration of the changing truths of the heart. They express what we are. They take us to places we did not know existed and let us become what we never dreamed to be.

They make up a conversation between individuals.
Not a script crafted by PR flacks.

The Leader of the Band….

As I was blogging at Amazon about words and the difference between PR rhetoric and real words, here are a few that appeal to me.

A tribute to his father, from singer Dan Fogelberg who died on December 17, 2007 at the age of 56:

An only child
Alone and wild
A cabinet maker’s son
His hands were meant
For different work
And his heart was known
To none —
He left his home
And went his lone
And solitary way
And he gave to me
A gift I know I never
Can repay

A quiet man of music
Denied a simpler fate
He tried to be a soldier once

But his music wouldn’t wait

He earned his love
Through discipline
A thundering, velvet hand
His gentle means of sculpting souls
Took me years to understand.

The leader of the band is tired
And his eyes are growing old
But his blood runs through
My instrument
And his song is in my soul —
My life has been a poor attempt
To imitate the man
I’m just a living legacy
To the leader of the band.

My brothers lives were
Different
For they heard another call
One went to Chicago
And the other to St. Paul
And I’m in Colorado
When I’m not in some hotel
Living out this life Ive chose
And come to know so well.

I thank you for the music
And your stories of the road
I thank you for the freedom
When it came my time to go —
I thank you for the kindness
And the times when you got tough
And, pap, I don’t think I

Said I love you near enough —

The leader of the band is tired
And his eyes are growing old
But his blood runs through
My instrument
And his song is in my soul —
My life has been a poor attempt
To imitate the man
I’m just a living legacy
To the leader of the band
I am the living legacy
To the leader of the band.

Financial Follies: Gvt’s chief auditor resigns citing looming budget crises

“David M. Walker, the U.S. comptroller general and head of the Government Accountability Office, announced Friday that he will resign in March to lead a new foundation focused on long-term public policy challenges.

GAO serves as Congress’ chief investigative and audit arm, probing waste and fraud in government programs and detailing the long-term budget problems facing the government. Walker has headed the agency, which has more than 3,100 employees and a budget of nearly $500 million, since November 1998. His 15 year-term was not set to end until 2013.

Walker, 56, has repeatedly warned that the government faces a long-term fiscal crisis as the baby-boom generation retires, driving up spending on Medicare, Medicaid and Social Security.

He will continue to raise the alarm as president and chief executive of the newly established Peter G. Peterson Foundation, set up by the co-founder and senior chairman of The Blackstone Group, who served as Commerce secretary in the Nixon administration. Peterson has pledged to contribute at least $1 billion to the foundation.

“I have been around a very long time, and I have never seen so many simultaneous challenges that I would describe as undeniable, unsustainable and virtually untouchable politically,” Peterson, 81, said in a release announcing the foundation.”

More at Congressional Quarterly.

Housing Bubble Trouble: Global Collapse predicted by Tiger Management head

“In a recent interview on CNBC with Ron Insana, one of the “old-timer”funds manager, Julian Robertson, predicted “utter global collapse” as a consequence of the bursting of the world-wide property bubble. Often called “Never Been Wrong Robertson”, the former head of Tiger Management (once the largest hedge fund in the world), is extremely worried about the speculative bubble in real estate.”

Read more at Liberty Dollar.

Amazon re-viewed….

What gets into people when they get in front of a computer keyboard? Talk about power corrupting. …And nothing is more powerful than a review.

In the old days you at least had to show some mastery of the field to make comments on the work of other people. These days you don’t have to show any command – of your field….of the language….even of yourself….you just need to hit a button and there, you’ve trashed a year or two of sweat by some poor sod silly enough to want to display his talents to the public.

By all means destroy a book….with another book. Savage your opponent…. with a sardonic lyric. But press a button?

Amazon “trash” reviews – especially by anonymous posters — are the dirty bombs of criticism.

And no – I am not crying over myself. Political writers are used to becoming the target of cyberfury….especially in an election year.

No, my wrath is on behalf of Cyprien Katsaris (one of the living legends of classical piano, if you’ve had the extreme misfortune never to have heard of him). His monumental performance of the Liszt transcription of the Beethoven symphonies is rated only 4 stars by some Amazon customers.

Four stars, dear reader? What were those reviewers withholding that one star for, I wonder?

That’s mass man for you. Never able to look up to anyone or anything. Always leveling. Never able to see anything bigger than his own miserable limits.

Short of raising the dead and making the blind see, Katsaris’s performance is as close to the divine as clods of clay will ever get. The physical stamina demanded alone is mind-boggling, let alone what’s needed technically, intellectually and emotionally.

I assume these critics actually play some instrument besides a kazoo? Having spent many years at the keyboard let me say that the Liszt transcriptions of the Beethoven symphonies are some of the most excruciatingly difficult piano pieces there are. Hitting seventy-five percent of the notes would qualify you as a very competent pianist. Hitting every one of them with a level of precision, power, beauty, imagination and depth that would make the archangels stop dead in their tracks and take notes is a feat of which few…very few….maybe no more than a score of mortals…. have ever been capable in the life of this sorry planet. Katsaris is one of them.

Amazon does not have enough stars to rate that performance. The proper response to it is not button- pushing but chastened silence.

If you can find words, they had better be the best you can summon up.

Thus, my first Amazon review:

5.0 out of 5 stars One of the finest recordings I have ever heard, February 15, 2008

By Lila Rajiva “Lila” (US) – See all my reviews

Katsaris is simply incredible. He has virtuosity and power to spare – that goes without saying. He plays this extraordinarily difficult score as though he were born doing it; as though he had an orchestra in his ten fingers. I can’t think of many other pianists who could pull out every voice so individually from this complex arrangement and bring to each one such a range of color.

Add to this a majestic singing line, commanding intellectual presence, a tone quality that is sumptuous, relentless rhythmic power, and technical panache that never detracts from the musical depths that open from under his fingers. The slow movements spin out into galactic space, the filigree passages are iridescent, the fast movements are volcanic dithyrambs driven by centaurs.

What a genius. And what a genius Liszt was to make you almost think the unthinkable – that these transcriptions of Beethoven improve on the originals. Music written by one titan, recreated by another, and brought to life by a third.

Encountering this recording was one of the musical high points of my life. I cannot imagine piano playing any better than this. At least not on earth.

Irresponsible…..that’s what we are….

LONDON – Can his fractured fiddle — a million-dollar Guadagnini — be fixed? It’s too early to tell.

David Garrett, a former model who has been called the David Beckham of the classical scene, said he tripped while carrying his 18th century violin as he was leaving London’s Barbican Hall after a performance, smashing it to bits.”

More here at NPR.

Comment:

What has this to do with the body politic in the US? Everything. Who in his right mind would run down the stairs with a priceless old violin in his hand?

Answer: someone who has insurance. “Irresponsible….that’s what we are….” (Sorry Nat).

The moral hazard problem in a nutshell. Insurance increases the chance that the very behavior it’s calculated to offset will happen.

That’s what this credit crunch is all about. People twiddling, fiddling, and diddling with all sorts of complex instrumentalities they wouldn’t normally dream of getting their tongues around, let alone, put their money into, because they knew someone else – you, dear tax-payer – was always there like the everlasting arms to catch them if they fell down the stairs.

It’s called TBTF — Too Big Too Fail – a theme (with variations) first composed by Alan Greenspan when he fiddled at the Chicago Board, as Bill Engdahl points out.

After that solo performance, he began stringing the economy farther and farther along by tuning interest rates lower and lower.

Yep. They didn’t call him the Maestro for nothing.

Media-trix: New book confirms we live in a propaganda state

Monday, 11 February 2008

 

“On the morning of 9 February 2004, The New York Times carried an exclusive and alarming story. The paper’s Baghdad correspondent, Dexter Filkins, reported that US officials had obtained a 17-page letter, believed to have been written by the notorious terrorist Abu Musab al Zarqawi to the “inner circle” of al-Qa’ida’s leadership, urging them to accept that the best way to beat US forces in Iraq was effectively to start a civil war.

The letter argued that al-Qa’ida, which is a Sunni network, should attack the Shia population of Iraq: “It is the only way to prolong the duration of the fight between the infidels and us. If we succeed in dragging them into a sectarian war, this will awaken the sleepy Sunnis.”

Later that day, at a regular US press briefing in Baghdad, US General Mark Kimmitt dealt with a string of questions about The New York Times report: “We believe the report and the document is credible, and we take the report seriously… It is clearly a plan on the part of outsiders to come in to this country and spark civil war, create sectarian violence, try to expose fissures in this society.” The story went on to news agency wires and, within 24 hours, it was running around the world.

There is very good reason to believe that that letter was a fake – and a significant one because there is equally good reason to believe that it was one product among many from a new machinery of propaganda which has been created by the United States and its allies since the terrorist attacks of September 2001.

For the first time in human history, there is a concerted strategy to manipulate global perception. And the mass media are operating as its compliant assistants, failing both to resist it and to expose it.

The sheer ease with which this machinery has been able to do its work reflects a creeping structural weakness which now afflicts the production of our news. I’ve spent the last two years researching a book about falsehood, distortion and propaganda in the global media.

The “Zarqawi letter” which made it on to the front page of The New York Times in February 2004 was one of a sequence of highly suspect documents which were said to have been written either by or to Zarqawi and which were fed into news media.

This material is being generated, in part, by intelligence agencies who continue to work without effective oversight; and also by a new and essentially benign structure of “strategic communications” which was originally designed by doves in the Pentagon and Nato who wanted to use subtle and non-violent tactics to deal with Islamist terrorism but whose efforts are poorly regulated and badly supervised with the result that some of its practitioners are breaking loose and engaging in the black arts of propaganda.

Like the new propaganda machine as a whole, the Zarqawi story was born in the high tension after the attacks of September 2001. At that time, he was a painful thorn in the side of the Jordanian authorities, an Islamist radical who was determined to overthrow the royal family. But he was nothing to do with al-Q’aida. Indeed, he had specifically rejected attempts by Bin Laden to recruit him, because he was not interested in targeting the West.

Nevertheless, when US intelligence battered on the doors of allied governments in search of information about al-Q’aida, the Jordanian authorities – anxious to please the Americans and perhaps keen to make life more difficult for their native enemy – threw up his name along with other suspects. Soon he started to show up as a minor figure in US news stories – stories which were factually weak, often contradictory and already using the Jordanians as a tool of political convenience.

Then, on 7 October 2002, for the first time, somebody referred to him on the record. In a nationally televised speech in Cincinnati, President George Bush spoke of “high-level contacts” between al-Q’aida and Iraq and said: “Some al-Q’aida leaders who fled Afghanistan, went to Iraq. These include one very senior al-Q’aida leader who received medical treatment in Baghdad this year, and who has been associated with planning for chemical and biological attacks.”

This coincided with a crucial vote in Congress in which the president was seeking authority to use military force against Iraq. Bush never named the man he was referring to but, as the Los Angeles Times among many others soon reported: “In a speech [on] Monday, Bush referred to a senior member of al-Q’aida who received medical treatment in Iraq. US officials said yesterday that was Abu al Musab Zarqawi, a Jordanian, who lost a leg during the US war in Afghanistan.”

Even now, Zarqawi was a footnote, not a headline, but the flow of stories about him finally broke through and flooded the global media on 5 February 2003, when the Secretary of State, Colin Powell, addressed the UN Security Council, arguing that Iraq must be invaded: first, to stop its development of weapons of mass destruction; and second, to break its ties with al-Q’aida.

Powell claimed that “Iraq today harbours a deadly terrorist network headed by Abu Musab al Zarqawi”; that Zarqawi’s base in Iraq was a camp for “poison and explosive training”; that he was “an associate and collaborator of Osama bin Laden and his al-Q’aida lieutenants”; that he “fought in the Afghan war more than a decade ago”; that “Zarqawi and his network have plotted terrorist actions against countries, including France, Britain, Spain, Italy, Germany and Russia”.

Courtesy of post-war Senate intelligence inquiries; evidence disclosed in several European trials; and the courageous work of a handful of journalists who broke away from the pack, we now know that every single one of those statements was entirely false. But that didn’t matter: it was a big story. News organisations sucked it in and regurgitated it for their trusting consumers.

So, who exactly is producing fiction for the media? Who wrote the Zarqawi letters? Who created the fantasy story about Osama bin Laden using a network of subterranean bases in Afghanistan, complete with offices, dormitories, arms depots, electricity and ventilation systems? Who fed the media with tales of the Taliban leader, Mullah Omar, suffering brain seizures and sitting in stationery cars turning the wheel and making a noise like an engine? Who came up with the idea that Iranian ayatollahs have been encouraging sex with animals and girls of only nine?

Some of this comes from freelance political agitators. It was an Iranian opposition group, for example, which was behind the story that President Mahmoud Ahmadinejad was jailing people for texting each other jokes about him. And notoriously it was Iraqi exiles who supplied the global media with a dirty stream of disinformation about Saddam Hussein.

But clearly a great deal of this carries the fingerprints of officialdom. The Pentagon has now designated “information operations” as its fifth “core competency” alongside land, sea, air and special forces. Since October 2006, every brigade, division and corps in the US military has had its own “psyop” element producing output for local media. This military activity is linked to the State Department’s campaign of “public diplomacy” which includes funding radio stations and news websites. In Britain, the Directorate of Targeting and Information Operations in the Ministry of Defence works with specialists from 15 UK psyops, based at the Defence Intelligence and Security School at Chicksands in Bedfordshire.

In the case of British intelligence, you can see this combination of reckless propaganda and failure of oversight at work in the case of Operation Mass Appeal. This was exposed by the former UN arms inspector Scott Ritter, who describes in his book, Iraq Confidential, how, in London in June 1998, he was introduced to two “black propaganda specialists” from MI6 who wanted him to give them material which they could spread through “editors and writers who work with us from time to time”.

In interviews for Flat Earth News, Ritter described how, between December 1997 and June 1998, he had three meetings with MI6 officers who wanted him to give them raw intelligence reports on Iraqi arms procurement. The significance of these reports was that they were all unconfirmed and so none was being used in assessing Iraqi activity. Yet MI6 was happy to use them to plant stories in the media. Beyond that, there is worrying evidence that, when Lord Butler asked MI6 about this during his inquiry into intelligence around the invasion of Iraq, MI6 lied to him.

Ultimately, the US has run into trouble with its propaganda in Iraq, particularly with its use of the Zarqawi story. In May 2006, when yet another of his alleged letters was handed out to reporters in the Combined Press Information Centre in Baghdad, finally it was widely regarded as suspect and ignored by just about every single media outlet.

Arguably, even worse than this loss of credibility, according to British defence sources, the US campaign on Zarqawi eventually succeeded in creating its own reality. By elevating him from his position as one fighter among a mass of conflicting groups, the US campaign to “villainise Zarqawi” glamorised him with its enemy audience, making it easier for him to raise funds, to attract “unsponsored” foreign fighters, to make alliances with Sunni Iraqis and to score huge impact with his own media manoeuvres. Finally, in December 2004, Osama bin Laden gave in to this constructed reality, buried his differences with the Jordanian and declared him the leader of al-Q’aida’s resistance to the American occupation.”

More at the Independent confirming the thesis of “The Language of Empire” — some 3 years after I first wrote it….

This was the same Al Zarqawi who was supposed to be the master- mind behind the Nick Berg killing.

Check out Language of Empire on this site..

Police State Chronicles – disciplining the disabled

“TAMPA, Fla. – Four sheriff’s deputies have been suspended after purposely tipping a paralyzed man out of his wheelchair onto a jailhouse floor, authorities said.

Surveillance footage from Jan. 29 shows Hillsborough County Deputy Charlette Marshall-Jones, 44, dumping Brian Sterner out of his wheelchair and searching him on the floor after he was brought in on a warrant after a traffic violation.”

 More at MSNBC,


Goldman Sachs Watch: Bush’s 168 billion dollar morning-after pill….

After a wild orgy of spending, rate-cutting, war-‘n-waste, what’s the responsible thing to do?

Why, more of the same!

Here’s the bill text of HR. 5140, called The Recovery Rebates and Economic Stimulus for the American People Act of 2008.

http://readablelaws.org/index.php?title=Bill_text:HR.5140:Recovery_Rebates_and_Economic_Stimulus_for_the_American_People_Act_of_2008

Yep. Seems what the American people need is more stimulation…not less.

And to think all along, we’ve been laboring under the delusion that the population was already as overstimulated as a cage of parakeets. We thought they needed haldol, not simulation.

There was too much lending… too much spending… too many houses… too many mortgages… too much debt… too much speculation… too much war… too much waste… too much consumption… too many deals…too many Goldman Sachs bankers on the fed payroll… too many orange alerts…too much patting down at airports… too much fear-mongering…too many Trump mansions…too much celebrity blather…too many Brittany Spears court appearances…

But now we know better.

There weren’t enough.

As always, the devil is in the details.

Thus, CNN tells us that it was quite the love-fest down on the Potomac:

“House Minority Leader John Boehner, R-Ohio, said, “The House gave a little, the Senate gave a little. I think that’s what the American people expect of us — to find some way to come together and deal with the problems the American people are facing.”

Indeed. Coming together for the good of the people. That’s how these things work.

Let’s see.

“The package, which passed the Senate 81-16, will send rebate checks to 130 million Americans in amounts of $300 to $600 for people who have an income between $3,000 and $75,000, plus $300 per child. Couples earning up to $150,000 would get $1,200

So say we all come out of this with about 500-1000 bucks in our hands. Now, tell me again, what’s the level of debt in the country?

From the same article:

“The crushing weight of Americans’ debt load was underscored Thursday when the Federal Reserve reported Americans owed a record $943.5 billion in credit card debt at the end of December. Including loans other than mortgages and home equity lines of credit, Americans are shouldering a record $2.5 trillion in debt….”

Two point five trillion, dear friends — T, not B.

But it’s OK, say the experts, because the population is going to go and pay off its debt with this here tax-rebate-recovering-and-yet-stimulating-some-more package.

“The money will go into the hands of lenders rather than retailers,” said Mike Niemira, chief economist of the International Council of Shopping Centers.

Ah.
In other words, the “people” whom our Congressmen are helping are the very people – the lenders – who got us into this mess in the first place.

“A survey found that about one in four Americans (26 percent) said they would spend their tax rebates. Nearly half (46 percent) said they plan to use the rebate to pay off debt and a quarter (28 percent) would save the money, according to the International Council of Shopping Centers and UBS Securities, which jointly commissioned the study of 1,005 households between January 31 and Sunday.”

UBS Securities conducts studies with shopping centers?

That’s right. Union Bank of Switzerland, UBS, if you didn’t know, is Europe’s second largest bank and despite its name, the world’s largest manager of private wealth funds. Private, as in, nothing whatsoever to do with “the people,” “der volk,” “national interest,” “homeland,””public good” and other spin put out by spin-meisters for the consumption of said public.

UBS, dear reader, is a “diversified global financial services company” headquartered in Basel and Zurich with a major US presence in Manhattan, so says wiki.

Not content with wiki, we of course supply you with further details from the bank’s own website
which tells us engagingly- if alarmingly – that it operates “everywhere — and next to you.”

Fascinating.

You’re at the casino, losing your shirt…and UBS is…..doing you a service because it’s twisting the arm of the croupier to spot you a few grimy dollars so you can go back to losing money at his table and don’t have to stagger out and throw yourself under a passing trolley?

Whatever.

And then we learn that the chief deal- maker behind this financial roulette of gargantuan proportions is none other than Henry (Hank) Paulson, former chief of Goldman Sachs and current chief of US Gov. Inc.’s personal ATM machine, the Federal Reserve.

What this proves, says the government’s main money man, is that we need…..more government money men!

“Today’s meeting gave us the opportunity to discuss policy responses to these downside risks as well as the need to craft effective policy and regulatory responses that institute sounder frameworks better able to withstand risks and stresses,” said Hank, according to Bloomberg.com.

But back to that shopping center group that ran the study with UBS.

A google search takes us to its website, which tells us that the ICSC (International Council of Shopping Centers) is “the global trade association for the shopping center industry” and that “its 70,000 members in the U.S., Canada and more than 80 other countries include shopping center owners, developers, managers, marketing specialists, investors, lenders, retailers and other professionals as well as academics and public officials.’

That’s to say, ICSC is a big player on the international commercial real estate scene, not just an unbiased observer checking the pulse of the consumer.

You’d think that CNN might stop and mention that before quoting its studies like scripture.

A ‘regular’ member of ICSC “develops, owns or manages shopping centers” continues another page of the ICSC website, or “is a merchant located in a shopping center,” or – get this – “is engaged in business as a lending institution that provides equity, interim or permanent financing shopping centers from its own funds.”

At ICSC’s New York National Conference and Deal Making conference last year, December 4-6, at the Hilton New York Hotel & Towers, the speakers included Matt Fassler, retail analyst & managing director of Goldman Sachs, and the focus was on the trend in mixed-use development and public-private partnerships. Speaking on that topic were experts like Barry Dinerstein, deputy director of Housing, Economic Development and Infrastructure Planning of the City of New York.

The widely used ICSC-UBS US retail chain store sales index is a weekly publication of ICSC and UBS Securities, LLC, a unit of UBS. UBS Securities “is considered something of a barometer for the fortunes of foreign firms trying to build a presence in American investment banking,” according to this NY Times piece (February 8).

The piece describes the recent, unexpected resignation of UBS Securities’ Victor Cohn, co-chief of its investment banking division. Cohn’s departure followed on the heels of the dismissal last week of UBS Securities’ Government bond trading chief, J. Patrick Rothstein.

The exit of these two reinforces “longstanding doubts about the ability of foreign banks to break into the American investment banking market,” says the Times owlishly. Translation – this major European bank lost its derriere trading US financial markets – $14 billion in losses in the housing market, according to another NY Times piece ……..with more to come.

Would UBS have an interest in a US tax payer bail-out of its losses? We guess so.

Would it have any credible way to get it unless it managed to hoodwink the American public?

We think not.

Meanwhile, UBS has also turned to the foreign reserves held by tax payers elsewhere. It’s sold a 9% stake to the Government of Singapore Investment Corp. (a sovereign wealth fund of the Singapore government), following on the sale by Citigroup (C), the largest U.S. bank, of a 4.9% stake to the Abu Dhabi Investment Authority, a sovereign fund owned by the government of the United Arab Emirates.

So when CNN quotes a study about all the nice things consumers plan to do with the tax rebates handed to them by Hank Paulson you’d think it would mention that it was quoting a study conducted by the trade association of the business (commercial real estate) in which both Paulson’s former firm, Goldman Sachs, and UBS are elbow-deep. And that’s the very business now reeking with the stench of loans gone bad (some analysts think bank losses in the housing market might be around $800 billion.)

And that the banks being bailed by the taxpayer are now – as a result of their own  blunders – partly owned by foreign governments.

So much for the national interest and the public good.

Note also that the ICSC economist quoted in the CNN study above, the one describing just how consumers would spend their tax rebates, is the same Michael Niemira who noted on January 29 that the weekly ICSC-UBS index was showing a flat to negative reading of consumer sentiment.

Outside the circle of the “public good” this would normally be considered a major conflict of interest.

The banks make the diagnosis: consumer spending down. The banks suggest the remedy: more money. The banks grind up the medicine: a tax-rebate. The rebate goes via the consumer back to the banks.

Result: Gain for Paul (banks, debtors, and borrowers). Loss for Peter (tax-payers, savers, and creditors).

Lesson learned: Ever a borrower or a lender be in these United States of Debt and Delusion.