Quotulatiousness

March 23, 2011

US government financial plight: more reasons to worry

Filed under: Economics, Government, USA — Tags: , , — Nicholas @ 12:21

The ever cheerful Monty brings us another helping of financial DOOM:

Our whole “plan” (to the extent that our government even has a plan for getting us out of this mess) is founded on the belief that our borrowing costs will remain low — that the interest-rate environment will remain at or near zero indefinitely. Well, it won’t, and I don’t think enough people are thinking about what a huge dent interest-payments on the debt is going to put into our budget. Our entire federal budget will be eaten up with four things: Medicare, Medicaid, Social Security, and debt-service payments. That means any additional spending (like, oh, say, the military) will have to come from borrowed money…which will have to be borrowed at higher rates, which in turn causes debt-service costs to rise yet again. This is the vicious debt-spiral many European countries now find themselves in.

What has basically happened during the past forty or fifty years is that we’ve spent most of our actual capital — mainly on our vast welfare state and government apparatus, but also on our huge military. We are like a couple who lives paycheck-to-paycheck: any money that comes in goes right back out. Nothing gets tucked away. An unexpected expense — a busted water-heater, broken-down car, or an unexpected illness or injury — all of a sudden puts you in a hell of a financial hurt. So you borrow. You can’t really afford even the payment much less the whole loan, but what can you do? You may even cast caution to the winds and buy that jet-ski you’ve had your eye on (on credit, of course). Why not? You’re already screwed; being screwed a little bit more hardly matters at this point, right? Then something else breaks and you have to borrow again (if you can), and the monthly bills start to pinch you where you live — it’s either service your debt or pay the rent, because you can’t do both. At that point, the spinning plates will come crashing down — you will either default on your debt to avoid starving your family into oblivion, or you will force your family to live like animals in a cave so you can pay off the debt you ran up.

So the frustrated call goes up: “Okay, we’re boned! I get it! But what can we do about it?” Answer: I don’t know. Maybe nothing, at this point.

[. . .]

I’ve often said that circumstances will impose a solution on us if we don’t find one ourselves — we simply cannot continue as we are. And the reckoning is not comfortably far off in the future; it’s unfolding right now, before our very eyes.

March 22, 2011

Explaining why President Obama didn’t consult congress over Libya

Filed under: Africa, France, Media, Military, USA — Tags: , , — Nicholas @ 09:46

I think Gabriel Malor has the gist of it right here:

People are overthinking the whole question of whether the President should have gone to Congress to authorize the Libya war. They’re especially overthinking why he chose not to.

It’s quite simple. The President didn’t go to Congress because he never thought he’d need to go to Congress. Obama spent three weeks dithering and then almost a full week telegraphing his intent not to intervene. But when the time came to announce his decision, he flinched and made a last-second gut decision to go to war.

The decision to commit the United States to war wasn’t out of any sudden change of heart about the value of Libyan lives. Nor did the President suddenly discover U.S. national interests in North Africa. He did it because he was getting internationally embarrassed by the French and by Secretary Clinton. He did it because he was looking bad and after three and a half weeks of polling his numbers were looking worse.

So, having failed to make any effort at all to reach out to Congress on the issue because he never expected that he would have to and with his Brazil vacation imminent, there simply wasn’t any time left to get Congressional authorization. Yes, he could have gotten it, in the sense that I’m absolutely sure the votes are there. But it would have taken a few more days and not even the MBM could pretend that he was “leading” on the Libya issue at that point.

The thought that the French would start referring to Americans as “burger-eating surrender monkeys” may have clinched it.

March 21, 2011

More re-Volting details on GM’s electric car

Filed under: Economics, Politics, Technology, USA — Tags: , , , , — Nicholas @ 15:20

Patrick Michaels looks at the Chevy Volt:

. . . GM was desperate for customers for what they perceived would be an unpopular vehicle before one even hit the road. It had hoped to lure more if buyers subtracted the $7,500 from the $41,000 sticker price. Instead, as Consumer Reports found out, the car was very pricey. The version they tested cost $43,700 plus a $5,000 dealer markup (“Don’t worry,” I can hear the salesperson saying, “you’ll get more than that back in your tax credit!”), or a whopping $48,700 minus the credit.

This is one reason that Volt sales are anemic: 326 in December, 321 in January, and 281 in February. GM announced a production run of 100,000 in the first two years. Who is going to buy all these cars?

Another reason they aren’t exactly flying off the lots is because, well, they have some problems. In a telling attempt to preserve battery power, the heater is exceedingly weak. Consumer Reports averaged a paltry 25 miles of electric-only running, in part because it was testing in cold Connecticut. (My engineer at the Auto Show said cold weather would have little effect.)

But not to worry! They’ve found someone to buy half of the total Volt production:

Recently, President Obama selected General Electric CEO Jeffrey Immelt to chair his Economic Advisory Board. GE is awash in windmills waiting to be subsidized so they can provide unreliable, expensive power.

Consequently, and soon after his appointment, Immelt announced that GE will buy 50,000 Volts in the next two years, or half the total produced. Assuming the corporation qualifies for the same tax credit, we (you and me) just shelled out $375,000,000 to a company to buy cars that no one else wants so that GM will not tank and produce even more cars that no one wants. And this guy is the chair of Obama’s Economic Advisory Board?

March 20, 2011

A different way to visualize the proposed US budget cuts

Filed under: Economics, Government, Politics, USA — Tags: , , , — Nicholas @ 10:53

Jon sent me an interesting link on a different way to visualize the relative size of the proposed budget cuts:

That struck me as a pretty good analogy. I wondered: if you do the math, what part of a Big Mac Extra Value Meal would a $6 billion budget cut represent?

The arithmetic is pretty simple, due to the extensive nutrition information that McDonalds makes available online. A Big Mac Extra Value Meal has three components: a Big Mac, a large order of french fries, and a medium soda. The McDonalds site tells us that a Big Mac has 540 calories, a large fries has 570 and a medium Coke has 210, for a total of 1,320 calories.

Meanwhile, the federal budget is currently around $3.8 trillion, which means that a $6 billion cut represents one 633rd of the total. What would be an equivalent cut in a Big Mac Extra Value Meal?

One variable is not readily available online; that is, how many french fries are there in a large order? To answer that question, I went to a nearby McDonalds at lunch time, paid for a large order of fries, and counted them. There were 87. (I counted fries regardless of size, but did not count the hard bits in the bottom of the container.)

This allows us to complete the calculation. If there are 570 calories in a large order of fries, and 87 fries per order, each french fry, on the average, contains 6.5 calories. One 633rd of the total calorie content of a Big Mac Extra Value Meal is 1,320/633, or 2.1 calories. That equals almost exactly one-third of an average sized french fry.

March 19, 2011

Andrew Sullivan: It’s time to rein in the Imperial Presidency

Filed under: Africa, Government, Law, Military, USA — Tags: , — Nicholas @ 09:32

I stopped reading Andrew Sullivan a long time ago, when he seemed to lose his mind over Sarah Palin and her family. If this is typical of his writing these days, perhaps he’s recovered from his temporary obsession:

The president’s speech was disturbingly empty. There are, it appears, only two reasons the US is going to war, without any Congressional vote, or any real public debate. The first is that the US cannot stand idly by while atrocities take place. Yet we have done nothing in Burma or the Congo and are actively supporting governments in Yemen and Bahrain that are doing almost exactly — if less noisily — what Qaddafi is doing. Obama made no attempt to reconcile these inconsistencies because, one suspects, there is no rational reconciliation to be made.

Secondly, the president argued that the ghastly violence in Libya is destabilizing the region, and threatening world peace. Really? More than Qaddafi’s meddling throughout Africa for years? More than the brutal repression in Iran? And even if it is destabilizing, Libya is not, according to the Obama administration itself, a “vital national interest”. So why should the US go to war over this?

So what is to be done? Sullivan has an answer:

The proper response to this presidential power-grab is a Congressional vote — as soon as possible.

That will reveal the factions that support this kind of return to the role of global policeman, and force the GOP to go on the record. I also look forward to the statements of the various Republican candidates in support of this president.

But it seems clear enough: exactly the same alliance that gave us Iraq is giving us Libya: the neocons who want to see the US military deployed across the globe in the defense of freedom and the liberal interventionists who believe that the US should intervene whenever atrocities are occurring. What these two groups have in common is an unrelenting focus on the reason for intervention along with indifference to the vast array of unintended consequences their moralism could lead us into. I do not doubt their good intentions and motives. No human being can easily watch a massacre and stand by. Yet we did so with Iran; and we are doing so in Yemen and Bahrain as we speak, and have done so for decades because we rightly make judgments based on more than feeling.

March 18, 2011

Tweet of the day

Filed under: Africa, Europe, France, Humour — Tags: , — Nicholas @ 08:32

From Jonnynexus:

France keen to act against Gaddafi, US hesitant. Should we start joking about “burger eating surrender monkeys”?

March 16, 2011

Japan’s plight distracts the world from Libya

Filed under: Africa, Europe, Media, Military, USA — Tags: , , , , — Nicholas @ 07:43

As we all feverishly check the media reports for updates on rescue efforts for survivors of the earthquake and tsunami in Japan, or even more urgently try to figure out the actual situation in and around the crippled nuclear reactors at Fukushima, it’s a huge boon to Moammar Gadhafi as he works on crushing the rebellion in Cyrenaica:

The megalomaniacal Gadhafi entertains many fantasies. Not so long ago, taking control of Egypt, via assassination or divine acclamation, was among them. Now, as he and his corrupt clique fight for survival, his loyalist and mercenary forces need only take Benghazi and Tobruk.

Crack Tobruk, and the Libyan rebels have three choices: surrender, seek asylum in Egypt or head for the deep southern desert and wage a longshot guerrilla war. Surrender is defeat, followed by mass executions and mass gravesites. Asylum is defeat — as the rebels hole up in Cairo, Gadhafi will launch bloody reprisals against Cyrenaica’s people. As for a guerrilla war waged from the Sahara? Gadhafi will have an air-power advantage. The coastal cities will also provide him with thousands of hostages (the guerrillas’ relatives) to torture and kill.

Rebel options, post-Tobruk, are dreadful. The mass graves outside the cities will be hideous. The long-term strategic implications of a Gadhafi victory are also hideous.

Why can’t NATO or the UN or the G-8 agree to impose a no-fly zone on Libya’s dictator? The Obama administration, whatever its latest rhetoric, has willingly enmeshed itself in a multilateral spider’s web of narrow interests, fear and greed. At some level, Gadhafi serves Russian and Chinese commercial arrangements. Europe fears the appearance of colonialism. The pertinent phrase here is, “Gadhafi is the devil we know.”

Update: George Jonas thinks the crowding-out of Libyan affairs is a boon to Barack Obama’s administration:

The disaster also gives Barack Obama and colleagues some breathing space. Based on past performance, that’s not necessarily a good thing. Instead of talking softly and carrying a big stick, our leaders bluster and carry nothing. By letting Gaddafi know they’ll be merciless to him in a defeat they aren’t lifting a finger to inflict, they’re only telling the strongman that standing firm is his best bet.

When Gaddafi takes their advice, Obama and his mates first cry foul, then develop a sudden urge to examine their fingernails. Having shown themselves to be large of mouth, short of sight and faint of heart, the earthquake in Japan offers them a reprieve.

Can’t they use a reprieve for something constructive? In fairness, at this juncture there isn’t a whole lot anyone can do. Certain problems are solved only by hugs or bear-hugs, and the Middle East isn’t conducive to either. The West’s enemies are too numerous to maul, and who, in God’s name, is there to embrace?

March 5, 2011

Expanding the already expansive interpretation of the “Commerce Clause”

Filed under: Government, Law, USA — Tags: , , , , — Nicholas @ 11:51

Rich Lowry explains why the recent court decision by Judge Gladys Kessler has such wide-reaching implications:

The easy-to-grasp distinction between an activity and inactivity is one of the most powerful legal arguments of ObamaCare’s opponents. But they hadn’t yet run up against a jurist as ingenious as Judge Kessler. She brushes aside the activity/inactivity distinction because not doing something is a choice and therefore “mental activity.”

Why hadn’t someone thought of this before? The sophists in Eric Holder’s Justice Department must be embarrassed that they didn’t themselves dredge up this killer rejoinder.

[. . .]

Kessler writes, “It is pure semantics to argue that an individual who makes a choice to forgo health insurance is not ‘acting,’ especially given the serious economic and health-related consequences to every individual of that choice. Making a choice is an affirmative action, whether one decides to do something or not do something.”

[. . .]

Under the Kessler principle, there’s no nonconduct that the federal government can’t reach. Every day, most Americans engage in nonactivities that affect interstate commerce. If you decide not to buy a house, not to buy a Chrysler or not to buy a Snuggie, you’ve impacted interstate conduct through affirmative mental actions. We’ve gone from the Constitution giving Congress the power to “regulate Commerce with foreign Nations, and among the several States, and with the Indian tribes,” to regulating on the basis of the mental activities of individuals deciding not to do something.

If this precedent stands, the Commerce clause has effectively swallowed the bill of rights: there will be no sphere of human activity that the US federal government can’t regulate.

H/T to David Harsanyi for the link.

March 1, 2011

American high speed rail plans an expensive mirage

Filed under: Economics, Government, Technology, USA — Tags: , , , — Nicholas @ 12:35

Philip Klein looks at the faulty notions behind the Obama administration’s push for high speed railways:

To most Americans, the passing reference to California was likely an afterthought, lost amid all the dreamy rhetoric of rebuilding the nation. But upon closer inspection, the state’s proposed high-speed rail system serves as a perfect example of the gap between the promise of transformational liberalism and the reality of big government. Taxpayers everywhere should pay attention, because the project has already been granted $3.2 billion in federal funds, mostly through Obama’s economic stimulus package — and its backers hope to gobble up billions more over the next decade.

The $43 billion transportation project to link Los Angeles to San Francisco with a bullet train by 2020 would be considered grandiose during the plushest of times, yet it’s being pursued during an era when governments at all levels are mired in deep fiscal crises. The plan has been subject to a series of scathing reports by independent analysts, raising concerns about everything from its cost estimates to its business model. The University of California at Berkeley has questioned its lofty ridership projections. And even the Washington Post has editorialized against it.

It’s a huge wodge of cash from a government that’s already struggling with record deficits, handed to state governments who are in many cases even worse off financially, yet must match the federal funds or lose the subsidy.

Calling it a “system” is misleading, as none of the currently imagined lines would inter-connect. Nobody seems to be worried that there will not be enough passenger traffic to justify the enormous acquisition, construction, and operational costs for these train services.

“The cost projections are overly optimistic,” Wendell Cox, a public policy consultant and co-author of a critical report for the libertarian Reason Foundation, says. “The ridership projections are absolutely crazy. The thing will have no impact on highway traffic and will have little or no impact on the amount of planes in the air. This project really defines the term ‘boondoggle.'”

[. . .]

BRINGING HIGH-SPEED RAIL to America has been a decades-long dream for liberals, who have long envied Europe’s extensive rail system. Building a high-speed rail network, they hope, would move the nation away from automobiles and reduce pollution. It has the added bonus of being a massive, centrally planned public works project. The problem is just because rail has worked elsewhere, that doesn’t mean it makes sense here.

“We’re not like Spain or France, where the population densities are a lot higher, and the cities are not as spread out,” Ken Orski, a former transportation official in the Nixon and Ford administrations and publisher of the newsletter Innovation Briefs, says. “So you can connect cities like Barcelona and Madrid or Paris and Marseilles easily.”

The best place to build a high speed rail system for the US would be the Boston-New York-Washington corridor (aka “Bosnywash”, for the assumed urban agglomeration that would occur as the cities reach toward one another). It has the necessary population density to potentially turn an HSR system into a practical, possibly even profitable, part of the transportation solution. The problem is that without an enormous eminent domain land-grab to cheat every land-owner of the fair value of their property, it just can’t be done. Buying enough contiguous sections of land to connect these cities would be so expensive that scrapping and replacing the entire navy every year would be a bargain in comparison.

The American railway system is built around freight: passenger traffic is a tiny sliver of the whole picture. Ordinary passenger trains cause traffic and scheduling difficulties because they travel at higher speeds, but require more frequent stops than freight trains, and their schedules have to be adjusted to passenger needs (passenger traffic peaks early to mid-morning and early to mid-evening). The frequency of passenger trains can “crowd out” the freight traffic the railway actually earns money on.

Most railway companies prefer to avoid having the complications of carrying passengers at all — that’s why Amtrak (and VIA Rail in Canada) was set up in the first place, to take the burden of money-losing passenger services off the shoulders of deeply indebted railways. Even after the new entity lopped off huge numbers of passenger trains from its schedule, it couldn’t turn a profit on the scaled-down services it was offering.

Ordinary passenger trains can, at a stretch, share rail with freight traffic, but high speed trains cannot. At higher speeds, the actual construction of the track has to change to deal with the physical problem of safely guiding the fast passenger trains along the rail. Signalling must also change to suit the far-higher speeds — and the matching far-longer safe braking distances. High speed rail lines cannot be interrupted with grade crossings, for the safety of passengers and bystanders, so additional bridges and tunnels must be built to avoid bringing road vehicles and pedestrians too close to the trains.

In other words, a high speed railway line is far from being just a faster version of what we already have: it would have to be built separately, to much higher standards of construction.

Getting back to the California HSR line; it goes from A to B on this map:

Okay, you think, at least Fresno will get some snazzy slick rail service . . . except this section will be built but not operated until further connecting sections are built . . . at a later date. Maybe. It will be the track, including elevated sections through Fresno, and the physical right-of-way, but no electrical system to power the trains; but that’s fine, because the budget doesn’t include any actual trains.

Of course, this is an old hobby horse of mine and I’ve posted about High Speed Railways a few times before.

February 15, 2011

US budget from a different universe

Filed under: Economics, Government, Politics, USA — Tags: , , — Nicholas @ 07:10

You’d have to assume that President Obama and his team really do live in a different universe than this one, as the latest budget fails to rein in spending in any meaningful way:

The budget has 2012 spending falling a bit from record 2011 levels, but that’s because “stimulus” spending is winding down, war costs are supposed to fall, and unemployment benefits should decline as the economy improves. Let’s look at some of the new budget data (all data for fiscal years):

  • Total federal spending jumped from $2.98-trillion in 2008 to $3.82-trillion in 2011. Obama’s budget has outlays at $3.73-trillion in 2012, but that’s still up 25% from 2008. Spending in 2011 is the highest share of GDP since the Second World War at 25.3%.
  • Non-defence discretionary spending jumped from $522-billion in 2008 to $655-billion in 2011. Spending is supposed to fall to $611-billion in 2012, but that’s still up 17% from 2008.
  • Defence spending jumped from $612-billion in 2008 to $761-billion in 2011. Spending is supposed to fall to $730-billion in 2012, but that’s still up 19% from 2008.
  • Entitlement spending jumped from $1.59-trillion in 2008 to $2.19-trillion in 2011. The budget has entitlement spending at $2.14-trillion in 2012, which is up a huge 35% from 2008.

[. . .] In the administration’s mind, apparently absolutely nothing has changed on fiscal policy in the last year. Obama hasn’t shifted toward fiscal responsibility an inch. The Tea Party movement, the November elections, the government debt crises in Europe, and the Obama Fiscal Commission have all been totally ignored in the new federal budget.

Even in economic good times, this would be an irresponsible budget. It’s far worse as the US economy is still crawling out of a deep hole.

February 3, 2011

Bipartisan big government

Filed under: Economics, Government, Politics, USA — Tags: , , , , — Nicholas @ 12:47

Bruce F. Webster addresses the “Clinton Budget Fallacy” by downloading some publicly accessible numbers and doing a bit of simple math:

Put simply, from 1999 to 2010, the US population grew by 10% and inflation reduced the value of the dollar by about 30%. Combine those two, and Federal spending should have gone up roughly 43% over that period. Instead, it went up 135%, or three times what it should have. Setting aside some of the bailouts, etc., that are in the budget, it’s still clear that almost every Federal line item went up at least twice what it should have during that period. Almost nothing (other than “general government”) grew a “mere” 43%.

I fully blame Bush and the 2002-2006 Republicans as much as I blame Obama and the 2006-2010 Democrats. The real question is whether the 2010 Republicans have the brains and the will to turn back the tide.

The smart money, I’m afraid, is betting against that outcome.

January 29, 2011

Government spending: it’s a problem of scale comprehension

Filed under: Economics, Government, Politics, USA — Tags: , , — Nicholas @ 12:04

January 28, 2011

QotD: If those were the “good old days” then to hell with them

Filed under: Economics, History, Politics, Quotations — Tags: , , — Nicholas @ 09:37

One of the difficulties progressives face is trying to make centralized planning sound like a good idea. Even the president, with all his rhetorical genius and majestic vagueness, can struggle with the task. So, from time to time, it’s important to mold history a bit to, you know, make a point.

Early on in his State of the Union, for instance, President Barack Obama reminisced of an age when “good jobs” meant “showing up at a nearby factory or a business downtown.” A time when you “didn’t always need a degree, and your competition was pretty much limited to your neighbors,” and, if you “worked hard, chances are you’d have a job for life, with a decent paycheck and good benefits and the occasional promotion. Maybe you’d even have the pride of seeing your kids work at the same company.”

Way to dream big! Really, was this country ever about being proud that your children ended up in the same plant you slaved in for 30 years? Even with a promise of a union pension and — if you’re lucky — an “occasional” promotion, it sounds like a soul-crushing grind you’d want your offspring to escape, tout de suite.

Luckily, in the real world, history tells of a story filled with dynamic movements of people, class climbing, churning innovation, booms and busts and widespread embrace of risk-taking.

Now, as the president explained, “painful” changes have crashed down on his revisionism and Americans have been forced to compete, find India on a map, move from town to town and study.

David Harsanyi, “Who are we in ‘Sputnik moment’?”, Denver Post, 2011-02-28

December 5, 2010

Police complaint filed after Tom Flanagan’s “fatwa”

Filed under: Cancon, Government, Law, Liberty, Politics — Tags: , , , , — Nicholas @ 10:41

Consistency, people! If we condemn Islamic leaders who call for the death of people who “offend” Islam, we should also condemn Canadian political operatives who call for the assassination of Julian Assange:

Vancouver lawyer Gail Davidson filed a written complaint today (December 4) with Vancouver police and the RCMP against Prime Minister Stephen Harper’s former campaign manager, Tom Flanagan.

Davidson alleged that on a November 30 CBC television broadcast, Flanagan “counselled and/or incited the assassination of Julian Assange contrary to the Criminal Code of Canada”.

Assange is the founder of Wikileaks, which is releasing 250,000 U.S. diplomatic cables.

On the Power and Politics program hosted by Evan Solomon, Flanagan said: “Well, I think [Julian] Assange should be assassinated, actually. I think Obama should put out a contract and maybe use a drone or something.”

I doubt that the case will go very far, and it may not be meant to: it’s communicating a message.

November 29, 2010

Oh noes! WikiLeaks show “undiplomatic” side of US diplomacy

The latest release of WikiLeaks’ cache of US government documents shows the undiplomatic side of things:

The documents obtained by the whistle-blowing website WikiLeaks, some of which describe allies and adversaries in starkly blunt terms, could undermine the Obama administration’s efforts to improve ties that have frayed with some key countries in Europe, the Middle East and elsewhere.

As reported by The New York Times and other media, the cables at times deride or mock foreign officials, calling Italian Prime Minister Silvio Berlusconi a “feckless” partier and describe Afghan President Hamid Karzai as “weak” and “easily swayed.”

Below are highlights of the embarrassing comments from the new WikiLeaks documents.

— One July 2009 cable from the State Department’s intelligence bureau, posted by The New York Times, contains instructions to U.S. diplomats for collecting intelligence on the United Nations.

The directive, from U.S. Secretary of State Hillary Clinton, urges diplomats to collect biographical information on U.N. personnel, including such personal data as telephone, cellphone, pager and fax numbers and e-mail addresses; credit card account numbers; frequent flyer account numbers, work schedules, and Internet and intranet “handles” (or nicknames).

Here we go: a perfect example of government duplication of effort. Everyone knows it’s cheaper to buy this information from Facebook!

Other “worldshaking” revelations include:

The newspaper says one 2008 cable characterizes the relationship between Dmitry Medvedev, Russia’s president, and its Prime Minister Vladimir Putin as a partnership in which Medvedev, who has the grander title, “plays Robin to Putin’s Batman.”

It also says a cable describes Italy’s Berlusconi as “feckless, vain and ineffective as a modern European leader.” One cable from Rome to Washington describes Berlusconi as “physically and politically weak” and asserts that his “frequent late nights and penchant for partying hard mean he does not get sufficient rest.”

In other words, pretty much common knowledge.

Update: William A. Jacobson thinks this is the Jimmy Carter moment for Barack Obama:

The U.S. Embassy takeover in Tehran on November 4, 1979, was the start of 444 days which came to define Jimmy Carter. The U.S. government was revealed to be powerless and the President weak. Those among us who were alive and conscious during those days have embedded the feelings of helplessness.

There have been many comparisons of Barack Obama to Jimmy Carter, focused on the economy. But the continuing leak of documents by Wikileaks has become for Obama what the Iranian hostage crisis was to Carter.

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