U.S.’s $13 Trillion Debt Poised to Overtake GDP: Chart of Day

Source:Bloomberg

Crowding-Out Effect Inevitable

President Barack Obama is poised to increase the U.S. debt to a level that exceeds the value of the nation’s annual economic output, a step toward what Bill Gross called a “debt super cycle.”

The CHART OF THE DAY tracks U.S. gross domestic product and the government’s total debt, which rose past $13 trillion for the first time this month. The amount owed will surpass GDP in 2012, based on forecasts by the International Monetary Fund. The lower panel shows U.S. annual GDP growth as tracked by the IMF, which projects the world’s largest economy to expand at a slower pace than the 3.2 percent average during the past five decades.

“Over the long term, interest rates on government debt will likely have to rise to attract investors,” said Hiroki Shimazu, a market economist in Tokyo at Nikko Cordial Securities Inc., a unit of Japan’s third-largest publicly traded bank. “That will be a big burden on the government and the people.”

Police State? US – MILITARY AT G-20 PROTEST

Associated Press

PITTSBURGH (AP) — Businesses vandalized during Group of 20 protests were cleaning up broken glass and getting back to work Friday while demonstrators pledging nonviolence planned an afternoon march to protest environmental, health care and other policies.

…

The march had a city permit and organizers pledged to keep it nonviolent.

That was not the case with a Thursday afternoon march that ended with clashes between police and anarchists.

Police, in an overwhelming show of force, declared the march illegal almost as soon as it began. Small bands of anarchists responded to officers’ overwhelming show of force by rolling huge metal trash bins, throwing rocks and breaking windows. Police fired rubber bullets and canisters of pepper spray and smoke.

On Friday, local businesses were trying to send messages to potential vandals, declaring themselves family- or locally owned.

Timesonline

Anti-G20 protesters rampaged through the city centre of Pittsburgh tonight, smashing up shops and throwing rocks at police, as officers used tear gas and baton-charges in an attempt to bring them under control.

In riots which continued through evening rush hour, about 300 protesters were reported to have remained from an initial crowd of 2,000 in Bloomfield, Pittsburgh’s Little Italy.

Frustrated in their attempts to reach the venue where world leaders are meeting the crowd, many of whom wore face-masks and armed themselves with rocks, broke windows at fast-food restaurants, a BMW dealership and a bank in the area, about a mile from the fenced-off convention centre.

Police in body armour and armed with plastic shields threw pepper gas canisters to disperse the protesters, charging in to make some arrests.

Some reports also suggested that rubber bullets had been used, but police tonight confirmed that they had fired pellet-filled “beanbags” to combat the rioters.

Credit Crunch… the board game

Board game
Credit Crunch

Dec 18th 2008
From The Economist print edition

You will need:

The board from the centre of The Economist’s Christmas issue (or pdf version of board below)

These rules

Risk cards, currency and icons from the pdfs below (or you can use your diamond cufflinks, or any other mementos of your former wealth, to represent you on the board)

Four coins

Scissors (to cut out currency and cards)

Three or more players; probably six at most

How it works

Players start with 500m econos each. One player doubles as banker.

Players move round by throwing four coins and progressing as many squares as they throw heads. If a player throws four heads, he moves forward four spaces and has another turn; if he throws four tails, he throws again. When a player lands on a + square, he collects money from the bank; equally, when he lands on a minus square, he pays the bank.

The aim is to be the last solvent player. In order to achieve this, players try to eliminate the competition. Risk cards encourage players to pick on each other.

Players who cannot pay their fines may borrow from each other at any rate they care to settle on—for instance, 100% interest within three turns. They should negotiate with the other players to get the best rate possible. Players who cannot borrow must either go into Chapter 11 or be taken over.

Players may conceal their assets from each other.

Chapter 11

When a player gets into debt and can’t persuade anybody else to lend to him, he goes bankrupt. A player who goes bankrupt three times is eliminated.

A bankrupt player must move to the Chapter 11 cell and stay there until:

1. He uses a “Get out of Chapter 11” card

2. He rolls four heads or four tails during his turn

3. He is taken over

A player coming out of bankruptcy goes to START.

If a player cannot escape Chapter 11 for five turns he is eliminated.

Takeover

A player may be taken over either if he cannot pay his debts or if he is already in Chapter 11. The purchaser pays the purchased player’s debts. If there is a takeover battle, the aspiring purchasers must bid against each other, and the highest bidder pays his bid to the bank.

The purchaser and subsidiary then play, in effect, as a team, though the purchaser is in charge. He gets to choose the beneficiaries and victims of the risk cards his subsidiary picks and may use the subsidiary’s assets to pay his fines, or pay the subsidiary’s fines if he wishes. But he does not have to: if his subsidiary gets into debt again, he can let the subsidiary go into Chapter 11. The subsidiary is then a free agent once more, and may get out of Chapter 11 in the usual ways. But the player who has just abandoned him may not take him over during that stay in Chapter 11, although he may during a subsequent visit.

Printing money

The Bank of Econia supplies the currency for this game. To access the banks vaults, download and print the money using the currency pdfs. Money may be printed in colour or grayscale.

The econo is available in five notes: Ec 10 million (here), Ec 50 million (here), Ec 100 million (here), Ec 500 million (here) and Ec 1000 million (here). There is a pdf page for each denomination with 10 bills on each page.

The Bank encourages a print run of:

60 x Ec 10m (6 pages with 10 bills on each page)

60 x Ec 50m (6 pages with 10 bills on each page)

60 x Ec 100m (6 pages with 10 bills on each page)

20 x Ec 500m (2 pages with 10 bills on each page)

20 x Ec 1000m (2 pages with 10 bills on each page)

Use scissors to separate notes.

Printing “Financial Risk” cards

There are 30 “Financial Risk” cards contained in three pdfs (here, here and here). Print one copy of each pdf and use scissors to separate cards. Place separated cards in a pile face down during play.

Printing icons

Players may choose any item to represent them on the board. Optional icons are contained on an icon pdf (here). Print page and separate desired icons using scissors. Fold back base flaps in order to allow the icon to stand upright.

Printing game board

The game board is available for printing on two pdfs (here and here) with one half of the board on each file.

Enlarging the board is encouraged. This may require utilising larger paper or printing then assembling the board from several pages.

General Kayani Must Not Blink and Pakistan’s Taliban Are CIA

Now the ball is in General Kayani’s court; will he be the one to blink first? Will he be forced by his civilian masters – Zardari and Gilani not to follow up on his promise and become subject of ridicule? Clearly, the U.S. is stung by Pakistan discovering who is the real enemy. Pakistan has decided to liquidate the so-called ‘Pakistani Taliban’ and is succeeding with popular support. It has become apparent that the insurgency in the FATA and elsewhere in NWFP is aided and abetted by the U.S. It wants to weaken the control of the federal government over the provinces and regions of Pakistan and it does not care whether it is achieved by Islamists or by ethnic nationalists. It supports the BLA as well as Baitullah Mehsud. It maintains its contacts with the MQM, the ANP, Baloch Nationalists as well as the JUI. It came to court the PPP as it concluded it was not overly concerned with ‘national interests’.

Source

Pakistan is not occupied. In Pakistan, the main terrorist organization – Tehrik Taliban Pakistan (TTP) – has political aims and it seeks to capture and control territory. The TTP is sponsored by the CIA, which provides it money, weapons and equipment.

Revelation indeed.

General Kayani Must Not Blink and Pakistan’s Taliban Are CIA

Now the ball is in General Kayani’s court; will he be the one to blink first? Will he be forced by his civilian masters – Zardari and Gilani not to follow up on his promise and become subject of ridicule? Clearly, the U.S. is stung by Pakistan discovering who is the real enemy. Pakistan has decided to liquidate the so-called ‘Pakistani Taliban’ and is succeeding with popular support. It has become apparent that the insurgency in the FATA and elsewhere in NWFP is aided and abetted by the U.S. It wants to weaken the control of the federal government over the provinces and regions of Pakistan and it does not care whether it is achieved by Islamists or by ethnic nationalists. It supports the BLA as well as Baitullah Mehsud. It maintains its contacts with the MQM, the ANP, Baloch Nationalists as well as the JUI. It came to court the PPP as it concluded it was not overly concerned with ‘national interests’.

Source

Pakistan is not occupied. In Pakistan, the main terrorist organization – Tehrik Taliban Pakistan (TTP) – has political aims and it seeks to capture and control territory. The TTP is sponsored by the CIA, which provides it money, weapons and equipment.

Revelation indeed.

Alas Government Gets Some Balls!!!

Its about time… it should have happened sooner

GEO reports that Pakistan has blocked US supplies to Afghanistan. This is most probably due to the recent pre-emptive attack by the “superhero” in the territory of Pakistan.

In a previous post I wrote about the importance of the trade route here

The strike under discussion occured on 5th September 2005. 20 people were killed due to this unprovoked attack. Not to mention we are suffering from suicide bombings which is an indirect result of US macho-ism.

WASHINGTON’S ambassador to Islamabad was last night given a “shellacking” by Pakistan after the first ever ground attack by US special forces inside the troubled nation.

Coming ahead of tomorrow’s crucial presidential election and amid a massive security clampdown following the attempted assassination of Prime Minister Yousuf Raza Gilani, the Pakistan Government’s confrontation with the Bush administration was unprecedented.

Source

Alas Government Gets Some Balls!!!

Its about time… it should have happened sooner

GEO reports that Pakistan has blocked US supplies to Afghanistan. This is most probably due to the recent pre-emptive attack by the “superhero” in the territory of Pakistan.

In a previous post I wrote about the importance of the trade route here

The strike under discussion occured on 5th September 2005. 20 people were killed due to this unprovoked attack. Not to mention we are suffering from suicide bombings which is an indirect result of US macho-ism.

WASHINGTON’S ambassador to Islamabad was last night given a “shellacking” by Pakistan after the first ever ground attack by US special forces inside the troubled nation.

Coming ahead of tomorrow’s crucial presidential election and amid a massive security clampdown following the attempted assassination of Prime Minister Yousuf Raza Gilani, the Pakistan Government’s confrontation with the Bush administration was unprecedented.

Source

More values from America for us to follow

Seems I dont get tired of “educating” my readers of the “positives” of American Society.

Here are some more

Crime in America

WASHINGTON — The FBI has fallen behind in processing DNA from nearly 200,000 convicted criminals — 85% of all samples it has collected since 2001 — Justice Department records show.

The backlog, which expands monthly, means most of the biological samples the bureau collects have not been stored in the national DNA database and used to solve crimes. DNA from 34,000 convicts has been added to the database since 2001, resulting in 600 matches to unsolved crimes, according to statistics furnished by the Justice Department to the Senate Judiciary Committee. At the same rate, the unloaded samples could help solve an additional 3,200 crimes. USA Today

Crime in the US is one of worst in the world. Latest available statistics at Nationmaster.com show that the US is:

– #9 in Rapes per capita (does not include unreported rapes, which is estimated to be around 61% – Wikipedia)
-#1 in Total Rapes (Hudood Ordinance, anyone?)

-#24 in Murders per Capita
-#6 in Total Murders

-#18 in Frauds per Capita
-#8 in Firearm Homocides
-#8 in Total Crimes per Capita

-#1 in Prisoners per Capita
-#1 in total Prisoners

Mukhtaran Mai

The case of Mai is indeed sad. True, it reflects the very evil our soceity suffers from. However, it has actively been used as a propoganda by the US and other nations to defame Pakistan. The active efforts of different “Human Rights” watchdogs have tuned Mai into a celebrity. These watchdogs seem to take keen interest in violations in the East.

The sad part is US asks us to honor our commitment to protect human rights. Further, Times Asia has declared her to be one of Asia’s Heros. While the Hero of thousands of American girls being raped is yet to rise.

Relation of Number of Prisioners with Crime rates

According to a documentary on National Geographic by Lisa Ling, prisons serve as proving grounds for criminals. The inmate are exposed to a tough enviornment, where there is a battle for survival.

We quickly learned that prison life revolves around race. If you don’t ally with people who share your skin color, you are targeted for assault. If you are white, even if you are Jewish, you need to align with the Aryan brotherhood or the Nazi Lowriders or one these white power groups. One of the weirdest rules is that white inmates don’t let each other drink out of a drinking fountain after a black person has drunk out of it.

Inmates have to develop themselves mentally and physically, hence, it is not unusual for them to be reading Art of War or planning out operations or creating deadly weapons from every day objects. This was further confirmed by a documentary on MS-13. The members of this dangerous gang consider it an honor to go to prision, which they hold as their “University”.

Affect of Death Penalty on rates of crime

Employing NationMaster’s analylitical tool we find that the rates of rape are inversely related to death penalties. Which means rapes are lower in regions with high capital punishments.

However, this analysis is crude in nature as it ignores various factors, yet delivers a pretty good insight.

Bottomline: The Cost of Crime

Looking at examples from Saudi Arabia and UAE, which happen to have one of the lowest crime rates in the world, we find that administering prompt and “costly” punishment inhibits crime.

The whole situation is linked to the psychological “cost” associated with crime. Man tends to repeat crime if the cost is low, in this case if a criminal thinks that he can get out of Jail in 3 to 5 years for murder, there is a greater chance that the person will not resist committing another when he gets out.

The average drug and firearm sentences are 69 months and 66 months, respectively, compared to average sentences of 59 months for sexual abuse, 31 months for assault and 33 months for manslaughter. November Coalition

Also, countries with high prison population, like US and UK, actively curtail sentences to reduce climbing prison population and cost to state. Prisons also act as an “incentive” as they provide free food and shelter.

Conclusion

This was an attempt to highlight a growing problem or rather a trend in the West. I attempted to keep the text concise for the readers to skim through, hope you find it informative.

The implication of this “trend/Culture/problem” is very important for our system as we are a growing nation with increasing crime rates in urban areas. As we imitate the West, we must also know its consequences. We must rethink our ways and learn from the errors these civilizations have made, if we want to exist.

More values from America for us to follow

Seems I dont get tired of “educating” my readers of the “positives” of American Society.

Here are some more

Crime in America

WASHINGTON — The FBI has fallen behind in processing DNA from nearly 200,000 convicted criminals — 85% of all samples it has collected since 2001 — Justice Department records show.

The backlog, which expands monthly, means most of the biological samples the bureau collects have not been stored in the national DNA database and used to solve crimes. DNA from 34,000 convicts has been added to the database since 2001, resulting in 600 matches to unsolved crimes, according to statistics furnished by the Justice Department to the Senate Judiciary Committee. At the same rate, the unloaded samples could help solve an additional 3,200 crimes. USA Today

Crime in the US is one of worst in the world. Latest available statistics at Nationmaster.com show that the US is:

– #9 in Rapes per capita (does not include unreported rapes, which is estimated to be around 61% – Wikipedia)
-#1 in Total Rapes (Hudood Ordinance, anyone?)

-#24 in Murders per Capita
-#6 in Total Murders

-#18 in Frauds per Capita
-#8 in Firearm Homocides
-#8 in Total Crimes per Capita

-#1 in Prisoners per Capita
-#1 in total Prisoners

Mukhtaran Mai

The case of Mai is indeed sad. True, it reflects the very evil our soceity suffers from. However, it has actively been used as a propoganda by the US and other nations to defame Pakistan. The active efforts of different “Human Rights” watchdogs have tuned Mai into a celebrity. These watchdogs seem to take keen interest in violations in the East.

The sad part is US asks us to honor our commitment to protect human rights. Further, Times Asia has declared her to be one of Asia’s Heros. While the Hero of thousands of American girls being raped is yet to rise.

Relation of Number of Prisioners with Crime rates

According to a documentary on National Geographic by Lisa Ling, prisons serve as proving grounds for criminals. The inmate are exposed to a tough enviornment, where there is a battle for survival.

We quickly learned that prison life revolves around race. If you don’t ally with people who share your skin color, you are targeted for assault. If you are white, even if you are Jewish, you need to align with the Aryan brotherhood or the Nazi Lowriders or one these white power groups. One of the weirdest rules is that white inmates don’t let each other drink out of a drinking fountain after a black person has drunk out of it.

Inmates have to develop themselves mentally and physically, hence, it is not unusual for them to be reading Art of War or planning out operations or creating deadly weapons from every day objects. This was further confirmed by a documentary on MS-13. The members of this dangerous gang consider it an honor to go to prision, which they hold as their “University”.

Affect of Death Penalty on rates of crime

Employing NationMaster’s analylitical tool we find that the rates of rape are inversely related to death penalties. Which means rapes are lower in regions with high capital punishments.

However, this analysis is crude in nature as it ignores various factors, yet delivers a pretty good insight.

Bottomline: The Cost of Crime

Looking at examples from Saudi Arabia and UAE, which happen to have one of the lowest crime rates in the world, we find that administering prompt and “costly” punishment inhibits crime.

The whole situation is linked to the psychological “cost” associated with crime. Man tends to repeat crime if the cost is low, in this case if a criminal thinks that he can get out of Jail in 3 to 5 years for murder, there is a greater chance that the person will not resist committing another when he gets out.

The average drug and firearm sentences are 69 months and 66 months, respectively, compared to average sentences of 59 months for sexual abuse, 31 months for assault and 33 months for manslaughter. November Coalition

Also, countries with high prison population, like US and UK, actively curtail sentences to reduce climbing prison population and cost to state. Prisons also act as an “incentive” as they provide free food and shelter.

Conclusion

This was an attempt to highlight a growing problem or rather a trend in the West. I attempted to keep the text concise for the readers to skim through, hope you find it informative.

The implication of this “trend/Culture/problem” is very important for our system as we are a growing nation with increasing crime rates in urban areas. As we imitate the West, we must also know its consequences. We must rethink our ways and learn from the errors these civilizations have made, if we want to exist.

Give a Monkey a Machine Gun and Let Him Loose

Latest: As President Bush took a question Thursday in the White House Rose Garden about scandals involving his Attorney General, he remarked, “I’ve got confidence in Al Gonzales doin’ the job.” Simultaneously, a sparrow flew overhead and left a splash on the President’s sleeve, which Bush tried several times to wipe off. ABC News

Birds are giving Bush a piece of their mind, precision targeting by the sparrow though. Will we have war on bird now?

It is interesting that how one ‘crazy’ person can turn the world into his own battlefield. Presently, “war games” are being conducted right outside Iran’s territorial waters. The reason is same, “to pressurize Iran to quit its pursuit of of Nuclear Enrichment (which will be done to make WMDs)”.

However, is the stance justified? Five states are recognized in the NPT as Nuclear Weapons States; USA, UK, China, Russia and France. The reason why “only” these powers were granted the “holy” right to hold nuclear weapons remains a mystery.

The double-standards by US itself in using the NPT to its advantage are evident. The five NWS agree not to transfer nuclear technology to Non-nuclear states for military use. However, peaceful use is allowed.

This is why the recent US-India nuclear energy deal has come under (legal) controversy as it threatens to undermine the global nuclear non-proliferation regime exploiting the loophole granted by the nature of dual-use technology, as has the Russia-Iran uranium deal.
Wikipedia

Yet again the world falls prey to the hypocrisy of the powerful.