New Film Documents Plight of French Jewry

A friend from New York City forwarded this press release about Being Jewish in France:

MEDIA CONTACT: Gabriele Caroti at 212.875.5625 or gcaroti@filmlinc.com
April 23, 2009

May 13 – 19. North American Theatrical Premiere.
Winner of the Jewish Experience Award, Jerusalem Film Festival.

The Film Society of Lincoln Center is proud to present The North American Theatrical Premiere of Yves Jeuland’s Being Jewish in France showing at the Walter Reade Theater from Wednesday, May 13 through Tuesday, May 19. This sweeping documentary explores 100 years of the rich and complex history of Jews in France, the first nation to grant them full citizenship. The undisputed sensation of this year’s New York Jewish Film Festival, the film examines the explosive Dreyfus Affair, the Vichy government’s collaboration with the Nazis, the absorption of Sephardic Jews from Arab countries in the decades after WWII, and continues all the way through contemporary times.

Being Jewish in France offers a multifaceted and thoughtful approach to a subject that continues to spark controversy. In recent years, despite the fact that France continues to have the largest Jewish community in Western Europe, a number of anti-Semitic attacks have once again raised questions about French-Jewish identity.

Director Jeuland masterfully gives a vibrant human dimension to this examination of Jewish life in France by bringing together an extraordinary constellation of French-Jewish voices and experiences, from leading politicians, intellectuals, and artists. Being Jewish in France is primed to become the quintessential film on the subject.

Press Screening (held at the Walter Reade Theater)
Thursday, April 30 at 10:30am
Please note that this film is in two parts – there will be a 5 minute intermission.
To RSVP, please email pkim@filmlinc.com

France | 2007 | 185 min. (Part I: 73 min. Part II: 112 min.) | In French with English subtitles
Directed and Written by Yves Jeuland. Produced by Michal Rotman. Narrated by Mathieu Almaric.
A National Center for Jewish Film release.
Press releases and hi-res images may be downloaded from filmlinc.com/press
Password: press
Being Jewish in France will be shown daily from Wed, May 13 – Tue, May 19.
Wednesday, May 13/Thursday, May 14/Tuesday, May 19: 3pm 7pm
Saturday, May 16 Sunday, May 17: 1pm, 4:45pm 8:15pm
Friday, May 15: 7pm
Monday, May 18: 1pm

Single screening tickets for Being Jewish in France are $11; $7 for Film Society members, students and children (6-12, accompanied by an adult); and $8 for seniors (62+). They are available at both the Walter Reade Theater box office and online at filmlinc.com. For more information, call (212) 875-5601.

The work of The Film Society of Lincoln Center is made possible by the generous support of the Irene Diamond Fund, 42 Below, Stella Artois , Illy, and public funds from the New York State Council on the Arts, a State Agency, and the National Endowment for the Arts, which believes that a great nation deserves great art.

The Film Society of Lincoln Center, under the leadership of Executive Director Mara Manus and Program Director Richard Peña, was founded in 1969 to celebrate American and international cinema, to recognize and support new directors, and to enhance the awareness, accessibility and understanding of film. Advancing this mandate today, The Film Society hosts two distinguished festivals—The New York Film Festival and New Directors/New Films—as well as the annual Gala Tribute, and a year-round calendar of programming at its Walter Reade Theater. It also offers definitive examinations of essential films and artists to a worldwide audience through Film Comment magazine.

The Film Society of Lincoln Center’s Walter Reade Theater is located at 165 West 65th St. between Amsterdam Avenue and Broadway.

Bernard Weinraub's "The Accomplices" Premieres in Jerusalem

Judy Lash Balint was there, and writes about the play's Israeli premiere at Frontpage.com:

These days, I no longer go to the official ceremonies. Fewer and fewer survivors are there too, since not many have the stamina to endure the lengthy security procedures, the wait for the president and prime minister to arrive and the hour-long ceremony itself. Besides, how many times can we listen to the pronouncements of the politicians and watch the endless laying of wreaths ?

This Yom Hashoah, as dusk descended and the somber memorial day unfolded, I found myself at the Israeli premiere of a powerful play by Bernard Weinraub called 'The Accomplices,' that dealt with the failure of the US government and the organized Jewish community to intervene in the Holocaust.

On the way home, it's easy to sense the heaviness that descends on the city. Flags fly at half mast; all cafes and places of entertainment are closed; only somber music plays on the radio.

On the morning of Yom Hashoah, the country comes to a standstill at precisely 10 a.m as the sirens wail marking the only ritualistic aspect of the day. I'm standing on Rachel Imeynu Street during the two minute call to attention. It's a moment of solidarity and comfort as the nation joins together in remembrance and resolve. In Musrara, on Jerusalem's seam between the eastern and western parts of the city, Israel's schizophrenia is exhibited for all to see. My son who lives in that neighborhood reports that the Arab commercial area doesn't miss a beat even as the Jews bring traffic to a halt just a few yards away.

My teacher and mentor, Rabbi Avi Weiss, has written extensively about the need for ritual in assuring Holocaust memory:

"I am concerned about how the Shoah will be remembered. Survivors are growing older. Neither can Shoah memory be entrusted to the museums. While they are of importance for memory, there are those controlled by universalists who take their orders from non-Jewish institutions. We dare not allow the Shoah to be politicized. Nor will the camps where the horror took place tell the story. Too many have already been Christianized and the emphasis on financial restitution has raised other serious challenges. No doubt assets should be recovered. Still, our community should be concerned that as this effort continues, the Holocaust will be remembered for stolen money rather than for stolen souls. The only way to ensure the Shoah will be remembered is through Jewish ritual; by speaking and re-enacting what our people endured sixty years ago, much in the same way as we do for yetziat Mitzraim (the Exodus from Egypt)."

Rabbi Weiss goes on to suggest various meaningful rituals that would go a long way to effectively preserve memory.

Here in Israel, along with the need to appropriately memorialize the Shoah, there's a rising awareness of the urgent need to take care of the remaining survivors. It's estimated that more than 80,000 of the 240,000 survivors in Israel live in dire poverty. The meager monthly compensation allowance from the Finance Ministry stands at 1,040NIS (about $250), but even this is only paid to those who arrived before 1953. Recent Knesset legislation has provided more assistance, but to date only 2,000 out of 8,000 survivors eligible have actually received any payments. As one radio talk show noted in his Yom Hashoah morning broadcast, "When Yom Hashoah is over, almost all our politicians will go back to their petty squabbles and fights over their own pensions and their budgets that pay for phones and newspapers for life."

All afternoon, despite the bright sunshine outside, I can't help but stay glued to the TV, watching documentary after documentary of almost unfathomable tales of every facet of the human experience that took place during and after the Shoah. I long ago found it impossible to read any more Holocaust memoirs, but there's something compelling about hearing the incredible stories of those who survived and made it to Israel; seeing on film how second generation Israelis are trying to unearth the truth about their parent's experiences.

At the end of the day, as the memorial candle on my window-sill burns down, after all the talk and ceremony, there are, of course, no new answers to the greatest tragedy to befall the Jewish people in the modern era. What remains is a sense of protracted shiva. We get up and resume our lives, internalizing our collective memories.

Her blog is called JerusalemDiaries.

ACLU Petitions to Investigate Torture Allegations

I thought I'd share today's email with my readers, and I'm signing the petition, myself:

Dear ACLU Supporter,

Since the ACLU forced the release of four critical Bush torture memos, the demand for an independent investigation has been growing louder and louder. Even President Obama said it's up to Attorney General Eric Holder to decide whether to prosecute the memos' authors.

Tomorrow, the ACLU and a number of partner organizations will raise the stakes.

We’ll deliver hundreds of thousands of petitions to Attorney General Holder as he testifies before the House Appropriations Committee on Thursday afternoon -- his first public testimony since the memos were released.

Sign the ACLU petition calling on Attorney General Holder to appoint an independent prosecutor to investigate high-level involvement in torture.

The more disclosure there is about deep, high-level involvement in torture and detainee abuse, the more indefensible it becomes to avoid investigating and prosecuting those responsible.

Involvement in torture is among the most severe violations of the law imaginable. And that should make it one of the last things we would ever think about overlooking. This isn’t about retribution or recrimination. It’s about standing up for what we believe in and restoring our country to an America we can be proud of again.

Make the midnight deadline. Add your name to the ACLU’s anti-torture petition now.

Tomorrow, people from all across the country will demand that the Attorney General takes action. Count yourself among them. Act now.

Sincerely,

Caroline Fredrickson
Director, Washington Legislative Office
ACLU

P.S. It took five years of hard work for the ACLU to force the Justice Department to release the Bush torture memos.

Please support our ongoing efforts to hold those who ordered, authorized, and carried out these horrible crimes accountable. Make a donation to the ACLU today.

© ACLU, 125 Broad Street, 18th Floor, New York, NY 10004

Hilary Clinton Blasts Pakistan

In today's Congressional testimony, according to Reuters:

The Pakistani government is "basically abdicating to the Taliban" in agreeing to the imposition of Islamic law in part of the nuclear-armed country, U.S. Secretary of State Hillary Clinton said on Wednesday.

"I think that the Pakistani government is basically abdicating to the Taliban and to the extremists," Clinton told lawmakers when asked about the introduction of Islamic law in Pakistan's northwestern Swat valley under a deal to end Taliban violence.

Hello? Didn't anyone think of this possible outcome when the US gave a green light to the overthrow of General Pervez Musharraf? What's the contingency plan?

If there isn't one, I'd suggest that the Secretary of State begin reading Professor James Kurth's article, "Coming to Order" in the Winter, 2007 edition of The American Interest, in which he advocates returning Pakistan to India:

While there were particular ethnic communities that served as loyal allies of imperial powers in imposing order upon disorderly cities and turbulent frontiers, there were also particular ethnic communities that always seemed to be in opposition to the imperial order, or, indeed, to any order other than their own peculiar one. The British called these “unruly peoples.” The most notorious of these unruly peoples—indeed, the British called them “ungovernable”—were the Pashtuns (then called the Pathans), who inhabited both the southern and eastern parts of Afghanistan and the Northwest Frontier Province of British India. And so the Pashtuns have remained, right down to the present day. We might now call them a rogue people.

They have been a rogue people at great cost to the rest of the world. The Pashtuns are virtually the only ethnic community in Afghanistan that supports the Taliban, and indeed virtually everyone in the Taliban is a Pashtun. It was, of course, the Taliban regime and therefore the Pashtun community that hosted and protected al-Qaeda before the American invasion of Afghanistan in October 2001, and it is the Pashtun community in the Northwest Frontier Province and the Federally Administered Tribal Areas of Pakistan that hosts and protects al-Qaeda there today.

Like many close-knit ethnic or tribal communities, the Pashtuns have an intense sense of communal identity and almost no sense of an individual one. They also naturally have an intense sense of their enemies’ communal identities, including their collective guilt. It is impossible to deal with the Pashtuns as individuals, responding to calculations of individual benefits and costs. This is why, after more than five years, no one has stepped forward to turn in Osama bin Laden or Mullah Mohammed Omar (the leader of the Taliban), even though the United States has offered a $25 million reward for each. The only way to deal with the Pashtuns is the way they deal with themselves and with everyone else, as a community that is capable of both collective honor and guilt...

...With its vast Muslim population of 130 million, India has had ample and generally successful experience with the problem of maintaining law and order invoving an internal Muslim community. In its ongoing Islamist insurgency in Kashmir, India has also had ample and often painful experience with this problem—a sort of Indian “near abroad.” India certainly is a willing ally in a grand coalition against Islamist terrorists, so long as we do not insist on formally calling them an ally.

India’s biggest contribution could issue from any future disintegration of Pakistan. This state has always been an artificial and brittle one, and in many areas—most obviously, in the Northwest Frontier Province, the autonomous tribal areas, and, increasingly, in Baluchistan, as well—it is a failing one. With a strong Islamist presence in the country and even in the military, Pakistan could one day become an Islamist state already possessing nuclear weapons. An Islamist Pakistan, perhaps with al-Qaeda operating on its territory, would probably be the most dangerous state in the world, a rogue state in the fullest sense of the term.

If the United States should ever determine that this state had to be put to an end, India would be the best ally to help do it—to “crack the Paks”, as it were. The ruins of this artificial country would produce four or five separate ethnic provinces, each of which could be reconstructed and ordered by a new Indian Raj with a mixture of direct and indirect rule—in a way not unlike the British Raj that once ruled these very same provinces.

Freddie Mac CFO Found Dead

Obviously, something is still seriously wrong in the financial sector, otherwise, why would 41-year old David Kellermann, 16-year veteran Freddie Mac employee appear to have hanged himself?

Arianna Huffington: Stay Outraged Over Financial Crisis!

Arianna just published a list of things to be outraged about. Example number four:

The three big credit rating agencies -- Moody's, Standard & Poor's, and Fitch -- stand to gain hundreds of millions of dollars in the government's latest plan to ease the credit markets.

You may remember these three as primary cast members in the ensemble production that's practically destroyed our economy. Without the AAA rating these three agencies gave to billions of dollars worth of junk, we might not be where we are today.

But fear not. Fed Chairman Ben Bernanke says he has looked at the models the three are using now and is "comfortable."

Not exactly the word I'd use. Especially since, as the Wall Street Journal notes, the ratings agencies are still paid by the companies whose products they're supposedly giving disinterested ratings to for the benefit of investors.

"Until the rating firms bite the bullet and develop forward-looking signals and methods," says former credit-rating analyst, Ann Rutledge, "it's going to be same old, same old, and their models can be gamed."

After all, them's the rules. And Ben Bernanke is "comfortable" with them.

I'm not. And you shouldn't be either. I know from personal experience that it's easy to become worn down by the steady drip, drip, drip of scandal after scandal after scandal. But our weariness plays perfectly into the hands of those who got us into the mess we are in (the same people, by the way, who remain in charge of Wall Street). They welcome our outrage fatigue. They are counting on it. Their future depends on it.

Which is why we need to stay outraged. Even if it means losing out on a good night's sleep. And you know how much that means to me.

Is Rahm Emanuel the New Stuart Eizenstat?

Articles about Obama chief-of-staff Rahm Emanuel and Israel like this one from the Jerusalem Post remind me of all the fussing over Stuart Eizenstat during the Carter administration. Eizenstat was Carter's Chief Domestic Policy Adviser and Executive Director of the White House Domestic Policy Staff. He went on to a number of jobs in the Clinton administration. But in the end, he was eclipsed by NSC adviser Zbigniew Kazimierz Brzezinski and Secretary of State Cyrus Vance, whose gross incompetence brought us Ronald Reagan (not such a bad thing). Likewise, for all the talk about Rahm Emanuel, I'd say Obama NSC Adviser General James Logan Jones' and Secretary of State Hilary Clinton's views may carry more weight with the President at the end of the day.

Let's hope they do a better job than Brzezinski or Vance...

Los Angeles Remembers Peter Bergson

A phone call from a friend just brought this development to my attention. At this Yom HaShoah season, Los Angeles is paying tribute to Peter Bergson, protagonist of my documentary film. What do you think? asked my friend.

Better late than never.

Oh, Jim!

The other night at Politics & Prose bookstore, The Newshour's Jim Lehrer was kind enough to sign a copy of his new novel, Oh, Johnny, with a dedication "To Bettye," the mother of someone I know. The heroine of his story is named "Betsy," so I had to spell it out for him. He got it right. He signed books after reading a passage from the story about a Marine suffering from shell shock that caused him to choke up...A different side of the normally low-key onscreen TV news anchor.

Oh, Johnny is about Marines, baseball, and buses--three of Lehrer's long-term interests. Lehrer mentioned his USA Today interview about the book during his talk and the Q & A (to an audience with Marines and journalists, not too many bus drivers or baseball player could be discovered), so here's a link.

Oh, yes. Lehrer did do one of his famous bus calls for the audience, recreating the first time he was paid to speak into a microphone in Victoria, Texas...

Summit of the Americas--Direct

Here's a link to the official website of the Summit of the Americas in Port of Spain, Trinidad...

http://www.fifthsummitoftheamericas.org/

To End Piracy, Stop Shippers Using "Flags of Convenience"

Today's Huffington Post reports that NATO defended a ship registered in the Marshall Islands against Somali pirates, freeing some 20 hostages. Which raises the question, why are NATO forces protecting non-NATO-flagged ships? It may be cheaper for the industry, but it is bad for global stability. Shippers should be forced to register their ships under the flags which can protect them at sea--and yes, pay for more expensive Western crews if need be. There is no reason for the profits of shipping to go to places like the Marshall Islands or Liberia, while the costs of protecting the fleets are borne by the US Navy and/or NATO. It means, simply, denying protection to ships from nations that are not protecting the ships--no more "free rides" until piracy is stamped out. In addition to denying shipping companies offshore registration in places like the Cayman Islands. Insurers would be instructed to pass the full cost of insurance to the non-Western shippers.

Bottom line: It is a national security issue to rebuild the American merchant navy at this time and give preference to US-Flag carriers in government policy. Bye-bye tax havens, bye-bye union- and regulation-busting foreign registration.

I'd hope that organized labor make this an issue, ASAP...

Russia Celebrates Orthodox Easter With Cultural Festival

From the Moscow Times:

Among the events on Sunday in celebration of the Russian Orthodox Easter will be the opening concert of the eighth annual Moscow Easter Festival.

Continuing until Victory Day on May 9, this year's festival will include the usual mix of symphonic and choral concerts and afternoon bell ringing from the towers of churches throughout the city.

In addition to its local program, the Easter Festival again reaches far beyond Moscow, bringing music to some 26 Russian cities and, for the first time in its history, going outside of the country for a pair of concerts in the Armenian capital, Yerevan.

The artistic director of the festival since its founding in 2002 has been conductor Valery Gergiev, and dominating its agenda have been performances by the orchestra of St. Petersburg's Mariinsky Theater, of which Gergiev is also artistic director. Once again, it seems fair to ask whether any other city in the world blessed with musical talent comparable to Moscow's would almost exclusively enlist musicians from elsewhere for the central element of a festival bearing its name. Rather by way of exception this year, a single slot in the festival's symphonic program has been allotted to a Moscow-based ensemble, the Novaya Rossiya Orchestra.

Happy Easter to our Russian (and all our Eastern Rite) readers!

Good Friday II

It's Orthodox Good Friday, and they are celebrating it in the Holy City of Jerusalem, according to the Jerusalem Post:

Orthodox Christian clergymen and pilgrims marked Good Friday in Jerusalem's Old City, at the site where they believe Jesus was crucified on this date two millennia ago.

Protestants and Roman Catholics marked Good Friday last week, but members of Orthodox Christian churches follow a different calendar.

Black-robed Greek Orthodox clergymen held wooden crosses as they entered the courtyard outside the Church of the Holy Sepulcher. Armenian priests also held Good Friday prayers at the ancient church, which is shared by different sects.

CQ: CIA Torture Memo Release Shows Congressional Oversight Failed

According to Congressional Quarterly:

Steven Aftergood, an expert in government secrecy at the Federation of American Scientists, says Obama's decision to release the information in response to the ACLU's [FOIA] suit points to a breakdown in relations between the branches.

"Congressional oversight did not get the job done," Aftergood said. "This reflects a significant and dangerous weakness on the part of Congress."

Aftergood noted former CIA Director Michael Hayden told MSNBC that the interrogation program "began life as a covert action." According to that reasoning, Aftergood says, Bush should have issued a presidential "finding" or some other official declaration authorizing the program. Instead, the interrogations were a covert action, increasing the potential for deception, Aftergood notes.

All of which means the release of the memos will probably provide fodder for future congressional hearings, as lawmakers try to play catch-up.

No "truth commission" would be required if Congress would do it its job here, IMHO...

Maersk Alabama Crew Goes to Washington

Buried in the inside pages of the Metro section of today's Washington Post, a tale of heroism on the high seas, as the crew of the Maersk Alabama faced down Somali pirates, recalled by Reza Zahid:

ATM Zahid Reza, an able-bodied seaman aboard the Alabama, and William Rios, the ship's boatswain, were among those who stole the show. After sneaking outside to drink a cup of coffee and smoke a cigarette, the two were quickly spotted by cameramen, who rushed outside to hear their stories.

Reza said he lured one of the Somali pirates to the darkened engine room by saying he would turn over the crew members who were hiding. He and the Alabama's chief engineer then attacked the pirate and took him hostage, Reza said.

"I told him: 'Trust me. You are Muslim. I am Muslim,' " Reza said.

The crew's visit to the Gaylord was arranged so quickly that it surprised many of those staying there. Linda Fitzpatrick, who was in town from Atlanta for a digital software conference, said she found out about the celebrity guests only yesterday morning, when her husband called her to say: "Guess what? Your hotel is on TV." She said she was able to snap some photos of the crew even as dozens of reporters charged past her to do the same thing.

"It was very active," she said with a laugh.

The 19 members of the Alabama landed at Andrews Air Force Base just before 1 a.m. yesterday, meeting up with family members before departing for the Gaylord. When they arrived at the hotel after 2 a.m., they were greeted by an open bar and a candlelit buffet.

The Alabama's captain, Richard Phillips, was not there, his trip home delayed while the destroyer he was on responded to another pirate attack on a U.S.-flagged ship, the Liberty Sun. The crew foiled that attack, and Phillips was delivered to the Kenyan port city of Mombasa yesterday. He was expected to return to the United States from there.

About 2 p.m., the Alabama's crew members departed without ceremony. Some evaded reporters as they left; others left with a wave and a smile.

Kevin Mousaw, 53, stood outside the hotel with his 16-year-old son, Joshua, trying to snap a picture of the crew members. A police officer in Canton, N.Y., and in town because his wife was attending a conference, Mousaw said he wanted proof for his colleagues that he crossed paths with the suddenly famous crew.

"It'd be nice to take home. My guys at my station won't believe it."

Daniel Henninger: Pirates v The Rest of Us

From yesterday's Wall Street Journal:

But that pirate assault on an American-flagged ship, its captain's bravery, and his rescue by one U.S. Navy ship should be seen for what it is: A metaphor of the world as it is today. It is a world awash in pirates.

Some are small pirates like the Somalis, but many others are big pirates. They live in North Korea, Iran and in al Qaeda's hideouts along Pakistan's northwest frontier. They are Hezbollah in Lebanon and the Janjaweed in Darfur. Pirates strap themselves with dynamite to smash the routines of daily life in crowded town squares. Hugo Chavez is the pirate king of Latin America. There are others.

Each wants to replace our system of laws, rules, institutions and sovereignty with their disorder. Then disorder becomes normal.

Extending Mr. Obama's idea, all of these should be "held accountable" for their acts against the civilized world. But they are not held accountable. Sunday was the exception, not the rule. In consequence, the organized world has shown itself willing to dance along the edge of anarchy.

Somalia's pirates are back in the water, but so are the others. On Tuesday, the pirates in North Korea, a week after flouting the U.N.'s prohibitions on its programs to build missiles and nuclear weapons, mocked these authoritative powers by announcing they would resume production of nuclear weapons. The North Koreans have one step remaining in their nuclear program -- to successfully affix a warhead to a launchable missile.

The pirates of Iran this past week told the world they are running 7,000 centrifuges at their Natanz uranium enrichment plant. When North Korea launched its long-range Taepodong-2 missile April 5, specialists from Iran were there.

Iran and North Korea are crossing the nuclear threshold, anarchy's doorstep. Standing on the other side are the great powers, seeking negotiations. No serious person would think of attempting a strategy of negotiation-only with Somalia's pirates, and that is rational. With the nuclear pirates we are insistently irrational.

In between lies Pakistan. The Wall Street Journal reported this week that after achieving a "peace agreement" with the established authorities in Islamabad, the pirates of the Taliban are pouring into Pakistan's Swat Valley. Swat once was the jewel of Pakistan. A town square there is now called "Slaughter Square," piled with executed bodies. Swat's hostage residents have dropped off the narrowing edge of the civilized world.

Return to Sunday's metaphor. When the pirates holding Capt. Phillips began to point their guns at his back, someone in authority on the USS Bainbridge concluded that the risks to him had become too high and told the three Seals it was time to shoot. The civilized world, at risk, needs more concrete acts of pirate defeat, not containment alone.

Just as those pirates were finally shot, shooting down North Korea's next launched missile or striking Iran's nuclear plant at Natanz has to become at least thinkable -- rather than unthinkable, as now.

Days after North Korea launched, Mr. Obama announced he wants to reduce our nuclear arms inventory so as to "give us a greater moral authority to say to Iran, don't develop a nuclear weapon; to say to North Korea, don't proliferate nuclear weapons." Who would ever invoke "moral authority" with Somalia's pirates? So why North Korea or the others?

We need to understand that these are not just security threats but a systemic threat. Each weakly answered pirate affront erodes the public's confidence in the West's promise of an ordered world.

The erosion is persistent and cumulative. A crack sometimes falls apart. The world's foreign ministries and foreign policy intellectuals, secure in the calm sun that rises each morning where they live, try to make all this seem complex and very difficult. What we saw in the floodtide of jubilation over the rescue of Capt. Phillips is that eventually it's not complicated.

IMHO, I'd add Wall Street bankers and insurers benefitting from the US Government bailout to Henninger's list of pirates...

Mackubin Thomas Owens: How to Stop Piracy

From the Foreign Policy Research Institute:

In the 19th century, the United States also played a role in ending the piratical forays of the Barbary States of North Africa. This is one of the reasons why it has been nearly two centuries since pirates last attempted to seize a vessel flying the American flag.

After losing the protection of Great Britain as a result of America’s Declaration of Independence, American ships were preyed upon by the Barbary States—Algiers, Tunis, Morocco, and Tripoli (today's Libya). Like the Europeans during the same period (and most maritime states today), the Americans deemed the cost of military action too high and opted to pay “tribute” to the Barbary States. But the demands for these bribes kept growing while the seizure of U.S. ships only increased.

Congress authorized the construction of several frigates and President Thomas Jefferson dispatched them in 1801 for “policing actions” in the Mediterranean after the pasha of Tripoli declared war on the United States. During the next several years, the fledgling American Navy bombarded the harbors of Algiers, Morocco, and Tunis or threatened them with bombardment. As a result of these actions, these states agreed to cease cooperating with Tripoli. But the pasha remained defiant.

In 1804, a naval force under Captain Stephen Decatur boldly sailed into Tripoli harbor, where he set fire to the captured USS Philadelphia, later rescuing its crew, bombarding the fortified town, and boarding the pasha's own fleet where it lay at anchor. In April 1805, Captain William Eaton led an expedition consisting of U.S. Marines, mercenaries, and Arab rebels across many miles of desert to take Tripoli's second city, Derna, by surprise, largely ending the depredations of the Barbary pirates against U.S. ships in the Mediterranean.

To adopt such an approach to piracy today, however, would require a return to a distinction in the traditional understanding of international law, one that did not extend legal protections to individuals who do not deserve them. This distinction was first made by the Romans and subsequently incorporated into international law by way of medieval and early modern European jurisprudence, e.g. writings on the law of nations by such authors as Hugo Grotius and Emer de Vattel.

The Romans distinguished between bellum, war against legitimus hostis, a legitimate enemy, and guerra, war against latrunculi—pirates, robbers, brigands, and outlaws—“the common enemies of mankind.” The former, bellum, became the standard for interstate conflict, and it is here that the Geneva Conventions and other legal protections were meant to apply. They do not apply to the latter, Guerra—indeed, punishment for latrunculi traditionally has been summary execution, although the extreme punishment was not always exacted. The point is that until recently, no international code has extended legal protection to pirates.

As Grotius wrote in Mare Librum (The Free Sea), “all peoples or their princes in common can punish pirates and others, who commit derelicts on the sea against the law of nations.” And more forcefully, Vattel wrote in his 1738 treatise, The Law of Nations, that “legitimate and formal warfare must be carefully distinguished from those illegitimate or informal wars, or rather predatory expeditions, undertaken, either without lawful authority, or without apparent cause, as likewise without the usual formalities, and solely with a view to plunder.”

Once this distinction is revived, it opens the way for the only real way to stamp out piracy, as was done in the 19th century: the use of force to wipe out the pirate lairs. Under the old understanding of international law, a sovereign state has the right to strike the territory of another if that state is not able to curtail the activities of latrunculi.

As John Locke understood, pirates are in a “state of nature” relative to political society. And political society has the right to defend itself against such individuals:

“That, he who has suffered the damage has a right to demand in his own name, and he alone can remit: the damnified person has this power of appropriating to himself the goods or service of the offender, by right of self-preservation, as every man has a power to punish the crime, to prevent its being committed again, by the right he has of preserving all mankind, and doing all reasonable things he can in order to that end: and thus it is, that every man, in the state of nature, has a power to kill a murderer, both to deter others from doing the like injury, which no reparation can compensate, by the example of the punishment that attends it from everybody, and also to secure men from the attempts of a criminal, who having renounced reason, the common rule and measure God hath given to mankind, hath, by the unjust violence and slaughter he hath committed upon one, declared war against all mankind, and therefore may be destroyed as a lyon or a tyger, one of those wild savage beasts, with whom men can have no society nor security: and upon this is grounded that great law of nature, Who so sheddeth man’s blood, by man shall his blood be shed.”

The United States acted in accord with this understanding in the early 19th century. In response to raids from Spanish Florida by Creeks, Seminoles, and escaped slaves, General Andrew Jackson, acting on the basis of questionable authority, invaded Florida, not only attacking and burning Seminole villages but also capturing a Spanish fort at St. Marks. He also executed two British citizens whom he accused of aiding the marauders.

Most of President James Monroe’s cabinet, especially Secretary of War John Calhoun, wanted Jackson’s head, but Secretary of State John Quincy Adams came to Jackson’s defense. He contended that the United States should not apologize for Jackson’s preemptive expedition but should insist that Spain either garrison Florida with enough forces to prevent marauders from entering the United States or “cede to the United States a province, which is in fact a derelict, open to the occupancy of every enemy, civilized or savage, of the United States, and serving no other earthly purpose than as a post of annoyance to them.” As Adams had written earlier, it was his opinion “that the marauding parties ought to be broken up immediately.” As John Gaddis has observed, Adams believed that the United States “could no more entrust [its] security to the cooperation of enfeebled neighboring states than to the restraint of agents controlled, as a result, by no state.”

Unfortunately, we have permitted legalism and moralism to twist our understanding of the “rule of law” into something that Grotius, Vattel, Locke, or the Founders would no longer recognize. For instance, European navies have been advised to avoid capturing Somali pirates since under the European Human Rights Act, any pirate taken into custody would be entitled to claim refugee status in a European state, with attendant legal rights and protections.

Simon Johnson: American Bankers Have Become Oligarchs

From The Atlantic Online (ht Drudge via FT):

To paraphrase Joseph Schumpeter, the early-20th-century economist, everyone has elites; the important thing is to change them from time to time. If the U.S. were just another country, coming to the IMF with hat in hand, I might be fairly optimistic about its future. Most of the emerging-market crises that I’ve mentioned ended relatively quickly, and gave way, for the most part, to relatively strong recoveries. But this, alas, brings us to the limit of the analogy between the U.S. and emerging markets.

Emerging-market countries have only a precarious hold on wealth, and are weaklings globally. When they get into trouble, they quite literally run out of money—or at least out of foreign currency, without which they cannot survive. They must make difficult decisions; ultimately, aggressive action is baked into the cake. But the U.S., of course, is the world’s most powerful nation, rich beyond measure, and blessed with the exorbitant privilege of paying its foreign debts in its own currency, which it can print. As a result, it could very well stumble along for years—as Japan did during its lost decade—never summoning the courage to do what it needs to do, and never really recovering. A clean break with the past—involving the takeover and cleanup of major banks—hardly looks like a sure thing right now. Certainly no one at the IMF can force it.

In my view, the U.S. faces two plausible scenarios. The first involves complicated bank-by-bank deals and a continual drumbeat of (repeated) bailouts, like the ones we saw in February with Citigroup and AIG. The administration will try to muddle through, and confusion will reign.

Boris Fyodorov, the late finance minister of Russia, struggled for much of the past 20 years against oligarchs, corruption, and abuse of authority in all its forms. He liked to say that confusion and chaos were very much in the interests of the powerful—letting them take things, legally and illegally, with impunity. When inflation is high, who can say what a piece of property is really worth? When the credit system is supported by byzantine government arrangements and backroom deals, how do you know that you aren’t being fleeced?

Our future could be one in which continued tumult feeds the looting of the financial system, and we talk more and more about exactly how our oligarchs became bandits and how the economy just can’t seem to get into gear.

The second scenario begins more bleakly, and might end that way too. But it does provide at least some hope that we’ll be shaken out of our torpor. It goes like this: the global economy continues to deteriorate, the banking system in east-central Europe collapses, and—because eastern Europe’s banks are mostly owned by western European banks—justifiable fears of government insolvency spread throughout the Continent. Creditors take further hits and confidence falls further. The Asian economies that export manufactured goods are devastated, and the commodity producers in Latin America and Africa are not much better off. A dramatic worsening of the global environment forces the U.S. economy, already staggering, down onto both knees. The baseline growth rates used in the administration’s current budget are increasingly seen as unrealistic, and the rosy “stress scenario” that the U.S. Treasury is currently using to evaluate banks’ balance sheets becomes a source of great embarrassment.

Under this kind of pressure, and faced with the prospect of a national and global collapse, minds may become more concentrated.

Simon Johnson's blog is called BaselineScenario.

Happy 100th Birthday, Tel Aviv!

From Haaretz:

The beauty of Tel Aviv
By Haaretz Editorial

The Festival of Spring, Passover, will find Tel Aviv celebrating its 100th birthday. Although the events will take place in the city's avenues and street, it wouldn't be a stretch to say that marking the establishment of the first Hebrew city is a national holiday of sorts.

Ever since its beginnings as Ahuzat Bayit on the coastal sands, the city has been a symbol of modernity, openness and freedom. That is how it's seen by tourists and locals alike.

There's a good reason it's called "the nonstop city." Tel Aviv breathes, shakes and buzzes 24 hours of every day of the year. Even its name has become synonymous with an informal, easygoing atmosphere.

Over the years, Tel Aviv has been lucky enough to have some gifted planners and successful mayors who shaped some impressive features into the city. It is considered the capital of the Bauhaus style and the traces of the quaint beauty of the "garden city" concept are still visible in how it integrates community parks with low buildings. And Tel Aviv's beach boasts a pleasant and broad boardwalk.

Preservation efforts have restored prestige and glamour to once-beautiful buildings and whole streets have been renovated to become more beautiful than ever. The neglected boulevards of yesteryear have been renovated as well, and are now inviting and brimming with life.

Museums, galleries, concert halls and theaters, a university campus and private and public colleges, a large central park and sports centers - all provide culture, entertainment and education to the city's residents, attracting people from across the land.

But Israel's main city - a radical antithesis to Jerusalem and its increasingly ultra-Orthodox trends and penury - which has developed into a metropolis resembling its Western counterparts, has two notable strikes against it: an inadequate public transport system and filth.

Public transport is Tel Aviv's weak point. Since the 1970s, governments have deliberated on and passed resolutions to create an advanced public transport system such as a subway or light rail, with ample capacity and a ready bus network. Anything to free up the ever-inflating congestion that clogs the city's exit and entrance points and paralyzes the traffic inside.

All the plans have been delayed, owing to various excuses and through a tiresome chain of events, as pollution, overcrowding and financial burdens have gradually intensified.

Tel Aviv's blossoming as Israel's business and employment center is especially striking against the backdrop of Israel's other cities and their gradual decline. Effective transport to create a rapid link between the north and south of the country will also ease this socioeconomic hardship.

Filth on the street also plagues the city like a grim shadow. No mayor has been able to eradicate it. But despite all this, and even though many of its neighborhoods are still spectacularly ugly, it seems the words of one Tel Aviv poet fit the city very well. "There are prettier ones," Nathan Alterman wrote, "but none share its beauty."

Even the derogatory nickname which has been applied to Tel Aviv, "the bubble," need not offend the city. Bubbles too are sometimes necessary for countries in search of a normal life.

Michael Knud Ross, Norwegian-American Painter

Just one more day to see a lovely exhibition of paintings called "Spring," by Michael Knud Ross, a Norwegian-American painter, at the Dumbarton Concert Gallery in Georgetown's Historic Dumbarton Church. The closing reception is tomorrow night, from 4-7 pm. A friend of someone I know invited us to the opening reception, and I had meant to blog about the show for some time. Ross is an interesting realistic painter. I liked his paintings, so did someone I know, and so did the friend of someone I know. So, here is what the Norwegian embassy website has to say:

Spring is rebirth, vitality, promise. It is a time when birds fly north to nest, buds turn to leaves, people smile more, new beginnings seem possible, fears subside, hope emerges. The paintings in this exhibition stand on the threshold of spring: they are lively snapshots of nature blooming and of the people and little creatures that inhabit its skies and fields and waters. Colorful birds share their little, vibrant personalities. Figures touch and feel as they walk through landscapes of sunshine. Seas churn, fields glow, the senses awaken."

Ross recently returned from a three-month trek across west-Africa; several paintings in the exhibition come out of this experience.

Michael Knud Ross was born in Oslo, grew up in Scandinavia and Washington DC, and currently resides in San Francisco. In 2004 and 2005 he produced twelve public sculptures for disused emergency-call boxes in Washington, D.C. that are still on view. Recent exhibitions include a solo show at Geras-Tousignant Gallery in San Francisco in 2008, a solo show at Terrence Rogers Fine Art in 2007, and curating a survey of contemporary Scandinavian realism at Hillyer Art Space in Washington DC in 2007. His work is represented by Geras-Tousignant Gallery in San Francisco.

When: April 4 through April 14 (by appointment). Opening Reception on Saturday, April 4, 6-8 pm. Closing Reception on Tuesday, April 14, 4-7 pm.

Where: Dumbarton Concert Gallery, Georgetown's Historic Dumbarton Church, 3133 Dumbarton Street, NW, Washington, D.C. 20007

Info: http://www.michaelrossart.com

Obama's Easter Surprise: 3 Dead Somali Pirates & One Live American Captain

As President Obama took communion at Easter Service in St. John's Church in Washington, DC, the US Navy did the right thing, saving America's truly heroic Captain Richard Phillips from Somali pirates who had taken him hostage...

IMHO, This action may be a game-changer in quite a few ways:

First, it helped President Obama differentiate himself from President Jimmy Carter, who saw his administration destroyed by a hostage crisis;

Second, it put an end to the Bush administration's tolerance for piracy;

Third, it has enraged the Somali pirates and their supporters, who have threatened to attack the US again--adding a new dimension to the war against Al Qaeda, which drove America from Somalia in the Clinton administration;

Fourth, it has demonstrated that Obama is willing to use force when necessary;

Finally, it showed the US Navy can do something right, that not every operation bogs down into a quagmire...restoring a modicum of deterrence to a world that may have wanted to see the US as Chairman Mao once called us: "a pitiful, helpless giant."

Not so pitiful, not so helpless, after all.

Well done, Mr. President! We salute you!

BTW, I'm glad you finally got a dog for the girls, too...

Pirate Hostage-Taking Followed Bow to Saudi King

IMHO, there's a direct connection between the fate of Maersk Alabama Captain Richard Phillips and President Obama's stunt at the G-20... Here's my thinking about how the pirates were thinking:

If the US bows to King Abdulla, why wouldn't the US bow to Somali pirates? After all, other countries routinely pay ransom nowadays, after all...

From the Khaleej Times:

The pirates, armed with AK-47s, pursued for several hours before finally catching Alabama. They climbed over the side and briefly overpowered the 20 crew members, all Americans. It was the first successful hijacking of an American-crewed vessel in memory, but only the latest in a long string of ship captures by Somali pirates. The violent takeover made Alabama the 67th vessel attacked since the beginning of 2009, according to the International Maritime Bureau, and approximately the 200th since 2008. Captured vessels netted some $20m in ransom last year. Today some dozen vessels and 200 seafarers are still being held in rowdy pirate towns in lawless northern Somalia.

IMHO, The saddest thing about Bush's botched Global War on Terror--which claimed to follow Benjamin Netanyahu's analysis that stamping out terrorism is analogous to stamping out piracy--is that instead of eliminating terrorism, the Bush administration ended up reviving piracy.

Good Friday

Today is Good Friday, a fast day for observant Catholics. More information from ChurchYear.net.:

Good Friday is the Friday within Holy Week, and is traditionally a time of fasting and penance, commemorating the anniversary of Christ's crucifixion and death. For Christians, Good Friday commemorates not just a historical event, but the sacrificial death of Christ, which with the resurrection, comprises the heart of the Christian faith. The Catholic Catechism states this succinctly:

Justification has been merited for us by the Passion of Christ who offered himself on the cross as a living victim, holy and pleasing to God, and whose blood has become the instrument of atonement for the sins of all men (CCC 1992).

This is based on the words of St. Paul: "[Believers] are justified freely by God's grace through the redemption in Christ Jesus, whom God set forth as an expiation, through faith, by his blood... (Romans 3:24-25, NAB). The customs and prayers associated with Good Friday typically focus on the theme of Christ's sacrificial death for our sins.

The evening (at sunset) of Good Friday begins the second day of the Paschal Triduum. The major Good Friday worship services begin in the afternoon at 3:00 (the time Jesus likely died). Various traditions and customs are associated with the Western celebration of Good Friday. The singing (or preaching) of the Passion of St. John's gospel consists of reading or singing parts of John's gospel (currently John 18:1-19:42 in the Catholic Church). The Veneration of the Cross is also common in the Western Church. This is when Christians approach a wooden cross and venerate it, often by kneeling before it, or kissing part of it. In addition to these traditions, Holy Communion with the reserved host is practiced. In the Latin Rite of the Catholic Church, no Masses are said on Good Friday or Holy Saturday, therefore the reserved host from the Holy (Maundy) Thursday Mass is used. This is called the "Mass of the Pre-Sanctified." Many Churches also offer the Stations of the Cross, also called the "Way of the Cross," on Good Friday. This is a devotion in which fourteen events surrounding the death of Jesus are commemorated. Most Catholic Churches have fourteen images of Jesus' final days displayed throughout the parish, for use in public Stations of the Cross services. Another service started by the Jesuit Alphonso Messia in 1732, now less common, the Tre Ore or "Three Hours," is often held from noon until 3:00 PM, and consists of seven sermons on the seven last words of Christ. This service has been popular in many Protestant churches. Good Friday, along with Ash Wednesday, is an official fast day of the Catholic Church.

The Eastern Churches have different customs for the day they call "the Great Friday." The Orthodox Church begins the day with Matins (Morning Prayer), where the "Twelve Gospels" is chanted, which consists of 12 passages drawn from the Passion narratives. In the morning, the "Little Hours" follow one after the other, consisting of Gospel, Epistle, and Prophet readings. Vespers (Evening Prayer) ends with a solemn veneration of the epitaphion, an embroidered veil containing scenes of Christ's burial. Compline (Night Prayer) includes a lamentation placed on the Virgin Mary's lips. On Good Friday night, a symbolic burial of Christ is performed. Traditionally, Chaldean and Syrian Christians cease using their customary Shlama greeting ("peace be with you") on Good Friday and Holy Saturday, because Judas greeted Christ this way. They use the phrase "The light of God be with your departed ones" instead. In Russia, the tradition is to bring out a silver coffin, bearing a cross, and surrounded with candles and flowers. The faithful creep on their knees and kiss and venerate the image of Christ's body painted on the "winding sheet" (shroud). For more information see The Oxford Dictionary of the Christian Church and The Catholic Source Book.

A Scene from the White House Seder

The White House Blog recently posted this photograph of what is reported to the be first Seder hosted by a sitting US President, perhaps intended to soothe some feathers that may have been ruffled by President Obama's reported (and clumsily denied) bow in front of Saudi Arabia's King Abdulla...

Guest list on the Huffington Post. Didn't see the Israeli Ambassador's name on it...

Huffington Post: Passover Traditions From Around the World...

Hag Sameach! From today's Huffington Post:

GIBRALTAR: In the British territory of Gibraltar, the tiny island off the coast of Spain, Jews actually mix the dust of bricks into their charoset dish, a symbol of the mortar used to hold together the brick walls the Jews built in Egypt, according to Hillel....

Arianna Huffington on Larry Summers' Ptolemaic Economics

From today's Huffington Post:

Of course, it's less of a surprise that Geithner and Summers believe in bank-centrism -- they're both creatures of it. Which is why it wasn't a shock when it was reported this weekend that Summers had received $5.2 million for advising a hedge fund last year, or that he received hundreds of thousands of dollars in speaking fees from some of the very banks -- including J.P. Morgan, Citigroup, and Goldman Sachs -- that have been on the receiving end of billions in taxpayers money. Billions that have come with very few strings attached -- and almost no transparency.

I am in no way suggesting there is anything corrupt about this or any quid pro quo involved. It's just that in a bank-centric universe, funneling no-strings-attached money to too-big-to-fail banks is the logical thing to do.

So is arguing that the banking crisis is just a liquidity problem rather than an insolvency one, as Geithner continues to do (and if the stress tests come back declaring Citi solvent, it will be high time to start stress testing the stress testers).

In a bank-centric universe, it's also no surprise that "mark-to-market" accounting rules, in which banks have to calculate and report their assets based on what those assets are actually worth, instead of what they'd like them to be worth, are being abandoned. A good name for the reworked accounting standards would be mark-to-fantasy, because that's basically what balance sheets will be under these new rules. Of course, to a true believer in bank-centrism, the problem with mark-to-market is that it's not good for the banks. It's the accounting equivalent of Galileo's telescope.

Last week at the G-20 meeting, Gordon Brown proclaimed that "the old Washington consensus is over." But when it comes to attacking the financial crisis, the zombie Wall Street/Washington consensus that has everything in America orbiting around the banks is still the order of the day.

The longer bank-centrism is the dominant cosmology in the Obama administration -- and the longer it takes to switch to a plan that reflects a cosmology in which the American people are the center of the universe and are deemed too-big-to-fail -- the greater the risk that the economic crisis will be more prolonged than necessary. And the greater the suffering the crisis will continue to cause.

There is an enormous human cost to this bank-centric dogma. Unemployment, already at levels not seen since 1983, is skyrocketing. In many places in the country, it's approaching 20 percent (and in Detroit it's 22 percent).

Writing about the "grand book" that is the universe, Galileo declared that it "cannot be understood unless one first learns to comprehend the language and interpret the characters in which it is written... without these, one is wandering about in a dark labyrinth."

That's where we find ourselves today, wandering about in a dark financial labyrinth -- being led by good men blinded by an obsolete view of the world.

Huffington Post: Larry Summers "Best White House Aide Money Can Buy"

According to David Sirota's analysis of the G-20 meeting:

Was there a quid pro quo whereby Summers took cash from Wall Street and then entered the administration and did Wall Street's bidding? Not explicitly, no. Bribery in our country most often operates in the world of the implicit - Summers got the cash because he was a solid Wall Street investment, a guy who could be counted on to continue championing deregulation in crucial government and public policy spheres. It was likely both a reward for his longtime deregulation advocacy, and an encouragement for him to continue in that advocacy - a signal that he will continue to be rewarded for his extremism.

And we now see the consequences. With the global community ready to embrace very strong financial regulations, our government - whose economic policy is steered by Summers - worked to water down those regulations. Indeed, a $7 million investment got Wall Street a huge return - perhaps it's best investment in the lat few years.

Put another way, there's a cause and effect there - it may not be overt, it may be subtle, the news media may be more interested in reporting on the trivialities of Barack and Michelle's European travels, and the Summers case may be a microcosm of a larger systemic probem, but it's there. You can avert your eyes from it, stomp your feet and pretend beyond a reasonable doubt that it's not true, but it's right there.

Richard Posner on Rationality and Economics

Someone I know told me to read Richard Posner's review of Animal Spirits: How Human Psychology Drives the Economy, and Why It Matters for Global Capitalism, by George A. Akerlof and Robert J. Shiller, in The New Republic. An excerpt:

There is a simpler explanation for unemployment in depressions, one that dispenses with irrationality. A worker who, rather than being paid a flat wage, is paid a percentage of his firm's income would be unlikely to complain when his wage dropped in a depression; he would know that his wage was variable, and he would plan his life accordingly. But if paid a fixed wage, he is likely to count on it as a steady source of income. Since depressions are rare and have unpredictable consequences, he will not have been able to protect himself from the consequences of a depression-induced cut in his wage. He is going to be upset to find that he is working as hard or harder but being paid less, and he will not be reassured by being given a lecture on deflation and purchasing power, because he will not understand or believe it. And whereas wage cuts make the entire work force unhappy, layoffs make just the laid-off workers unhappy, and since they are no longer on the premises they do not demoralize the remaining work force by their unhappy presence. The employer, for this and other reasons--such as wanting to economize on benefits and overhead and induce the remaining workers to work harder lest they be laid off too--is likely to prefer laying off workers to cutting wages. (Unemployment insurance is a factor as well.)

This explanation for unemployment in depressions is consistent with Akerlof and Shiller in giving weight to cognitive and emotional factors (workers do not understand deflation, unhappy workers can demoralize the workplace), but it avoids jargon and condescension and the fascination with irrationality. Yet it may be too simple to please an academic economist. One reason why Keynes fell into disfavor among academic economists, and why Akerlof and Shiller want to dress him in the garb of a behavioral economist, is that although he was a brilliant economist and remains a hero of liberal economists, he was not a formal or systematic thinker. He belonged to the era before economists insisted on mathematizing the discipline. The General Theory is beautifully written--and full of loose ends and puzzling omissions. Keynes was a self-taught economist and a part-time academic. He had a rich and varied non-academic life as a government official and adviser, journalist, speculator, academic administrator, and member of the Cambridge Apostles and the Bloomsbury group. Having observed how people, including himself, behaved in the real world, he was unself-conscious about incorporating into economic theory such unsystematized and untheorized concepts as "animal spirits" (and its opposite, "liquidity preference"--the desire to hoard cash rather than spend or invest it).

The complexity of a modern economy has defeated efforts to create mathematical models that would enable depressions to be predicted and would provide guidance on how to prevent them or, failing that, to recover from them. The insights of behavioral economics have not done the trick, either. Shiller is to be commended for spotting bubbles, but few if any other behavioral economists noticed them; and he and Akerlof offer no concrete proposals for how we might recover from the current depression and prevent a future one. They want credit loosened, but so does everyone else--so did Keynes, who criticized our government for tightening credit in the early stages of the Great Depression.

We will discover soon enough whether the measures taken by the Obama administration are reviving the animal spirits of producers and consumers. The intentions are good. But the lack of focus, the partisan squabbling, the dizzying policy oscillations, the delays in execution, and the harassment of bankers are bad. By increasing the uncertainty of the business environment, these things are dampening the animal spirits--the courage to reason and act in the face of an uncertain future. Seventy-three years after the publication of The General Theory, it may still be our best guide to recovery from our present distress, not least because of its common-sense psychology.There is a simpler explanation for unemployment in depressions, one that dispenses with irrationality. A worker who, rather than being paid a flat wage, is paid a percentage of his firm's income would be unlikely to complain when his wage dropped in a depression; he would know that his wage was variable, and he would plan his life accordingly. But if paid a fixed wage, he is likely to count on it as a steady source of income. Since depressions are rare and have unpredictable consequences, he will not have been able to protect himself from the consequences of a depression-induced cut in his wage. He is going to be upset to find that he is working as hard or harder but being paid less, and he will not be reassured by being given a lecture on deflation and purchasing power, because he will not understand or believe it. And whereas wage cuts make the entire work force unhappy, layoffs make just the laid-off workers unhappy, and since they are no longer on the premises they do not demoralize the remaining work force by their unhappy presence. The employer, for this and other reasons--such as wanting to economize on benefits and overhead and induce the remaining workers to work harder lest they be laid off too--is likely to prefer laying off workers to cutting wages. (Unemployment insurance is a factor as well.)

This explanation for unemployment in depressions is consistent with Akerlof and Shiller in giving weight to cognitive and emotional factors (workers do not understand deflation, unhappy workers can demoralize the workplace), but it avoids jargon and condescension and the fascination with irrationality. Yet it may be too simple to please an academic economist. One reason why Keynes fell into disfavor among academic economists, and why Akerlof and Shiller want to dress him in the garb of a behavioral economist, is that although he was a brilliant economist and remains a hero of liberal economists, he was not a formal or systematic thinker. He belonged to the era before economists insisted on mathematizing the discipline. The General Theory is beautifully written--and full of loose ends and puzzling omissions. Keynes was a self-taught economist and a part-time academic. He had a rich and varied non-academic life as a government official and adviser, journalist, speculator, academic administrator, and member of the Cambridge Apostles and the Bloomsbury group. Having observed how people, including himself, behaved in the real world, he was unself-conscious about incorporating into economic theory such unsystematized and untheorized concepts as "animal spirits" (and its opposite, "liquidity preference"--the desire to hoard cash rather than spend or invest it).

The complexity of a modern economy has defeated efforts to create mathematical models that would enable depressions to be predicted and would provide guidance on how to prevent them or, failing that, to recover from them. The insights of behavioral economics have not done the trick, either. Shiller is to be commended for spotting bubbles, but few if any other behavioral economists noticed them; and he and Akerlof offer no concrete proposals for how we might recover from the current depression and prevent a future one. They want credit loosened, but so does everyone else--so did Keynes, who criticized our government for tightening credit in the early stages of the Great Depression.

We will discover soon enough whether the measures taken by the Obama administration are reviving the animal spirits of producers and consumers. The intentions are good. But the lack of focus, the partisan squabbling, the dizzying policy oscillations, the delays in execution, and the harassment of bankers are bad. By increasing the uncertainty of the business environment, these things are dampening the animal spirits--the courage to reason and act in the face of an uncertain future. Seventy-three years after the publication of The General Theory, it may still be our best guide to recovery from our present distress, not least because of its common-sense psychology.

Boston Globe: Larry Summers Fired Harvard Hedge-Fund Whistleblower

As Bob Dole used to ask me: Where's the outrage? From Beth Healy's Boston Globe article on April 3, 2009:

Back in 2002, a new employee of Harvard University's endowment manager named Iris Mack wrote a letter to the school's president, Lawrence Summers, that would ultimately get her fired.

In the letter, dated May 12 of that year, Mack told Summers that she was "deeply troubled and surprised" by things she had seen in her new job as a quantitative analyst at Harvard Management Co.

She would go on to say, in later e-mails and conversations, that she felt the endowment was taking on too much risk in derivatives investments, and that she suspected some of her colleagues were engaging in insider trading, according to a separate letter written by her lawyer that summarized the correspondence.

On July 2 Mack was fired. But six years later, the kinds of investments she allegedly warned about did blow up on Harvard. The endowment plunged 22 percent last summer, in part due to the collapse of the credit markets. As a result, the school is cutting costs and under criticism that it took on too much risk in its investment portfolio.

Mack, who holds a doctorate in mathematics from Harvard, had been with Harvard Management for just four months when she approached Summers. She asked him to keep her communications confidential, or risk making her life "a living hell."

But on July 1, Mack was called into a meeting by her boss, Jack Meyer, then the chief of Harvard Management.

The next day Meyer fired her, according to the letter from her attorney, Jonathan Margolis, a copy of which was obtained by the Globe. Meyer told Mack that she was fired for making "baseless allegations against HMC to individuals outside of HMC," according to the Margolis letter...

UPDATE: Apparently, the Harvard Crimson broke this story on March 30, 2009...

Did Larry Summers Brief Obama on This Question?

John Crace, in The Guardian (UK), (ht Drudge) de-coded Obama's wandering response to reporter Nick Robinson's question about the global financial crisis:

Nick Robinson: "A question for you both, if I may. The prime minister has repeatedly blamed the United States of America for causing this crisis. France and Germany both blame Britain and America for causing this crisis. Who is right? And isn't the debate about that at the heart of the debate about what to do now?"

Brown immediately swivels to leave Obama in pole position.

There is a four-second delay before Obama starts speaking [THANKS FOR NOTHING, GORDY BABY. REMIND ME TO HANG YOU OUT TO DRY ONE DAY.] Barack Obama: "I, I, would say that, er ... pause [I HAVEN'T A CLUE] ... if you look at ... pause [WHO IS THIS NICK ROBINSON JERK?] ... the, the sources of this crisis ... pause [JUST KEEP GOING, BUDDY] ... the United States certainly has some accounting to do with respect to . . . pause [I'M IN WAY TOO DEEP HERE] ... a regulatory system that was inadequate to the massive changes that have taken place in the global financial system ... pause, close eyes [THIS IS GOING TO GO DOWN LIKE A CROCK OF SHIT BACK HOME. HELP]. I think what is also true is that ... pause [I WANT NICK ROBINSON TO DISAPPEAR] ... here in Great Britain ... pause [SHIT, GORDY'S THE HOST, DON'T LAND HIM IN IT] ... here in continental Europe ... pause [DAMN IT, BLAME EVERYONE.] ... around the world. We were seeing the same mismatch between the regulatory regimes that were in place and er ... pause [I'VE LOST MY TRAIN OF THOUGHT AGAIN] ... the highly integrated, er, global capital markets that have emerged ... pause [I'M REALLY WINGING IT NOW]. So at this point, I'm less interested in ... pause [YOU] ... identifying blame than fixing the problem. I think we've taken some very aggressive steps in the United States to do so, not just responding to the immediate crisis, ensuring banks are adequately capitalised, er, dealing with the enormous, er ... pause [WHY DIDN'T I QUIT WHILE I WAS AHEAD?] ... drop-off in demand and contraction that has taken place. More importantly, for the long term, making sure that we've got a set of, er, er, regulations that are up to the task, er, and that includes, er, a number that will be discussed at this summit. I think there's a lot of convergence between all the parties involved about the need, for example, to focus not on the legal form that a particular financial product takes or the institution it emerges from, but rather what's the risk involved, what's the function of this product and how do we regulate that adequately, much more effective coordination, er, between countries so we can, er, anticipate the risks that are involved there. Dealing with the, er, problem of derivatives markets, making sure we have set up systems, er, that can reduce some of the risks there. So, I actually think ... pause [FANTASTIC. I'VE LOST EVERYONE, INCLUDING MYSELF] ... there's enormous consensus that has emerged in terms of what we need to do now and, er ... pause [I'M OUTTA HERE. TIME FOR THE USUAL CLOSING BOLLOCKS] ... I'm a great believer in looking forwards than looking backwards.

Larry Summers Paid Millions by Hedge Fund

No wonder Wall Street executives are getting their bonuses and bailouts... Reuters reports:

WASHINGTON (Reuters) - Lawrence Summers, a top economic adviser to U.S. President Barack Obama, was paid about $5.2 million by hedge fund D.E. Shaw in the past year, financial disclosure forms released by the White House showed on Friday.

Summers, a former U.S. Treasury secretary and Harvard University president, also was paid $2.7 million in speaking fees by a range of organizations and companies, including several troubled Wall Street financial firms, they showed.

The disclosure documents on Summers and other White House officials advising Obama on the global financial crisis covered 2008 and the first few months of this year. Summers became an official adviser on January 20 when Obama took office.

Summers, who was a part-time managing director of D.E. Shaw after stepping down as Harvard president, had speaking fees of $67,500 from JP Morgan, $45,000 from Citigroup, $135,000 from Goldman Sachs and $67,500 from Lehman Brothers, which went bankrupt in the mortgage crisis last year.

Did US President Obama Bow to Saudi King Abdulla?

This clip was on Jihad Watch today, and it unfornately looks like it-- bad news (unless President Obama stoops to conquer...). IMHO the White House needs to come up with some clear explanation of what is going on. Even if not shown widely in US media, this clip could be interpreted in different ways among those hostile to the United States, in ways that might harm national security:
Some commentary by Clarice Feldman at The American Thinker:

See Miss Manners on the protocol. Americans do not bow to foreign monarchs because that act signified the monarch's power over his subjects.

Michelle Malkin has more.

Ali Alyami, founder of the Center for Democracy and Human Rights in Saudi Arabia, commented:

This photo of our President bowing to one of the most absolute monarchs in the world is circulating globally. Personally, I think, the president's apparent submissive act is inappropriate to say the least, especially since the President barely bowed his head for the Queen Of Great Britain who has no power and represents the land of Magna Carta among other things. The controlled Saudi media will present this as a victory for their global primacy, king and for the supremacy of their religion over the rest of the world...

Jorge Preloran, 75

An Argentine friend just informed me of the death of ethnographic filmmaker Jorge Preloran, who had been one of my teachers at UCLA Film School. Here's an obituary from Argentina's El Diaro de la Pampa:

A los 75 años de vida, murió el cineasta Jorge Prelorán, un artista con todas las letras, que estuvo vinculado de manera estrecha a la historia y la cultura de La Pampa. Prelorán padecía una larga dolencia y perdió la vida en su casa de Los Angeles (Estados Unidos), donde residía, el sábado a las 5.30 horas de Argentina. Uno de sus últimos actos, fue dar su cuerpo para donación de órganos y estudios científicos.

Haydeé Mabel Freddi, su esposa y compañera inseparable de toda la vida, fue su custodia y hoy tiene en sus manos la gran obra que dejó Prelorán.

Prelorán había nacido el 28 de mayo del ‘33, en Buenos Aires. Además de un gran artista, fue alguien que apostó durante toda su vida a la ciencia, al conocimiento y a la educación. En marzo del año 2007, la Universidad Nacional de La Pampa lo había declarado Profesor Honorario. Una de sus películas más recordadas es Cochengo Miranda. También se vinculó con La Pampa -provincia a la que regresó cada vez que pudo- a través de Los Hijos de Zerda y de Héctor Di Mauro, titiritero.

Estudió en la Facultad de Arquitectura de Buenos Aires y también en el exterior (en la Universidad de California, de Los Angeles y de Berkeley). Estudió piano clásico e idiomas: inglés, italiano, francés.

Prelorán se destacó además como dibujante y produjo películas y series televisivas, como -por ejemplo- “Los Aborígenes”, una producción de la que fue asistente de dirección en los ‘60. Produjo películas educativas y series didácticas; participó en el “Relevamiento Cinematográfico de Expresiones Folklóricas Argentinas”, bajo la dirección del Dr. Augusto Raúl Cortazar. Para esa producción, a lo largo de 4 años recorrió unos 250.000 kilómetros y filmó sobre una diversidad de temas regionales de la Argentina.

En la Universidad de California también fue profesor, dictó seminarios sobre cine etnográfico y documental. En el año ‘73 se desempeñó como profesor / tutor en el National Film School of Great Britain, de Londres (Inglaterra).

En el ‘75 presentó “Hermógenes Cayo”, considerada una de las “Diez Mejores películas en la Historia del Cine Argentino”, según una encuesta realizada en 1977 entre críticos de cine en actividad y publicada en Radiolandia.

Dos años más tarde fue invitado al Museo de Arte Moderno de Nueva York para estrenar “Los Hijos de Zerda”.

En el ‘81 fue nominado para el Oscar de la Academia de Artes y Ciencias de Hollywood por el corto documental “Luther Metke at 94”. En la Argentina se hizo acreedor al Premio Konex, otorgado al más prestigioso creador en el rubro cultural de espectáculos.

En el año ‘94, se publicó el libro “Jorge Prelorán”, de Graciela Taquini, en la serie “Los directores del cine argentino” del Centro Editor de América Latina, Buenos Aires. Ese mismo año lo nombraron Profesor Emeritus de la UCLA.

En marzo de 2007 recibió el título de Profesor Honorario de la Universidad Nacional de La Pampa. Y se aceptó para publicación el libro “Cochengo Miranda” (parte de la serie Nos-Otros) por Ediciones Universidad de la Pampa.

Dr. Robert Jarvik on Dr. Willem Kolff

Someone just told me about this tribute to my cousin's mentor in Time Magazine:

WILLEM KOLFF
By Dr. Robert Jarvik
Thursday, Feb. 19, 2009

In 1971, after my first two years at medical school, Dr. Willem Kolff, who died Feb. 11 at 97, hired me to work on the artificial-heart project at the University of Utah. On my first day, he instructed me to create a new heart design that would keep an animal alive longer than any earlier models had.

Previous designs had failed, he explained, because they did not fit anatomically. And that was all he said. He told me what to do but not how to do it. That was Dr. Kolff's forte: finding enthusiastic people, laying out his visions and then leaving them to their own devices.

Dr. Kolff, who was one of the founders of the American Society for Artificial Internal Organs, encouraged scores of people to turn their attention to creating mechanical hearts, electronic devices that restore hearing and vision, artificial arms and more. He believed that bioengineering could one day provide a substitute for almost every organ in the body.

What could not be replaced, however, was Dr. Kolff himself, who possessed energy, Old World charm and a grand, guiding vision. I count myself among the many inventors, engineers and doctors who worked with him and will never forget his indomitable spirit.

Jarvik developed the first permanent total artificial heart

More on Dr. Kolff at this link to a Stanford University website.

Kosuke Koyama, Theologian

We met Kosuke Koyama's daughter Mimi on Christmas Day, 2004 (Western calendar) at the St. Sergius Monastery, while we were living in Moscow. We got to know her and her family, and heard wonderful stories about her father. Our sincere sympathies and condolences to her and the family at this difficult time.

This excerpt from the obituary in today's New York Times gives a sense of his remarkable story:

Dr. Koyama was born on Dec. 10, 1929, in Tokyo. In 1945, as American bombs rained down on Tokyo, he was baptized as a Christian at the age of 15. He was struck by the courageous words of the presiding pastor, who told him that God called on him to love everybody, “even the Americans.”

Dr. Koyama graduated from Tokyo Union Theological Seminary in 1952 and earned a bachelor’s degree from Drew University in 1954 and a doctorate from the Princeton Theological Seminary in 1959.

He was then sent by the United Church of Christ in Japan to be a missionary in Thailand. In 1968, he moved to Singapore to become dean of the South East Asia Graduate School of Theology and editor of The South East Asia Journal of Theology.

From 1974 to 1978, he lectured at the University of Otago in New Zealand. In 1980, he joined Union. Before he arrived, someone noticed that his “Water Buffalo” book had just landed on the discard pile outside the library door, Dr. Shriver said. Apparently, a librarian had concluded that the prestigious school had no program for teaching theology to water buffaloes. The book quickly and quietly returned to the shelves.

Dr. Koyama was the first holder of the John D. Rockefeller Jr. Chair in Ecumenics and World Christianity. He retired in 1996.

In addition to his son Mark, Dr. Koyama is survived by his wife of 50 years, Lois; another son, James; his daughter, Elizabeth; and five grandchildren.

Once, in discussing death, Dr. Koyama recalled the story of Jesus washing the feet of his disciples. He said Jesus would be with others the same way:

“Looking into our eyes and heart, Jesus will say: ‘You’ve had a difficult journey. You must be tired, and dirty. Let me wash your feet. The banquet’s ready.’ ”

Geithner Resigns As Treasury Secretary

(April Fool)

Daniel Pipes on British Crusaders' Propaganda in 1917

From DanielPipes.org:

Reporting on General Edmund Allenby's conquest of Jerusalem on December 9, 1917, the New York Herald announced in a headline: "Jerusalem Rescued by British after 673 Years of Moslem Rule." Subtitles then elaborate: "Great Rejoicing in the Christian World" and "Jews Everywhere in Particular See the Restoration of Palestine as Part of Allies' Programme."

The math checks out: 1917-673=1244, the year when the Ayyubids, with Khwarezmian aid, seized the city for the last time from the Crusaders

The newspaper's second page boasts stories under headlines that read "Distinguished Jews Here [i.e., New York] Express Joy Over Capture of Jerusalem by British," "Rescure of Jerusalem Causes Joy," and "Holy City Ravaged in Many Wars by Pagan and Turk: Has Been Under the Yoke of Mohammedan Rule for 670 Years."

Comment: (1) The lead headline captures a mentality once dominant but now rare in the West, when there was a self-conscious "Christian world" and it rejoiced in a religious/military victory over Muslims. (2) Conversely, the "Muslim world" would still today rejoice in precisely this manner, recalling medieval rivalries, raising religious sentiments, and taking satisfaction at the humiliation of an age-old enemy. (3) If the West can travel so far in less than a century, why not Muslims as well? (March 30, 2009)

Robert Kuttner: Federal Reserve Has Become Slush Fund

From the Huffington Post:

Even more alarmingly, the administration is now using the Federal Reserve as an unlegislated, all-purpose slush fund. Because the Fed's operations are largely beyond the reach of Congressional appropriations or scrutiny, the Fed can do whatever it wishes with its money. The Geithner plan was negotiated behind closed doors, the main players being the Fed, the FDIC, the Treasury, and power-brokers on Wall Street.

What we have is something perilously close to a dictatorship of the Fed and the Treasury, acting in the interests of Wall Street. The contrasts with the first hundred days of the Roosevelt administration are striking. Like Roosevelt, Obama faces an economic emergency. Like Roosevelt, he faces an angry public, which has been bilked by excesses on Wall Street. And like Roosevelt, Obama has a supportive Democratic Congress that is willing to substantially defer to the White House on an emergency recovery plan.

But unlike Roosevelt, who used the public's indignation and Congress's support to constrain the barons of private finance, Obama's economic team is using government funds to put the most abusive players on Wall Street back in the saddle. And Geithner and Summers, working with the Fed, are assembling their plan with no public scrutiny.

In the course of a week, the administration's own rhetoric on the A.I.G. bonuses has shifted from "We were bound by contracts" to "This is an outrage" to "Never mind." Wall Street was out for favor for just days. Meanwhile, Geithner is out with a new proposal to give the Federal Reserve even more sweeping powers to be a "systemic risk regulator."

All of this invites a couple of hard questions.

First, was this the only way to proceed? I have addressed this in a previous column arguing that a superior approach would be a new Reconstruction Finance Corporation.

For details of a well articulated rationale for a new RFC, see the recent speech by Thomas Hoenig, president of the Federal Reserve Bank of Kansas City, whose jurisdiction covers eleven Midwestern states. (PDF)

Second, where is Congress? Basically, the key Democratic Committee chairman, whatever their private reservations, have been persuaded that they need to support their president and that the Geithner plan is worth a try. But at the very least, they should be asking harder questions and demanding more transparency. For instance, the Treasury needs to define tactics to game the bailout that will be be prohibited. Congress needs to know which Wall Street moguls the Treasury team met with, and exactly what they were promised. And the whole plan needs to be legislated, rather than made up on the fly by Summers, Geithner, and Bernanke.

At the very least, Congress should act now to cap the kind of windfall profits that hedge funds and private equity companies are likely to make with government bearing nearly all of the risk. There is a good precedent for this. During and after World War II, ending only in the early 1970s, there was a government agency called the Renegotiation Board. Defense Contractors had to agree to a contractual provision allowing a post-audit, after the contract was finished. If their profit exceed the stipulated amount, the government got a refund. By the same token, hedge fund and private equity bets made with government guarantees should have limits on their upside.

And before the Fed is turned into an even more potent all-purpose regulator, Congress should turn it into a true public institution--a reform project that has been deferred since Roosevelt's day.

At a recent conference of the New America Foundation, economist and Obama adviser Laura Tyson, an in exchange with me, defended the administration's approach on the premise that there was no way that Congress would legislate the one to two trillion dollars in public funds that will be needed to make this rescue work. So, in Tyson's view, there was no alternative other than having Treasury contrive its own plan, using the Fed as an all purpose source of unlegislated financing.

I think this is exactly backwards. The administration has, in fact, put $750 billion into its current budget for bank-bailout funds to be tapped later. And if the White House had proposed a more progressive approach to the whole financial rescue--taking failed banks into receivership, involving Congress in the program design, doing comprehensive government audits of bank balance sheets before rather than after the fact, and forcing bank shareholders and bondholders rather than taxpayers to take more of the hit--Congress might well have provided at least some of the funds, leaving the Fed to provide the rest.

Under the present arrangement, the Fed provides nearly all of the funds, an approach that carries no transparency and huge risks of its own. Until last September, the Fed bought and sold mainly Treasury bonds, the safest securities there are. And it did so for one purpose only--to conduct monetary policy. Now, the Fed is buying trillions of dollars of junk assets, and it will be under tremendous pressure to keep these on its own books, compromising its capacity to run the nation's monetary policy.

It's possible that the Geithner plan will "work" in the sense of re-starting the Wall Street bubble machine, this time with a limitless line of direct credit from the Federal Reserve. If that happens, it will defer an even more serious day of reckoning, as the cost of the Fed's immense credit creation comes due. But the greater likelihood is that the plan will merely enrich some speculators, but neither bring zombie banks back to life, nor get a normal banking and credit system operating again. And then the administration will need to come back to Congress, this time with less credibility, with the economy in even worse shape, having burned through more than a trillion dollars.

We were promised unprecedented openness. In the most momentous area of policy for getting the economy functioning again for ordinary Americans, we have instead unprecedented secrecy, designed by and for Wall Street. We expected better of Obama.

FoxNation Blog Debuts

So far, it looks like a conservative version of The Huffington Post, IMHO...meanwhile you can read Rupert Murdoch's latest venture for yourself here: http://www.thefoxnation.com/.

I Liked Little Dorrit...

...on Masterpiece Theatre last night, although some of the direction was a little too dark and grotesque (I prefer a lighter touch with Dickens). It was nice to hear someone say "a cup of tea," see those carriages, hear those hooves clip-clopping, and have a soothing evening's entertainment of classic serial drama. Lead actors were good, Tom Courtenay outstanding. Glad it's back on Sunday night at 9 pm. Looking forward to next week.

Now, if only WGBH and PBS could find someone to sit calmly in a leather armchair with a book, instead of Laura Linney hyperventilating while standing in front of a scrim... Perhaps Christopher Hitchens might be available?

Meanwhile, here's the BBC preview: