Update:
- Russia Is Next In Line To Restrict Cash Transactions
The Russians are taking a page from the Europeans book. Given the substantial criminal activity and illegal entrepreneurship in Russia - the grey and black economies account for 50–65 percent of GDP and estimates that about $50 billion was taken out of Russia illegally in 2012 alone - the great and glorious leaders have decided to impose restrictions on cash transactions.
As Russia Beyond The Headlines reports, Russia may ban cash payments for purchases of more than 300,000 rubles (around $10,000) starting in 2015 - starting with a higher ($19,500) restriction in 2014. They will also enforce mandatory cash-free salary payments (cash compensation accounts for 15% of GDP currently) in an effort to both bring some of the population's 'grey' income out of the shadow; and increase the volume of cash reserves in the banks.
It would appear that wherever we look now, leadership are realizing that the limits of fiscal and monetary policy have been reached and now changing rules, limiting freedom, and outright confiscation are the only way to maintain a status quo. Ironic really, when the enforcement of said rules may just be the catalyst for the end of the status quo as the middle class suffers.
http://www.zerohedge.com/news/2013-03-28...ansactions
- Furusawa Will Lead Japan Currency Policy as Weak Yen Draws Fire
Japan appointed Finance Ministry official Mitsuhiro Furusawa as the country’s top currency bureaucrat, Finance Minister Taro Aso said, as the weakening currency causes problems with Japan’s trading partners. Furusawa, 57, became vice finance minister for international affairs today, replacing incoming president of the Asian Development Bank Takehiko Nakao, Aso said in Tokyo.
Furusawa will supervise currency policy as trading partners including South Korea express concern over the yen’s fall of more than 17 percent against the dollar in the last two quarters. South Korea’s Finance Minister Hyun Oh Seok this month urged the Group of 20 nations to revisit the issue after the group refrained from criticizing Japanese policies last month. “A big challenge for the incoming vice finance minister will be to obtain the understanding of trading partners because Japan is set to provide more monetary stimulus, which may accelerate the yen’s decline,” said Azusa Kato, an economist at BNP Paribas SA in Tokyo. “If Japan intends to favor a weak yen policy, the government should engage in currency diplomacy to avoid friction.”
The yen was little changed at 94.15 per dollar as of 10:00 a.m. in Tokyo. The currency is poised for its biggest back-to- back quarterly slide since 1995 today on Abe’s commitments to revive the economy. The Nikkei 225 Stock Average was up 0.1 percent from yesterday, bringing its surge since the start of the fourth quarter of 2012 to 40 percent. Nakao was today appointed as an adviser to the finance ministry, Aso said. He will have to resign this position when he is elected as ADB head, according to the finance ministry.
http://www.bloomberg.com/news/2013-03-29...-fire.html
- The stimulus trap
For years we have been warned by Keynesian economists to fear the so-called "liquidity trap," an economic cul-de-sac that can suck down an economy like a tar pit swallowing a mastodon. They argue that economies grow because banks lend and consumers spend. But a "liquidity trap," they argue, convinces consumers not to consume and businesses not to borrow. The resulting combination of slack demand and falling prices creates a pernicious cycle that cannot be overcome by the ordinary forces that create growth, like savings or investment. They say that a liquidity trap can even resist the extraordinary force of monetary stimulus by rendering cash injections into useless "string pushing." Some of these economists suggest that its power can only be countered by a world war or other fortunately timed event that leads to otherwise politically unattainable levels of government spending.
Putting aside the dubious proposition that the human desire to strive and succeed can be permanently short-circuited by an economic contraction, and that modest expected price declines can quell our desire to consume, the Keynesians have overlooked a much more dangerous and demonstrable pitfall of their own creation: something that I call "The Stimulus Trap." This condition occurs when an economy becomes addicted to the monetary stimulus provided by a central bank, and as a result fails to restructure itself in a manner that will allow for robust, and sustainable, growth. The trap redirects capital into non-productive sectors and starves those areas of the economy that could lead an economic rebirth.
The condition is characterized by anemic growth and deteriorating underlying economic fundamentals which is often masked by inflation or asset price bubbles.
Japan has been caught in such a stimulus trap for more than a decade. Following a stock and housing market boom of unsustainable proportions in the 1980s, the Japanese economy spectacularly imploded in 1991. The crash initiated a "lost decade" of de-leveraging and contraction. But beginning in 2001, the Bank of Japan unveiled a series of unconventional policies that it describes as "quantitative easing," which involved pushing interest rates to zero, flooding commercial banks with excess liquidity, and buying unprecedented quantities of government bonds, asset-backed securities, and corporate debt. Although Japan has been technically in recovery ever since, its performance is but a shadow of the roaring growth that typified the 40 years prior to 1991. Recently, conditions in Japan have deteriorated further and the underlying imbalances have gotten progressively worse. Yet despite this, the new government is set to double down on the failed policies of the last decade.
http://rt.com/op-edge/stimulus-trap-economy-875/
- Putin flexes Russian military muscle in naval exercise
(Reuters) - President Vladimir Putin ordered large-scale military exercises in the Black Sea on Thursday, projecting Russian power towards Europe and the Middle East in a move that may vex neighbors. Officials suggested the surprise drill would test reaction speed and combat readiness, but Putin's order also seemed a signal to the West of Russia's presence in the region.
Presidential spokesman Dmitry Peskov told reporters Putin triggered the maneuvers as he flew back overnight from South Africa after a summit of the BRICS emerging economies. Peskov said 36 warships and an unspecified number of planes would take part, but not how long exercises would last.
Putin has stressed the importance of a strong and agile military since returning to the presidency last May. In 13 years in power, he has often cited external threats when talking of the need for reliable armed forces and Russian political unity. Late last month, Putin ordered military leaders to make urgent improvements to the armed forces in the next few years, saying Russia must thwart Western attempts to tip the balance of power. He said maneuvers must be held with less advance warning, to keep soldiers on their toes.
http://www.reuters.com/article/2013/03/2...K320130328
- Weapons supplies to Syrian rebels increase dramatically before a push on Damascus
AMMAN, Jordan — Mideast powers opposed to President Bashar Assad have dramatically stepped up weapons supplies to Syrian rebels in coordination with the U.S. in preparation for a push on the capital of Damascus, officials and Western military experts said Wednesday. A carefully prepared covert operation is arming rebels, involving Jordan, Saudi Arabia, Turkey and Qatar, with the United States and other Western governments consulting, and all parties hold veto power over where the shipments are directed, according to a senior Arab official whose government is participating. His account was corroborated by a diplomat and two military experts.
The Arab official said the number of arms airlifts has doubled in the past four weeks. He did not provide exact figures on the flights or the size of the cargo. Jordan opened up as a new route for the weapons late last year, amid U.S. worries that arms from Turkey were going to Islamic militants, all four told The Associated Press in separate interviews. Jordan denies helping funnel weapons to the rebels. The two military experts, who closely follow the traffic, said the weapons include more powerful, Croatian-made anti-tank guns and rockets than the rebels have had before.
The Arab official said there was a “master plan” for the rebels to seize Damascus. He and the diplomat spoke to the AP on condition that their identities and their nationalities not be disclosed because the operation was covert. “The idea is that the rebels now have the necessary means to advance from different fronts — north from Turkey and south from Jordan — to close in on Damascus to unseat Assad,” the Arab official said. He declined to provide details, but said the plan is being prepared in stages and will take “days or weeks” for results.
http://www.washingtonpost.com/world/midd...print.html
- How the Kurds are shaking up the Middle East
In Turkey, imprisoned Kurdish rebel leader Abdullah Ocalan has roiled the Middle East playing field by ordering his fighters to disarm, and shift their attention to politics. Coupled with the oil-led autonomy movement in Iraqi Kurdistan, Ocalan’s blockbuster announcement threatens the integrity of three nations that lack Turkey’s political nimbleness—Iran, Iraq and Syria. The Kurds are some 30 million people spread in towns and villages across these four Middle East countries. Repeatedly through history, one group or the other has risen up with the aim of defending their distinctive culture. The most active has been the PKK, Ocalan’s group in Turkey.
Ocalan (pronounced oh’-jah-lahn) made his announcement March 21 from the island prison in the Sea of Marmara where he has been held since 1999. As of now, the order appears to be embraced (paywall) by on-the-ground PKK leaders. Prime Minister Recep Tayyip Erdogan, who along with Ocalan has brokered the breakthrough, must also make sure he carries the support of Turkish nationalists. But the geopolitical potency of the move is its convergence with politics in neighboring Iraq. There, oil deals signed by foreign companies led by ExxonMobil have carved out significantly more autonomy for Iraqi Kurds.
Baghdad already fears that Turkey’s friendship with Iraq’s Kurds is leading to a splitup of the country. Turkey and Iraqi Kurds are planning pipelines that would directly ship oil and gas from the region to the market, independent from Baghdad’s control. “If oil from Kurdistan goes through Turkey directly, that will be like dividing Iraq,” Iraq’s Deputy National Security Adviser, Safa al-Sheikh Hussein, told Reuters. The Kurds, he said, “are a little over-confident and overly ambitious.”
http://qz.com/66067/how-the-kurds-are-sh...ddle-east/
- Surprised? Monsanto Openly Wrote Own Monsanto Protection Act
It should come as no surprise to many of you to find out that Monsanto actually authored the wording of its own Monsanto Protection Act hidden in the recently passed and signed Continuing Resolution spending bill. How could a major corporation write its own laws and regulations, you ask? Quite frankly I think it’s important to understand that the entire Senate passed the bill containing the Protection Act, but the politician who actually gave Monsanto the pen in order to write their very own legislation is no others than Roy Blunt — a Republican Senator from Missouri. As the latest IB Times article reveals, the Missouri politician worked with Monsanto to write the Monsanto Protection Act. This was confirmed by a New York news report I will get to shortly.
As you probably know I do not play the political clown game of left verses right, and instead highlight corruption and wrongdoing wherever it is found — regardless of party affiliation. In the case of Senator Blunt, he admits to colluding with Monsanto, a corporation that has literally been caught running ‘slave-like’ working conditions in which workers are unable to leave or eat (among many worse misdeeds).
This is one of the most blatant offenses against the citizens of the United States I’ve seen in a long time. A population that Blunt swore to serve. It’s not for the United States public at all, and it’s a serious matter that I don’t think is properly understood. The passing of this bill into law means that Monsanto is now immune from federal courts regarding any suspension or action on their crops that have been deemed to be dangerous to the people (or the environment).
http://www.infowars.com/surprised-monsan...ction-act/
- State Ban on UN Agenda 21 Clears Arizona Senate
Under immense pressure from grassroots activists across the political spectrum, lawmakers in the Arizona Senate approved legislation last week that would ban the controversial United Nations “sustainable development” scheme known as UN Agenda 21 within the state. The measure in Arizona follows similar efforts in other states and comes amid increasing nationwide outrage about the international so-called “sustainability” plot, which according to UN documents aims to radically restructure human civilization under the guise of environmentalism and fighting poverty.
The legislation, S.B. 1403, is summarized in the bill as “an act prohibiting the state and its political subdivisions from recognizing the United Nations or any of its declarations as legal authority in this state.” Specifically targeted are the UN “Rio Declaration on Environment and Development” and the “Statement of Principles for Sustainable Development” adopted by dictators and national governments at the 1992 international “sustainability” summit held in Rio de Janeiro. “Notwithstanding any other law, the state of Arizona and all political subdivisions of this state … shall not recognize the United Nations or any of its declarations as legal authority in this state,” the legislation reads, pointing out that officials are bound by their oaths to the Constitution. Political subdivisions are defined in the bill as the state, county, city, or town governments, as well as any “special districts” authorized by local officials.
The bill also addresses the fact that the UN has enlisted numerous so-called “non-governmental organizations” (NGOs) to implement its agenda around the world — especially noteworthy is a Germany-based group known as ICLEI, formerly the International Council of Local Environmental Initiatives. Recognizing that, under the legislation, the state of Arizona and all its political subdivisions would be prohibited from financing or collaborating with such groups. “We are very excited about the bill moving forward,” popular Republican state Sen. Judy Burges, who sponsored the legislation and a similar bill last year, told The New American. “Here in Arizona, Agenda 21 is slowly creeping into the state. It has its tentacles in everything from the schools to local government all the way up to the state.”
http://www.thenewamerican.com/tech/envir...ona-senate
- Computer Fraud And Abuse Act 2013: New CFAA Draft Aims To Expand, Not Reform, The ‘Worst Law In Technology’
The Computer Fraud and Abuse Act was passed in 1984 to combat the cracking of huge computer systems owned by financial institutions and the government. Nearly 30 years and seven amendments later, the law is regarded by many lawyers and academics as overly “expansive” and “sweeping,” as it lets the government incarcerate “any Internet user they want,” according to former federal prosecutor Orin Kerr. “The Computer Fraud and Abuse Act is the most outrageous criminal law you’ve never heard of,” Tim Wu, a Columbia law professor and pioneer of network neutrality, wrote in the New Yorker. “It bans ‘unauthorized access’ of computers, but no one really knows what those words mean.”
Despite the enormous reach of the Computer Fraud and Abuse Act as it currently stands – it was the same law used by prosecutors to torment late Internet activist Aaron Swartz prior to his suicide on Jan. 11 -- the House Judiciary Committee has actually proposed a number of expansions to the law in a new draft, which Tech Dirt says will be “rushed” to Congress during its “cyber week” in the middle of April.“The Computer Fraud and Abuse Act is the most outrageous criminal law you’ve never heard of,” Tim Wu, a Columbia law professor and pioneer of network neutrality, wrote in the New Yorker. “It bans ‘unauthorized access’ of computers, but no one really knows what those words mean.”You can read the proposed Computer Fraud and Abuse Act draft in its entirety here (pdf link, on original article).
Among many additions, the new CFAA draft expands the number of ways a person could be prosecuted by punishing anyone who “conspires to commit” violations just like those that have already “completed” the offense. It also adds computer crimes as a form of “racketeering activity,” to allow the Department of Justice to hit computer criminals with further charges in court. And if you’re found guilty, the new CFAA endorses more severe punishments for any offenders by raising the maximum sentences available for certain violations.
http://www.ibtimes.com/computer-fraud-ab...y-1158515#![[Image: wh5150d24d.jpg]](http://files.abovetopsecret.com/files/img/wh5150d24d.jpg)