Paul Krugman, May 7: “[Treasury secretary] Janet Yellen and I believe that the Fed can contain any inflationary risks.”
Paul Krugman, June 21: “For those paying closer attention to the flow of new information, inflation panic is, you know, so last week.”
Paul Krugman, July 23: “Overheating is still possible, and the Fed should keep its eye on that possibility. But the big numbers aren’t as scary as they seem.”
Paul Krugman, August 12: “Anxiety about the inflationary impact of public investment just doesn’t make sense if you work through the numbers.”
Paul Krugman, September 10: “Companies aren’t acting as if they expect lots of future inflation, where they can hike wages without losing competitive advantage. They’re acting, instead, as if they see current inflation as a blip.”
Paul Krugman, November 11: “So yes, that was an ugly inflation report, and we hope that future reports will look better. But people making knee-jerk comparisons with the 1970s and screaming about stagflation are looking at the wrong history. When you look at the right history, it tells you not to panic.”
The New York Times, this morning:
Inflation jumped to the highest level in nearly 40 years, fresh data released on Friday showed, as supply chain disruptions, rapid consumer demand and rising housing costs combined to fuel the strongest inflationary burst in a generation (emphasis added).
The rising costs spell trouble for officials at the Federal Reserve and the White House, who are trying to calibrate policy at a moment when the labor market has yet to completely heal from the pandemic, but the risk that price increases could become more lasting is increasing.
The Consumer Price Index climbed by 6.8 percent in the year through November, the data showed, the fastest pace since 1982.
One of the reasons inflation is such a serious problem right now is that we have an administration, a Fed, and a lot of ideologically or politically aligned economic elites who are wedded to the belief that inflation is not a serious problem.
Proving that some of the most basic facts of economic life for ordinary people elude some Nobel-prize winning economists, Krugman dismisses the idea that inflation hurts the poor worse than the rich.
Inflation redistributes from creditors to debtors — not exactly a burden on the bottom half of the income distribution 2/
Hey, Mr. Super-Genius: A family of four just getting by on $1,500 is hurt a lot more when the price of milk rises by 80 cents a gallon and gasoline rises a dollar a gallon.
Here Louis Rossmann (who does something like two videos a day) expounds upon that theme:
Some of his complaints are more acute for New York City than the rest of the country, but he’s far more in touch with reality than Krugman seems to be.
So what does the Biden Administration plan to do about inflation? Easy. They’re going to redefine it away by removing commodity prices from the CPI.
If it looks like I’ve been absent from Twitter, it’s because I received a seven day timeout merely for posting one of Twitter’s pre-loaded gifs, probably this one:
(If it’s not animated, it says “Die in a fire” at the end.)
Josh Rogin delivers an unnerving scoop in the Washington Post:
Administration sources confirmed that in an October call between Deputy Secretary of State Wendy R. Sherman and Sen. Jeff Merkley (D-Ore.), the other co-sponsor, Sherman made it clear that the administration prefers a more targeted and deliberative approach to determining which [Chinese] goods are the products of forced labor. She also told Merkley that getting allied buy-in was critical and more effective than unilateral action.
“To be clear, the Department of State is not opposing this amendment,” a State Department spokesman told me. “We share the Congress’ concerns about forced labor in Xinjiang.”
In other words, while the administration supports the legislation in public, they are asking Democrats to essentially water it down in private. Sherman’s specific criticism relates to a part of the bill that would require a presumption that all products coming from Xinjiang are tainted by forced labor unless the importer can prove otherwise. This happens to be the exact provision corporations are also objecting to. Maybe it’s a coincidence.
“It isn’t partisan or in any way controversial for the U.S. to be unequivocally, resoundingly opposed to genocide and slave labor,” Merkley told me. “The Senate passed this legislation in July, and it’s time to get it over the finish line.”
Watering down congressional efforts to punish China for the Uyghur genocide is not what Joe Biden promised when he was running for office, or when he took office.
Snip.
Month by month, the Biden administration is proving more and more reticent to confront the Chinese government in substantive and consequential ways. The investigation into the origins of COVID-19 is effectively dropped, and Biden didn’t mention China’s refusal to cooperate with the WHO’s separate investigation in his teleconference summit with Xi Jinping.
Biden did not mention China, the Uyghurs, Hong Kong, or the origins of COVID-19 in his address to the United Nations.
Snip.
Elsewhere, Biden nominated Reta Jo Lewis to run the U.S. Export-Import Bank. Senator Marco Rubio contends that, “Reta Jo Lewis is currently a strategic advisor for the U.S.-China Heartland Association, which is a conduit for the Chinese Communist Party’s (CCP) United Front Work Department (UFWD), which aims to influence key Americans at the subnational level and ultimately undermine America’s national interests.”
As I noted yesterday, even the proposed diplomatic boycott of the Olympics is moot, because the Chinese government announced that U.S. politicians were not invited before Biden could even officially announce the decision.
The rumors started circulating in July: Vice President Harris’s staff was wilting in a dysfunctional and frustrated office, burned out just a few months after her historic swearing-in and pondering exit strategies. A few days later, Harris hosted an all-staff party at her official residence, where most of her office bit into hamburgers and posted pictures of smiling, congenial co-workers on Twitter, pixelated counterpoints to the narrative of an office in shambles.
“Let me tell you about these burgers at the VP’s residence!!” chief Harris spokesperson Symone Sanders gushed in a tweet. “The food was good and the people were amazing.” Her official defense against reports of staff unrest was more searing. She called people who lobbed criticism behind nameless quotes “cowards” and stressed that working for a groundbreaking vice president was a difficult job, but not a dehumanizing one. “We are not making rainbows and bunnies all day,” she told one outlet. “What I hear is that people have hard jobs and I’m like ‘welcome to the club.’ ”
Five months later, Sanders is leaving the vice president’s office, the highest-profile member of an end-of-year exodus that includes communications chief Ashley Etienne and two other staffers who help shape the vice president’s public image. Sanders told The Washington Post her departure is not due to any unhappiness or dysfunction, but rather because she is ready for a break after three years of the relentless pressure that came with speaking for and advising Biden and Harris while navigating a global pandemic.
But the quartet of soon-to-be-empty desks reignited questions about why Harris churns through top-level Democratic staff, an issue that has colored her nearly 18 years in public service, including her historic but uneven first year as vice president. Now, those questions about her management extend to whether it will hamper her ability to seek and manage the presidency.
“Historic” because she checks social justice warrior diversity boxes, “uneven” because the Post will never be allowed to call it “horrible” for the same reason.
Critics scattered over two decades point to an inconsistent and at times degrading principal who burns through seasoned staff members who have succeeded in other demanding, high-profile positions. People used to putting aside missteps, sacrificing sleep and enduring the occasional tirade from an irate boss say doing so under Harris can be particularly difficult, as she has struggled to make progress on her vice-presidential portfolio or measure up to the potential that has many pegging her as the future of the Democratic Party.
“One of the things we’ve said in our little text groups among each other is what is the common denominator through all this and it’s her,” said Gil Duran, a former Democratic strategist and aide to Harris who quit after five months working for her in 2013. In a recent column, he said she’s repeating “the same old destructive patterns.”
“Who are the next talented people you’re going to bring in and burn through and then have (them) pretend they’re retiring for positive reasons,” he told The Post.
The Washington Post spoke with 18 people connected to Harris for this story, including former and current staffers, West Wing officials and other supporters and critics. Some spoke on the condition of anonymity to be more candid about a sensitive topic. The vice president’s office declined to address questions about Harris’s leadership style.
Her defenders say the criticism against her is often steeped in the same racism and sexism that have followed a woman who has been a first in every job she’s done over the past two decades.
“Shut up, because social justice!”
Her selection as President Biden’s vice president, they say, makes her a bigger target because many see her as the heir apparent to the oldest president in the nation’s history.
“Shut up, because social justice!”
They also say Harris faces the brunt of a double standard for women who are ambitious, powerful or simply unafraid to appear strong in public.
“Shut up, because social justice!”
Some pro-forma Harris defense snipped.
Staffers who worked for Harris before she was vice president said one consistent problem was that Harris would refuse to wade into briefing materials prepared by staff members, then berate employees when she appeared unprepared.
“It’s clear that you’re not working with somebody who is willing to do the prep and the work,” one former staffer said. “With Kamala you have to put up with a constant amount of soul-destroying criticism and also her own lack of confidence. So you’re constantly sort of propping up a bully and it’s not really clear why.”
For both critics and supporters, the question is not simply where Harris falls on the line between demanding and demeaning. Many worry that her inability to keep and retain staff will hobble her future ambitions.
Why should we remotely worry about her future ambitions when she’s obviously not even up to her current job?
Biden’s plans to relieve port crowding at LA/Long Beach haven’t worked.
Looking all the way back to Nov. 2, five weeks ago, the total number of excess dwell containers in Long Beach was down 22% as of Wednesday (the decrease is even higher, at 32%, when comparing to Oct. 28). Yet the numbers in Long Beach have plateaued more recently. Furthermore, the number of total import containers at Long Beach terminals has not decreased — it has actually slightly increased. There were 57,042 import containers at Long Beach terminals on Nov. 1 and 57,970 on Tuesday.
I embraced my people, and my people embraced me. They gave me everything I had always imagined I wanted: a Ph.D. from an Ivy League university; a professorship at NYU, complete with a roomy office overlooking Washington Square Park; book deals; columns in smart little publications; invitations to the sort of soirees where you could find yourself seated next to Salman Rushdie or Susan Sontag or any number of the men and women you grew up reading and admiring. The list goes on. Life was good. I was grateful.
And then came The Turn. If you’ve lived through it yourself, you know that The Turn doesn’t happen overnight, that it isn’t easily distilled into one dramatic breakdown moment, that it happens hazily and over time—first a twitch, then a few more, stretching into a gnawing discomfort and then, eventually, a sense of panic.
You may be among the increasing numbers of people going through The Turn right now. Having lived through the turmoil of the last half decade—through the years of MAGA and antifa and rampant identity politics and, most dramatically, the global turmoil caused by COVID-19—more and more of us feel absolutely and irreparably politically homeless. Instinctively, we looked to the Democratic Party, the only home we and our parents and their parents before them had ever known or seriously considered. But what we saw there—and in the newspapers we used to read, and in the schools whose admission letters once made us so proud—was terrifying. However we tried to explain what was happening on “the left,” it was hard to convince ourselves that it was right, or that it was something we still truly believed in. That is what The Turn is about.
You might be living through The Turn if you ever found yourself feeling like free speech should stay free even if it offended some group or individual but now can’t admit it at dinner with friends because you are afraid of being thought a bigot. You are living through The Turn if you have questions about public health policies—including the effects of lockdowns and school closures on the poor and most vulnerable in our society—but can’t ask them out loud because you know you’ll be labeled an anti-vaxxer. You are living through The Turn if you think that burning down towns and looting stores isn’t the best way to promote social justice, but feel you can’t say so because you know you’ll be called a white supremacist. You are living through The Turn if you seethed watching a terrorist organization attack the world’s only Jewish state, but seethed silently because your colleagues were all on Twitter and Facebook sharing celebrity memes about ending Israeli apartheid while having little interest in American kids dying on the streets because of failed policies. If you’ve felt yourself unable to speak your mind, if you have a queasy feeling that your friends might disown you if you shared your most intimately held concerns, if you are feeling a bit breathless and a bit hopeless and entirely unsure what on earth is going on, I am sorry to inform you that The Turn is upon you.
Snip.
You don’t get to be “against the rich” if the richest people in the country fund your party in order to preserve their government-sponsored monopolies. You are not “a supporter of free speech” if you oppose free speech for people who disagree with you. You are not “for the people” if you pit most of them against each other based on the color of their skin, or force them out of their jobs because of personal choices related to their bodies. You are not “serious about economic inequality” when you happily order from Amazon without caring much for the devastating impact your purchases have on the small businesses that increasingly are either subjugated by Jeff Bezos’ behemoth or crushed by it altogether. You are not “for science” if you refuse to consider hypotheses that don’t conform to your political convictions and then try to ban critical thought and inquiry from the internet. You are not an “anti-racist” if you label—and sort!—people by race. You are not “against conformism” when you scare people out of voicing dissenting opinions.
When “the left” becomes the party of wealthy elites and state security agencies who preach racial division, state censorship, contempt for ordinary citizens and for the U.S. Constitution, and telling people what to do and think at every turn, then that’s the side you are on, if you are “on the left”—those are the policies and beliefs you stand for and have to defend. It doesn’t matter what good people “on the left” believed and did 60 or 70 years ago. Those people are dead now, mostly. They don’t define “the left” anymore than Abraham Lincoln defines the modern-day Republican Party or Jimi Hendrix defines Nickelback.
“The defaults of Evergrande and Kaisa move us to the second step of this China Property downturn, with systemic risk being gradually replaced by idiosyncratic risk,” said Robin Usson, credit analyst at Federated Hermes. He is of course referring to the much bigger risk that is the downturn in China’s residential – and in general property – sector, which as Goldman recently showed is the world’s largest asset and arguably the most important pillar propping up China’s entire economy. Should China’s housing market crash, all bets are off.
Smoke and mirrors all the way down…
Study: “It is almost certain that in Wisconsin’s 2020 election the number of votes that did not comply with existing legal requirements exceeded Joe Biden’s margin of victory.” (Hat tip: TPPF.)
The rising star on the right is Eric Zemmour, who, writes The New York Times, “became one of France’s best-selling authors in the past decade by writing books on the nation’s decline — fueled, he said, by the loss of traditional French and Christian values, the immigration of Muslim Africans bent on a reverse colonization of France, the rise of feminism and the loss of virility, and a ‘great replacement’ of white people.”
Zemmour is being called “the Donald Trump of France.” And he and Le Pen are now running third and second behind Macron in the polling to become the next president of France, which suggests the power of the issue on which they agree: uninvited and unwelcome Third-World migration.
“You feel like a foreigner in your own country,” said Zemmour in his announcement speech Tuesday, declaiming, “We will not be replaced.”
Neighboring Spain is gripped by the same concern. Refugees and migrants from the global south use Morocco as a base from which to breach the Spanish enclaves of Ceuta and Melilla on the African coast.
Spain has taken to pushing the intruders back into Morocco.
Madrid has accused Rabat of using the migrants as a diplomatic weapon to extort changes in Spanish policy.
Italy, whose native-born ethnic population has been in a steady decline, patrols the Mediterranean Sea to prevent migrants from Libya from reaching its shores.
Drowning deaths are not uncommon. The Channel and the Mediterranean Sea are more formidable and unforgiving waters to cross than the Rio Grande.
Greece is attempting to keep Turkey from moving refugees and migrants from Middle East wars onto the Greek islands off Turkey’s coast.
Half a decade ago, Turkey was bought off with billions of euros to prevent the millions of Arab and Muslim refugees within its borders from crossing over into the EU.
In the recent clash between Poland and Belarus, the weapon of choice for Alexander Lukashenko was — migrants.
Brought into Belarus from the Mideast, they were moved to the Polish border, forcing Warsaw to deploy troops to keep thousands out of Poland. Lukashenko was exploiting the migrants to punish Poland and the EU for supporting sanctions on his regime.
After Europe united against him, Lukashenko moved the migrants away from the border and sent many back to Syria and countries whence they came.
In the hierarchy of European fears, the perceived threat to national identities that comes with mass migrations from the failed and failing states of the Third World appears to rank as a greater concern than the prospect of a Russian army driving toward the Rhine.
LA crime has gotten so bad that even Hollywood liberals are getting strapped. “‘Even hardcore leftist Democrats who said to me in the past, ‘I’ll never own a gun’ are calling me asking about firearms,’ said Joel Glucksman, a private security executive. “I’d say there has been an increase of 80 percent in the number of requests I’m getting this year.'” (Hat tip: Dwight.)
Only 2 percent of those polled refer to themselves as Latinx, while 68 percent call themselves “Hispanic” and 21 percent favored “Latino” or “Latina” to describe their ethnic background, according to the survey from Bendixen & Amandi International, a top Democratic firm specializing in Latino outreach.
More problematic for Democrats: 40 percent said Latinx bothers or offends them to some degree and 30 percent said they would be less likely to support a politician or organization that uses the term.
Judge blocks de Blasio’s private employer mandate for New York City and Louis Rossmann goes on an epic rant, including how it would disproportionately fall on minorities. “You are coming up with a policy because de Blasio is such a stupid cuntrag that it actually turns the clock back 40 or 50 years.” Also: “I don’t know who the fuck would sign up to do this job. I’d expect to disappear if I were doing this job…I would expect to end up on the bottom of the East River.”
Facebook admits that it’s “fact checks” are merely opinion.
If you parcel out your business It needs to multiple companies, but all of them rely on AWS (which had an outage Tuesday), you haven’t necessarily reduced your risk.
The outage at Amazon.com Inc.’s cloud-computing arm left thousands of people in the U.S. without working fridges, roombas and doorbells, highlighting just how reliant people have become on the company as the Internet of Things proliferates across homes.
The disruption, which began at about 10 a.m. Eastern time Tuesday, upended package deliveries, took down major streaming services, and prevented people from getting into Walt Disney Co.’s parks.
Affected Amazon services included the voice assistant Alexa and Ring smart-doorbell unit. Irate device users tweeted their frustrations to Ring’s official account, with many complaining that they spent time rebooting or reinstalling their apps and devices before finding out on Twitter that there was a general Amazon Web Services outage. Multiple Ring users even said they weren’t able to get into their homes without access to the phone app, which was down.
Others said they weren’t able to turn on their Christmas lights.
Let’s Go Brandon boat wins boat parade, until award is cancelled due to liberal tears.
Boom:
Is this a master class on avoiding Wisconsin, peddling collusion hoaxes and paying Russians to meddle in our elections, deleting e-mails, or being a sore loser? https://t.co/w96auaVbzv
Smaller than a LinkSwarm, here’s a list of foreign hot spots that we might want to pay more attention to than we are right now. And by “we,” I mean “The U.S. Department of State,” which seems to be run by feckless, corrupt Obama Administration retreads. So I doubt they’re up to the task.
Here goes nothing:
Cartel gunmen stormed as prison in Tula, Hidalgo, central Mexico and broke out Pueblos Unidos cartel leader Jose Artemio “El Michoacano” and “La Rabia” Maldonado Mejia, plus his brother and a whole bunch of gunmen. Cartel violence in Mexico is nothing new, but the brazenness of the jailbreak suggests continued weakness on the part of the criminal justice system.
Remember how our chattering classes got their knickers in a knot over Marine La Pen? Well, Eric Zemmour, reportedly a self-styled Gaullist and (get this) Bonapartist just declared he’s running for President of France.
PARIS — Éric Zemmour, a polarizing far-right writer and television star, announced on Tuesday that he was running for French president in elections next year, ending months of speculation over a bid that upended the race before he had even made it official.
Mr. Zemmour, 63, is a longtime conservative journalist who rose to prominence over the past decade, using prime-time television and best-selling books to expound on his view that France was in steep decline because of Islam, immigration and leftist identity politics, themes he returned to in his announcement.
“It is no longer time to reform France but to save it,” Mr. Zemmour said in a video with dramatic overtones that was published on social media, conjuring images of an idealized France and then warning about outside forces that threatened to destroy it.
He has fashioned himself as a Donald J. Trump-style provocateur lobbing politically incorrect bombs at the French elite establishment — saying, for instance, that the law should require parents to give their children “traditional” French names — and rewriting some of the worst episodes from France’s past. He has been charged with inciting racial or religious hatred several times over his comments, and twice convicted and fined.
Mr. Zemmour spoke over 1950s footage full of men in hats and vintage Citroën cars, contrasted with recent clips of crowded subways, crumbling churches, burning cars and violent clashes with the police.
“You feel like a foreigner in your own country,” Mr. Zemmour said, reading from notes at a desk in front of old bookshelves in a way that seemed intent on replicating Charles de Gaulle’s posture when he issued a call to arms against Nazi Germany from London in June 1940.
Mr. Zemmour said he was running “to prevent our children and our grandchildren from experiencing barbarity, to prevent our daughters from being veiled and our sons from being subdued.”
He accused elites — journalists, politicians, judges, European technocrats — of failing France, which he said was represented by a long list of illustrious men and women, including Joan of Arc, Louis XIV and Napoleon.
“We will not be replaced,” added Mr. Zemmour, who has espoused the theory of a “great replacement” of white people in France by Muslim immigrants.
Oh, he’s also bigger on Russians than Americans. Which seems strange for a Bonapartist, given that whole “invasion of Russia” thing.
Given the notorious unreliability of our media in reporting on any figure considered even mildly right of center, it’s hard to tell whether Zemmour is indeed a radical extremist, a conservative populist, or something in-between. We’ll find out if he’s a real Bonapartist if he invades Germany and crowns himself Emperor. As a pre-TDS National Review once said about Jean Le Pen, “we have no frog in this fight.”
Minutes before President Tayyip Erdogan delivered a speech renouncing high interest rates once again, the Turkish central bank said it was selling dollars to support the lira. The bank has $25 billion of net reserves as of November, down from $28 billion the month before. But that includes another $48 billion of swaps from local banks, without which reserves are firmly in negative territory.
It’s a flawed bid to support Erdogan’s ultra-loose monetary policy, which has caused the lira to fall more than 40% versus the dollar this year. Propping up the currency might slow Turkey’s descent into hyperinflation, but the country’s pot of dollars risks running out. The bank sold some $128 billion to steady the lira in 2019-2020 and still had to hike rates. When net reserves were at $28 billion in August 2020, it took just five months to run them down to $11 billion – the lowest since at least 2003. The lower reserves fall, the more likely another depreciation becomes.
I’m not an international economic expert, but usually you raise interest rates to stem inflation. The timeless meme protocols call for posting this:
Iranian border guards clashed with Taliban forces along the Iran-Afghanistan border on Wednesday after the Taliban opened fire on Iranian farmers, according to reports.
Local journalist Reza Khaasteh shared unverified video of the scene on Twitter, which appeared to show Iranian soldiers using heavy artillery to push back against the Taliban militants.
Khaasteh tweeted that the Taliban managed to capture several Iranian border posts; however, other reports citing unnamed sources claimed that was false.
OK, the Mullahs and the Taliban is maybe less of a “worry” story and more of a “sit back and watch the fireworks” one…
Thanks to California regulations and vaccine mandates, supply chain problems continue to plague America. Here’s an update on those disruptions and other topics related to the wondrous Biden Economy.
Not only is inflation bad, it’s about to get much worse. Unprocessed goods are up 56% from a year ago. “At the current rate of increase, regular unleaded gasoline will hit $6/gal (National Average) by Easter.”
China’s trade balance may have just hit a record on the back of resurgent exports and slowing inflation, but the favorable impact to China’s mercantlist economy was more than wiped out by the just released record PPI and resurgent CPI.
China’s National Bureau of Statistics reported that in October, CPI rose 1.5% Y/Y, higher than the 1.4% expected, and a 0.7% sequential increase from the September print; the CPI increase was evenly split between base effect and sequential growth.
At the same time factory gate, or PPI, inflation hit a fresh all time high of 13.5%, steamrolling the 12.4% consensus estimate, and rising at the fastest pace since records began in November 1995.
While the gradual increase in CPI is alarming, and the NBS said that it was affected by weather, commodities demand and costs – it was the producer price inflation that was far more alarming, soaring as a result of a tight supply of energy and resources. In reality, however, there was just one key variable – thermal coal, which as we said last month indicates that PPI will continue rising far higher, although judging by the recent sharp reversal in the price of Chinese thermal coal (if only for the time being), this may be as high as PPI gets.
Or so Beijing should hope because with the spread between PPI and CPI hitting a new all time record, virtually no Chinese companies that use commodity inputs – which in China is a vast majority – are making any profits.
DHL releases service announcements every week so shippers in their network know what to expect at ports all around the world. The most recent announcement came out today, and it shows that the situation at America’s top West Coast port complex is not improving. Here’s DHL’s summary of the port conditions at Los Angeles/Long Beach:
Ships are waiting 13-22 days to catch a berth. Currently there are 72 vessels waiting for a berthing spot. Both ports are seeing record volumes month after month and the ships at anchor are delayed an average of 4 days. Delays forcing the ships to wait at anchor are expected to continue for the remainder of the year. All terminals remain extremely congested and evaluating a reduction on their window for export cargo acceptance from four to three days. The expected spike on imports generated by the peak season and cargo pre-shipped is already here making the operation more complex. Local trucking delays have been reduced and are being closely monitored. The LAX/LGB rail operations from all terminals and the off dock ramps continues to deteriorate as demand exceeds capacity, therefore inland moves by rail can suffer considerable delays.
That’s not an encouraging description, and there has not been movement in the right direction. The waiting time and number of ships waiting have been steady for over a month now, according to DHL. If anything, they are getting slightly worse. Here’s how those estimates have changed over time:
“Port congestion has been a problem for months now, and we’ve yet to see signs of improvement.”
So, not only will you have to wait literal months for products you’ve ordered to finally make it to their destination, now it looks like you’ll be lucky if any of these things make it to your house because homeless people are stealing from unprotected parked trains.
Truckers should be making money hand-over-fist to solve the supply chain crisis. Port constraints mean They’re not:
We have covered the ocean-carrier side of this crisis (‘In Deep Ship’), and the new fee equivalent to $1m a day, and rising $1m each following day, for a 10,000 TEU vessel whose cargo is stuck in LA/LB port. However, we stressed in that report that the supply chain issue is more systematic. So, allow me to share quotes from an article exposing there is ‘No Trucking Way’ we are about to return to normal:
“Think of going to the port as going to WalMart on Black Friday, but imagine only ONE cashier for thousands of customers…Most port drivers are ‘independent contractors’, leased onto a carrier who is paying them by the load. Whether their load takes two hours, fourteen hours, or three days to complete, they get paid the same, and they have to pay 90% of their truck operating expenses…I honestly don’t understand how many of them can even afford to show up for work…In some cases they work 70 hour weeks and still end up owing money to their carrier.
So when the coastal ports started getting clogged up last spring due to the impacts of COVID on business everywhere, drivers started refusing to show up. Congestion got so bad that instead of being able to do three loads a day, they could only do one. They took a 2/3 pay cut and most of these drivers were working 12 hours a day or more…Many drivers simply quit. However, while the pickup rate for containers severely decreased, they were still being offloaded from the boats. And it’s only gotten worse…The ‘experts’ want to say we can do things like open the ports 24/7, and this problem will be over in a couple weeks. They are blowing smoke, and they know it.”
The author also points out a crippling shortage of truck chassis; warehouse workers, again due to low-pay and Covid, so unloading takes longer; and warns soon there will be less, not more truck drivers. Crucially, he bewails that ocean carriers, ports, trucking companies, warehouses, and retailers are all making great money – so won’t invest before the system collapses further. If so, this book-ends the 1980 deregulation of the US trucking industry under President Carter.
Meanwhile, Senator Manchin just said ‘No Trucking Way’ to the White House’s fiscal plans, again, which already fail to address the above logistical problems. Perhaps it’s time for US economists to study what weak, share-cropper logistics and on-off fiscal and central-bank liquidity largesse do for emerging markets’ macroeconomic and financial stability?
Indeed, Bloomberg reports: “Chinese households are encouraged to stock up on a certain amount of daily necessities, such as vegetables and meat, in preparation for the winter months, according to a notice from Ministry of Commerce aimed at ensuring supply and stabilizing prices of such items for the next few months. Major agricultural distributors are encouraged to sign long-term contracts with producers. Reserves of meat and vegetables will be released on a timely basis to replenish market supply.”
The biggest number of clearinghouse violations by far — 56 percent — are for marijuana use, according to federal data. (Amphetamine and methamphetamine violations account for 18 percent, while cocaine and various opioids account for 15 percent and 4 percent, respectively.) Some argue that because marijuana can stay in the body for up to 30 days, testing does not accurately reflect whether a person is driving while under the influence.
As Mario Loyola laid out, “The World Economic Forum rates America’s shipping-industry regulations as the most restrictive in the world, chiefly because of the Jones Act. Stifling regulations have left America with the most inefficient ports in the world. A recent review of container-port efficiency ranked the ports of Los Angeles and Long Beach below ports in Tanzania and Kenya, near the bottom of the list of 351 top ports. America’s ports are effectively third-world. The 50 most efficient ports in the world are mostly in Asia and the Middle East; none are in America.”
Loyola continues, “Above all, it is the shortage of truck drivers that’s causing the current crisis. And why do we have that shortage? One reason, according to truck drivers, is that the restrictions on their access to ports are too onerous. The Jones Act has made that problem worse, too. The Jones Act ‘has made coast-wise shipping prohibitively costly and therefore put additional pressure on alternative inland transit such as trucks and trains,’ Lincicome writes. “In practice, this means badly needed rigs that could be servicing U.S. ports currently are instead stuck on I-95 ferrying oranges from Florida to New York.”
Earlier this year, Heavy Duty Trucking reported that the Biden administration had imposed a tariff on truck chassis (the framework that provides the truck base that includes the wheels and axles) made in China; “chassis or sub-assemblies imported from China for the next five years will be subject to tariffs/duties that would add up to more than twice the value of the actual chassis itself.”
Weston LaBar, executive director of the Harbor Trucking Association in California, told Heavy Duty Trucking that that, “The [U.S. International Trade Commission] really botched their decision, at a time when our industry is needing to inject more equipment, both for capacity and for folks trying to retire older equipment. Now people have to stretch out the useful life of existing equipment, which isn’t an ideal thing from a safety standpoint. And now we’ve created scarcity and increased the cost.”
California imposed regulations requiring trucks built before a certain date to replace their engines or not operate in the state.
Our Dominic Pino observes that the Biden administration wants to make two-man crews for freight-train engines standard, forever — no matter what technological advances occur. The unions for the train crews argue that trains are like planes and require two engineers — unlike a freight truck, which can be safely driven by one person. “As the Association of American Railroads says, plenty of other trains operate just fine with only one person at the controls. In the European Union, Australia, and New Zealand, one-person crews are the norm, and even in the U.S., passenger trains are commonly driven by one person.”
A view from the trenches by (of all people) Dukakis campaign manager Susan Estrich:
I’m exactly the sort of person who should be up-to-the-minute on what the senators from Arizona and West Virginia are doing and whether the progressives will go along and whatever else it is that has caused Congress to accomplish absolutely nothing under supposed Democratic control. But I’m not.
I’m up-to-the-minute on the price of eggs. And the cost of cans for cranberry. And the likelihood of empty shelves when I shop for all the children in my life come December.
I’m up-to-the-minute on all the big ships you can see lined up just waiting to unload at San Pedro, which is pretty far south of where we’re sitting.
Twelve dollars for a dozen eggs. At the farmers market on Sunday, I did my own survey. Three stands were $11. The rest were $12. Ten minutes ago, they cost $6.
One hundred dollars. That’s how much it cost my handyman to fuel up his truck.
They’re warning that the price of canned cranberries is going to be 50% higher this year because of the scarcity of aluminum for the cans.
Remember overnight deliveries from Amazon? Notice that all those overnight specials now take three days, and certain products are already being slated for January delivery.
everyday items have started disappearing, leaving the stores with nothing to replace them with.
Belton resident Laura Zarate said it started slowly.
She’d go to her local store to buy groceries and the store didn’t have something she needed.
Now her shopping list is getting lighter as more items move to her can’t get list.
“When I walk in, on the shelves I see they don’t have a lot of things anymore that we used to buy. They’re kind of empty sometimes. It worries me,” Zarate said.
And it should worry all of us. In a global economy that lives or dies by its dependence on consumer spending, transportation becomes a vital link in getting products to consumers through something called “the supply chain”.
The supply chain is a network of transportation that takes goods from factories to airplanes and eventually to warehouses and eventually us.
And what’s the weak link here?
“The breakdown is in the supply chain in general,” a Port of Los Angeles longshoreman said.
However, this supply chain didn’t just have weak links, it looked like a roving gang with bolt cutters tore into it.
Take Christmas for instance, those decorations that didn’t show up in August could be the only thing we get.
“The cut-off was probably about a month ago,” said a L.A. warehouse manager, talking about when most of Decembers merchandise should have been here.
But that supply chain, that network, now has holes in it and empty store shelves prove it.
What are stores doing about the supply chain problem?
Frankly, everything they can and everything they can think of because if they aren’t selling, they aren’t making any money.
Stores blame shipping companies and shipping companies blame overseas companies, who blame the shipping companies and it goes round and round until it just becomes background noise, leaving Laura Zarate, paying more for much less to buy.
People started noticing it when ships mysteriously started dropping anchor off the coast of California.
A backup caused by only so many parking spots and so many employees unloading the ships.
“Everything. Everything on paper, your shirts, your shoes, your bike, computers, air conditioner, everything. Everybody’s waiting for,” said dock workers when asked about the growing problem.
The world shutdown is the cause but experts say we added to the problem by believing stories shipping companies spun of how their super-efficient delivery system meant you didn’t need a stockpile of stuff.
“We’ve had a lot of shortages, truck drivers and high utilization of our supply chains since the pandemic started. When you put all that together plus the shift of consumer spending from more services more towards goods, which has created more demand so it’s kind of like a perfect storm really says everything that could go wrong did go wrong and all at the same time,” said Michael Bomba, Ph.D., of the G. Brint Ryan College of Business, at the University of North Texas.
He says we will soon have to address the issue of better pay for truck drivers, another by-product of shifting spending and COVID.
Supply Chain Dive has a Port of LA and Long Beach tracker, though right now it seems heavier on policy announcements than actual action to relive congestion. One positive change: “The City of Long Beach is waiving container stacking rules for 90 days to help with port congestion. Previously, stacks could only be two containers high. Now, the city is allowing stacks of up to four containers, or up to five with a special permit.”
— Congressman Greg Murphy, M.D. (@RepGregMurphy) October 30, 2021
Locally, the luncheon meat shortage at HEB seems mostly over, but Sam’s doesn’t appear to be stocking 12 oz cans of Diet Dr Pepper, only 20 oz bottles and cans of Dr Pepper Zero Sugar, which has a different formula. So far I don’t like it as much…
Greetings, and welcome to the Halloween season! Manchin and Sinema are the only thing that stands in the way of a giant, economy-destroying meteor of leftwing pandering, energy crises ramp up in China and Europe, Biden nominates a commie, and more Flu Manchu shenanigans.
Inflation hits a 30 year high, yet Democrats are furious two of their own party aren’t letting them run even bigger deficits.
West Virginia Democratic Senator Joe Manchin calls the giant runway Porkulus fiscal insanity.
“What I have made clear to the President and Democratic leaders is that spending trillions more on new and expanded government programs, when we can’t even pay for the essential social programs, like Social Security and Medicare, is the definition of fiscal insanity,” Manchin said in a statement Wednesday.
Manchin says that any reconciliation bill must include a Hyde Amendment to bar federal taxpayer funding of abortion. I’m pretty sure Democrats would prefer kicking Manchin out of the party than give compromise on their holy of holies.
‘What if — and hear me out here,” writes Robert Reich, “we stopped letting two corporate Democrats singlehandedly block every single progressive policy we elected Democrats to pass?”
Okay, Robert. But how, exactly? The Democrats have 50 seats in the Senate. To pass a bill through reconciliation, the Democrats need 50 votes in the Senate. Two of the people who hold those 50 seats do not agree with the rest of the party on “every single progressive policy.” If the other 48 senators do agree — which is far from clear — the Democratic Party will have 48 votes for its agenda, two short of what it needs. Those two, not the Robert Reichs of the world, are the ones with the power to “stop” things.
“Should all of this just hinge on those two?” Representative Cori Bush (D., Mo.) asked yesterday. “Absolutely not.” But should doesn’t enter into it. The question is does “all of this” hinge on Sinema and Manchin? The answer is yes. Yes it does. And why? Because, again, “all of this” requires 50 votes in the Senate, and two of those votes aren’t on-board.
Underneath the complaints that Reich and Bush have leveled sits the erroneous implication that, come election time, American voters are obliged to press a button marked “Republican” or “Democrat,” and that, having done so, they are shipped a drone-like representative of the winning team from a central repository in Washington, D.C. Reich complains that “we elected Democrats.” But this is correct only in the aggregate. In fact, 50 different “we”s elected one hundred senators and 435 Representatives, who between them make up our majority and minority parties. There is nothing in this deal that obliges those emissaries to agree with one another.
Senators Manchin and Sinema are not a pair of uninvited interlopers who are unexpectedly gumming up the gears; they, themselves, are among the gears. This being so, the duo cannot be said to be “blocking” the Democrats’ de facto Senate majority so much as they are sustaining the Democrats’ de facto Senate majority. Why? Because their decision to caucus with the Democrats rather than the Republicans is the only reason that majority exists in the first place. To hear progressives talk, one would assume that in order to take one’s place within the firmament one must first swear a blood oath to Dick Durbin. Shockingly enough, one is obliged to do no such thing.
If there’s one thing we know about the looming debt limit crunch and the warnings about the dire consequences of default, it’s this: The government is not going to default.
The recurring brinksmanship over the debt limit and the partisan refusal to get Republican fingerprints on the increase don’t say much for our political class. But the U.S. Treasury isn’t full of stupid people, and they’ve been through this drill before. Back in July 2011, when the debt ceiling of $14.3 trillion was about to be reached, the Washington Post reported:
The Treasury has already decided to save enough cash to cover $29 billion in interest to bondholders, a bill that comes due Aug. 15, according to people familiar with the matter.
You can bet they’re making similar plans today. The difference is that 10 years later the debt ceiling is $28.4 trillion, just about doubled, and we’re about to bump into it again.
Back in that summer of discontent I talked to a journalist who was very concerned about the “dysfunction” in Washington. So am I. But I told her then what’s still true today: that the real problem is not the dysfunctional process that’s getting all the headlines, but the dysfunctional substance of governance. Congress and the president will work out the debt ceiling issue, probably just in the nick of time. The real dysfunction is a federal budget that doubled in 10 years, unprecedented deficits as far as the eye can see, and a national debt (more accurately, gross federal debt) yet again bursting through its statutory limit of $28.4 trillion and soaring past 120 percent of GDP, a level previously reached only during World War II.
The Cornell University law school professor [Saule Omarova]’s radical ideas might make even Bernie Sanders blush. She graduated from Moscow State University in 1989 on the Lenin Personal Academic Scholarship. Thirty years later, she still believes the Soviet economic system was superior, and that U.S. banking should be remade in the Gosbank’s image.
Snip.
Ms. Omarova thinks asset prices, pay scales, capital and credit should be dictated by the federal government. In two papers, she has advocated expanding the Federal Reserve’s mandate to include the price levels of “systemically important financial assets” as well as worker wages. As they like to say at the modern university, from each according to her ability to each according to her needs.
In a recent paper “The People’s Ledger,” she proposed that the Federal Reserve take over consumer bank deposits, “effectively ‘end banking,’ as we know it,” and become “the ultimate public platform for generating, modulating, and allocating financial resources in a modern economy.” She’d also like the U.S. to create a central bank digital currency—as Venezuela and China are doing—to “redesign our financial system & turn Fed’s balance sheet into a true ‘People’s Ledger,’” she tweeted this summer. What could possibly go wrong?
The FBI’s annual report Monday made official what most unfortunately presumed: The United States in 2020 experienced the biggest rise in murders since the start of national record-keeping 60 years ago.
The Uniform Crime Report detailed a murder increase of nearly 30 percent.
The previous largest one-year change was a 12.7 percent increase back in 1968. The national rate of murders per 100,000, however, still remains about one-third below the rate in the early 1990s.
The FBI data show around 21,500 total murders last year, which is 5,000 more murders than in 2019. More than three-fourths of reported murders in 2020 were committed with a firearm, the highest rate ever reported.
Now before you start jumping to conclusions about a correlation between the leftist fever to defund the police and a huge jump in the nation’s murder rate, you should probably be aware of the fact that the Democrats want you to know that there’s no problem at all.
That’s right, the same people who want us all to live in mortal fear of being breathed on by a stranger at Kroeger are trying to poof away a pile of bodies.
Speaking of Flu Manchu, here’s NBA player Jonathan Isaac calmly explaining why he doesn’t feel he needs the vaccine:
This is a calm, intelligent, respectful statement as to why @JJudahIsaac is hesitant about getting the Covid vaccine. Instead of screaming at those who are still figuring it out, listen to his response. pic.twitter.com/Q1xMLw8boX
The Lancet just gives up on trying to determine the origins of Flu Manchu, much like OJ has given up on finding the real killers.
China is trying the classic idiot price controls strategy for its self-inflicted energy crisis:
China is officially panicking.
Now that the global energy crisis has slammed China’s economy, leading to the first contractionary PMI since March 2020 as a result of widespread shutdowns of factory and manufacturing, not to mention hundreds of millions of Chinese residents suffering from periodic blackouts, Bloomberg reports that China’s central government officials “ordered the country’s top state-owned energy companies to secure supplies for this winter at all costs.”
Translation: Beijing is no longer willing to risk social anger and going forward China will be subsidizing coil and nat gas, which will lead to even higher prices, which will lead to even higher prices for other “substitute” commodities such as oil, which is why oil surged on the news.
The news follows a report on Wednesday that China will allow soaring coal prices to be passed on to factories in electricity prices. But prepare for a surge in PPI, which will likely not be allowed to be passed on to CPI due to ‘common prosperity’. Which logically means margin collapse, and shutting down – so even more structural shortages. Unless we get state subsidies of some sort, or differential pricing for the foreign and domestic market. There used to be a name for that kind of economy. Wall Street used to pretend it didn’t like it.
“We don’t want normal,” said activist Earnest Greer. “We want radical change. What if everything goes back to the way it was without us completely dismantling and rebuilding the system?”
Liberals saw the pandemic as an opportunity to get people less clingy to individual freedom and more accepting of government planning significant parts of everyone’s lives. Normal would mean relinquishing that power, which is anathema to the Left.
Hunter Biden is the gift that keeps digging: “The Russians have videos of me doing crazy f***ing sex!’ Hunter Biden is seen in unearthed footage telling prostitute that Russian drug dealers stole ANOTHER of his laptops.” 1. Hunter has more Russian-related felonies in a single weekend than Donald Trump had in his entire lifetime. 2. I don’t lose pennies the way Hunter loses laptops…
The obvious fact is, however, that this corrupt corporate press and the Jennifer Rubin “conservatives” of the world are the ones who propped Cuomo up as “the gold standard,” to use Joe Biden’s words, even describing themselves as “Cuomosexuals.”
Cuomo’s “radical transparency” made him a “terrific bureaucrat,” they said. Cuomo is “inspiring, uplifting, fascinating,” and truly “magnificent,” they insisted. He’s “honest, direct, brave,” and what “real leadership” looks like. Elites gave him an Emmy and blessed him with softball interviews and comedy-hour airtime, with left-wing activists working behind the scenes to discredit Cuomo’s accusers.
Tuesday’s resignation signals it’s the end of the road for Cuomo — for now. But if the media can sit and twiddle its thumbs — or worse, kiss keister and perform comedy sketches with giant Q-Tips — while thousands of elderly folks die in New York nursing homes and women in the double digits tell of a gropey governor’s disgusting habits, we must ask: How many other Andrew Cuomos is the media covering for?
Covering for elite misconduct is a perpetual problem in the media; it didn’t start with Cuomo. As Federalist Political Editor John Daniel Davidson wrote on Tuesday, the media did the same with Harvey Weinstein, Jeffrey Epstein, and Theodore McCarrick. Don’t forget Bill Clinton or Roman Polanski, either.
“Everyone knew. No one cared. No one said anything until forced to. Then the feigned shock and outrage, the concern about the treatment of women, the hand-wringing and Me Too-ing, the performances on social media,” Davidson wrote. “As long as sexual harassment, assault, abuse, even the sex trafficking of underage girls stays quiet, then [the media] stay quiet, too.”
You read all this and think: The governor is a letch, a creep, a dirty old man. But also a nut—a high-functioning one, a politically talented one, but a nut. Only a nut would do these things, and only a nut would think he wouldn’t be found out.
No one in New York is walking around saying “I don’t believe it” or “That’s not the Andrew I know.” It’s apparently the Andrew Cuomo a lot of people knew.
(1) When they say inflation will "spike" or increase this year, and then "come back down next year", what they are saying is the price will skyrocket…. AND THEN the price will remain high.
(14) They didn’t. Consumer prices did not increase.
Trump knew they wouldn’t because essentially those trading partners responded in the exact same way the U.S. did decades ago when the import/export dynamic was reversed. pic.twitter.com/FyID9YCSwN
(16) To retain their position, China and the EU responded to U.S. tariffs by devaluing their currency as an offset to higher export prices. It started with China, because their economy is so dependent on exports to the U.S.
Baltimore professor arrested for dealing math. “Prof. Edward C. Ennels taught math at Baltimore City Community College but appears to have been offering a running lesson on supply side economic theory. Ennels reportedly was selling grades on a sliding scale depending on your worth and your ambition: $150 for a C; $250 for a B; and $500 for an A. He has now earned jail time after pleading to 11 misdemeanor charges, including bribery and misconduct in office.”
Speaking of Baltimore schools failing their students: Some Baltimore high school students test at grade school levels.
Dan Crenshaw slams Jennifer Ruben for a huge mistake:
You’re a liar and an idiot. The number you referenced is TOTAL hospitalized since the beginning of the pandemic. Not newly hospitalized. https://t.co/1I7CRES2qA
That’s a hell of a correction. “When we wrote Nolan Ryan struck out 383 batters in a single game, we meant he struck out that many in a single season…”
The Biden Recession blooms, Bibby bombs, Baltimore burns, inscrutable Flu Manchu somehow infects the vaccinated, and Canada’s institutional religious hostility inflicts its revenge on the pastor that defied them. It’s the Friday LinkSwarm!
If inflation wasn’t enough to remind you of Biden’s reboot of That 70’s Show, how about long gas lines? An east coast gas pipeline was shut down by ransomeware attack launched by a hacking group called DarkSide.
Rendered with the magic of dyslexia
We’re actually very fortunate that a for-profit gang carried out this hack, rather than a terrorist group or state actor.
Seeing some reports stating that Israeli ground forces entered Gaza, but seeing some Twitter commentary that, no, they haven’t entered, but that IDF artillery and tanks are pounding Hamas tunnels.
Two weeks ago Turkish forces launched a military assault in the Duhok region of Iraqi Kurdistan. Villagers were forced to ‘flee in terror’ from raining bombs. It was only the latest bombardment of the beleaguered Kurds by Turkey, NATO member and Western ally. It did not trend online. There were no noisy protests in London or New York. The Turks weren’t talked about in woke circles as crazed, bloodthirsty killers. Tweeters didn’t dream out loud about Turks burning in hell. The Onion didn’t do any close-to-the-bone satire about how Turkish soldiers just love killing children. No, the Duhok attack passed pretty much without comment.
But when Israel engages in military action, that’s a different story. Always. Every time. Anti-Israel fury in the West has intensified to an extraordinary degree following an escalation of violence in the Middle East in recent days. Protests were instant and inflammatory. Israeli flags were burned on the streets of London. Social media was awash with condemnation. ‘IDF Soldier Recounts Harrowing, Heroic War Story Of Killing 8-Month-Old Child’, tweeted The Onion, to tens of thousands of likes. Israel must be boycotted, isolated, cast out of the international community, leftists cried. Western politicians, including Keir Starmer, rushed to pass judgement. ‘What’s the difference?’, said a placard at a march in Washington, DC showing the Israeli flag next to the Nazi flag. The Jews are the Nazis now, you see. Ironic, isn’t it?
This is the question anti-Israel campaigners have never been able to answer: why do they treat Israel so differently to every other nation on Earth? Why is it child-killing bloodlust when Israel takes military action but not when Turkey or India do? Why must we rush to the streets to set light to the Israel flag but never the Saudi flag, despite Saudi Arabia’s unconscionable war on Yemen? Why is it only ‘wrong’ or at worst ‘horrific’ when Britain or America drop bombs in the Middle East but Nazism when Israel fires missiles into Gaza? Why do you merely oppose the military action of some states but you hate Israel, viscerally, publicly, loudly?
The judgement and treatment of Israel by a double standard is one of the most disturbing facets of global politics in the 21st century. That double standard has been glaringly evident over the past few days. Israel is now the only country on Earth that is expected to allow itself to be attacked. To sit back and do nothing as its citizens are pelted with rocks or rockets. How else do we explain so many people’s unwillingness to place the current events in any kind of context, including the context of an avowedly anti-Semitic Islamist movement – Hamas – firing hundreds of missiles into civilian areas in Israel? In this context, to rage solely against Israel, to curse its people and burn its flag because it has sent missiles to destroy Hamas’s firing positions in Gaza, is essentially to say: ‘Why won’t Israelis let themselves be killed?’
Last year, Iran’s Supreme Leader Ayatollah Ali Khamenei admitted for the first time that his country was supplying the Palestinian terrorist groups with weapons. “Iran realized Palestinian fighters’ only problem was lack of access to weapons,” Khamenei said in an online speech.
“With divine guidance and assistance, we planned, and the balance of power has been transformed in Palestine, and today the Gaza Strip can stand against the aggression of the Zionist enemy and defeat it.”
Khamenei went on to offer the reason why Iran was sending rockets, missiles and tons of explosives to the Gaza Strip: “The Zionist regime is a deadly, cancerous tumor in the region. It will undoubtedly be uprooted and destroyed.”
Khamenei’s admission shows how the mullahs in Tehran have been lying to the West for many years. In 2011, Mohammad Khazaee, the Permanent Representative of Iran to the United Nations, sent a letter to the President of the United Nations Security Council in which he vehemently denied that Iran was smuggling weapons into the Gaza Strip.
Baltimore was one of the first cities to try “de-policing.” How did that work out for it? Not so hot:
This experiment has been an abject failure. Since 2011, nearly 3,000 Baltimoreans have been murdered—one of every 200 city residents over that period. The annual homicide rate has climbed from 31 per 100,000 residents to 56—ten times the national rate. And 93 percent of the homicide victims of known race over this period were black.
Remarkably, Baltimore is reinforcing its de-policing strategy. State’s Attorney for Baltimore Marilyn Mosby no longer intends to prosecute various “low-level” crimes. Newly elected mayor Brandon Scott promises a five-year plan to cut the police budget. Both justify their policies by asserting that the bloodbath on city streets proves that policing itself “hasn’t worked”; they sell their acceleration of de-policing as a “fresh approach” and “re-imagining” of law enforcement.
The tried “broken windows” policing without understanding it:
The motivation for de-policing traces to the city’s botched response to an earlier crime epidemic in the 1990s, when it averaged 45 homicides per 100,000 population, up 55 percent from the previous decade. So in 1999 Baltimoreans elected a mayor, Martin O’Malley, who promised to apply New York’s successful crime-fighting approach, where homicides had plunged by two-thirds over the decade (to one-ninth Baltimore’s rate) thanks to an expanded police force and innovative, proactive policing strategies.
O’Malley’s first commissioner, NYPD veteran Ed Norris, initially showed promise. By 2002, Baltimore’s homicide rate was 20 percent below its 1999 level. As O’Malley pressed for more, however, relations soured, and Norris departed (and some financial shenanigans eventually earned him a stint in federal prison). His successor, Kevin Clark, another NYPD import, also became embroiled in personal and professional controversy; he was fired and succeeded by a Baltimore PD holdover. By the time O’Malley moved to the Maryland governor’s mansion in 2007, Baltimore’s homicide rate was back to its 1990s average.
The problem was not just turmoil among BPD leadership and meddling (or worse) by O’Malley, but a fatal misunderstanding of what had worked in New York. There, the broad spectrum of criminal activity was addressed efficiently and with community engagement. Detailed data helped guide resources to crime hot spots. Chief William J. Bratton implemented the Broken Windows theory-inspired community-policing methods pioneered by social scientists George Kelling and James Q. Wilson, who understood how small manifestations of disorder could grow to larger ones. Minor offenses that made residents feel unsafe or hinted at acceptance of violence were addressed in order to improve quality of life, strengthen communities, and prevent serious crime.
In Baltimore, however, Broken Windows was misunderstood and misapplied. It mutated into a malignant variant, “zero tolerance” policing—and BPD conduct became not just intolerant but unfocused and excessive. As David Simon, a veteran Baltimore crime reporter and creator of HBO’s The Wire, summed things up, O’Malley “tossed the Fourth Amendment out a window and began using the police department to sweep the corners and rowhouse stoops and [per Norris] ‘lock up damn near everyone.’” That sometimes even included Wire crew members on their way home from a long day of filming.
True Broken Windows policing, in Kelling’s words, creates “a negotiated sense of order in a community” and involves collaboration between cops and residents. As one BPD vet put it, “You go to a community—before we come in, [we should ask], ‘What are the main things you all can’t stand?’ Everybody playing music at 11:30 at night, kids sitting on the corner, the prostitutes using the little park over there to work their trade. Now, ‘What don’t you care about?’ See the old guys sitting down at the corner playing cards every night? They could stay there all they want. . . . Then the police come in and do what the neighborhood wants. You just don’t go out and lock everybody up.” But, he concluded, “we went overboard.”
Then they adjusted:
O’Malley’s successor, Sheila Dixon (the city’s first female and third black mayor), defied her staff’s recommendations and named as commissioner Frederick Bealefeld, a BPD lifer with no college pedigree. “It was something in my gut that felt he was the best person,” Dixon explained. “I could just feel his passion.”
Bealefeld understood community policing better than the New York imports, addressing disorder and crime efficiently. He attended community meetings tirelessly to find out what residents wanted done; got cops out of their cars and walking patrols more often; invested in better training; and supported cops’ work with kids. Partnering with a savvy federal prosecutor, Rod Rosenstein, he targeted known dealers and shooters, emphasizing quality arrests—including of cops on the take. It worked. Even as arrest totals fell (to 70,000 by 2010), so did the homicide rate, to a low of 31 per 100,000 residents by 2011.
And then the Social Justice started:
Dixon had embezzled gift cards meant for the poor—petty corruption is a Baltimore tradition—and in 2010 was succeeded by Stephanie Rawlings-Blake. The Oberlin-educated former public defender was more liberal than Dixon, personally lukewarm to Bealefeld, and sympathetic to those embittered by O’Malley’s “zero tolerance” policies. And she faced budget problems. De-policing, then, seemed to tick all the right boxes—and, with the homicide rate at a 23-year low (though still almost seven times the national average), there would be little outcry against it.
First came some defunding, with a 2 percent pay cut to help address a recession-related budget pinch; cops’ contributions to their pension funds also were raised to help address shortfalls there. The new mayor’s first proposed budget actually cut the BPD’s request by 10 percent, though the difference eventually was split. Demoralized, experienced cops started retiring in numbers.
Rawlings-Blake did not replace them, and she trimmed staffed aggressively. BPD budgets had consistently authorized about 3,900 positions through the O’Malley and Dixon years. Rawlings-Blake took that down by 5 percent in her 2012 budget and another 6 percent in 2013. Bealefeld called the cuts “unconscionable” and retired. As he’d told the head of the police union at one point, “you can only beat down your horses for so long before they give up.”
So even before Freddie Gray died in police custody in 2015 and Baltimoreans rioted, the BPD had 460 fewer budgeted “horses” than under Mayor Dixon—with 300 fewer on patrol, conducting investigations, or targeting violent criminals. Not surprisingly, the homicide rate surged 20 percent by 2013. And after the city’s newly elected prosecutor, Mosby, criminally charged six uniformed officers in Gray’s death—though she failed to convict any—proactive policing essentially ceased. The city’s annual body count jumped and has remained tragically high since.
Speaking of defunding the police, Minneapolis Mayor Jacob Frey admits that defunding the police was a huge mistake. If only the rest of the Minneapolis had realized this before all the deaths.
Just about everything they told us about transmission vectors for Mao Tze Lung was wrong:
Bars, gyms and restaurants. Those were just a few settings health experts warned could become hotbeds for COVID-19 spread as states began reopening in the spring and summer of 2020 following the first and second waves of the coronavirus pandemic in the United States.
Yet, public data analyzed by ABC News appears to tell a different story. The data from states across the country suggests specific outbreak settings (including bars, gyms, restaurants, nail salons, barbershops and stores — for the full list, see graphic below in story) only accounted for a small percentage, if any, of new outbreaks after the pandemic’s inital wave in 2020.
Snip.
Based on ABC News’ analysis of public data of all coronavirus cases in four states and D.C., the outbreak settings accounted for less than 5% of all COVID-19 cases in those states.
“World’s Most Vaccinated Nation Sees Active COVID Cases Double In Under A Week.” Mysterious uptick in the Seychelles.
Dave Hunt represented Clackamas County in the Oregon House of Representatives from 2003 through 2013. Hunt was the former Democratic Leader, Majority Leader, and Speaker of the House for the State of Oregon. As a legislator, Hunt the sponsor of a bill criminalizing sex trafficking in 2007. Hunt is currently a lobbyist working to influence the very chamber he left.
However, even more ironic in 2011, Dave Hunt use his position to support and vote for HB 2714. That bill created the crime of commercial sexual solicitation, the exact crime police used to charge Hunt when he was arrested and cited.
Sort of sounds like a garden variety prostitution solicitation charge. But if he’s one of the legislators to redefine that as “sex trafficking,” my sympathy is extremely limited.
NRA’s bankruptcy petition has been dismissed. Understandably, since it seemed a transparent ploy to begin with. It’s too bad Wayne LaPierre seems intent on dragging the NRA down with him…
Mark Sebu follows up on the Kentucky Ballistics explosion. Evidently it would haven taken 161,520 PI to shear the threads off the Sebu RN 50. Also, there were no pre-cuts on the sabot, suggesting it may indeed have been a counterfeit SLAP round that caused the explosion.
Not the Babylon Bee: O.J. Simpson backs Liz Cheney, accuses the Republican Party of “dishonesty.” I don’t feel I can adequately parody this real-life event, even though I should probably take a stab at it…
Top Gear/Grand Tour presenter James May found out that trickle charging a Tesla S’ main car battery didn’t charge the ordinary car battery, the one responsible for regular electric systems…like unlocking the hood latch to reach the same battery. Result: an hour of work just to reach the dead battery.
Speaking of impractical automotive accoutrements, here’s a Bugatti watch with a “working” W16 engine, yours for a mere $280,000…
Greetings, and welcome to another Friday LinkSwarm! The Biden economy kicks in, China behaves badly (again), and rock stars are fed up with woke. Let’s lead off with this weird photo people have been taking about all week:
How did you make the Carters look like tiny puppets?
Puppet people aside, what better image for the week in which Biden seems to be bringing stagflation back?
If you were wondering when the Trump boom would end and the Biden bust begin, it just did:
U.S. job growth for the month of April fell far below what experts had predicted, as data reported Friday showed an increase of 266,000 jobs, versus an estimate of 1 million — the largest miss relative to expectations since at least 1998.
Economists had suggested a positive outlook for the report, with the White House hoping for a gain of at least 700,000 jobs — making Joe Biden the first president ever to hit 2 million new jobs in his first 100 days. But expectations came crashing back to reality with data showing an overestimation of nearly 800,000 — the worst miss in decades.
The U.S. unemployment rate rose slightly from 6.0 percent to 6.1. March’s payroll gains were also revised downward by nearly 150,000 jobs, from an initial print of 916,000 to 770,000. Labor force participation rate rose slightly, to 61.7 percent.
Huh, irresponsible tax-and-spend policies, rampant inflation and paying people not to work evidently aren’t a recipe for economic success. Who knew?
Speaking of inflation, it looks like it’s back, baby! Rising metal, oil, and ag commodity prices all point to inflation. “Wood prices are at an all-time high at over $1,370 per 1,000 board feet.”
Biden Secretary of Energy Jennifer Granholm owns stock in “Proterra, an electric vehicle company that is being actively promoted by the Biden administration. Further, Granholm being the Secretary of Energy means she gets to make regulations that can directly enrich herself.” (Hat tip: Director Blue.)
Joe Biden said today, “Most people don’t know: you walk into a store and you buy a gun, but you go to a gun show you can buy whatever you want and no background check.”
This isn’t even close to being true. In fact, gun shows are subject to the same rules as apply everywhere else, which are that:
commercial transfers require federal background checks, but that
private transfers only require federal background checks if they are conducted within one of the thirteen states that superintend non-commercial firearms transactions
There are no special rules for gun shows. The same set of laws applies to them as applies to, say, your kitchen table: If you are in the business of selling guns, you are federally obliged to run a check. If you are not, you are not — unless your state requires you to. That’s it. There’s no “loophole” here, and nothing about gun shows that separates them from the broader debate about private sales.
A new poll from ABC and the Washington Post published on Wednesday found a significant drop in support for new gun-control laws, especially among young people.
The number of Americans supporting enacting new gun laws over protecting gun rights fell from 57 percent to 50 percent, a seven-point drop from when the poll was last conducted in 2018. The number of Americans favoring gun rights jumped from 34 to 43 percent, a nine-point jump. The difference between the two positions narrowed by 16 points overall.
The sharpest decline in support for new gun-control measures came among 18 to 29-year-olds and Hispanics. Both groups saw a 20 percent drop. Rural Americans and strong conservatives saw a 17-point drop.
Worker shortage is so acute that a Tampa MacDonald’s is paying people $50 just to interview for a job. “Some 17 million Americans remain on jobless benefits. Perhaps many of these people want jobs but are getting paid more to sit on the couch.”
How Michael Dell used several financial maneuvers to turn $3.6 billion into more than $50 billion.
The Who’s frontman Roger Daltry says that the woke are ruining the world. “It’s terrifying, the miserable world they’re going to create for themselves. I mean, anyone who’s lived a life and you see what they’re doing, you just know that it’s a route to nowhere.”
And Daltry wasn’t the only rock star calling BS on the woke. Also taking aim: punk rock icon John Lydon:
Johnny Rotten blames ‘wokeness’ for US ‘collapse’
Sex Pistols’ frontman Johnny Lydon had some rotten things to say about “wokeness.”
In a recent profile with the Times UK, the aging punk rocker decried “cancel culture” and the activists who campaigned to tear down national monuments which they say promote historical racism. The statues include that of Winston Churchill, one of the UK’s most revered prime ministers.
He also blamed academia as well as the media for giving “the space” to “tempestuous spoilt children.”…
Addressing calls to tear down Churchill’s statue in London, Lydon dismissed criticism that the wartime prime minister was racist. However, critics point out that the leader once referred to Indians as “the beastliest people in the world next to Germans,” and thought that black people are “[not] as capable or as efficient as white people.”
“This man saved Britain,” Lydon asserted. “Whatever he got up to in South Africa or India beforehand is utterly irrelevant to the major issue in hand.”
If there are any bigger haters in history than today’s cancel culture, Lydon conceded, it’s the Nazis — and Churchill took care of that.
Florida “whistleblower” Rebekah Jones is a big fat liar. “NPR describes Jones as a ‘top scientist’ leading Florida’s pandemic response. In fact, Jones has held three jobs in her field; all three have ended in her being terminated and criminally charged.”
Just when I thought that America couldn’t possibly get any softer, people start suggesting that there’s a role for the police in preventing knife murders. The snowflake generation strikes once again.
Is there any tradition that the radicals won’t ruin? As the brilliant Bree Newsome pointed out on Twitter, “Teenagers have been having fights including fights involving knives for eons.” And now people are calling the cops on them? I ask: Is this a self-governing country or not? When Newsome says, “We do not need police to address these situations by showing up to the scene & using a weapon,” she may be expressing a view that is unfashionable these days. But she’s right.
Disappointingly, my colleague Phil Klein has felt compelled to join the critics. In a post published yesterday, Phil asked in a sarcastic tone whether the police should “somehow treat teenage knife fights as they would harmless roughhousing and simply ignore it.” My answer to this is: Yes, that’s exactly what they should do — yes, even if they are explicitly called to the scene. I don’t know where Phil grew up, but where I spent my childhood, Fridays were idyllic: We’d play some football, try a little Super Mario Bros, have a quick knife fight, and then fire up some frozen pizza before bed. And now law enforcement is getting involved? This is political correctness gone mad.
It’s hypocrisy, too. Who among us hasn’t come within a second or two of murdering someone else with a steak knife? My best friend in school, Bobby “The Blade” Simpson, used to throw shivs at the smaller kids in the music room. Did we need the authorities to step in when that happened? No, we did not. As MSNBC’s Joy Reid argued smartly on her show last night, pranks such as these were dealt with by our teachers — just as we all expected they would be. And if something went wrong? Well, that’s why we had substitutes.
In all honesty, I worry that this sort of helicopter policing is making us weak. Back in my day, the people who survived a good stabbing came out stronger for it. I learned a lot of lessons from my time in the ring: self-reliance, how to overcome fear, the importance of agility, the basics of military field dressing. And, given the turnover, I also learned how to make new friends.
Sad news (and possibly foul play). “University of Texas linebacker Jake Ehlinger, the younger brother of former Longhorns quarterback Sam Ehlinger, was found dead Thursday.”
Disco still rules, with Donna Summer’s “Hot Stuff” topping the singles chart. The Ayatollah Ruhollah Khomeini has declared an Islamic Republic in Iran, but the Iranian hostage crisis remains months in the future, as does the Soviet invasion of Afghanistan. Hotly contested presidential races are getting underway among both Democrats (incumbent Jimmy Carter, Senator Edward Kennedy, and Governor Jerry Brown) and Republicans (Ronald Reagan, George H. W. Bush, Bob Dole, John Connally, and Phil Crane). John Wayne just died of cancer at age 72. Horror films are big, with Alien and The Amityville Horror ruling summer box offices.
Know what else was big in July of 1979? Inflation. It was running over 11%, up from 9% to start the year, and would reach nearly 15% in 1980. Indeed, the 70s saw the birth of a new word, stagflation, indicating both high unemployment and high inflation, something believed to be impossible under Keynesian economics.
It’s hard for people who didn’t live through it to imagine just how pervasive the idea was that this was the New Normal, that we’d just have to live with high levels of inflation for the rest of our lives. In 1970 gold went for under $40 an ounce; by 1980, after Nixon had severed the last Bretton Woods ties to the dollar and inflation was raging, it peaked around $600. Inflation was a dark, all-encompassing force that ate away family budgets and destroyed life savings.
On July 25, Carter nominated Paul Volcker to be chairman of the Federal Reserve. Once in office, Volcker oversaw a series of federal fund interest rate hikes, peaking at 20% in 1981. This tough but necessary medicine sent the economy into a recession (two, technically), but managed to kill inflation dead. That, and the Kemp-Roth tax cuts signed into law by Newly elected President Ronald Reagan, primed the American economy for long-term growth. Reagan gave Volcker political cover, refusing calls for his head, despite the short term pain of high interest rates and a serious recession, then renominated Volcker to a second term as Fed chair in 1983.
Volcker was 6’7″, smoked cheap cigars, and died yesterday at age 92. He was the right man for the right job at the right time, and that made all the difference in the world.
_Imposter_
(@Imposter_Edits) 