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Republican Tax Reform: A Windfall If Done Right – Updated

Saurabh Malkar

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Tax reform will be the litmus test for Republicans and President Trump and will be decisive in determining the latter’s re-election. With repealing and replacing Obamacare now relegated to the shed and progress on the border wall looking sluggish, tax cuts across the board might become the ace in the hole.

November 2 saw the unveiling of the new tax reform bill, entitled ‘Tax Cuts and jobs Act of 2017,’ in the Congress (House of Representatives). The New York Times did a great round up of the bill and what it entails, if it were to pass through the Congress and signed into law.

In a move to streamline the tax brackets in individual income tax, the new bill sets out four easy brackets, some of which involve merger of existing brackets. The bill also revises the income ranges for the brackets. Under the new bill, the top tax rate will be applied to households making $1 million and above as compared to $480,050 under the existing structure, thus relieving the burden on six digit earners. While low income earners ($0 – $19,000) will be taxed at 12%, up 2 percentage points from the existing 10%, a larger child tax credit for low income families might make up for the earnings lost in the mark-up.

Repealing the estate tax, which might double the amount of tax exempted inherited wealth to $11 million, seems like a huge windfall for the rich. Critics of the tax reform bill will and have certainly used this giveaway to label the bill as ‘tax cuts for the rich.’

But the real bonanza lies in the bill’s proposal to double the standard deduction – fraction of income immune from taxation. This is applicable to all but married couples with multiple children.

On the other hand, the bill proposes to eliminate local and state tax deductions – a move touted to negatively affect blue state residents more than red state residents, as the former have higher taxes. Could this be an attempt to pressure blue states into reducing their state and local taxes? The next few weeks might answer this question.

Pass-through businesses (sole proprietorships, partnerships, and S corporations) will be taxed at a new single tax rate – 25%. Although a fine streamlining measure, the flat tax rate seems high given the fact that most of pass-through businesses are small and medium enterprises that operate domestically and contribute a lion’s share to the economy. Taxing them lower than the proposed flat tax rate for corporations might make it reasonable and might win over at least one Senate Republican – Sen. Ron Johnson (R-Wis). Winning Senate Republicans over is critical for the passage of the bill, as we shall see later.

The corporate tax rate, under the bill, will be slashed to 20% from the current 35% – one of the highest in the world. The 35% tax rate doesn’t include taxes imposed by the state and local councils. The existing tax burden means more and more US corporations park their money abroad in ‘tax havens.’ The only way to lure that money back and earn taxes on it is to become competitive and incentivize firms to hold their money in the US. The change will have to be coupled with closure of all possible tax loopholes to make sure that the new policy delivers the proposed goodies.

The connection between tax relief to corporations and job creation and better wages is tenuous, yet widely leveraged. But it sounds sanguine and gets the masses to rally around such proposals – an indirect measure to influence the voting patterns of the elected representatives.

On the other hand, there might be some wisdom in cutting taxes for small businesses in a bid to create jobs, as these businesses hire locally and cannot replace human labor with automation due to the high costs of the latter. That’s one more reason to lower the tax rate for pass-through businesses.

The Senate has its own version of tax reform, which if passed, will need to be reconciled with the House version. The Senate version agrees with the House version on most of the key elements. Notable differences include further lowering taxes on overseas profits, an unreasonable tax to begin with, as the profits were made elsewhere and probably have been taxed locally.

The Senate has also added a repeal of Obamacare’s individual mandate that requires everyone to get health insurance or else pay a tax penalty. This is a huge boon for those who don’t want to buy health insurance or can’t afford the ever-increasing costs of O-care. This might also save the government some money, as there will be fewer people requiring health subsidies. The Congressional Budget Office (CBO) estimates that repealing the individual mandate will earn the federal government $338 billion in revenue, which it would otherwise spend on health subsidies.

On a conspiratorial note, the Senate’s repeal of the mandate might be a cloaked attempt to gradually chip away at Obamacare.

The tax bill has passed the House and is awaiting the Senate’s consensus over its own version, following which the complicated ‘reconciliation’ process will begin. Although the tax bill made it through the House without breaking a sweat, its Senate counterpart might have to struggle, given the fact that the Democrats are unanimously opposed to it and only three Republicans need to vote ‘nay’ for the Senate version to fizzle out. Given the current mood, the Senate version seems to be hanging by a thin thread.

(The story is developing and so will the commentary. Check back periodically for updates.)

(Update: December 18, 2017)

President Trump must come through on his promises on tax, economic growth, jobs, and employment and the tax reform bill seems like the ace card. If nothing else, this bill upon passage will grant him the much-needed brownie points.

The bill sailed safe through the House and recently, the Senate voted on it. Here’s a brief, yet comprehensive, outline of the bill that passed the Senate.

The individual income tax remains tiered and progressive, but the brackets have been adjusted such that the highest rate (37%) is applicable to those earning half a million or above. Whether middle and upper middle-income families save the extra income, spend it, or invest it depends on a host of factors, including interest rates, stock market, and real estate. Nonetheless, it’s a significant tax cut for the middle class and a re-definition of the middle class through re-sizing of tax brackets.

A similar trend is seen in the alternative minimum tax (AMT) – a provision to ensure that individuals contribute their fair share – depending on how you define fair share. The trigger point for AMT and the threshold for phase-out have been scaled up significantly to move this burden to higher income individuals/couples, while lessening the burden on middle-income earners.

The bill is also a giant tax cut for corporations of all sizes – a point that has been used to malign the proposal as a ‘tax cut for the wealthy.’ Corporate tax will be diminished to 21% beginning 2018 and corporate AMT will be repealed. Repatriation of earnings will attract a modest 15.5% tax, which seems like an effort to not only lure businesses to keep their domestic earnings in the US, but to also move their overseas revenues stateside. Whether this move will deliver the proposed outcome depends on not just the tax rate, but also cost of compliance and scrutiny and any other regulations that may or may not burden the corporations. As I have said before, whether this influx of money will translate into more jobs is a highly questionable premise.

Business owners will have another means to increase their tax-free income – the pass through deduction of 20% applicable until $315,000 for joint filers and half that for single filers.

Repeal of Obamacare individual mandate, i.e. the unconstitutional requirement and the resultant penalty, stays.

The Senate version has left in state and local tax deductions, but has capped their net value at $10,000. This is a departure from the House version that proposed a complete repeal. A complete repeal could adversely affect the lives of mostly blue state residents and might perhaps, put pressure on state and local governments to reduce spending/taxation. If the House provision in this regard is rolled back to make way for the Senate provision, the chances of blue states controlling the growth of their governments seem fewer.

Mortgage interest deductible has been reduced to loans of $750,000. Upon researching into this scheme, I am not entirely convinced about its prudence. The deductible is just a means by which the government fiddles with the real estate market, contributing to a bubble. A total repeal of this deductible will be in line with free market principles.

The threshold for medical expense deduction has been brought down to 7.5%, which is a relief for the elderly and those with chronic illnesses. Additional measures to moving towards a free-market for healthcare hold the promise of making healthcare affordable for all.

The tax brackets for estate tax have been re-sized to re-define middle income families and to also provide relief to upper middle class. In addition, a sunset date has been put on this provision leaving room for amend.

The bill is currently being looked over for resolution of differences, following which it will reach the President’s desk. Trump has signaled his support for the bill and it is certain it will receive his assent.

Overall, although Republicans in Congress and representatives of Trump administration have skirted being quizzed about the windfalls the bill brings for the wealthy, it is increasingly clear that that tax reform bill is a tax cut for almost all.

The coming few weeks will be critical in deciding the direction of the economy for the next few years.

(Update: December 20, 2017)

The tax-reform bill passed the Senate 51-48 in a party-line vote. Sen. John McCain of Arizona was absent during the vote on account of medical circumstances. The cost of the bill is estimated to be $1.5 trillion over the next 10 years, i.e. individuals and corporations, in total, will save about one and a half trillion dollars over the next decade.

An ex-dentist and a business graduate who is greatly influenced by American conservatism and western values. Having born and brought up in a non-western, third world country, he provides an ‘outside-in’ view on western values. As a budding writer and analyst, he is very much stoked about western culture and looks forward to expound and learn more. Mr. Malkar receives correspondence at saurabh.malkar[at]gmail.com. To read his 140-character commentary on Twitter, follow him at @saurabh_malkar

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Donald Trump and America’s People

Sajad Abedi

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The American mid-term elections in the current situation can be considered one of the most sensitive elections in American history; the unusual character and Donald Trump’s extreme actions at the level of domestic and foreign policy have led the American community to more bipartisan and bipartisan competition than ever before. And in the upcoming election, the Democrats are trying to prevent the victory of the Republicans in any way possible and to control Donald Trump’s extremists through the congressional congress.

The division of the American political community into the scene of the opponents and opponents of Trump

What distinguishes Congressional elections from the last election is the division of American society into the bipartisan opponents and supporters of Donald Trump in this election. In fact, in the new situation, the rivalry of the two main US parties has become more or less a controversial scene based on opposition or alignment with the Trump, rather than on the basis of traditional competition between the two parties. This led to a less pronounced party and rivalry between the two political currents, but the critique of the actions and the character of Donald Trump were centered on Democrats.

In support of this, former US President Barack Obama’s remarks can be seen after two years of silence against his tangled attacks. Obama’s Democrats ‘Democrats’ campaign, and with several releases, has directly targeted Donald Trump. Obama says in his most remarkable remarks: “We are witnessing unprecedented behaviors in the White House, which has violated custom and common habits among Democrats and Republicans. If you are young voters worried about what happened over the past two years at the White House, the only way to monitor this behavior is to have congresses and positions that are emerging for the values and ideals of the United States. “In another move, he released a video message asking the youth to participate in November’s mid-term elections. Obama also said in a speech at the University of Illinois with a direct attack on the White House chairman: “The Trump is a disease itself, not a sign, and now we have the chance to bring wisdom back to the political scene of the country.”

In addition, the bipolar society of Donald Trump’s opponents and opponents is now in a position that some political experts talk about the possibility of a civil war in the United States. In the same vein, Professor Nil Ferguson, a professor at Harvard University, says: “Lately, internal disputes in the United States are intensifying and cultural conflicts are proud. On the Internet, there has long been a kind of civil war in the United States, and this war is getting hotter as the congressional election approaches. Sending a bomb to Barack Obama and Hillary Clinton will pave the ground for predicting the civil war in the United States. “Also, Emily Wylan, a science fiction candidate from the University of Texas in an article comparing the civil war in Lebanon and the United States, pointed out that Jonathan Randall had not paid attention to it in his time. “There is a common ground between Lebanon in 1975 and the United States in 2018,” he wrote. Washington believes that Washington has powerful and uncompromising allies that have their own interests and are, in fact, an “ineffective cartoon state”. Meanwhile, the Republican Party of America reminds Lebanon’s conservative forces on the brink of civil war, and Democrats, like the Lebanese advanced parties, are decentralized and dispersed. ”

The November 6 decisive election

In spite of the apparent political divide and political divide within the political community of America between its two main parties, Republicans and Democrats, on the axis of the problem called “Trumpism,” prominent members of the Democratic Party or supporters of the Democratic Party in all electoral campaigns, and sometimes even prominent American figures of art Opponents of Trump have emphasized the decisive importance of the inter-period election and the need for its participation, and since November 6th, it has been remembered as a historic moment to restore rationality to the American political scene.

Indeed, mid-term congressional elections are important for Democrats, which if they win, the two final years of the presidency of Donald Trump can turn into a nightmare and a nightmare for him and his government members until the 2020 election. The symbol of this can be seen in 2014, as a result of the Republican victory in the inter-congressional election, a large level of tensions between the Obama administration and the congress was formed, and even the level of conflict was so advanced that, at a time when President Barack Obama was forced to The federal government closed its 16th day.

Now, if Democrats win the mid-term election, they are considered vital for three reasons. On the first level, if the Democrats win the congress and take over the majority, they can stop most of the Trump government’s approvals that they argue against US national interests. On the second level, a Democratic majority congress can provide grounds for plotting against Donald Trump for engaging in several issues, such as secret relations with Russia, illegal sexual relations and lying. In the event of approval of the problem in the House of Representatives and bringing the matter to the Senate, the Democrats can still be successful in raising the maximum pressure and stopping Trump in his most recent extremism. The third dimension, the decisive outcome of the November 6 Congressional election for Democrats, is that they will create a psychological environment for a grand victory against Trump in the presidential election of 2020, if they win in the recent election. Political facts in American history indicate that victory in inter-parliamentary elections has always had a serious and massive impact on the election of the next American president in the next two years.

The congressional election meets the general satisfaction of Trump

In the midst of the turbulent state of the mid-term elections in the United States, Donald Trump’s premature runaway escapes from accepting Republican defeats. According to the results of the polls, the Republicans’ defeat to a certain extent seems to be necessary; as a result, Donald Trump as a senior Republican party can be the first factor in this defeat; in other words, early election results for measuring public policy satisfaction He will be in the past two years.

In the analysis of the disappointment of the Republicans and the Trump on the victory over the inter-congressional elections, it is possible to look at Trump’s performance at two levels of domestic politics and foreign policy. On the one hand, at the internal level, Trump faces numerous problems at the individual and moral levels, and his moral scandals, economic activities, and his relations with the Russians during the electoral campaign have reduced American confidence and, on the other hand, his domestic policies It is mostly based on racism and even fascism; it has placed non-white Americans in front of him. Meanwhile, immigration policies, his opposition to the colorful people, as well as Trump’s opposition to the general insurance plan introducing Obamawalker, have created a backdrop of dissent and disgust of American citizens from Trump.

At the foreign policy level, Trump’s catastrophic performance in partnering with traditional US allies and his efforts to get close to Russia has put a lot of criticism into the White House’s performance. In fact, Trump has frustrated US voters by importing America into a war of commerce with all the world powers, including China, Russia and even European countries as traditional allies. Also, Trump’s action in support of the Yemeni war that killed thousands of innocent people, and in particular the silence in the savage murder case, the Saudi-critic’s journalist Jamal Khashoggi in Istanbul, has disappointed the Republican Party’s supporters of the Trump performance. Taken together, these two levels can be said that Donald Trump’s two-year performance at the domestic and foreign levels has turned into Republican Achilles heels in the mid-term elections.

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The Meaning of a Multi-Polar World

Eric Zuesse

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Right now, we live in a mono-polar world. Here is how U.S. President Barack Obama proudly, even imperially, described it when delivering the Commencement address to America’s future generals, at West Point Military Academy, on 28 May 2014:

The United States is and remains the one indispensable nation. [Every other nation is therefore ‘dispensable’; we therefore now have “Amerika, Amerika über alles, über alles in der Welt”.] That has been true for the century passed and it will be true for the century to come. … America must always lead on the world stage. If we don’t, no one else will. … Russia’s aggression toward former Soviet states unnerves capitals in Europe, while China’s economic rise and military reach worries its neighbors. From Brazil to India, rising middle classes compete with us. [He was here telling these future U.S. military leaders that they are to fight for the U.S. aristocracy, to help them defeat any nation that resists.] … In Ukraine, Russia’s recent actions recall the days when Soviet tanks rolled into Eastern Europe. But this isn’t the Cold War. Our ability to shape world opinion helped isolate Russia right away. [He was proud of the U.S. Government’s effectiveness at propaganda, just as Hitler was proud of the German Government’s propaganda-effectiveness under Joseph Goebbels.] Because of American leadership, the world immediately condemned Russian actions; Europe and the G7 joined us to impose sanctions; NATO reinforced our commitment to Eastern European allies; the IMF is helping to stabilize Ukraine’s economy; OSCE monitors brought the eyes of the world to unstable parts of Ukraine.

Actually, his — Obama’s — regime, had conquered Ukraine in February 2014 by a very bloody coup, and installed a racist-fascist anti-Russian Government there next door to Russia, a stooge-regime to this day, which instituted a racial-cleansing campaign to eliminate enough pro-Russia voters so as to be able to hold onto power there. It has destroyed Ukraine and so alienated the regions of Ukraine that had voted more than 75% for the democratically elected Ukrainian President whom Obama overthrew, so that those pro-Russia regions quit Ukraine. What remains of Ukraine after the U.S. conquest is a nazi mess and a destroyed nation in hock to Western taxpayers and banks.

Furthermore, Obama insisted upon (to use Bush’s term about Saddam Hussein) “regime-change” in Syria. Twice in one day the Secretary General of the U.N. asserted that only the Syrian people have any right to do that, no outside nation has any right to impose it. Obama ignored him and kept on trying. Obama actually protected Al Qaeda’s Syrian affiliate against bombing by Syria’s Government and by Syria’s ally Russia, while the U.S. bombed Syria’s army, which was trying to prevent those jihadists from overthrowing the Government. Obama bombed Libya in order to “regime-change” Muammar Gaddafi, and he bombed Syria in order to “regime-change” Bashar al-Assad; and, so, while the “U.S. Drops Bombs; EU Gets Refugees & Blame. This Is Insane.” And Obama’s successor Trump continues Obama’s policies in this regard. And, of course, the U.S. and its ally UK invaded Iraq in 2003, likewise on the basis of lies to the effect that Iraq was the aggressor. (Even Germany called Poland the aggressor when invading Poland in 1939.)

No other nation regularly invades other nations that never had invaded it. This is international aggression. It is the international crime of “War of Aggression”; and the only nations which do it nowadays are America and its allies, such as the Sauds, Israel, France, and UK, which often join in America’s aggressions (or, in the case of the Sauds’ invasion of Yemen, the ally initiates an invasion, which the U.S. then joins). America’s generals are taught this aggression, and not only by Obama. Ever since at least George W. Bush, it has been solid U.S. policy. (Bush even kicked out the U.N.’s weapons-inspectors, so as to bomb Iraq in 2003.)

In other words: a mono-polar world is a world in which one nation stands above international law, and that nation’s participation in an invasion immunizes also each of its allies who join in the invasion, protecting it too from prosecution, so that a mono-polar world is one in which the United Nations can’t even possibly impose international law impartially, but can impose it only against nations that aren’t allied with the mono-polar power, which in this case is the United States. Furthermore, because the U.S. regime reigns supreme over the entire world, as it does, any nations — such as Russia, China, Syria, Iran, North Korea, Venezuela, Nicaragua, Cuba, and Ecuador — that the U.S. regime (which has itself been scientifically proven to be a dictatorship) chooses to treat as an enemy, is especially disadvantaged internationally. Russia and China, however, are among the five permanent members of the U.N. Security Council and therefore possess a degree of international protection that America’s other chosen enemies do not. And the people who choose which nations to identify as America’s ‘enemies’ are America’s super-rich and not the entire American population, because the U.S. Government is controlled by the super-rich and not by the public.

So, that’s the existing mono-polar world: it is a world that’s controlled by one nation, and this one nation is, in turn, controlled by its aristocracy, its super-rich.

If one of the five permanent members of the Security Council would present at the U.N. a proposal to eliminate the immunity that the U.S. regime has, from investigation and prosecution for any future War of Aggression that it might perpetrate, then, of course, the U.S. and any of its allies on the Security Council would veto that, but if the proposing nation would then constantly call to the international public’s attention that the U.S. and its allies had blocked passage of such a crucially needed “procedure to amend the UN charter”, and that this fact means that the U.S. and its allies constitute fascist regimes as was understood and applied against Germany’s fascist regime, at the Nuremberg Tribunal in 1945, then possibly some members of the U.S.-led gang (of the NATO portion of it, at least) would quit that gang, and the U.S. global dictatorship might end, so that there would then become a multi-polar world, in which democracy could actually thrive.

Democracy can only shrivel in a mono-polar world, because all other nations then are simply vassal nations, which accept Obama’s often-repeated dictum that all other nations are “dispensable” and that only the U.S. is not. Even the UK would actually gain in freedom, and in democracy, by breaking away from the U.S., because it would no longer be under the U.S. thumb — the thumb of the global aggressor-nation.

Only one global poll has ever been taken of the question “Which country do you think is the greatest threat to peace in the world today?” and it found that, overwhelmingly, by a three-to-one ratio above the second-most-often named country, the United States was identified as being precisely that, the top threat to world-peace. But then, a few years later, another (though less-comprehensive) poll was taken on a similar question, and it produced similar results. Apparently, despite the effectiveness of America’s propagandists, people in other lands recognize quite well that today’s America is a more successful and longer-reigning version of Hitler’s Germany. Although modern America’s propaganda-operation is far more sophisticated than Nazi Germany’s was, it’s not entirely successful. America’s invasions are now too common, all based on lies, just like Hitler’s were.

On November 9th, Russian Television headlined “‘Very insulting’: Trump bashes Macron’s idea of European army for protection from Russia, China & US” and reported that “US President Donald Trump has unloaded on his French counterpart Emmanuel Macron, calling the French president’s idea of a ‘real European army,’ independent from Washington, an insult.” On the one hand, Trump constantly criticizes France and other European nations for allegedly not paying enough for America’s NATO military alliance, but he now is denigrating France for proposing to other NATO members a decreasing reliance upon NATO, and increasing reliance, instead, upon the Permanent Structured Cooperation (or PESCO) European military alliance, which was begun on 11 December 2017, and which currently has “25 EU Member States participating: Austria, Belgium, Bulgaria, Czech Republic, Croatia, Cyprus, Estonia, Finland, France, Germany, Greece, Hungary, Italy, Ireland, Latvia, Lithuania, Luxembourg, the Netherlands, Poland, Portugal, Romania, Slovenia, Slovakia, Spain and Sweden.” Those are the European nations that are now on the path to eventually quitting NATO.

Once NATO is ended, the U.S. regime will find far more difficult any invasions such as of Iraq 2003, Libya 2011, Syria 2012-, Yemen 2016-, and maybe even such as America’s bloody coup that overthrew the democratically elected Government of Ukraine and installed a racist-fascist or nazi anti-Russian regime there in 2014. All of these U.S. invasions (and coup) brought to Europe millions of refugees and enormously increased burdens upon European taxpayers. Plus, America’s economic sanctions against both Russia and Iran have hurt European companies (and the U.S. does almost no business with either country, so is immune to that, also). Consequently, today’s America is clearly Europe’s actual main enemy. The continuation of NATO is actually toxic to the peoples of Europe. Communism and the Soviet Union and its NATO-mirroring Warsaw Pact military alliance, all ended peacefully in 1991, but the U.S. regime has secretly continued the Cold War, now against Russia, and is increasingly focusing its “regime-change” propaganda against Russia’s popular democratic leader, Vladimir Putin, even though this U.S. aggression against Russia could mean a world-annihilating nuclear war.

On November 11th, RT bannered “‘Good for multipolar world’: Putin positive on Macron’s ‘European army’ plan bashed by Trump (VIDEO)”, and opened: Europe’s desire to create its own army and stop relying on Washington for defense is not only understandable, but would be “positive” for the multipolar world, Vladimir Putin said days after Donald Trump ripped into it.

“Europe is … a powerful economic union and it is only natural that they want to be independent and … sovereign in the field of defense and security,” Putin told RT in Paris where world leader gathered to mark the centenary of the end of WWI.

He also described the potential creation of a European army “a positive process,” adding that it would “strengthen the multipolar world.” The Russian leader even expressed his support to French President Emmanuel Macron, who recently championed this idea by saying that Russia’s stance on the issue “is aligned with that of France” to some extent.

Macron recently revived the ambitious plans of creating a combined EU military force by saying that it is essential for the security of Europe. He also said that the EU must become independent from its key ally on the other side of the Atlantic, provoking an angry reaction from Washington.

Once NATO has shrunk to include only the pro-aggression and outright nazi European nations, such as Ukraine (after the U.S. gang accepts Ukraine into NATO, as it almost certainly then would do), the EU will have a degree of freedom and of democracy that it can only dream of today, and there will then be a multi-polar world, in which the leaders of the U.S. will no longer enjoy the type of immunity from investigation and possible prosecution, for their invasions, that they do today. The result of this will, however, be catastrophic for the top 100 U.S. ‘defense’ contractors, such as Lockheed Martin, General Dynamics, and Raytheon, because then all of those firms’ foreign sales except to the Sauds, Israel and a few other feudal and fascist regimes, will greatly decline. Donald Trump is doing everything he can to keep the Sauds to the agreements he reached with them back in 2017 to buy $404 billion of U.S. weaponry over the following 10 years. If, in addition, those firms lose some of their European sales, then the U.S. economic boom thus far in Trump’s Presidency will be seriously endangered. So, the U.S. regime, which is run by the owners of its ‘defense’-contractors, will do all it can to prevent this from happening.

However, right now, Chris Hedges reports that Ecuador is in the process of killing Julian Assange, who is a major and well-known bane of America’s sellers to the U.S. ‘Defense’ Department. Hedges wants to keep his American aristocratic funder (the owner of Truthdig), and so he doesn’t say that — nor how — the U.S. regime itself is actually forcing Ecuador’s Government to do this. Hedges seems not even to care much about the ultimate perpetrator of this slow murder that he describes as being in process. Hedges instead focuses only against what Ecuador’s President, Lenín Moreno, is doing, that’s slowly murdering Assange. He also implicates Australian Prime Minister Scott Morrison, the U.K. government, and U.S. V.P. Mike Pence. But actually, the top decision-maker, who ordered this crime, this murder, is Donald Trump, who won the U.S. Presidency with Assange’s investigative-journalism help. That’s the kingpin, and all the others are merely soldiers in the U.S. President’s organized crime. They all represent the U.S. aristocracy, but only Trump is the commander here. The U.S. regime — first under Obama, and now under Trump — is 100% of what’s forcing Ecuador’s Government to kill Julian Assange inside its London Embassy. Ecuador is doing this job, for the U.S. regime, so excruciatingly that Assange will either soon be committing suicide, or else he will die more slowly, from the ever-increasing “torture” that Ecuador’s Government is applying, and which is also destroying Assange’s health. Or else, he will give himself up to the American ‘justice’ system (which Assange’s mother, Christine Ann Hawkins, explained on November 3rd would likely mean either to charge him with ‘espionage’, or else to apply indefinite detention at Guantanamo, without charge, trial or any access to the public). There will then be ‘news’-coverage by the American propaganda-media, to demonize him. Ecuador’s President wants to do his job for his U.S. masters (the U.S. aristocracy) but not to get blame for the inevitable result. All along the line, the aristocracy know how to preserve deniability, and advise their agents so as to shift blame downward, whenever they can’t succeed in shifting it to the victim that they’re destroying. However, the ultimate blame belongs truly to the owners of the U.S. regime. Even most ‘alternative news’ media might not (and they, in fact, do not) report this fact (because most of even the ‘alternative’ media are owned by aristocrats), but it’s clearly the case. And most of the public don’t care much about it, anyway, and continue to subscribe to those ‘news’ media, which the aristocrats are actually controlling, and to buy the products they advertise, producing yet more income for the aristocracy. The public thus helps the aristocracy to fund the aristocracy’s propaganda-vehicles, to control the public, to vote for the aristocrats’ candidates, and so control the government.

A multi-polar world could enable this to change. But it can’t change in a mono-polar world. Julian Assange has been trapped by, and in, this fascist mono-polar world. He is its enemy, and they are murdering him; but, above all, Donald Trump is murdering him.

But this is not a partisan operation on behalf of only a faction of the U.S. aristocracy. The Hedges article links through to an important June 29th news-report in the Washington Times, titled “Mike Pence raises Julian Assange case with Ecuadorean president, White House confirms”. It makes clear that Moreno is doing the bidding of the White House, and that the White House is “heeding calls from Democrats wary of Mr. Assange.” America, after all, is a two-party dictatorship: both parties represent the same aristocracy, and murdering Assange is in the agenda of both of its factions, not of just one of the two parties. The U.S. aristocracy are united on this matter. And that’s how this mono-polar world is being run.

Author’s note: This piece first posted at The Saker

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Trust: Lessons from my Brazilian driver

Jennifer Richmond

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Trust takes years to build, seconds to break, and forever to repair– Anonymous

Be safe. That’s what we’re always told when we travel. It could be a short drive to another city or a flight to another state. Just be safe.

It’s usually said with about the same emotion as, “good morning”. It’s almost obligatory and carries little meaning. A courtesy. It’s said with a little more sincerity when you’re traveling overseas. The unknown could be dangerous – pay attention, be aware…be safe.

I nod and smile, because what else do you say? What does it really mean to “be safe”? Of course, some things are obvious – don’t go running down the street naked waving a flaming Molotov cocktail in your hand. Check. Keeping your clothes on in public is probably always a good idea. You’re pretty much always safer with clothes.

Don’t hitchhike drunk. Check. Although I did do that once with a friend in Nanjing, China and the friendly (and confused) garbage truck driver picked us up and dropped us off at the foreign student dorms, per our request in broken Chinese. But still, in general, not a good idea.

I generally stifle a giggle at the well-meaning “be safe” when I’m traveling to Asia. For sure, there are incidents against foreigners in Asia; the Abu Sayyaf terrorist incident in the Philippines was shocking. But typically, Americans are much safer in Asia than many large American cities (I’m looking at you Detroit, Chicago and New Orleans). If you accidentally leave your wallet on the table, or your cell phone in the bathroom, most likely a “good samaritan” is not going to turn it into a manager. Being safe means being aware of your belongings, not your actual being.

The urgency to “be safe” was greatly intensified when I told my family, I’m going to Brazil. Be really safe. Like, this time, I mean it.

My dad is a test pilot. When he gets nervous on a plane, I freak: not safe, not safe my brain screams. My husband is in law enforcement, with quite a bit of international experience. Contrary to what you may think, he infrequently tells me to be safe. When he worries, I pay attention. Brazil worried him.

Despite a lifetime of traveling and living abroad, namely in Asia, this is my first time to Brazil. Brazil, more than anywhere I’ve been, including Europe, “looks” like America. Like America, Brazil is an immigrant country. A Multicultural Mecca.

In my attempt to “be safe” I hired a car and a bilingual driver to take me around São Paulo. I hit the jackpot. Before turning 10 years old, Ricardo picked up an English dictionary and taught himself the language. And he didn’t stop there. Given that his Protestant family didn’t believe in TVs he became a voracious reader and spent hours in the library reading political philosophers such as John Locke and Antonio Gramsci. And so it happens that my driver was also a political philosopher of sorts, with a view from the streets (literally) of the Brazilian socio-political landscape.

Everything I learned from my Brazilian driver shed light on the challenges not only in Brazil but also in America and around the world: we have a trust deficit.

There are many similarities between Brazil and the United States, especially in their multicultural heritage, but its geography and history put it on a completely different trajectory.

Brazil’s rugged terrain and lack of viable ports make economic development difficult. As a result, the development necessary to take advantage of Brazil’s agriculture and commodity opportunities needs massive capital expenditures. This higher cost of development meant only the wealthy were involved in setting up towns and plantations. Low-skilled labor was imperative for working plantations, and slavery was the norm.

When slavery was abolished (Brazil was the last country in the Western Hemisphere to abolish slavery in 1888), low-skilled immigration was encouraged and flourished. Brazil’s Gino Coefficient highlights the income inequality and stark division between the rich and poor that continues to define Brazilian demographics, even into the modern era. It is also visible in its high crime rate, giving Brazil the title of Murder Capital of the World. Brazil has the most cities (17) in the top 50 dangerous cities in the world.

Brazil’s geography shaped its economy and in turn, its politics. The wealth disparity and need to develop the interior were components that eventually led to the rise of a military regime in the 1960s. The regime kept order and was able to command the resources for development through force, if necessary. As the interior developed, there were more opportunities for smaller landholders and a rise in the middle-class – the classic underpinnings for political liberalization.

Under these circumstances, in 1985 the military handed over control to the people in an election. In 1988 a new constitution was written. Thirty years of democratically elected governments later, and many of Brazil’s problems remain. The oligarchs – the powerful and wealthy – prevail. Justice usually reflects who you know and is unevenly applied. A string of politicians, including the current President Temer and past Presidents Lula and Rousseff, among others, have recently been implicated in the huge “car wash” scandal.

People are fed up with the corruption. And now, many are looking for a political “outsider” to shake up the establishment.

In this fraught landscape emerged Jair Bolsonaro. Bolsonaro started his career in the military while the military still held power. He is neither a land-owner nor a peasant, and to many, is seen as a “vote for change”, outside of the elite power structure. Sound familiar?

He is the Brazilian Trump.

His fame is growing, and people show up en masse to hear him speak. His focus is a return to law and order in a country that seems out of control. Bolsonaro’s message resonates at a time when there are an increasing number of people nostalgic for the order under the former military government.

Rounding out the similarities, Bolsonaro, like Trump, has been called out for scandalous behavior, which hasn’t dampened his support. In 2014 he told a Congresswoman that he wouldn’t rape her because “she didn’t deserve it”. This is the little quip seen here in the anti-Bolsonaro propaganda picture. Note the cartoonish Hitler‘s tache too.

The allure of more right-wing traditionalists, nationalists and populists is a global trend in a world rapidly changing. Whether due to the growing individualism leading to the breakdown of social cohesion in the United States, the growing anti-immigrant sentiment and the resulting Brexit in England, or the ubiquitous corruption in Brazil, wistful notions of stability and order are endemic.

As these and other like forces continue to restructure the global order–politically, economically and socially – no one gets out unscathed. Perhaps the United States is best able to weather the storm, given its unique mix of geography, strong institutions and resources. The Brazilian economy, however, is largely dependent on high commodity prices and Chinese demand. As structural demand trends downward, and the Chinese face their own internal and external struggles, a variety of crises threaten multiple countries, like Brazil.

Further, a Brazilian characteristic – lack of trust – creates its own challenges. The lack of trust in American institutions is also at an all-time low, but as Ricardo reminds me, the American government was formed by the people to serve the people. In contrast, in the Brazilian system, the people are there to serve the state.

In the current climate, despite disparate trajectories, America and Brazil now share some of the same trust issues. As we explored this idea of trust and our distinct cultural experiences further, we came up with a rough theory. America’s free market capitalist economy generates trust. Although there are many currently disillusioned with capitalism and growing income inequalities, which in part is what is generating momentum in the more “right-wing” camps worldwide, consider the aspect of competition. When there is competition, the markets hold corporations accountable. If a company makes a poor product, it loses market share. In an economy like Brazil, based more on elite relationships than competition for gaining market share, this built-in accountability is lost. Trust never has a chance to develop.

By contrast, trust in America did develop, but to a certain degree, has been lost. However, there is a foundation for trust. The question is, can it be regained?

Despite many factors portending some rough patches ahead, Ricardo is hopeful. He doesn’t have any affection for Bolsonaro, but believes corrective measures are necessary to address inherent corruption – after all, the pendulum must swing in the opposite direction before slowing its cadence to a more sustainable groove in the middle.

The “Trump Trend” (and its European predecessors) is not an isolated event, but rather a reaction to global disorder, similarly affecting countries with diverse geopolitical histories; it is a symptom of our trust deficit and truth decay. Further, different political parties worldwide hold their own claims on the truth, making trust more elusive. Confusing the issue, in an internet era replete with fake news, truth and trust alike have become valuable commodities. Hold onto them.

Finally, levels of trust are generally inversely correlated to crime statistics, so… be safe!

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