Why is this girl smiling? I'm guessing she's the owner of the mud cookie factory's daughter, doing the Haitian version of the Car Dealerships Kid ads we've all learned to despise over the years. The cuter the kid, the lousier the product in most cases...
"A girl eats a mud cookie in Cite Soleil to stave off hunger.
The recipe on the ground is one part dirt, one part shortening and half
a cup of water. The recipe internationally is one part charity, one
part neo-liberal Reaganomics and one part dependence. "
Hmm, yum yum? I wonder if you can snackerdoodles or double mint? Maybe coat it in some dung to get a little more protein...
So, is Grain--the new gold? Somehow I don't think this was the way it was intended to happen but you know, the chickens are definitely coming home to roost, and they have been taking steroids and human growth hormone and doing a lot of pushups over in the corner, getting ready to land on a clueless world.
As prices rose, major grain producers including Argentina and Ukraine,
battling inflation caused in part by soaring oil bills, were moving to
bar exports on a range of crops to control costs at home. It meant less
supply on world markets even as global demand entered a fundamentally
new phase. Already, corn prices had been climbing for months on the
back of booming government-subsidized ethanol programs. Soybeans were
facing pressure from surging demand in China.
But as supplies in the pipelines of global trade shrank, prices for
corn, soybeans, wheat, oats, rice and other grains began shooting
through the roof.
Now, it's true that the AXE has had some problems with the old outrage meter. It has been buried several times, and I've been actually having to do my psychic-social driving using the tach and my ear, because the outrage meter is permanently stuck at the incoherent WHAT THE FUCK IS THE MATTER WITH PEOPLE????? But, the food crisis really has the potential to jump the old outrage meter right out of the metaphysical dashboard! Even the French are starting to get it, while we remain absurdly, blithefully ignorant and are wondering about such critical issues as is Batshit McCain ethically compromised (YUP!!); is Hillary willing to take the Democratic hopes down with her in flames (Well, she'd never say so because she's clearly delusional); and, does Batboy have a tendency to hang around with questionable companions (Yeah, but then who doesn't? Hell, it occurs to me that I was in fact one of the people my parents warned me against...I'm a bad companion for myself... Anyway, about France...
The French, whose farmers over the years have
become addicted to generous government handouts, argue that agriculture
subsidies must be continued and even increased in order to encourage
more food production, especially with looming shortages.Last week, French Agriculture Minister Michel Barnier warned E.U. officials against "too much trust in the free market."
"We must not leave the vital issue of feeding people," he said, "to the mercy of market laws and international speculation." (AXE emphasis!!!)
Now, while that seems pretty rational to me, the Chicago School, Ayn Rand loving, fascist assholes who are currently running the Executive Branch really ought to get with it. Ben Stein -- another Nixon speech writer who appears to have found sanity after years of wandering from meaningless acting and financial legal shennanigans through the world of Comedy Central Game Shows and Visine ads, really gets the problems. While it may seem like a reach, the interconnectedness of the global system makes the solutions pretty complicated. However, Mr. Stein has another lucid and rational and on-target column in this morning's Times about the problems inherent in the way things are currently going.
YOU may well be asking yourself, as I have asked myself, how on
earth did the credit crisis on Wall Street become such a catastrophe? How
did all of the mechanisms operated by the mind-bogglingly well-paid men
and women of the Street go so wrong that we saw a major investment
bank, Bear Stearns,
essentially disappear? How did Wall Street firms of ancient lineage
take such immense losses that they made banks clam up on lending — at
great risk to the economy? Weren’t fail-safe devices in place to
guard against risk? Weren’t government watchdogs there to make sure
that catastrophes could not happen? Weren’t ratings agencies on the job
to police what was going on in the canyons of Lower Manhattan?
To paraphrase Dr. Evil in the “Austin Powers” movies: “How about ‘no,’ Scott?”
What does the credit melt-down have to do with world food shortages? Well, a number of things. First and foremost, the dollar has been undermined by years of tax breaks and runaway deficits. If you're like Darth Cheney and think that Reagan proved that deficits don't matter, you'd be right...they don't matter for the people that Cheney cares about, the rich and powerful. However, deficits undermine the dollars ability to buy things -- like fuel, food and talent. The credit mess exacerbates that problem, because if a business has trouble getting credit, the odds are pretty good they are on the way out. In a perfectly Malthusian world that might be OK. However, we have learned that Malthus doesn't have to be right, and it is possible to have global abundance, or at least, sufficiency. However, when the average American feels the need or seems to feel the need for a HUMMER or a 36 ounce prime rib for dinner, sufficiency becomes problematic. The world economy is not resilient, nor is the American economy.
Stein points out, quoting from a speech by David Einhorn, a successful Hedge Fund Manager, that
In a word, Mr. Einhorn says, the S.E.C. told Wall Street to police
itself to save on regulatory costs, while not bothering to “discuss the
cost to society of increasing the probability that a large
broker-dealer could go bust.” A result of all this, he says, was as follows:
“The owners, employees and creditors of these institutions are rewarded
when they succeed, but it is all of us, the taxpayers, who are left on
the hook if they fail. This is called private profits and socialized
risk. Heads, I win. Tails you lose. It is a reverse-Robin Hood system.”
Now, the way to balance the private-profits-socialized-risk is through a system of progressive income taxes. I don't think the old IRS rates back from when I was a kid where the highest marginal rate was 91% can ever be a comeback. ( For our readers who got sucked into this article by the Hannah Montana shot and don't get marginal rates in taxes as a concept, it means that income above a certain amount is taxed at that rate. P-Diddy and A-Rod and Hedge Fund Managers would need to worry about that. The sort of person who reads the Defeatists -- people making less than $200K a year for the most part -- would never come near to worrying about that...)But, reducing taxes for the obscenely rich just doesn't feel right in good times, and this is not a good time. Bailing out the obscenely rich is an equally bad idea.
From Stein:
It looks to me as if the inmates are running the asylum. One truth,
that deregulation is sometimes a good thing, has been followed down so
long and winding a road that it has led to an immense lie: that
deregulation carried to an extreme will not lead to calamity.
The Housing Crisis and the Credit Crisis and the Oil Crisis and the now Global Food Crisis sure looks like
an inter-leaved set of problems that add up to a calamity. However, nobody seems to notice. How are you going to spend your tax rebate? Vacation to Disney World? Or, buying guns and ammunition to protect the old family homestead when the peasants with pitchforks and torches storm the McMansion? Well, the Progressives are probably buying recorders and autoharps and plan on singing Kum Bah Ya and the Regressives are sure it won't happen in their gated community. As for the rest of us, hell, we're going to find ourselves in the mob of peasants unless something amazing happens soon.
Ultimately, it seems our policy is based on the idea that God takes care of drunks, fools and the United States. I haven't seen any proof of that in a long time, if proof rather than wishful thinking existed at all. Wanna bet some members of the RNC are looking at investing in mud cookie factories here in the US? They'll do it in the south, of course. Maybe in the Mojave -- we got sand for mud, all they'll need is water and they can get the animal fat from all the fast food joints in California...
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