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Due to a holiday, ATol will not upload again until Tuesday, October 13.

Pakistan warns India to 'back off'

New Delhi has the capacity to play a decisive role in crushing the Taliban insurgency, which is what makes the Pakistani military establishment extremely anxious in the developing political scenario on the Afghan chessboard. When the Taliban struck the Indian embassy in Kabul on Thursday, killing 17 people, the timing may have been coincidence, maybe not. - M K Bhadrakumar (Oct 9, '09)

Gaza report seals Abbas' political fate
The United Nations report on the 2008-2009 Gaza War wasn't well received by the United States or Israel, which call it one-sided. What was more unexpected was an about-face by President Mahmud Abbas' Palestinian National Authority to seek deferral of a UN debate on the findings. The news has ripped through the Arab world, destroying any remaining credibility he had. - Sami Moubayed (Oct 9, '09)

INTERVIEW
Hizbut Tahrir's view on Lebanese politics
The trans-national and pan-Islamic party Hizbut Tahrir was founded in 1953 in Palestine to re-establish the Islamic Caliphate that collapsed in 1924. Since then the party has spread all over the Muslim world and is now estimated to have hundreds of thousands of members. Osman Bakhach, deputy chairman of Hizbut Tahrir's Executive Committee, explains why the idea of Muslim unity may be unstoppable. - Mahan Abedin (Oct 9, '09)

IAEA's not-so-secret satellite game
Iran's decision to reject a protocol enabling the International Atomic Energy Agency to conduct spot inspections of its nuclear sites means enforcing safeguard agreements will become more risky and more satellite-driven. Israel's desire to engage India's space-based surveillance assets is also likely to intensify. - Peter J Brown (Oct 9, '09)

Beijing hires a media guru
As part of its modernization efforts, the Chinese Communist Party has recruited a once-famed news anchor as its top media advisor. A lot has changed since crisis was met with silence and falsehoods. The party has perhaps realized that being an international player involves demonstrating some transparency. - Cristian Segura (Oct 9, '09)

Kabul 2009: War of the Worlds redux
Sometimes it takes 66 pages to tell the story of a foreign invasion - as in the case of Afghan War commander General Stanley McChrystal's recent report to the United States Congress. Sometimes a century old novel can do the trick. H G Wells' 1898 sci-fi classic The War of the Worlds, old as it is, offers a rare example of how Afghans may see the high-tech American war machine. - Tom Engelhardt (Oct 9, '09)

BOOK REVIEW
Short-changing China's century
The Empire of Lies by Guy Sorman
This book penetrates the interior of China, touching on areas too-often overlooked, such as poverty, human rights, and archaic governance. But it fails to note how far the nation has come this century, its pulse of progress in developing regions and subtle changes in leadership, and the analysis suffers as a result. - Benjamin Shobert (Oct 9, '09)



Dollar exit for oil trade?
A further shadow has been cast over the future of the US dollar on reports that Arab oil producers and customers including China and Japan may soon use other means of settling their huge fuel accounts. - F William Engdahl (Oct 8, '09)

When 5+1 = 1+1 in the Iran equation
Despite accusations from the right-wing in the United States that Iran duped the Barack Obama administration into serious concessions at last week's nuclear talks, bilateral Iran-US dialogue, unencumbered by the influence of third parties, remains the clearest path to easing nuclear tensions. - Kaveh L Afrasiabi (Oct 8, '09)

Heads or tails, Obama loses
Proponents in the United States of an increased counter-insurgency (COIN) in Afghanistan want more troops. Those favoring a focus on counter-terrorism want to maintain force levels while stepping up special operations. President Barack Obama will be damned whichever option he chooses; perhaps he'd best flip a coin. - Jim Lobe (Oct 8, '09)

INTERVIEW
The 'perfect' quake this way comes

The 7.9-magnitude earthquake that struck the west coast of Sumatra island on September 30 and killed more than 1,000 people was nothing compared to the mammoth quake scientists predict for the area in the relatively near future. The geological deck is stacked against the region, explains Sumatran tectonics expert Richard Briggs, and local government apathy isn't helping. - Charles McDermid (Oct 8, '09)



Confucianism a vital string in China's bow
A revival of interest in Confucianism, within China and beyond, is helping Beijing to develop the "soft power" it needs if the country is to become a true world power. Some modernization of the 2,500 year old system of thought would help. - Jian Junbo (Oct 8, '09)

Currency fiddlers wrong to cry foul
China and other countries seeking an end to the US dollar's status in global commerce should stop crying foul as the dollar's value slides. Instead, they should abandon currency manipulation and let their populations purchase more US goods and services. - Peter Morici (Oct 8, '09)

SPEAKING FREELY
China's electric car revolution
In a world in which market mechanisms determine consumption patterns, it seems unlikely that clean cars will be able to make significant inroads until the last drop of oil is sucked out of the ground. But just maybe, China's market and subsidized rush for electric vehicles could help it mass manufacture environmentally-friendly autos for the rest of the world. - Ryan Rutkowski (Oct 8, '09)

THE ROVING EYE
Stuck in Kabul, with Saigon blues again
What is now being performed for Washington galleries is the dance of the generals by Chairman of the Joint Chiefs of Staff Admiral Mike Mullen, National Security Adviser retired General Jim Jones and top man in Afghanistan General Stanley McChrystal. The Pentagon and its experts argue the US should "Afghanize" the war - but the staggering financial black hole is just getting bigger as the US slouches towards "Chaos-istan". - Pepe Escobar (Oct 7, '09)

Syria, Saudi Arabia plot peace path
Saudi King Abdullah's first visit to Damascus since assuming the throne in 2005 signals a rebirth of the historic friendship between Syria and Saudi Arabia. A mutual dislike for Iraq’s prime minister and Syria's warming ties with the United States have helped bring the countries together, and to position them to map out the future of the Middle East. - Sami Moubayed (Oct 7, '09)

Obama trapped behind wall of containment
United States President Barack Obama's troubles in the Middle East are not caused primarily by "bad guys" such as Iran, nor by Israel's supposed power or that of the domestic "Israeli lobby". Instead, he's trapped in the conundrum that's built into US containment strategy. No matter what other nations do or don't do, everything that looks like it might be a solution only turns out to create new problems. - Ira Chernus (Oct 7, '09)

Leaked Iran paper exposes IAEA rift
Excerpts of an internal draft report reveal that the International Atomic Energy Agency has only suspicions - not real evidence - that Iran has been working on nuclear weapons. This contradicts the agency's earlier claim that was based on leaked documents, and there is now a fierce struggle in the nuclear watchdog about whether the leaked material is genuine or fake. - Gareth Porter (Oct 7, '09)

US public skeptical - and hawkish - on Iran
The results of a new poll showing that the majority of Americans believe diplomatic engagement with Iran will fail and that Washington should be prepared to use military force to prevent Tehran from obtaining a nuclear weapon clearly play into the hands of the hawks pressuring President Barack Obama. Other elements of the poll, though, show support for the president's policy of dialogue. - Jim Lobe (Oct 7, '09)

Follow the money
For US$200 million of public money we could take a walk in the footsteps of Jesus Christ, curing millions of leprosy. Or we could just give Hank Paulson a tax break. Then ask what else could have been done with the $4 trillion the US government has committed to Wall Street and its already hugely rich denizens. - Matt Bivens (Oct 7, '09)

China torn over Internet freedoms
Following a spate of titillating but fallacious stories posted on the Internet about high-profile personalities, such as television hostess Fang Jing, many of China's Internet users want the government to clamp down, even as Beijing realizes the advantages of promoting free speech in cyberspace. - Stephanie Wang (Oct 7, '09)

Tortillas taste just great in zero gravity
Space food has evolved since the toothpaste-tube purees of the early days, with Japanese noodles, Chinese "moon cakes", Indian curries, and popularly, tortillas on offer to astronauts. But the 21st-century versions do little to ease the difficulties of eating in zero gravity, according to the world's first celebrity space chef. - Raja Murthy (Oct 7, '09)

THE MOGAMBO GURU
Dry guide to 'recovery'
United States legislators, woefully ignorant of how the financial system works and how it got the world into the present mess, need only a glance at the exotic-sounding Baltic Dry Index to find out how strong the so-called recovery is - it isn't. (Oct 6, '09)

Pakistan goes for militants' jugular
The pieces are all in place for Pakistan to launch an all-out attack on the Pakistani Taliban and al-Qaeda in the Waziristan tribal areas on the Afghan border. The formerly reluctant military is fully on board, the United States is actively assisting with intelligence, and most important, the financial lifeblood of the militants is being squeezed as never before. - Syed Saleem Shahzad (Oct 6, '09)

US stands right beside Islamabad
The Barack Obama administration now believes that the Pakistani Taliban have effectively over-reached and that Pakistan's elite, including the army, has come to see it and its al-Qaeda allies as a much greater threat to the country than ever before. - Jim Lobe (Oct 6, '09)

Give and take on North Korea
North Korea's Kim Jong-il on Tuesday promised visiting Chinese Premier Wen Jiabao that Pyongyang will return to the six-party talks that the North has previously spurned. Beijing will take credit for arm-twisting the recalcitrant North Koreans, while Kim will believe he has played his cards just right. - Donald Kirk (Oct 6, '09)

More power to Afghan warlords
The West's strategy of promoting democracy in Kabul while taking on the Taliban in the field with unproven Afghan troops and overstretched allied forces has left it staring at defeat in Afghanistan. The plan ignores an alternative that succeeded spectacularly in 2001: arming tribal warlords and turning them loose on the Taliban. - Richard M Bennett (Oct 6, '09)

India plays down Chinese incursions
Reports of Chinese incursions into Indian territory are on the rise, with alleged firefights, air space infringements and graffiti. But New Delhi has downplayed them, saying there are diplomatic mechanisms for such issues. At the same time, the Indian military is making its own assessment. - Priyanka Bhardwaj (Oct 6, '09)

China's satellite diplomacy shifts a gear
China offers satellites to developing countries at bargain-basement prices, however, accurately calculating the exact cost of these satellite projects is difficult because rarely, if ever, is anything done in the open. - Peter J Brown (Oct 6, '09)

Ghost of Thaksin's past visits Abhisit
Even as Prime Minister Abhisit Vejjajiva works hard to assure foreign investors and diplomats that Thailand's recent turmoil is no cause for concern, he is struggling to control his unwieldy and scandal-tainted coalition. Whether Abhisit can maintain his clean image while in league with coalition partners and party members who seem bent on self-enrichment may determine his political future. - Seth Kane (Oct 6, '09)

Payback time
Efforts to cut back on the vast rewards to United States bankers whose activities undermine society as a whole could be bad news for girls happy to be named on the school "slut list" in up-market New Jersey - unless their folks actually work for Goldman Sachs. - Julian Delasantellis (Oct 6, '09)

THE BEAR'S LAIR
How to disarm the liquidity bomb
Policymakers in the United States talk of reversing the unprecedented liquidity pumped into the financial system while signaling that interest rates will remain near zero for some time to come. Yet it is essential to raise rates before removing the liquidity. The other way around won't work. - Martin Hutchinson (Oct 6, '09)

SPENGLER
Obama's permanent depression The toxic cocktail of fiscal stimulus combined with near-zero interest rates in the United States allows financial institutions to profit while further depressing the productive economy. The resulting deteriorating jobs market is now instilling panic in Barack Obama's White House. The parallels with Japan in 1989 are uncanny. Japan, though, had one advantage: it knew how to export. - Spengler (Oct 5, '09)

Seeds of change in Iraqi Kurdistan
Leaders from Iraqi Kurdistan's upstart political opposition, the Movement for Change, say the party's departure from traditional clan-based politics led to its unprecedented success at recent regional elections. The group is part of an unexpected democratic progress that has forced Turkey, Iran and Syria into a strategic rethink. - Derek Henry Flood (Oct 5, '09)

Iraq's Maliki gathers his forces
Hard on the heels of the formation of a new Iraqi party comprising Shi'ite heavyweights to contest January's elections, Prime Minister Nuri al-Maliki has unveiled his own new coalition, which he touts as cross-confessional and secular. This it might be, but it comprises mostly political lightweights. - Sami Moubayed (Oct 5, '09)

Sex and security in Afghanistan
Apart from rollicking romps at the United States Embassy in Kabul, allegations have emerged of private security contractors in Afghanistan frequenting brothels notorious for housing trafficked women. - David Isenberg (Oct 5, '09)

CHAN AKYA
Double or quits
As the employment picture in the United States grows ever more bleak, Keynesian economists are producing their standard calls to government - spend more, and the good times will come. This after seeing vast amounts already poured into rescuing the economy come to little effect. It is the cry of despair of a failing gambler. (Oct 5, '09)
David P Goldman
(Oct 8, '09)
Are we due for a repeat of [Paul Volcker's rate] tightening? Not a chance.



Wynn the master
of Macau gamble

Gaming magnate Stephen Wynn's bet that punters would flock to buy shares in his Macau casino interests, made as the outlook soured for new listings in Hong Kong, has paid off big time, with the risky initial US$1.6 billion sale being followed by a soaring stock price on the first day of trading. - Olivia Chung

Kazakhstan seeks
route out of crisis

As French President Nicolas Sarkozy visited Kazakhstan for the signing of a US$3 billion energy pipeline deal that will help create jobs back home, a novel bank restructuring was also showing how the Central Asian country is seeking to emerge from the economic crisis - with some help from China. - Robert M Cutler

Climate protectionism
on the rise

Trade and technology protectionism on the part of the United States and other industrialized countries is on the rise, threatening to take priority over the threat of climate change, as part of negotiations with developing nations on how to combat the threat to the world's future. - Martin Khor

FROM THE BLOG
Comedy act by Bernanke
Federal Reserve chairman Ben Bernanke's warning that he might tighten credit some time, some day, combined with White House economic advisor Larry Summers' ringing defense of a strong dollar, are a comic-opera spoof of former Fed chief Paul Volcker's Wagnerian drama. - David Goldman




CREDIT BUBBLE BULLETIN
No way to fix a collapse
Credit bubbles are fundamentally about a confluence of undisciplined behavior, from monetary system management, through lending and investment, to spending throughout the economy. The consequences of increasingly bold policy activism include a more unbalanced economic structure, as witnessed today. (Oct 5, '09)
Doug Noland looks at the previous week's events each Monday.





"... Obama will not tolerate the US running away [from Afghanistan] as some fools perennially and lamely champion. ..." - Robster

"... Afghanistan is a lost cause! Negotiating with the Taliban for the sake of a dignified withdrawal is not "running away", just a prudent acknowledgement of reality. As long as the Taliban agree to sever all ties with al-Qaeda and all other terrorist groups, why not concede Afghanistan to them?" - MonsoonWind

From Our Mailbox
[Re Dollar exit for oil trade?, October 8] The United States will have to show some fiscal discipline - but this may never happen since it is run by arrogant madmen from the military, oil, and media industries.
Manuel de la Torre
   Go to Letters to the Editor



1. Obama's permanent depression

2. Stuck in Kabul, with Saigon blues again

3. Obama trapped behind wall of containment

4. Syria, Saudi Arabia plot peace path

5. Leaked Iran paper exposes IAEA rift

6. China stands firm against
US market scramble


7. China torn over Internet freedoms

8. US public skeptical - and hawkish - on Iran

9. Bernanke works on as jobless tally mounts

10. Follow the money

(24 hours to 11:59pm ET, Oct 7, 2009)

Pick of the month Sep 2009
THE ROVING EYE

Fifty questions on 9/11
More questions on 9/11




ATol Specials


  By Syed Saleem Shahzad
(Jan '09)

  VIDEO
Taliban's new breed of leader
(May '08)

The Gates
Inheritance
By
Roger Morris
 
(June '07)



Syed Saleem Shahzad reports on the Afghan war from the Taliban side
(Dec '06)

How Hezbollah defeated Israel
By
Mark Perry and
Alastair Crooke
(Oct '06)

Mark Perry and
Alastair Crooke
talk to the 'terrorists'
(Mar '06)

China: The
Impossible
Revolution

By
Francesco Sisci 

The Coming
Trade War


By Henry C K Liu

A series
by Henry C K Liu
 

Sinoroving

Pepe Escobar in China

Money, Power
and
Modern Art


A series by Henry C K Liu

Andre Gunder Frank on Uncle Sam and his shrinking dollar


By Pepe Escobar with photographs by Kevin Nortz

   Nir Rosen goes inside the Iraqi resistance

Nir Rosen rides with the US 3rd Armored Cavalry in western Iraq



 
 


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