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# Lawrence Summers: Rubin's Neoliberal Boy Larry

 News Political Economy of Casino Capitalism Recommended Links Neoliberalism as a New Form of Corporatism Harvard Mafia, Andrei Shleifer and the economic rape of Russia Audacious Oligarchy and "Democracy for Winners" Amorality and criminality of neoliberal elite Silencing of Brooksley Born Harvard Mafia, Andrei Shleifer and the economic rape of Russia Neoclassical Pseudo Theories and Crooked and Bought Economists as Fifth Column of Financial Oligarchy Invisible Hand Hypothesis: The Theory of Self-regulation of the Markets Hyman Minsky Neocolonialism as Financial Imperialism IMF as the key institution for neoliberal debt enslavement Critique of neoclassical economics Rubinism Trickle down economics Rational expectations scam Monetarism Criminal negligence in financial regulation Financial Sector Induced Systemic Instability Helicopter Ben Bush Clinton Jeffrey Sachs and "shock therapy" racket Milton Friedman Phil Gramm Greenspan: Grey Cardinal of Washington Corruption of Regulators Ronald Reagan: modern prophet of profligacy John Kenneth Galbraith Sandy Weill Martin Feldstein Financial Humor Etc

### Introduction

This is a really fascinating story of a guy who is almost universally hated for his personality flaws. He is arrogant, authoritarian and unlikable. He is the person who professes neoliberal ideology, a staunch supporter of deregulation of financial sector and who played a role of a hired gun in killing Glass-Steagall. It's really amazing that he after all his adventures in Clinton administration he managed to land the important position in "the change we can believe in" (aka "it could be worse") Administration, but this is just a testament of Rubin's influence in Obama administration. Like his mentor, Summers is a prominent member of pro-Wall-street wing of the Democratic party, or as it is called Clinton's gang or “plutocratic Taliban”. As an economist Summers has gone through several (questionable) revolving doors, and that mean that it is natural to suspect his level of scientific integrity.

He became a walking illustration of corruption of the academy by special interests. Like few others (and first of all his protégé Andrei Shleifer) he became a multimillionaire due to his services to financial industry and once got $135K for a single speaking engagement in Goldman Sachs. This level of corruption of academics is a disgrace, but nothing new. Mishkin did worse things. Fat cats of economic profession institutionalize the relations typical for Academician Lysenko among students, and contribute to the problems of the society instead of helping to solve them. What$100K+ per "speaking engagement" fee means, if not a bribe with a fig leaf attached (Larry Summers and the Subversion of Economics The Chronicle of Higher Education).

"Summers became wealthy through consulting and speaking engagements with financial firms. Between 2001 and his entry into the Obama administration, he made more than $20-million from the financial-services industry. (His 2009 federal financial-disclosure form listed his net worth as$17-million to $39-million.)" "Prominent academic economists (and sometimes also professors of law and public policy) are paid by companies and interest groups to testify before Congress, to write papers, to give speeches, to participate in conferences, to serve on boards of directors, to write briefs in regulatory proceedings, to defend companies in antitrust cases, and, of course, to lobby. This is now, literally, a billion-dollar industry." This is very disturbing but what is more disturbing that in case of Summers there is strong evidence of cronyism and nepotism during his meteoric rise to the top. Larry Summers is a nephew to both Ken Arrow and late Paul Samuelson. In a mandarinate that sure is US economic profession that's a tremendous help for any person in climbing to the top. • Ken Arrow is a friend of Abt Associates and a founding member of the Pontifical Academy of Social Sciences. Abt Associates looks like society’s best friend, especially if it coincide with helping banksters to rape those societies ;-) “The Company applies its expertise in research, consulting, technical assistance, data collection and medical and life sciences to a wide variety of problems in the public and private sectors. In the United States, Abt Associates has helped shape many important and complex public programs, including Medicaid, welfare reform, Head Start, crime reporting, and housing experiments. The Company is also a recognized leader in providing technical assistance to facilitate policy reforms in countries moving to market oriented economies.” • Paul Samuelson is a spiritual father of Stanley Fisher, Lawrence Klein, and Robert Merton (who helped Black and Scholes rock the world with LTCM fiasco). Summers' academic mentor was conservative economist Marty Feldstein, and he worked for Feldstein at Ronald Reagan's Council of Economic Advisers in the early 1980s. Being a protégée of Robert Rubin helped Summers to obtain lucrative government positions. Both men are proteges of Robert Rubin, a former Clinton Treasury secretary who served on Citigroup Inc.’s board from 1999 until this year and has been criticized for allowing the bank to pile up$544 billion of derivatives and securities before it became the recipient of more government assistance than any other bank. Rubin declined to comment.”

### Neoliberal deregulator and lobbyist of financial oligarchy

If one wants to be more sharp critic, he/she can view Summers as a staunch neoliberal, a typical academic servant of banking oligarchy, an academic lobbyist for financial industry.

 Classic example of a modern type of neo-bribes for neoliberal economists: $135,000 for one speech at Goldman Sachs. The popular joke that "the relationship between government and banking is the closest thing to organized crime taken over society" sounds alarmingly true, when applied to Summers activity (Larry Summers and the Subversion of Economics - The Chronicle of Higher Education): As a rising economist at Harvard and at the World Bank, Summers argued for privatization and deregulation in many domains, including finance. Later, as deputy secretary of the treasury and then treasury secretary in the Clinton administration, he implemented those policies. Summers oversaw passage of the Gramm-Leach-Bliley Act, which repealed Glass-Steagall, permitted the previously illegal merger that created Citigroup, and allowed further consolidation in the financial sector. He also successfully fought attempts by Brooksley Born, chair of the Commodity Futures Trading Commission in the Clinton administration, to regulate the financial derivatives that would cause so much damage in the housing bubble and the 2008 economic crisis. He then oversaw passage of the Commodity Futures Modernization Act, which banned all regulation of derivatives, including exempting them from state antigambling laws. After Summers left the Clinton administration, his candidacy for president of Harvard was championed by his mentor Robert Rubin, a former CEO of Goldman Sachs, who was his boss and predecessor as treasury secretary. Rubin, after leaving the Treasury Department—where he championed the law that made Citigroup's creation legal—became both vice chairman of Citigroup and a powerful member of Harvard's governing board. Over the past decade, Summers continued to advocate financial deregulation, both as president of Harvard and as a University Professor after being forced out of the presidency. During this time, Summers became wealthy through consulting and speaking engagements with financial firms. Between 2001 and his entry into the Obama administration, he made more than$20-million from the financial-services industry. (His 2009 federal financial-disclosure form listed his net worth as $17-million to$39-million.)

Summers remained close to Rubin and to Alan Greenspan, a former chairman of the Federal Reserve. When other economists began warning of abuses and systemic risk in the financial system deriving from the environment that Summers, Greenspan, and Rubin had created, Summers mocked and dismissed those warnings. In 2005, at the annual Jackson Hole, Wyo., conference of the world's leading central bankers, the chief economist of the International Monetary Fund, Raghuram Rajan, presented a brilliant paper that constituted the first prominent warning of the coming crisis. Rajan pointed out that the structure of financial-sector compensation, in combination with complex financial products, gave bankers huge cash incentives to take risks with other people's money, while imposing no penalties for any subsequent losses. Rajan warned that this bonus culture rewarded bankers for actions that could destroy their own institutions, or even the entire system, and that this could generate a "full-blown financial crisis" and a "catastrophic meltdown."

When Rajan finished speaking, Summers rose up from the audience and attacked him, calling him a "Luddite," dismissing his concerns, and warning that increased regulation would reduce the productivity of the financial sector. (Ben Bernanke, Tim Geithner, and Alan Greenspan were also in the audience.)

Among key "mis-achievements" of  this staunch neoliberal, we can mention the following:

• A prominent role in repealing of Glass-Steagall :

The bill that ultimately repealed the Act was introduced in the Senate by Phil Gramm (Republican of Texas) and in the House of Representatives by Jim Leach (R-Iowa) in 1999. The bills were passed by Republican majorities on party lines by a 54-44 vote in the Senate[12] and by a 343-86 vote in the House of Representatives[13]. After passing both the Senate and House the bill was moved to a conference committee to work out the differences between the Senate and House versions. The final bill resolving the differences was passed in the Senate 90-8 (1 not voting) and in the House: 362-57 (15 not voting). [These margins of passage, if repeated, would have been well over the two-thirds needed to overcome any veto, had the President returned the bill to Congress without his signature.] The legislation was signed into law by President Bill Clinton on November 12, 1999. [14]

The banking industry had been seeking the repeal of Glass-Steagall since at least the 1980s. In 1987 the Congressional Research Service prepared a report which explored the case for preserving Glass-Steagall and the case against preserving the act.[7]

• A prominent role in killing attempt of derivatives regulation by Brooksley Born. Summers "led the opposition" against Brooksley Born, a Clinton appointee became the head of the CFTC in 1996 and refused to accept the industry's stance. "In late 1997 and early 1998, she said the emperor has no clothes," says Greenberger. "She said that derivatives are futures contracts and that the CFTC had jurisdiction." In the 2003 interview, Ms. Born reveals that it was Wendy Gramm who single handedly made OTC derivatives possible by adopting a regulatory exemption as "virtually the last act as CFTC chair." This article from Stanford Magazine details the dirty tricks used by Three Marketers (Summers, Rubin and Greenspan) in blocking her regulatory efforts of the derivatives market whatsoever on a very simple ground that the financial industry and its lobbyists were objecting:

As chairperson of the CFTC, Born advocated reining in the huge and growing market for financial derivatives. . . . One type of derivative—known as a credit-default swap—has been a key contributor to the economy’s recent unraveling. . .

Back in the 1990s, however, Born’s proposal stirred an almost visceral response from other regulators in the Clinton administration, as well as members of Congress and lobbyists. . . . But even the modest proposal got a vituperative response. The dozen or so large banks that wrote most of the OTC derivative contracts saw the move as a threat to a major profit center. Greenspan and his deregulation-minded brain trust saw no need to upset the status quo. The sheer act of contemplating regulation, they maintained, would cause widespread chaos in markets around the world.

Born recalls taking a phone call from Lawrence Summers, then Rubin’s top deputy at the Treasury Department, complaining about the proposal, and mentioning that he was taking heat from industry lobbyists. . . . The debate came to a head April 21, 1998. In a Treasury Department meeting of a presidential working group that included Born and the other top regulators, Greenspan and Rubin took turns attempting to change her mind. Rubin took the lead, she recalls.

“I was told by the secretary of the treasury that the CFTC had no jurisdiction, and for that reason and that reason alone, we should not go forward,” Born says. . . . “It seemed totally inexplicable to me,” Born says of the seeming disinterest her counterparts showed in how the markets were operating. “It was as though the other financial regulators were saying, ‘We don’t want to know.’”

She formally launched the proposal on May 7, and within hours, Greenspan, Rubin and Levitt issued a joint statement condemning Born and the CFTC, expressing “grave concern about this action and its possible consequences.” They announced a plan to ask for legislation to stop the CFTC in its tracks.

As Bob C noted in his comment to As Obama Taps Larry Summers, Recalling Summer's Days as a Regulation Foe Mother Jones "One thing to keep in mind about Summers and Rubin's position on regulating derivatives is the timing: in July of 1998 when Summers testified, the hedge fund Long Term Capital Management, had not yet failed. That would happen 3 months later, when it became clear that a substantial part of LTCM's problem was that it had massive side bets in derivative instruments that when it could not cover these bets, caused massive dislocations and threats to the global banking system (which had invested heavily in LTCM, thinking it was run by "geniuses"--see Roger Lowenstein's great book, "When Genius Failed".) I think Summers and Rubin might have had a different view on the regulation of derivatives after the LTCM catastrophe."

• Serving as a lobbyist of hedge funds with "former government official" status and credentials.
• The NY Times claimed that Summers was doing consulting work for Taconic Capital while president of Harvard which does seems problematic
• He continued cashing in his former government official status in DE Shaw.
• "Money for Influence" The Washington Post, April 4, 2009:

Lawrence H. Summers, one of President Obama's top economic advisers, collected roughly $5.2 million in compensation from hedge fund D.E. Shaw over the past year and was paid more than$2.7 million in speaking fees by several troubled Wall Street firms and other organizations. . . . Fees ranged from $45,000 for a Nov. 12 Merrill Lynch appearance to$135,000 for an April 16 visit to Goldman Sachs, according to his disclosure form.

• Attempt to shield from prosecution his friend from Harvard Mafia, professor Andrei Shleifer
• Summers also flopped on Enron. As Alex Gibney has recently noted elsewhere he was a "Technocrat surfer boy, thrilled with freedom, getting a good ride."
• Pushing for capital gains tax cuts during his stint in the Clinton administration...
• Using his political influence for revenge:
Economist's View The Most Misunderstood Man in America, by Michael Hirsh, Newsweek:

...Even in the contentious world of economics, [Joe Stiglitz] is considered somewhat prickly. And while he may be a Nobel laureate, in Washington he's seen as just another economic critic—and not always a welcome one. Few Americans recognize his name... Yet Stiglitz's work is cited by more economists than anyone else's in the world... And when he goes abroad—to Europe, Asia, and Latin America—he is received like a superstar, a modern-day oracle. ...

... ... ...

... Stiglitz's defenders say one possible explanation for his outsider status in Washington is his ongoing rivalry with Summers. ... Since the early '90s, when Summers was a senior Treasury official and Stiglitz was on the Council of Economic Advisers, the two have engaged in fierce policy debates. The first fight was over the Clinton administration's efforts to pry open emerging financial markets, such as South Korea's. Stiglitz argued there wasn't good evidence that liberalizing poorly regulated Third World markets would make any one more prosperous; Summers wanted them open to U.S. firms.

The differences between them grew bitter in the late 1990s, when Stiglitz was chief economist for the World Bank and took issue with the way Treasury Secretary Robert Rubin, and Summers, who was then deputy secretary, were handling the Asian "contagion" financial collapse. After World Bank president James Wolfensohn declined to reappoint him in 1999, Stiglitz became convinced that Summers was behind the slight. Summers denies this...

Here is how Charles Ferguson summarizes Summers deregulation zeal ( Larry Summers and the Subversion of Economics - The Chronicle of Higher Education)

As a rising economist at Harvard and at the World Bank, Summers argued for privatization and deregulation in many domains, including finance. Later, as deputy secretary of the treasury and then treasury secretary in the Clinton administration, he implemented those policies. Summers oversaw passage of the Gramm-Leach-Bliley Act, which repealed Glass-Steagall, permitted the previously illegal merger that created Citigroup, and allowed further consolidation in the financial sector. He also successfully fought attempts by Brooksley Born, chair of the Commodity Futures Trading Commission in the Clinton administration, to regulate the financial derivatives that would cause so much damage in the housing bubble and the 2008 economic crisis. He then oversaw passage of the Commodity Futures Modernization Act, which banned all regulation of derivatives, including exempting them from state antigambling laws.

Justin Fox in Time wrote the following before Summers appointment to Obama administration:

Summers was an awfully controversial guy a couple years ago. And the things that made him controversial will all be revisited if he has to sit through a Senate confirmation hearing.

Here's a quick run-through of the Sins of Larry:

1. He's a loose cannon. Summers has a long history of saying what's on his mind, regardless of whether others might find it offensive. The thing about women and science was only the most infamous. There was also that memo he signed about exporting toxic waste to the developing world. [..]

Still, Summers behaved perfectly respectably during his last stint as Treasury Secretary. He is capable of keeping his mouth shut if the job requires it. What's more, he seems to have a habit of promoting the careers of people who are willing to contradict him and take him on (Andrei Shleifer and Tim Geithner spring to mind). [..]

2. He's loyal, to a fault. One of the main things that turned Harvard's faculty against Summers was the case of his protege Shleifer. Shleifer ran a Harvard-affiliated, USAID-funded office in Moscow in the 1990s that advised the Russian government on economic reform. The U.S. government later sued Harvard and Shleifer, charging that the operation was overrrun by conflicts of interest. Summers recused himself from direct dealings with the case, but in his epic dissection of the saga for Instititutional Investor, David McClintick charged that Summers did try to shield Shleifer. Harvard and Shleifer lost the suit, and Harvard had to pay $26.5 million in damages and Shleifer$2 million. I can't get as worked up about this as some people (if we could force Harvard to give the government even more money, maybe Barack Obama wouldn't have to raise your taxes), but I also know and like Andrei Shleifer, so I'm really not the best judge.

3. He's a callous right-winger. Summers' academic mentor was conservative economist Marty Feldstein, and he worked for Feldstein at Ronald Reagan's Council of Economic Advisers in the early 1980s. Paul Krugman worked there too, so that really isn't saying much. For most of the 1980s, in fact, Summers was an outspoken skeptic of financial markets and their ability to set prices rationally and steer investment wisely. As he rose to positions of power in Washington in the 1990s, though, he became a leading defender of the Washington consensus--the idea that free financial markets, free trade and fiscal discipline would bring prosperity to the world. Lately Summers has been partially reconsidering that stance in his columns for the Financial Times. If you're favorably disposed to him, as I am, you could say he's been pulling a Keynes: "When the facts change, I change my mind." But I guess if you're not so favorably disposed, you could call him a closet right-winger, a closet left-winger, or a slave to fashion.

Anyway, I'm sure Larry Summers would make a very good Treasury Secretary. Again.

... ... ...

Update: Oh, and by the way, I forgot to gratuitously mention that he used to go out with Laura Ingraham ...

### A person who is organically incapable to be honest broker

All who have worked with Larry know that he is completely incapable of being an honest broker. He is a bully. Its always his way or the highway. Here is one comment on his departure from "Bama" Whitehouser:

Summers only changes his mind if you argue from his worldview, that's why he is so often very wrong.

1. Summers spent all of the 90's being completely wrong on climate change, because he wouldn't interpret evidence outside of his mental box.
2. He was completely wrong on finance, with horrible results from the 90s deregulation, and did everything to ostracize people like Rajan who argued from a different perspective. Rajan had theory and data and was right, but Summers gave him the full mean girl treatment.
3. He did not understand the finance risks, so he got Harvard in serious trouble.
4. He shut Romer out of the stimulus debate, for reasons we aren't sure of, but she was, of course, right. And had the data and the theory completely on her side.

Summers shows again and again on the major decisions that he makes terrible judgments. Lots of people would be better at the job.

Nothing illustrates better this feature of Summers personality then the "Support of Andrei Shleifer" saga (see also Harvard Mafia, Andrei Shleifer and the economic rape of Russia)

From the article about Lawrence Summers  in  Wikipedia:

Also during his stint in the Clinton administration, Summers was successful in pushing for capital gains tax cuts.[citation needed] During the California energy crisis of 2000, then-Treasury Secretary Summers teamed with Alan Greenspan and Enron executive Kenneth Lay to lecture California Governor Gray Davis on the causes of the crisis, explaining that the problem was excessive government regulation.[8] Under the advice of Kenneth Lay, Summers urged Davis to relax California's environmental standards in order to reassure the markets.[9]

Summers hailed the Gramm-Leach-Bliley Act in 1999, which lifted more than six decades of restrictions against banks offering commercial banking, insurance, and investment services (by repealing key provisions in the 1933 Glass-Steagall Act): "Today Congress voted to update the rules that have governed financial services since the Great Depression and replace them with a system for the 21st century," Summers said.[10] "This historic legislation will better enable American companies to compete in the new economy."[10] Many critics, including President Barack Obama, have suggested the 2007 subprime mortgage financial crisis was caused by the partial repeal of the 1933 Glass-Steagall Act.[11]

Harvard and Andrei Shleifer, a close friend and protege of Summers, settled a $26M lawsuit by the U.S. government over the conflict of interest Shleifer had while advising Russia's privatisation program. Summers' continued support for Shleifer strengthened Summers' unpopularity with other professors: "I’ve been a member of this Faculty for over 45 years, and I am no longer easily shocked," is how Frederick H. Abernathy, the McKay professor of mechanical engineering, began his biting comments about the Shleifer case at Tuesday’s fiery Faculty meeting. But, Abernathy continued, "I was deeply shocked and disappointed by the actions of this University" in the Shleifer affair. In an 18,000-word article in Institutional Investor (January, 2006), the magazine detailed Shleifer’s alleged efforts to use his inside knowledge of and sway over the Russian economy in order to make lucrative personal investments, all while leading a Harvard group, advising the Russian government, that was under contract with the U.S. The article suggests that Summers shielded his fellow economist from disciplinary action by the University.[21] Summers' friendship with Shleifer was well known by the Corporation when it selected him to succeed Rudenstine and Summers recused himself from all proceedings with Shleifer, whose case was actually handled by an independent committee led by Derek Bok. ### A classic example of academic corruption  ...rarely has one individual embodied so much of what is wrong with economics, with academe, and indeed with the American economy. For the past two years, I have immersed myself in those worlds in order to make a film, Inside Job, that takes a sweeping look at the financial crisis. And I found Summers everywhere I turned.... ... ... Prominent academic economists (and sometimes also professors of law and public policy) are paid by companies and interest groups to testify before Congress, to write papers, to give speeches, to participate in conferences, to serve on boards of directors, to write briefs in regulatory proceedings, to defend companies in antitrust cases, and, of course, to lobby. This is now, literally, a billion-dollar industry. The Law and Economics Consulting Group, started 22 years ago by professors at the University of California at Berkeley (David Teece in the business school, Thomas Jorde in the law school, and the economists Richard Gilbert and Gordon Rausser), is now a$300-million publicly held company. Others specializing in the sale (or rental) of academic expertise include Competition Policy (now Compass Lexecon), started by Richard Gilbert and Daniel Rubinfeld, both of whom served as chief economist of the Justice Department's Antitrust Division in the Clinton administration; the Analysis Group; and Charles River Associates. In my film you will see many famous economists looking very uncomfortable when confronted with their financial-sector activities; others appear only on archival video, because they declined to be interviewed. Charles Ferguson

Over the past 30 years, the economics profession was not only compromised by conflicts of interests but outright bought. Bought in classic old fashion way. It just became a support group for financial oligarchy. This happens both due to dominance of neoliberal ideology ("greed is good") and also via straightforward (and sometimes pre-emptive)  buy-out of  leading economists by banks and brokerages via  outrageously high "speaking fees" (although they are much less then then similar sleaking fees for politicians like Bill and Hillary Clinton), sinecure positions,  and other inventive ways of transferring money into the pockets of selected academicians. Due to his close association with Rubin, Summers career provide almost classic example of this affect.

Revolving door style of corruption is probably dominant in the USA for former government officials and prominent economists. They do not took bribes. Instead the way "revolving door" mechanism works is that they are "awarded" lucrative positions in  private companies which they regulated during government service after they leave the  government service.

Which might well be even more damaging as for restriction of the ability to to act honestly the whole term of the government service. To need to "earn" your future positions, so to speak. While bribe restricts the ability to act dispassionately only from the point of accepting the bribe for the particular deregulation effort/deal/contract and mostly (often only) for the company which gave the bribe. Like is the case  with the revolving door mechanism, this "incapacity" lasts till the the end of the government service.  But it restrict the ability to act harshly with other companies, banks, brokerages only to the extent the person is afraid of disclosure and might even stimulate his to act harshly for competitors of particular company in order to protect himself from possible accusations in favoritism.

While his "achievements" in this area are probably less visible then, say, for Mankiw (who is mainly instrumental in brainwashing his students), they are were tremendously more damaging (from Wikipedia):

On October 19, 2006, he became a part-time managing director of the investment and technology development firm D. E. Shaw & Co.

Upon the death of his hero, libertarian economist Milton Friedman, Summers wrote an Op-Ed in The New York Times entitled "The Great Liberator" arguing that "any honest Democrat will admit that we are now all Friedmanites." Summers wrote that while Friedman made real contributions to monetary policy, his real contribution was "in convincing people of the importance of allowing free markets to operate."[25]

Henry Kissinger once said that Larry Summers should "be given a White House post in which he was charged with shooting down or fixing bad ideas." [26]

In 2006 he was a member of the Panel of Eminent Persons which reviewed the work of the United Nations Conference on Trade and Development.

He is currently the director of the White House National Economic Council[1][27].

Paul Samuelson (Swedish Bank Prize)

Summers is Samuelson’s nephew. Is this significant in any way?

The Odyssey of Larry Summers - Megan McArdle

April 7, 2009 12:54 PM

I generally agree with Megan is saying. However, Greg Mankiw did point out today that the NY Times claimed that Summers was doing consulting work for Taconic Capital while president of Harvard which does seems problematic and does weaken the apparent claim that DE Shaw was when Summers started cashing in in finance.

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## Old News ;-)

#### [May 27, 2018] America's Fifth Column Will Destroy Russia by Paul Craig Roberts

##### "... Putin is struggling to have Russia integrated into the Western economic system while retaining Russia's sovereignty (an unrealistic goal), because Putin has been convinced by the element in the Russian elite, which had rather be Western than Russian, that Russia's economic development depends on being integrated into the Western economy. As the neoliberal economic elite control Russia's economic and financial policy, Putin believes that he has to accept Western provocations or forfeit his hopes for Russian economic development. ..."
###### May 25, 2018 | www.paulcraigroberts.org

This is the lecture I would have given if I had been able to accept the invitation to address the St. Petersburg International Economic Forum in Russia this weekend.

Executive Summary:

From the standpoint of Russia's dilemma, this is an important column. Putin's partial impotence via-a-vis Washington is due to the grip that neoliberal economics exercises over the Russian government. Putin cannot break with the West, because he believes that Russian economic development is dependent on Russia's integration within the Western economy. That is what neoliberal economics tells the Russian economic and financial establishment.

Everyone should understand that I am not a pro-Russian anti-American. I am anti-war, especially nuclear war. My concern is that the inability of the Russian government to put its foot down is due to its belief that Russian development, despite all the talk about the Eurasian partnership and the Silk Road, is dependent on being integrated with the West. This totally erroneous belief prevents the Russian government from any decisive break with the West. Consequently, Putin continues to accept provocations in order to avoid a decisive break that would cut Russia off from the West. In Washington and the UK this is interpreted as a lack of resolve on Putin's part and encourages an escalation in provocations that will intensify until Russia's only option is surrender or war.

If the Russian government did not believe that it needed the West, the government could give stronger responses to provocations that would make clear that there are limits to what Russia will tolerate. It would also make Europe aware that its existence hangs in the balance. The combination of Trump abusing Europe and Europe's recognition of the threat to its own existence of its alignment with an aggressive Washington would break the Western alliance and NATO. But Putin cannot bring this about because he erroneously believes that Russia needs the West.

If the neoconservatives had self-restraint, they would sit back and let America's Fifth Column -- Neoliberal Economics -- finish off Russia for them. Russia is doomed, because the country's economists were brainwashed during the Yeltsin years by American neoliberal economists. It was easy enough for the Americans to do. Communist economics had come to naught, the Russian economy was broken, Russians were experiencing widespread hardship, and successful America was there with a helping hand.

In reality the helping hand was a grasping hand. The hand grasped Russian resources through privatization and gave control to American-friendly oligarchs. Russian economists had no clue about how financial capitalism in its neoliberal guise strips economies of their assets while loading them up with debt.

But worse happened. Russia's economists were brainwashed into an economic way of thinking that serves Western imperialism.

For example, neoliberal economics exposes Russia's currency to speculation, manipulation, and destabilization. Capital inflows can be used to drive up the value of the ruble, and then at the opportune time, the capital can be pulled out, dropping the ruble's value and driving up domestic inflation with higher import prices, delivering a hit to Russian living standards. Washington has always used these kind of manipulations to destabilize governments.

Neo-liberal economics has also brainwashed the Russian central bank with the belief that Russian economic development depends on foreign investment in Russia. This erroneous belief threatens the very sovereignty of Russia. The Russian central bank could easily finance all internal economic development by creating money, but the brainwashed central bank does not realize this. The bank thinks that if the bank finances internal development the result would be inflation and depreciation of the ruble. So the central bank is guided by American neoliberal economics to borrow abroad money it does not need in order to burden Russia with foreign debt that requires a diversion of Russian resources into interest payments to the West.

As Michael Hudson and I explained to the Russians two years ago, when Russia borrows from the West, the US for example, and in flow the dollars, what happens to the dollars? Russia cannot spend them domestically to finance development projects, so where do the dollars go? They go into Russia's foreign exchange holdings and accrue interest for the lender. The central bank then creates the ruble equivalent of the borrowed and idle dollars and finances the project. So why borrow the dollars? The only possible reason is so the US can use the dollar debt to exercise control over Russian decision making. In other words, Russia delivers herself into the hands of her enemies.

Indeed, it is the Russian government's mistaken belief that Russian economic development is dependent on Russia being included as part of the West that has caused Putin to accept the provocations and humiliations that the West has heaped upon Russia. The lack of response to these provocations will eventually cause the Russian government to lose the support of the nationalist elements in Russia.

Putin is struggling to have Russia integrated into the Western economic system while retaining Russia's sovereignty (an unrealistic goal), because Putin has been convinced by the element in the Russian elite, which had rather be Western than Russian, that Russia's economic development depends on being integrated into the Western economy. As the neoliberal economic elite control Russia's economic and financial policy, Putin believes that he has to accept Western provocations or forfeit his hopes for Russian economic development.

Russian economists are so indoctrinated with neoliberal economics that they cannot even look to America to see how a once great economy has been completely destroyed by neoliberal economics.

The US has the largest public debt of any country in history. The US has the largest trade and budget deficits of any country in history. The US has 22 percent unemployment, which it hides by not counting among the unemployed millions of discouraged workers who, unable to find jobs, ceased looking for jobs and are arbitrarily excluded from the measure of unemployment. The US has a retired class that has been stripped of any interest payment on their savings for a decade, because it was more important to the Federal Reserve to bail out the bad loans of a handful of "banks too big to fail," banks that became too big to fail because of the deregulation fostered by neoliberal economics. By misrepresenting "free trade" and "globalism," neoliberal economics sent America's manufacturing and tradeable professional skill jobs abroad where wages were lower, thus boosting the incomes of owners at the expense of the incomes of US wage-earners, leaving Americans with the lowly paid domestic service jobs of a Third World country. Real median family income in the US has been stagnant for decades. The Federal Reserve recently reported that Americans are so poor that 41 percent of the population cannot raise $400 without selling personal possessions. Young Americans, if they have university educations, begin life as debt slaves. Currently there are 44,200,000 Americans with student loan debt totalling$1,048,000,000,000 -- $1.48 trillion! https://studentloanhero.com/student-loan-debt-statistics/ In the US all 50 states have publicly supported universities where tuition is supposed to be nominal in order to encourage education. When I went to Georgia Tech, a premier engineering school, my annual tuition was less than$500. Loans were not needed and did not exist.

What happened? Financial capitalism discovered how to turn university students into indentured servants, and the university administrations cooperated. Tuitions rose and rose and were increasingly allocated to administration, the cost of which exploded. Today many university administrations absorb 75% of the annual budget, leaving little for professors' pay and student aid. An obedient Congress created a loan program that ensnares young American men and women into huge debt in order to acquire an university education. With so many of the well-paying jobs moved offshore by neoliberal economics, the jobs available cannot service the student loan debts. A large percentage of Americans aged 24-34 live at home with parents, because their jobs do not pay enough to service their student loan debt and pay an apartment rent. Debt prevents them from living an independent existence.

In America the indebtedness of the population produced by neoliberal economics -- privatize, privatize, deregulate, deregulate, indebt, indebt -- prevents any economic growth as the American public has no discretionary income after debt service to drive the economy. In America the way cars, trucks, and SUVs are sold is via zero downpayment and seven years of loans. From the minute a vehicle is purchased, the loan obligation exceeds the value of the vehicle.

The Wall Street Journal reports that Mike Meru, a dentist earning $225,000 annually, has$1,060,945.42 in student loan debt. He pays $1,589.97 monthly, which is not enough to cover the interest, much less reduce the principal. Consequently, his debt from seven years at the University of Southern California grows by$130 per day. In two decades, his loan balance will be $2 million. https://www.wsj.com/articles/mike-meru-has-1-million-in-student-loans-how-did-that-happen-1527252975 If neoliberal economics does not work for America, why will it work for Russia? Neoliberal economics only works for oligarchs and their institutions, such as Goldman Sachs, who are bankrolled by the central bank to keep the economy partially afloat. Washington will agree to Russia being integrated into the Western system when Putin agrees to resurrect the Yeltsin-era practice of permitting Western financial institutions to strip Russia of her assets while loading her up with debt. I could continue at length about the junk economics, to use Michael Hudson's term, that is neoliberal economics. The United States is failing because of it, and so will Russia. John Bolton and the neocons should just relax. Neoliberal economics, which has the Russian financial interests, the Russian government and apparently Putin himself in its grip, will destroy Russia without war. #### [May 27, 2018] Turning on Russia by Paul Fitzgerald and Elizabeth Gould ##### Notable quotes: ##### "... By Paul Fitzgerald and Elizabeth Gould ..." ##### "... Copyright © 2018 Fitzgerald & Gould All rights reserved. This article first appeared on Invisible History. ..." ##### "... Coming Next, Part 2: The post WWII global strategy of the neocons has been shaped chiefly by Russophobia against the Soviet Union and now Russia ..." ##### "... * Paul Fitzgerald and Elizabeth Gould are the authors of Invisible History: Afghanistan's Untold Story , Crossing Zero The AfPak War at the Turning Point of American Empire and The Voice . Visit their websites at invisiblehistory and grailwerk .com ..." ###### May 27, 2018 | www.defenddemocracy.press Turning on Russia 11/05/2018 In this first of a two-part series, Paul Fitzgerald and Elizabeth Gould trace the origins of the neoconservative targeting of Russia. By Paul Fitzgerald and Elizabeth Gould April 29.2018 The German newsmagazine Der Spiegel last September reported that, "Stanley Fischer, the 73–year-old vice chair of the U.S. Federal Reserve, is familiar with the decline of the world's rich. He spent his childhood and youth in the British protectorate of Rhodesia before going to London in the early 1960s for his university studies. There, he experienced first-hand the unravelling of the British Empire Now an American citizen, Fischer is currently witnessing another major power taking its leave of the world stage the United States is losing its status as a global hegemonic power, he said recently. The U.S. political system could take the world in a very dangerous direction " With the collapse of the Soviet Union in 1991 and the creation of the so called Wolfowitz Doctrine in 1992 during the administration of George Herbert Walker Bush, the United States claimed the mantle of the world's first and only. Unipower with the intention of crushing any nation or system that would oppose it in the future. The New World Order, foreseen just a few short years ago, becomes more disorderly by the day, made worse by varying degrees of incompetence and greed emanating from Berlin, London, Paris and Washington. As a further sign of the ongoing seismic shocks rocking America's claim to leadership, by the time Fischer's interview appeared in the online version of the Der Spiegel , he had already announced his resignation as vice chair of the Federal Reserve -- eight months ahead of schedule. If anyone knows about the decline and fall of empires it is the "globalist" and former Bank of Israel president, Stanley Fischer. Not only did he experience the unravelling of the British Empire as a young student in London, he directly assisted in the wholesale dismantling of the Soviet Empire during the 1990s. As an admitted product of the British Empire and point man for its long term imperial aims, that makes Fischer not just empire's Angel of Death, but its rag and bone man. Alongside a handful of Harvard economists led by Jonathan Hay, Larry Summers, Andrei Shleifer, and Jeffry Sachs, in the "Harvard Project," plus Anatoly Chubais, the chief Russian economic adviser, Fischer helped throw 100 million Russians into poverty overnight – privatizing, or as some would say piratizing – the Russian economy. Yet, Americans never got the real story because a slanted anti-Russia narrative covered the true nature of the robbery from beginning to end. As described by public policy scholar and anthropologist Janine R. Wedel in her 2009 book Shadow Elite: "Presented in the West as a fight between enlightenment Reformers trying to move the economy forward through privatization, and retrograde Luddites who opposed them, this story misrepresented the facts. The idea or goal of privatization was not controversial, even among communists the Russian Supreme Soviet, a communist body, passed two laws laying the groundwork for privatization. Opposition to privatization was rooted not in the idea itself but in the particular privatization program that was implemented, the opaque way in which it was put into place, and the use of executive authority to bypass the parliament." Intentionally set up to fail for Russia and the Russian people under the cover of a false narrative, she continues "The outcome rendered privatization 'a de facto fraud,' as one economist put it, and the parliamentary committee that had judged the Chubais scheme to 'offer fertile ground for criminal activity' was proven right." If Fischer, a man who helped bring about a de facto criminal-privatization-fraud to post-empire Russia says the U.S. is on a dangerous course, the time has arrived for post-empire Americans to ask what role he played in putting the U.S. on that dangerous course. Little known to Americans is the blunt force trauma Fischer and the "prestigious" Harvard Project delivered to Russia under the leadership of Boris Yeltsin during the 1990s. According to The American Conservative's James Carden "As the Center for Economic and Policy Research noted back in 2011 'the IMF's intervention in Russia during Fischer's tenure led to one of the worst losses in output in history, in the absence of war or natural disaster.' Indeed, one Russian observer compared the economic and social consequences of the IMF's intervention to what one would see in the aftermath of a medium-level nuclear attack." Neither do most Americans know that it was President Jimmy Carter's national security advisor Zbigniew Brzezinski's 1970s grand plan for the conquest of the Eurasian heartland that boomeranged to terrorize Europe and America in the 21 st century. Brzezinski spent much of his life undermining the Communist Soviet Union and then spent the rest of it worrying about its resurgence as a Czarist empire under Vladimir Putin. It might be unfair to say that hating Russia was his only obsession. But a common inside joke during his tenure as the President's top national security officer was that he couldn't find Nicaragua on a map. If anyone provided the blueprint for the United States to rule in a unipolar world following the Soviet Union's collapse it was Brzezinski. And if anyone could be said to represent the debt driven financial system that fueled America's post-Vietnam Imperialism, it's Fischer. His departure should have sent a chill down every neoconservative's spine. Their dream of a New World Order has once again ground to a halt at the gates of Moscow. Whenever the epitaph for the abbreviated American century is written it will be sure to feature the iconic role the neoconservatives played in hastening its demise. From the chaos created by Vietnam they set to work restructuring American politics, finance and foreign policy to their own purposes. Dominated at the beginning by Zionists and Trotskyists, but directed by the Anglo/American establishment and their intelligence elites, the neoconservatives' goal, working with their Chicago School neoliberal partners, was to deconstruct the nation-state through cultural co-optation and financial subversion and to project American power abroad. So far they have been overwhelmingly successful to the detriment of much of the world. From the end of the Second World War through the 1980s the focus of this pursuit was on the Soviet Union, but since the Soviet collapse in 1991, their focus has been on dismantling any and all opposition to their global dominion. Pentagon Capitalism Shady finance, imperial misadventures and neoconservatism go hand in hand. The CIA's founders saw themselves as partners in this enterprise and the defense industry welcomed them with open arms. McGill University economist R.T. Naylor, author of 1987's Hot Money and the Politics of Debt , described how "Pentagon Capitalism" had made the Vietnam War possible by selling the Pentagon's debt to the rest of the world. "In effect, the US Marines had replaced Meyer Lansky's couriers , and the European central banks arranged the 'loan-back,'" Naylor writes. "When the mechanism was explained to the late [neoconservative] Herman Kahn – lifeguard of the era's chief 'think tank' and a man who popularized the notion it was possible to emerge smiling from a global conflagration – he reacted with visible delight. Kahn exclaimed excitedly, 'We've pulled off the biggest ripoff in history! We've run rings around the British Empire.'" In addition to their core of ex-Trotskyist intellectuals early neoconservatives could count among their ranks such establishment figures as James Burnham, father of the Cold War Paul Nitze, Senator Daniel Patrick Moynihan, Senator Henry "Scoop" Jackson, Jeane Kirkpatrick and Brzezinski himself. From the beginning of their entry into the American political mainstream in the 1970s it was known that their emergence could imperil democracy in America and yet Washington's more moderate gatekeepers allowed them in without much of a fight. Peter Steinfels' 1979 classic The Neoconservatives: The men who are changing America's politics begins with these fateful words. "THE PREMISES OF THIS BOOK are simple. First, that a distinct and powerful political outlook has recently emerged in the United States. Second, that this outlook, preoccupied with certain aspects of American life and blind or complacent towards others, justifies a politics which, should it prevail, threatens to attenuate and diminish the promise of American democracy." But long before Steinfels' 1979 account, the neoconservative's agenda of inserting their own interests ahead of America's was well underway, attenuating U.S. democracy, undermining détente and angering America's NATO partners that supported it. According to the distinguished State Department Soviet specialist Raymond Garthoff, détente had been under attack by right-wing and military-industrial forces ( led by Senator "Scoop" Jackson ) from its inception. But America's ownership of that policy underwent a shift following U.S. intervention on behalf of Israel during the 1973 October war. Garthoff writes in his detailed volume on American-Soviet relations Détente and Confrontation , "To the allies the threat [to Israel] did not come from the Soviet Union, but from unwise actions by the United States, taken unilaterally and without consultation. The airlift [of arms] had been bad enough. The U.S. military alert of its forces in Europe was too much." In addition to the crippling Arab oil embargo that followed, the crisis of confidence in U.S. decision-making nearly produced a mutiny within NATO. Garthoff continues, "The United States had used the alert to convert an Arab-Israeli conflict, into which the United States had plunged, into a matter of East-West confrontation. Then it had used that tension as an excuse to demand that Europe subordinate its own policies to a manipulative American diplomatic gamble over which they had no control and to which they had not even been privy, all in the name of alliance unity." In the end the U.S. found common cause with its Cold War Soviet enemy by imposing a cease-fire accepted by both Egypt and Israel thereby confirming the usefulness of détente. But as related by Garthoff this success triggered an even greater effort by Israel's "politically significant supporters" in the U.S. to begin opposing any cooperation with the Soviet Union, at all. Garthoff writes, "The United States had pressed Israel into doing precisely what the Soviet Union (as well as the United States) had wanted: to halt its advance short of complete encirclement of the Egyptian Third Army east of Suez Thus they [Israel's politically significant supporters] saw the convergence of American-Soviet interests and effective cooperation in imposing a cease-fire as a harbinger of greater future cooperation by the two superpowers in working toward a resolution of the Israeli-Arab-Palestinian problem." Copyright © 2018 Fitzgerald & Gould All rights reserved. This article first appeared on Invisible History. Coming Next, Part 2: The post WWII global strategy of the neocons has been shaped chiefly by Russophobia against the Soviet Union and now Russia * Paul Fitzgerald and Elizabeth Gould are the authors of Invisible History: Afghanistan's Untold Story , Crossing Zero The AfPak War at the Turning Point of American Empire and The Voice . Visit their websites at invisiblehistory and grailwerk .com Published at consortiumnews.com #### [May 26, 2018] Reabilitation of Summers speech about sex differences in abilities by James Thompson ###### May 26, 2018 | www.unz.com Sex Differences in the Adult Human Brain: Evidence from 5216 UK Biobank Participants Stuart J Ritchie, Simon R Cox, Xueyi Shen, Michael V Lombardo, Lianne M Reus, Clara Alloza, Mathew A Harris, Helen L Alderson, Stuart Hunter, Emma Neilson, David C M Liewald, Bonnie Auyeung, Heather C Whalley, Stephen M Lawrie ,Catharine R Gale, Mark E Bastin, Andrew M McIntoshIan, J Deary. Cerebral Cortex, bhy109, https://doi.org/10.1093/cercor/bhy109 Published: 16 May 2018 https://academic.oup.com/cercor/advance-article/doi/10.1093/cercor/bhy109/4996558 The authors say: Sex differences in the human brain are of interest for many reasons: for example, there are sex differences in the observed prevalence of psychiatric disorders and in some psychological traits that brain differences might help to explain. We report the largest single-sample study of structural and functional sex differences in the human brain (2750 female, 2466 male participants; mean age 61.7 years, range 44–77 years). Males had higher raw volumes, raw surface areas, and white matter fractional anisotropy; females had higher raw cortical thickness and higher white matter tract complexity. There was considerable distributional overlap between the sexes. Subregional differences were not fully attributable to differences in total volume, total surface area, mean cortical thickness, or height. There was generally greater male variance across the raw structural measures. Functional connectome organization showed stronger connectivity for males in unimodal sensorimotor cortices, and stronger connectivity for females in the default mode network. This large-scale study provides a foundation for attempts to understand the causes and consequences of sex differences in adult brain structure and function. There is much to discuss here, but my attention was drawn by two phrases "considerable distributional overlap" (which in my experience means that one group is pretty different from another) and "generally greater male variance" (which agrees with most of the observations on sex differences indicating that men are leptokurtic (more variable), women more platykurtic (less variable). Women are more at risk of dementia, depression, schizophrenia and dyslexia. Men are better than women at mental rotation tasks, and are more physically aggressive; women are more interested in people than in things, are more neurotic and more agreeable. One of the most interesting sex differences is intelligence. Here is their introduction to the topic: There is more to sex differences than averages: there are physical and psychological traits that tend to be more variable in males than females. The best-studied human phenotype in this context has been cognitive ability: almost universally, studies have found that males show greater variance in this trait (Deary et al. 2007a; Johnson et al. 2008; Lakin 2013; though see Iliescu et al. 2016). This has also been found for academic achievement test results (themselves a potential consequence of cognitive differences, which are known to predict later educational achievement; Deary et al. 2007b; Machin and Pekkarinen 2008; Lehre et al. 2009a, 2009b), other psychological characteristics such as personality (Borkenau et al. 2013), and a range of physical traits such as athletic performance (Olds et al. 2006), and both birth and adult weight (Lehre et al. 2009a). To our knowledge, only two prior studies have explicitly examined sex differences in the variability of brain structure (Wierenga et al. 2017; Lange et al. 1997), and no studies have done so in individuals older than 20 years. Here, we addressed this gap in the literature by testing the "greater male variability" hypothesis in the adult brain. [] We tested male–female differences (in mean and variance) in overall and subcortical brain volumes, mapped the magnitude of sex differences across the cortex with multiple measures (volume, surface area, and cortical thickness), and also examined sex differences in white matter microstructure derived from DT-MRI and NODDI. We tested the extent to which these differences were regionally-specific or brain-general, by adjusting them for the total brain size (or other relevant overall measurement; for instance, adjusting volume differences for total brain volume and cortical thickness differences for mean cortical thickness), and examining whether the differences found in the raw analyses were still present. We tested the extent to which these structural differences (in broad, regional, and white matter measures) mediated sex variation in scores on two cognitive tests, one tapping a mixture of fluid and crystallized reasoning skills (skills previously found to be linked to brain volumes; Pietschnig et al. 2015) and one testing processing speed (previously found to be linked to white matter microstructural differences; see Penke et al. 2012). At the functional level, we also examined large-scale organization of functional networks in the brain using resting-state fMRI functional connectivity data and data-driven network-based analyses. The study compared 2750 females (mean age = 61.12 years, SD = 7.42, range = 44.64–77.12) and 2466 males (mean age = 62.39 years, SD = 7.56, range = 44.23–76.99). These are extremely large samples, two orders of magnitude larger than the early studies in the 1980s, and way larger than many of the studies that the Press report so frequently. Consider them "Foxtrot Oscar" samples. The first result is startling: male brains are very much bigger, a colossal 1.4 effect size. 92% of men will be above the mean for women. On average men have 117.8 cm3 more brain than women. All this extra brain must be doing something for men, you might surmise, other than just helping them perpetually contemplate the relative advantages of the more complicated positions adopted during sexual intercourse. Perhaps not. Broadly the same effect of male advantage can be found in all the brain region sub-comparisons. Male brains are both larger, and also vary more in size. Greater male variability seems a fact of nature. If there were a direct relationship between brain size and cognitive ability, there would be many, many more bright men than bright women. The cognitive test was limited to a 13-item verbal-numerical test to be completed in 2 minutes, which ought to be enough to grade the general population. The mere notion of such a test will discomfort those citizens who regard their own intellects as more wide-ranging and multi-faceted than could ever be measured by mere earthly means, and who rank their brainpower of greater value to Western Civilization in ways that could not possibly be assayed in 120 seconds. Personally, I quail at the thought of having to subject myself to such a harsh evaluation. I mean, 13 into 120 is, let me see, well, not very long at all to solve each item. On reflection, 9 seconds to pass each question. Can such people exist? The test might be a little crude if the purpose is to detect sex differences across the broad range of different cognitive tasks, and also a bit limited if the volunteers are, as one might expect of this database, somewhat brighter volunteers interested in contributing to science. However, these are minor quibbles. All intellects can be evaluated in 2 minutes. I like it. Here are the details: Verbal-numerical reasoning. This test (UK Biobank data field 20016) consisted of thirteen multiple-choice items, six verbal and seven numerical. Participants responded to the items on a touch-screen computer. One of the verbal items was: "Stop means the same as: Pause/Close/Cease/Break/Rest/Do not know/Prefer not to answer". One of the numerical items was: "If sixty is more than half of seventy-five, multiply twenty-three by three. If not subtract 15 from eighty-five. Is the answer: 68/69/70/71/72/Do not know/Prefer not to answer". Participants had a two-minute time limit to answer the thirteen questions. The "prefer not to answer" option was considered as missing data for the purposes of the present analyses. The scores from the test formed a normal distribution. Reaction Time. This test (UK Biobank data field 100032), which followed immediately after the verbal-numerical reasoning test, was modelled on the game of 'snap': participants responded by pressing a button on a button box as quickly as possible with their dominant hand whenever the symbols on two 'cards' displayed to them on the computer screen matched. The test had twelve rounds; the first four rounds were considered 'training' (or practice) rounds so were not included in the calculation of the final score, and four of the remaining rounds did not include matching symbols. Thus, the final score was calculated on the basis of the four rounds with matching symbols (the mean time in ms to press the button across these four trials was the score variable). We excluded the scores of 8 participants who had Reaction Times of 1100ms or longer. After this exclusion, the Reaction Times formed an approximately normal distribution. Note that, for analyses, we reflected the raw scores so that higher scores meant better performance (this meant that the two cognitive tests correlated positively with each other). The choice reaction time task should be a good measure of mental alertness, though 4 out of 8 trials is on the short side. However, there is a case for saying that all reaction time tests should have only one trial. If the person responds very slowly, in real life he would be dead. That is what reaction times are for. Here are the results for the two cognitive tests: The insert above shows: female mean, male mean, t-test, probability, d (effect size), and finally the Bayes Factor showing the probability there is a sex difference. The full results for Table 2 are in the paper. Sure enough, Table 2 shows that the cognitive tests are only an effect size of about 0.2 in favour of men. Where did all the male brain size advantage go? 0.2 of a standard deviation works out to 3 IQ points. Nothing much, you may say, considering that the test-retest reliability of the Wechsler is 4 IQ points, but if this is a true representation of male-female differences, then we can calculate what it would mean for the male/female balance at the higher levels of ability. As you may have seen in previous posts, if men are really 3 points brighter than women, and women's standard deviation is narrower than men, say 14 rather than 15 points, then this makes a big difference at the higher reaches of intelligence. Here are the estimates, if one assumes men have an IQ of 102, (sd 15) and women an IQ of 99, (sd 14). At IQ 130: 69.8% men At IQ 145: 80.3% men The authors correctly point out that the sample, though the biggest collected for scanning, may not be a perfect representation of the population at large (though I doubt this directly affects sex differences). This is a very substantial paper. It shows a massive sex difference in brain size of 1.4 d, and when one factors in that brain size relates to intelligence at a correlation of about 0.28, then the predicted intelligence difference will be a large 0.39 d, but the observed difference is only half that. Paradoxical. One implication is that there are sex-linked differences in brain structure and dendritic arborization which overcome pure size differences. If so, how is this balancing act achieved? Why don't all people have the smaller, more craftily wired version of the human brain, which presumably requires a smaller blood supply. On the other hand, it might be that the cognitive testing has not been wide enough, and has ignored tasks in which males have an advantage. By the way, if one sex has an advantage in one skill, this is not an error of testing, it is a triumph of testing that a real difference has been revealed. It is possible that, in a rush to ensure that men and women's mental ability scores can be presented as equal, in general men's stronger subject areas have been under-sampled. Test producers are under pressure to minimize sexual and racial differences. This may have suppressed the size of real differences. In defence of any group who think that their specialist strong points have been ignored, we should set the sampling frame for cognitive tests as wide as possible. These points do not invalidate the findings of this fine paper on brains, but they leave open the possibility that there is a small but real male advantage in intelligence which a broader scope of tests would reveal. #### [May 20, 2018] Neoliberal economists as modern Mafiosi ##### I am starting wondering what was the role of intelligence agencies, especially CIA is creation of the neoliberal myths and spreading of the ideology... What connections to CIA has such figured and Milton Friedman and Hayek? Harvard mafia definitely has such connections. ##### Neoliberalism is the refinement of this basic human tendency for domination. It is a camouflaged form of oppression that is revealed through its ultimate effect, not what it does at the moment. A neoliberal is a disguised raider or conquerer. ##### Notable quotes: ##### "... It got to be a running joke how these gang bosses and members were always denying that the mafia was an actual thing. ..." ##### "... Could it be that the neoliberals took a page out of their book and adopted the same tactic of denying the existence of neoliberalism while actively pushing it at every opportunity? ..." ##### "... To extend your analogy, much like the mafia, there's a handful of shadowy law breakers who benefit from neoliberalism and a whole lot of people that suffer violence so that those benefits can flow up to that few. ..." ##### "... Like the concurrent and related "Conservative revolution"(1973-), they stole the Cell Structure from the Comintern, and bought out the competition. ..." ###### May 20, 2018 | www.nakedcapitalism.com The Rev Kev , May 17, 2018 at 10:39 am Hey, I just remembered something. When I was a kid growing up everybody knew all about the mafia but all those in the know denied that there was any such thing when questioned in a court of law. It got to be a running joke how these gang bosses and members were always denying that the mafia was an actual thing. Could it be that the neoliberals took a page out of their book and adopted the same tactic of denying the existence of neoliberalism while actively pushing it at every opportunity? johnnygl , May 17, 2018 at 11:20 am And like the line from 'fight club', the first rule of neoliberalism is that you don't talk about it. To extend your analogy, much like the mafia, there's a handful of shadowy law breakers who benefit from neoliberalism and a whole lot of people that suffer violence so that those benefits can flow up to that few. Amfortas the Hippie , May 17, 2018 at 3:35 pm this is why I keep Mario Puzo next to Adam and Karl on the econ shelf in my library. It's not so much Omerta, as gobbdeygook and wafer thin platitudes. Like the concurrent and related "Conservative revolution"(1973-), they stole the Cell Structure from the Comintern, and bought out the competition. I am inclined to believe that the Libertarian Party was a vehicle for this counterrevolution, too. And finally, with the DLC, they were able to buy the "opposition party" outright and here we are. #### [Apr 19, 2018] Sachs worked closely w/ Soros to plunder USSR/ FSU ###### Apr 19, 2018 | www.unz.com @Anon UUUge mistake, Jimmy Dore; you should have done some homework before you elevated Jeffrey Sachs to truth-teller status. Spend a few minutes with The Saker -- William Engdah interview: http://thesaker.is/the-rape-of-russia-saker-blog-exclusive-interview/ Sache is not trustworthy. @SolontoCroesus Sachs worked closely w/ Soros to plunder USSR/ FSU. His job now is to establish Jews/Israel/banker class, Deep State of which he's a part, and think tankers as absolutely innocent of any complicity in the destruction of Syria. He's most likely in it up to his eyeballs. #### [Apr 18, 2018] The Rape of Russia, an Interview with F. William Engdahl (Audio) ##### Notable quotes: ##### "... What the US Government under George Herbert Walker Bush, Bush Senior organised together with CIA, old boy networks of his, in terms of the breaking up of the Soviet Union and the looting of the assets, this open theft, the destruction of pensions, security, the health system and everything. The only appropriate word is the rape of Russia. They just pondered anything that they could. ..." ##### "... And the West, the Bush networks recruited a handful of KGB agents around Yeltsin who literally promoted Yeltsin to the top when they engineered the August 1991 fake coup. ..." ##### "... And through that the – this network, this corrupt network within the KGB that was working with the CIA, working with General Philip, Bob [unclear] is one of them, so called at that time the KGB brain. He was head of the KGB Fifth Directorate controlling to roll this in. ..." ##### "... They engineered a complete opening up of the assets of the Russian Federation which called today the Russian Federation, the largest part of the former Soviet Union and they made it such that the Russian Federation would assume all of the debts of Ukraine, of Kazakhstan and the other socialist republics of the Soviet and all the assets, all the crucial assets that were within the Russian Federation so the aluminium Rusal that's in the headlines yesterday, the nickel, the oil, the gas, just hundreds of billions if not trillions of dollars' worth of assets that came into Yeltsin's control. ..." ##### "... Soros was very intermittently tied with Jeffrey Sachs and the whole Harvard to become a shock therapy group and working with Lawrence Summers team at the US Treasury under Clinton. ..." ##### "... So, Chubais was as an adviser to Yeltsin at that time and the key person on the economy arranged the secret meeting with George Soros. And Soros agreed to finance of course on behalf of Yeltsin, the referendum campaign. So he funnelled money over a million dollars by some accounts to offshore accounts set up to be used by Chubais to buy media. ..." ##### "... In 1989 President George H. W. Bush began the multi-billion dollar Project Hammer program using an investment strategy to bring about the economic destruction of the Soviet Union including the theft of the Soviet treasury, the destabilization of the ruble, funding a KGB coup against Gorbachev in August 1991 and the seizure of major energy and munitions industries in the Soviet Union. ..." ##### "... Given the depth of the fall, the rise (under Putin) has been remarkable. ..." ###### Apr 18, 2018 | russia-insider.com The Rape of Russia (full transcript) Lars Schall: Hello ladies and gentlemen. I am now connected with F. William Engdahl, who has written a new book, Manifest Destiny: Democracy as Cognitive Dissonance. Hi William. F. William Engdahl: Hello, Lars. Good to be with you again. LS: Great to have you with us. And first off, let me read something to you and our audience that was written by the economist Dean Baker earlier this month. As a long-term columnist at the NYT, Thomas Friedman apparently never feels the need to know anything about the topics on which he writes. This explains his sarcastic speculation that Putin could be a CIA agent since he has done so much to hurt Russia. For all his authoritarian tendencies, it is likely that most Russians think primarily about Putin's impact on the economy, just as is typically the case among voters in the United States. On that front, Putin has a very good record. According to data from the IMF Russia's economy had plunged in the 1990s under the Yeltsin presidency. When Putin took over in 1998, per capita income in the country had shrunk by more than 40 percent from its 1990 level. This is a far sharper downturn than the United States saw in the Great Depression. Since Putin took power its per capita income has risen by more than 115 percent, an average annual growth rate of more than 3.9 percent. While this growth has been very unequal, that was also the case even as Russia's economy was collapsing under Yeltsin. The typical Russian has done hugely better in the last two decades under Putin than they did in the period when Yeltsin was in power. For this reason, there are probably few Russians who would have sympathy for Friedman's speculation about Putin's ties to the CIA. The same would not be the case for Boris Yeltsin. Now, I think this is a good starting point for our discussion William because in your book, you have a chapter entitled The Rape of Russia, the CIA's Yeltsin Coup d'état. Why do you talk about rape related to Russia? FWE: What the US Government under George Herbert Walker Bush, Bush Senior organised together with CIA, old boy networks of his, in terms of the breaking up of the Soviet Union and the looting of the assets, this open theft, the destruction of pensions, security, the health system and everything. The only appropriate word is the rape of Russia. They just pondered anything that they could. And what you just read from Mr. Friedman is of course horse rubbish but the real CIA asset of this whole collapse of the Soviet Union in the late 1980s was in fact Boris Yeltsin and the so called Yeltsin Family, the Yeltsin Mafia. And in my book, the Manifest Destiny book I document and detail at great lengths the relation of a handful of KGB very, very senior persons who worked with the Bush Senior old boys CIA networks in the West and their banks to create a group of oligarchs around Yeltsin, you know the famous Russian oligarchs, well, The New York Times and other Western Media portrayed them as Russian Mafia. They were kind of mafia but the real point was that they were a CIA-run mafia. They were run by the West. They betrayed their own country, their own people and literally stole billions and billions and billions of dollars of assets. And that's the reason for the title in that chapter. LS: And Boris Yeltsin was very essential for this. FWE: He was the key figure. He had been selected as a regional governor and brought into Moscow and a certain point Gorbachev saw him as a rising star and someone that could help with a little bit more liberal image as [unclear] was – the Russian economy was running into serious trouble in the '80s, the Star Wars of Reagan, the Nicaragua and above all the war in Afghanistan which is a CIA project with the Mujahideen, that took 10 years long that was bleeding the Soviet economy, the Soviet Union's Vietnam, as Brzezinski used to call it. And the West, the Bush networks recruited a handful of KGB agents around Yeltsin who literally promoted Yeltsin to the top when they engineered the August 1991 fake coup. You remember, I'm sure many people remember the picture of Boris Yeltsin standing there courageously on top of a Soviet tank in front of the Russian White House or Soviet House, the Supreme Soviet building and reading a speech defying Gorbachev and so forth. Well, that was a KGB CIA-engineered coup d'état in June 1991. And through that the – this network, this corrupt network within the KGB that was working with the CIA, working with General Philip, Bob [unclear] is one of them, so called at that time the KGB brain. He was head of the KGB Fifth Directorate controlling to roll this in. And he later joined the [#inaudible 00:06:40-0#] oil and to this day he's still a member of the State Duma giving him prosecution immunity. So, some of these people are still around after some 23, 25 years and incredibly enough but others of them have died off, have been killed, or murdered or whatever. But the operation that was done with Yeltsin, this corrupt KGB network working with the CIA financed Yeltsin's the silent seat of the presidency of the Russian Federation. And once they had their man in controlling the Russian Federation which is the largest of the former Soviet Union, the Socialist Republic, they were able to engineer through the international monetary fund that was mandated to oversee the transformation of the Soviet economy. They engineered a complete opening up of the assets of the Russian Federation which called today the Russian Federation, the largest part of the former Soviet Union and they made it such that the Russian Federation would assume all of the debts of Ukraine, of Kazakhstan and the other socialist republics of the Soviet and all the assets, all the crucial assets that were within the Russian Federation so the aluminium Rusal that's in the headlines yesterday, the nickel, the oil, the gas, just hundreds of billions if not trillions of dollars' worth of assets that came into Yeltsin's control. LS: But those assets were sold to a price that was rather ridiculous. FWE: Someone estimated that that gets into the whole coupon privatisation that was set up under Yeltsin in the '90s. The coupon privatisation issued one coupon to every single Russian man, woman and child 140 million in total. And the value of those coupons was such someone estimated that the totality of Russian Soviet's Fed assets or Russian Federation assets now was equal to the value of the stock at that point of General Electric Company on the New York Stock Exchange. I mean that's just laughable. Russia had financial bankruptcy because the shock therapy, the Jeffrey Sachs and others from Harvard and elsewhere brought in, George Soros and his pals. That created bankrupt companies that couldn't stand on their own and suddenly they had no, no resources. But the assets, the assets on the ground, the nickel, the aluminium, the uranium that Hillary Clinton knows more than a little bit about them, all of these were estimated to be in the trillions of dollars. And this is what the Bush operation aimed at. And they used NGOs, they used the National Endowment for Democracy, they used, George Soros' Open Society Foundation and so forth to bring this about. LS: You've mentioned already the coup d'etat attempt of August 1991. Highly important for things to come was something that took place in early 1991 and that was the theft of the Soviet gold. Please tell us about this. FWE: The, under the Soviet Union, this is a very crucial point about the transition that Washington forced on the Russian Federation because Yeltsin was, I think as long as he was well-supplied with vodka he didn't protest very much. But under the Soviet system and the Russian Federation took this over, there was a state bank, not a private central bank like the Federal Reserve or the European Central Bank today but a state bank that was an entity of the Russian State apparatus and that was called the Gosbank. And a man named Viktor Gerashchenko was the chairman of Gosbank at the time of Yeltsin's early start in 1991. And Gerashchenko made a speech around that time in November of '91 to the Russian Duma or the parliament such as it was and said, "I have to report to you ladies and gentlemen that of perhaps 3,000 tons of Gosbank state-owned gold reserves, we have an estimated less than 400 tons that we can account for." And then he had to go to tell, shock members of parliament that he had no idea what happened to the missing gold, which of course was a lie. And Gerashchenko had created right after 1989 to prepare this coup d'etat coup, which was the CIA and Bush's old boys, he had created something called [unclear] on the Channel Islands in the Island of Jersey to handle the Russian foreign currency reserves. And the Jersey was exempt from European supervision, so this was a perfect place to hide money, dirty money or stolen money and they managed something like$37 billion between 1993 and 1998. The Gerashchenko and the Gosbank even went to the lengths of hiring a New York Financial Detective firm called the Financial CIA back then called Jules Kroll Associate. And they were told to track the Soviet gold, find out what happened to it and something like $14 billion of communist party assets that were missing as well. And the Cruel which was tied with the CIA linked AIG Insurance Group Hank Greenberg whom you remember from the 2008 to the bail out of Henry Paulson. LS: Yes. FEW: The Kroll Associates after a few months announced that they had no results in the attempt to find the missing Soviet Gosbank gold. Then to add insult to injury, the IMF came in and rewrote the constitution of the Russian Federation under Yeltsin and took the power of money creation just like the Federal Reserve took the power of money creation from the congress in 1913. They took the power of money creation from the state and created the Russian Federation Central Bank, the Russian Central Bank and gave it a mandate for two things. One, to control inflation and the other to create currency stability. Now, in Russia that day that meant stability of the ruble against the US dollar. So it effectively hammer-locked the Russian money creation into the US dollar. And unfortunately that constitution amendment holds until the present day. It's one of the difficulties that Vladimir Putin has been having to try to persuade the Independent Central Bank to lower interest rates more rapidly as inflation is simply managed as a problem in Russia in the last two years. So, they looted the gold so that there would be no stability to the ruble. If you don't have any gold-backing, then western investors are going to lack confidence which is sort of what happened. And then they began working with very select western bankers to get their money out of Russia. LS: And instrumental to get money out of Russia were Valmet and Riggs. Can you tell us please about some crucial personnel that was employed there at Valmet and Riggs? FWE: Valmet Riggs was kind of a fusion of a Swiss bank and Riggs Bank of Washington D. C. And Riggs Bank, this is really quite a fascinating and very little discussed aspect of the reign of Russia back in the '90s. So you have something called Riggs Bank in Washington and they were set up decades earlier since the 1960s CIA Bay of Pigs operation, they were known as the CIA tied bank. They invested the assets of people like Marcos of the Philippines until when he was close to the CIA. And there was a former NATO Ambassador named Alton Keel and in 1989 when the Soviet KGB generals and they had a group of protégés called the 'Kids' by George Bush Senior. The protégés were in their 30s and a couple of them were in their 40s but rather young. And they were the ones who were nominated to become the oligarchs, the frontal men for taking these state assets the aluminium, the oil assets and other things and looting the Russian Federation. And Alton Keel just as the Russians were setting up men at a bank for the oligarchs to funnel their stolen assets, de facto stolen assets, Keel went from NATO and the National Security Council to become a head of international banking of Riggs Bank in Washington and its deputy chairman. Now, it gets even more interesting because the international banking group of Riggs included a new entity that had been created called Riggs Valmet SA in Switzerland, and Riggs Valmet was set up by a man named Jonathan J. Bush, a private banker, who just happened to be the brother of George Herbert Walker Bush. So, Bush brother and Alton Keel set up Riggs Valmet, there was a money laundering apparatus in Geneva and Riggs then through their help bought the major share in Geneva Valmet to create Riggs Valmet. So, you have the brother of the president of the United States up to his eyeballs in this whole Yeltsin CIA money laundering operation. And then Jonathan Bush was created CEO of something called Riggs Investment in Connecticut where he lived and at that point the looting and taking of the dollar assets out of Russia was just unstoppable. It was in the billions and tens of billions of dollars. LS: William, there is one guy who was working closely with those people and he was working on Wall Street but later on he was personally recruited by George Tenet then the Director of CIA to become the number three at the CIA, and this is Alvin Bernard "Buzzy" Krongard. FWE: Yes. We meet "Buzzy" Krongard at Bankers Trust, which bought up Alex Brown, and Krongard became vice chairman of Bankers Trust along with another charming character named Carter Beese. And at the time of the 1998 collapse of the ruble, Krongard was formally made, as you've pointed out, number three, the executive director at the CIA under George Tenet. So, it's a CIA network from beginning to end, from the banking side to you know the direct CIA side. You have Carter Beast, you have "Buzzy" Krongard, Jonathan Bush and Alton Keel and they were the ones working with Valmet as the Riggs Valmet Bank in Geneva to pull this money out through shell companies. And the oligarchs, this is an interesting part of this whole thing that you know right now Theresa May and the foreign secretary Boris Johnson in the UK are accusing Putin of murdering almost everybody since the birth of Jesus Christ. And one of them was the person who had been the trusted bodyguard of one of the oligarchs living in London Boris Berezovsky. And Berezovsky was one of the dirtiest of these oligarchs. He'd financed the Ukrainian Colour Revolution back in 2003, 2004 as a revenge against Putin because he at first thought Putin could be bought like Yeltsin and suddenly he realized that he was up against the faction of nationalists within of what had been the KGB but wanted to stabilise and preserve Russia as a functioning nation today. And so Mikhail Khodorkovskyi, Roman Abramovich, who is listed on the sanctions list yesterday, and Berezovsky were some of the leading oligarchs that were created by this Bush operation. LS: And to jumpstart all of this, we have to talk about something that is well, that is stranger than fiction and that is something called for example "Yamashita's Gold". If our audience is interested in this, they could for example look for an article written by Chalmers Johnson, the famous Asian expert, The Looting of Asia, which was published at the London Review of Books on the 20 th of November of 2003 because then they can find something on this topic of Yamashita's gold on an instant basis in the internet ( https://www.lrb.co.uk/v25/n22/chalmers-johnson/the-looting-of-asia ). I think this is just fair FWE: Yeah. LS: because no one really is aware of this whole story. Please tell us about this. FWE: The Yamashita Gold story is one of the, as you've said really incredible stories of post-World War II. During the Second World War, the Japanese Imperial Family looted the gold of occupied Arch of China, they looted the gold of all the parts of Asia that they had conquered. LS: Basically from 1895 to 1945. FWE: Yeah, yeah. And because they had no guarantee that Japan was going to win the war, the emperor ordered the gold to be hidden away in, mostly in the Philippines as far as we know and literally untold tons of gold were buried so deep underground in tunnels around the Philippines and the people who dug the tunnels in many cases were later shot you know so that they couldn't tell. But Marcos who was a CIA asset initially, the dictator of the Philippines through much of the '70s and into the '80s, yeah through the '70, Ferdinand Marcos somehow came upon some of this gold. So, the Japanese looted war body was buried in the early '40s before the end of the war on orders of Emperor Hirohito should they lose the war. And at some point in the 1970s, Marcos discovered some of the sites where Hirohito's soldiers had buried the gold and the gold was stolen from China, Korea, Philippines, Indonesia and other countries occupied by the Japanese forces. And Marcos, and I think this is the major reason the CIA dumped him, got a little bit greedy and took that gold and started selling it under the market through selective secret Swiss banks. But he used the CIA asset, the Saudi billionaire named Adnan Khashoggi to help them get the gold under the market. And what he didn't realise was that Khashoggi would double cross him. He got a better deal from Bush Senior and the old boys. LS: We have to say Khashoggi is a figure who is involved for example in B.C.C.I. and in Iran-Contra. FWE: Back in the '70s he was involved in everything dirty that Bush and the CIA were involved in. B.C.C.I. Bank, the money laundering bank of the CIA, the arms deals, Khashoggi was a huge arms dealer during the Iran and Iraq war the CIA was feeding. He was involved in almost every dirty thing the CIA was doing. LS: He was aware of this gold. FWE: Supposedly he was helping Marcos to sell the gold out of the market. So he was not only aware of it, he was right in the middle of it. But then once Marcos was tackled by the CIA Bush got rid of Marcos in 1986. Then someone named Paul Wolfowitz and Richard Armitage and Khashoggi began to work with someone in Canada to create something called – Peter Munk was his name, a rather dubious businessman there – to found something called Barrick Gold of Canada and later it went on to become the world's largest gold mining company. But Barrick Gold, all available evidence is that buried gold was used to melt down the – I don't want to get too much into the details of this but basically to melt down the Emperor Hirohito's gold that had been discovered by Marcos in the Philippines, to melt it down and use that as collateral for derivatives that would be the collateral used to take over the Russian Federation assets. LS: The money was basically transformed into bank loans into Russia so that the would-become oligarch people could buy up those assets FWE: Yes, exactly. So, Yegor Gaidar, the economic privatisation adviser of Yeltsin and his sidekick Anatoly Chubais privatisation had kind of guided this whole process together with Jeffrey Sachs and a group from Harvard University. #00:28:37-8# LS: Yeah. Let us talk about this. This is known as Harvard Shock Therapy. FEW: Well, the Jeffrey Sachs Shock Therapy, but the Harvard shock therapy is – well, what happened, the next phase of this incredible story and it's important to keep all this in mind, this is one reason that I wrote the book because of what was clear after the CIA coup d'etat of 2014 in Ukraine and all the sanctions against Putin's Russia and so forth, that if you don't understand what really happened in the '90s, the deep-seated hatred there is on these neoconservatives around Washington and their think tanks as well as, the US political establishment for Putin's Russia and the nationalism behind group Russia. You can't make much sense out of what's going on today with all these incredible lies and accusations against Russia for every crime under the book. So, what happened is the, as I mentioned the IMF, the International Monetary Fund which had done a beautiful job for Washington in terms of, and George Soros and others in terms of looting the assets of the dead economies of Latin America, Yugoslavia, Poland and others during the oil crisis in the 1970s. The IMF was used and a group of economists around Jeffrey Sachs, a young professor at Harvard University then to impose what Sachs called shock therapy. And the idea was that Sachs convinced Yeltsin, let prices rise through western market prices and this will increase the supply of goods, you know the stores had a paucity of goods back in the Soviet Times and get rid of trade barriers so foreign commodities could flow in to fill the shelves of Russian stores. The problem was that was a lie. The shops had been full. Okay, you could say it wasn't Kellogg's Corn Flakes and Fried Perdue Chickens or whatever, but they were full of Russian food products until November of '91 when Yeltsin announced that the exact date on December 31 st of 1991, that price controls would be suddenly lifted. So, shop owners immediately hid their goods and waited for December 31 st . So, suddenly the shops were empty and rationing was imposed and so forth. It's just unbelievable. So, into this, this was Jeffrey Sachs on shock therapy and a group of Harvard University under the auspices of the Harvard Institute for International Development, a group of, among other things later documented CIA agents set up shop in Moscow and worked with Yeltsin's economic team Gaidar and Yegor Gaidar and Anatoly Chubais and themselves got in on the thunder the Russian East Harvard economist working. Now we have a transition in '93 through the Clinton Administration and there former Harvard professor and former World Bank Chief Economist Lawrence Summers became the deputy secretary of treasury responsible for the looting of Russia, effective and responsible for the gold economic transition in the Russian Federation. And all of the key actors were named by Summers and they were all involved in the privatisation of Russia. They were all from this Harvard Mafia. For example of David Lipton, a former consulting partner of the Jeffrey Sachs, became deputy assistant secretary of treasure for former Soviet Union and Eastern Europe and Sachs himself was named Director of Harvard HIID that oversaw the looting of Russia through the voucher privatisation and so forth. And they got grants from the USAID, AID works very closely with the CIA in different parts of the world, this is documented. And so it was really a tight-knit cabal around Lawrence Summers that oversaw this complete theft through these pieces of paper called privatisation coupons. And what you had was the economic situation under Yeltsin had become so severe I mean people literally they had no jobs because of the freeing up of prices, they could afford to buy little or nothing. So, most people, millions of Russians sold their privatisation vouchers on the street corners to the highest bidder. And of course the would-be oligarchs were the ones with hard currency dollars that they could buy these things up as you pointed out earlier when we talked about them. So, they had credits from their friends in the West, the Riggs Valmet and so forth to buy up these vouchers and therefore they were able when the cost came up, were able to simply steal the property titles, the ownership titles of some of the most valuable investor assets and mineral assets in the world. LS: And we can talk about this as a classical case of leveraged buyout – even though it was a covered leveraged buyout, if it was? FEW: Well, you could call it a leveraged buyout. I know Anne Williamson has used that term, the earlier descriptions of it. I think it was simply legalised theft, leveraged buyout gives it too much dignity. That was a term that was quite popular in the financial world back in the '80s and the early '90s. But whatever name you want to give it, it was certainly not a conventional leveraged buyout, it was bizarre in every sense of the word. LS: An influential figure in this was mentioned by you already, George Soros. And in 1994, as you point out in your book, he was described with the following words from The Guardian in London, "Soros extraordinary role not only as the world's most successful investor but now possibly fantastically as the senior most powerful foreign influence in the whole of the former Soviet Empire, it tricks more suspicion than curiosity." What was he doing back then in Russia? FWE: Soros was very intermittently tied with Jeffrey Sachs and the whole Harvard to become a shock therapy group and working with Lawrence Summers team at the US Treasury under Clinton. And in 1993 already the opposition inside what was left of Russia when the old communist party was in the Duma and so forth and the population generally was such that the opposition threatened to get out of hand and Yeltsin was forced to agree to hold a national referendum on the entire privatisation. So, this was in April of '93 and the referendum that was given to the population had four questions, yes or no. Do you support Yeltsin? Yes or no? Do you support Yeltsin's economic policy? Yes or no? Do you want early election for president? Yes or no? And do you want early elections for parliament? Yes or no? So, Chubais was as an adviser to Yeltsin at that time and the key person on the economy arranged the secret meeting with George Soros. And Soros agreed to finance of course on behalf of Yeltsin, the referendum campaign. So he funnelled money over a million dollars by some accounts to offshore accounts set up to be used by Chubais to buy media. And so the media campaign and by this time most of the national media had been bought up by the oligarchs around Yeltsin so they were able to exercise undue influence. So they barely squeak through and got a yes to the privatisation scheme that Harvard, Jeffrey Sachs and George Soros and others had going on. And then of course Soros' company himself benefitted enormously from this privatisation just a little bit later when the auctions took place. LS: A figure that connects yesterday with today is Vladimir Putin who came to international attention first in 1998, the same year when the ruble crisis took place. FWE: This was 1999 and in August '98 you had the collapse of the ruble. This was part of the Bush "Operation Hammer's" original design. You had a huge scam going on in the GKO Russian Bond market where the interest rates were just unbelievably high. So, you had all sorts of hot money coming in, making profits and pulling it up including Soros Fund, quantum fund and so forth. And finally, Yeltsin was getting near the end of his ability to hold this thing together. And he appointed in August '99, he appointed a young former KGB officer who served during the Cold War in East Germany named Vladimir Putin. And briefly Putin had been a deputy mayor in St. Petersburg and briefly had been the head of the successor to the KGB called FSB and the oligarchs around Putin, I've heard various Russian accounts have had this happen but Berezovsky, Brzezinski and other, the Yeltsin oligarchs thought they could take this young guy Putin and do business with him and you know that he was young and had no political base. So, at that point Putin gave the ultimatum to Yeltsin, resign or face serious consequences and it turned out that Putin which has later been confirmed was the spokesperson for a nationalist faction within the intelligence community, a patriotic faction, call it what you want but Russian nationalist. And so Yeltsin was told, "If you resign and just get out of politics, we'll leave you alone." So he took the offer and ran. And before he did that he named Vladimir Putin as acting president until elections in March the following year. So, Putin then came into power and called a meeting as it were of the most powerful oligarchs who had made staggering fortunes at the expense of Russia and he called them creators of a corrupt state through insider dealings and began criminal prosecution against oligarchs like Vladimir Gusinsky and Media-Most, a financial group led by Vladimir Potanin who is in the newspaper today and soon left an oil company controlled by a Roman Abramovich and Boris Berezovsky. So, at that point Putin began the uphill battle of trying to stabilise Russia as a functioning economy. And the recent re-election of Putin indicates that the Russian people by and large support that effort of Putin's. LS: Meanwhile he also had to react to something new that was taking place then and that was NATO was marching east. FWE: The negotiations and this is, has been confirmed by former US Ambassador to Russia Jack Matlock and that was the negotiations between the Bush administration in 1991 Germany and Gorbachev included a solemn guarantee as Jack Matlock, Ambassador Matlock who was in Moscow in '87 until '91 in this period. He said that we gave a categorical assurance to Gorbachev when the Soviet Union still existed that if United Germany was able to stay in NATO, NATO would not move eastward. So, of course that pledge like so many pledges of Washington under Bush successor governance was honoured in the breach and the newly created National Endowment for Democracy that I write about quite a bit in the Manifest Destiny. You had, Vin Weber was the chairman of the NED at that time and he took US taxpayer money through the NED to supposedly bring democracy into former communist states. Then Weber was also a member of the Project for the New American Century (PNAC), the neocon think tank which really shaped the personnel of George W. Bush in the year 2000 and 2001. And Vin Weber was also a lobbyist for the largest military industrial conglomerate of the US Lockheed Martin. So, he was instrumental together with another military industrial Lockheed Martin, former Vice President for Strategy named Bruce Jackson, Bruce P. Jackson to promote back democracy in former communist countries including Russia. And they started the process of expanding NATO to the east in strict violation of the pledges that had been given back in the early '90s. So, by 2003, they had begun this whole expansion of NATO into Poland, into Hungary, all the former communist countries. LS: And the countries at the Baltic Sea. FWE: So, at the Baltic Sea right on the doorstep of the Russian Federation, and Poland, Czech Republic, Slovakia, Hungary, Romania, Bulgaria and so forth. And you began to see a very definite NATO encirclement of Russia. And then in 2003-2004, the National Endowment for Democracy, George Soros' Foundation, the whole arm of the fake democracy NGOs of Washington, began to create the so called Orange Revolution in Ukraine, and also the Rose Revolution in Georgia next door. And if you look at a map, if you bring a pro NATO government into power in Ukraine, this they did under Viktor Gerashchenko in 2004, then you're presenting a pretty formidable military threat to the national security of Russia. Now, at that time 2003, Russia was in no shape to do much more than feebly protest as loud as they could but of course they were ignored. Then you had something quite dramatic in 2006, the end of 2006. The George W. Bush administration Donald Rumsfeld was Secretary of Defence back then announced that they were installing ballistic missile defence now I'll get to that in a minute but it's anything but defensive. In Poland, in the Czech Republic and that those anti-missile defence installations which included missiles would be aimed at a rogue nuclear attack from Iran. In early 2007, Vladimir Putin personally came as president of Russia Federation to the Munich Security Conference, the International Security Conference held here in Munich Germany and gave a speech which really defines the security position of Russia right up to the present date. He said of course this is not aimed at Iran or North Korea as Washington says. That's a lie. It's like taking your right arm to scratch your left ear we say in Russian. It's aimed at Russia. And we consider this intolerable as a threat to our national security and we will be forced to respond. LS: And it is aimed at Russia as a first strike possibility. FWE: Yeah. Well, the point about the missile defence is I – in connection with the book, I interviewed, in an earlier book I wrote, I interviewed Colonel Robert Bowman who had been briefly the head of Ronald Reagan's Star Wars or missile defence programme. And became a very, very severe critic of the Bush administration's reckless policies withdrawing from the antiballistic missile ABM Treaty and so forth, said that missile defence is the missing link to Nuclear Primacy. First strike capability. And that's something that Pentagon planners had been opting for since the 1950s. And he said, "If you can block the counterattack from your opponent and you then have this possibility to make a first strike and wipe them out because they can't simultaneously fire an effective counterstrike." So, that in a nutshell destroys the whole cold war doctrine of mutual and sure destruction that kept nuclear options off the table up until that time. And the Russians understand military strategy rather well I would say. And said, "This is simply intolerable. We have to respond and we will respond but in our own way and you will see." LS: And the Russians have reacted. B: The Russians have reacted, and if we can go for a minute up until the present LS: Please FEW: On March 1st Putin gave an address to the Federal Assembly in Moscow televised to the nation. The beginning part of the speech, his annual speech there, was about the Russian economy and plans for the future. This was shortly before the Russian elections that overwhelmingly gave him a new term. But the crucial part of that speech to the Federal Assembly was Russia's military technologies and this is as he put it. He referred to that 2007 speech in Munich and he said, "We said at that time that Russia would have to reply and since the expansion of NATO to the east which really to be honest that's – see there is no reason after 1991 or certainly after 2000 for the existence of NATO other than the reason given when NATO was created by the first secretary general of NATO to keep the Russians out the Germans down and the Americans in." But Putin's speech talked about nuclear primacy and the Russian response and he outlined the military are the developments that they had quietly brought online since Washington tore up, unilaterally tore up the ABM Treaty in 2002/2003. So he outlined an awesome array of missiles, hypersonic low flying stealth missiles carrying nuclear warheads, unpredictable trajectories, invisible against perspective missile defence and air defence systems, unmanned submersible vehicles to great depth that could go many times higher than the speed of submarines cutting edge torpedoes just and commentators in the West like CNN. They said, "Oh, this is just bluff and so forth." People who know Russian military technology and the intensity of the kind of research and development that's focused on defending the nation confirm that this is no joke. Hypersonic aircraft five times the speed of sound, that's hypersonic and they have something called the [unclear] which goes 10 times mark 10 and as Putin described it, "This missile flying 10 times faster than sound can manoeuvre in all phases of the flight trajectory, overcome all prospective and aircraft county missile defences in a range of 2000 kilometres." He outlined about six or seven of these I would call them not even cutting edge, bleeding edge military technology and as The Saker commented in his blogpost after the speech, it's indeed set marching game over for the empire. There's no more military option against Russia. This all is to make a point that the entire history up until now, these fake accusations of Putin would have an interest or Russia would have an interest to meddle with the US elections when you have a choice between Hillary Clinton and Donald Trump to accuse Putin and Russia of international violations of law by allowing a referendum to take place in Crimea after the CIA coup d'etat in Kiev and now it's come out from actual mercenary snipers that were brought in from Georgia under [#inaudible 00:55:08-0#] umbrella that they were paid by the CIA or promised to be paid by cut outs to the CIA to create the Maidan Square February 2014 chaos that led to the collapse of the government and the coup d'etat. So, you know, this is not Russia is the arch Evel Knievel looking for a fight every corner of the world. It's not Russia doing bad things in Syria. It's Russia trying to stop a NATO and Saudi and other embedded destruction of the Middle East and create some kind of peace and stability. And anyone modest to take the slightest bit of care and follow this, they can read a running commentary on my website williamengdahl.com but not only there, it's all over the place. You realise that the fake media is the media that dominates and is guided by NATO public relations strategy in the West and it's not the so called critical media that's being sanctioned and censored right now. LS: Let's talk further about the present, William, by closing one circle of our interview. As we've discussed the Russian gold vaults were empty since the early 1990s. This has changed since basically the financial crisis broke out in 2007, 2008, 2009. Since then the Russian Central Bank is buying gold like basically no other nation in a very rapid tempo. FWE: Since the financial crisis and especially since the opposition of sanctions after the annexation of Crimea in 2014, it's been the policy of the Russian Central Bank and the Russian Federation to buy as much gold for reserves of the ruble as they can get their hands on. And they are now I think number five or number six in the world in terms of gold reserves and correct me if I'm wrong but just slightly behind the people's republic of China which has also been vigorously adding gold towards Central Bank reserves for the yuan. So, what Russia is doing is creating a buffer gold, by the way in my view has never ceased being an object of value to stand behind currencies. If you have currencies like the dollar after all this 1971 when Nixon took the dollar off the bread and wood, gold exchange [unclear], then if you have a military you might or manipulate the oil price petrodollar and so forth, you can create money if you have the reserve currency you can create money without them. So what the Russia is doing is creating a security in terms of its currency and now that security is probably going to be tested by the economic warfare division of the US Treasury in these new sanctions. But Russia is merging together with China. Interestingly enough after 2014 when the CIA coup d'etat Ukraine took place, Putin responded not by getting bogged down in the destructive war inside the Eastern Ukraine but he responded by turning east, strengthening his relationships with China, with the new president of China then Xi Jinping bringing the Asian economic Union which Russia is the leading economy in, together with Belarus and Kazakhstan, Armenia and others, bringing that in a coherence with Xi Jinping's Belt and Road Initiative One Belt, One Road to link the infrastructure, the energy pipelines, the high-speed rail networks, the deep water ports and so forth to create a Eurasian, some people call it the land bridge but it's an economic space in Eurasia that would have the majority of the world's population, would have every raw material resource that the world needs including rare earth metals that China is world's leading supplier of at the moment. And Russia has vast oil and gas reserves and military technology, civilian technology, an educated labour force that is probably one of the finest in the world and scientific country and so forth. And independent of the bankrupt economies of Britain and the United States and very rapidly of the European Union where this banking crisis has, since the crisis of 2008 has just been swept under the rug but it's ready to explode on a moment's notice. So, you have a depth loaded western NATO world. Let's call it a NATO world, a world of the NATO member countries and you have Russia together, which by the way, Russia has unbelievably small LS: Debt. FWE: National debt. LS: Yes. FWE: Something like 13 to 17% of the gross domestic product. LS: And now they have this huge stock of gold relative to very little sovereign debt. It's almost ideal. FWE: Yes, and that's by design. That is by Putin's intention to create this independence. And one thing, I am very often in Russia, have a very, very dear special friends in Russia over the years, the first time I was there was 1994. That was a vastly different, that was in the middle of the Yeltsin and the insanity. The Russians are very not only proud people but they are very determined and they protect their existence and have done that I would say for well over 1000 years going back to the great schism between the Western church in Rome and the Eastern Church in 1054. I think that was a pivotal date in modern history, the division there. But certainly the Russians have gone through two World Wars and the rape of Russia under Yeltsin, unbelievable trials and tribulations and they are not shying away from defending their existence. That's something I think the west or certainly Washington with these neocons really doesn't have a sense of. LS: One thing that I would like to ask you about as my final question is the following. You are a renowned expert for the geopolitics and the history of oil. And since this month we have a future's contract in Shanghai, denominated in yuan for oil and we also hear that the Chinese are planning to price oil that they import in yuan which is safe for this buying of oil internationally via yuan, Russia would be the candidate number one as the exporter? FWE: Definitely. Most definitely and Russia and China are connecting their financial markets ever closer. The Russian government is the in the process sometime this year of issuing Russian bonds denominated new Chinese yuan. The announcing of the petrol yuan, the oil futures contracts being sold in Shanghai, ultimately it won't happen overnight but it's certainly off to a positive start in the marketing acceptance. That has the basis for taking oil sales. Let's step back a moment to the 1970s and I document this at length in two of my books, Myths, Lies and Oil Wars and A Century of War. In the early 1970s when Nixon took the dollar off of gold, the dollar relative to the German mark and the Japanese yen dropped like a stone, something like 40% over a period of five or six months. And in order to stop that because the New York Banks were hurting quite a bit from that, there was a oil price shock that was orchestrated. I won't go into the details it's documented quite extensively in those two books of mine. LS: And Sheikh Yamani had said something about this, too. FWE: Yes. He invited me after reading my book to his annual energy retreat in London in 2000, September 2000. And then called me to a private dinner discussion at his home outside of London to talk about what I wrote about in the book. And he later went on CNN on an interview and mentioned my book by name. In the written transcript it's in there and in the television version they spliced it out so that you couldn't realise that it'd been in there. But Sheikh Yamani told me you are the first journalist or the first person outside of myself that writes correctly what happened with that oil shock. And that was manipulated by among others Henry Kissinger, the Secretary of State and by a group in the Atlantic establishment called the Bilderberg meeting in Saltsjöbaden, Sweden back in May of that period before the Yom Kippur War. In any case, the US circles around Rockefeller, who at that point was the chairman of the board of USA Incorporated, I would say. They had engineered a 400% price rise in oil and to make sure that Germany and Japan and other countries wouldn't make deals to buy oil in German mark but keep the dollar demand high and the dollar value high. They send a delegation from the US Treasury to sign an agreement with the Saudi Arabian monetary agency for a new relationship taking surplus Saudi petrodollars or OPEC petrodollars and buying US government debt. LS: Yeah, and outside of the normal auction to privileged conditions. FWE: Yes. In return, Washington agreed to give the Saudis tens and billions of dollars of defence equipment. LS: Yeah, and Saudi Arabia would use its status as a swing producer in OPEC that it would only accept dollars as a pricing for oil. FEW: And the quid pro quo was after 1975, this was formalised that Saudis would as swing producer in OPEC guarantee that OPEC sold its oil only in dollars and that held up until the time of Saddam Hussein during the sanctions shortly before the US invasion and Saddam Hussein began buying oil through a French bank denominated in Euros and not in dollars. LS: And he made a plus, he made a net plus because he did sell his oil in Euro. FWE: Yeah, yeah. And so this, what that has done up until the present is prop up the US dollars despite the fact that the internal industrial economy import activity of the United States went down the tubes over the past 40 years since the taking the dollar off of gold and the, putting of English dollars for the world economy. So, the idea than China and Russia would trade in energy and that other economies would begin to sell oil to China, Iran for example is a prime candidate in the petro yuan not in petrodollars, this began slowly like acid drops begins to erode the reserve currency status of the US dollar. And if that goes, it's end game for the US as a financial global power. LS: We have to make clear to our audience. The fact that you have to buy oil in dollar makes sure that you need dollar, that you acquire dollar in order to buy oil. FWE: Yeah. LS: And so if this mechanism goes, well then the US has a problem because the dollars that are floating around internationally would find their way back into the homeland of the US. FWE: Well, the other thing is that in order to sell now you have under this wonderful Trumponomics as I call it, you have projections that the US annual government deficit, shortage of tax income from tax outgo, spending outgo will by 2020 exceed one trillion dollars a year for every year as far as the eye can see. And by end of 2020, 2028 I think was figured by the congressional budget office, the US public debt is estimated to be well over$33 trillion, it's 20 now, 38 maybe, it's just out of control. So, if the ability of the US dollar to command use in the world economy is severely undermined, you're going to have to raise interest rates so high to sell this debt and it just becomes dysfunctional.

LS: Yes, but you have already in the last few years interest rates payments on this already existing that of per annum $400 billion. FWE: Yeah. LS: And if interest rates go up FWE: Yeah and that was under zero interest rates, but now, you know, if they have to put up interest rates to five, six, seven, 8% like it was in the 1980s. the whole thing just blows up sky high. LS: And so coming back to gold, gold has the advantage relative to bonds or shares or the US dollar or other Fiat currencies that there is no counterparty risk. If you have the gold in physical form, there is no counterparty risk. FWE: Right. LS: So would you say that gold will be one of the ultimate winners of the ongoing financial crisis when it goes into full gear? FWE: Well, it's documented that J. P. Morgan, Chase and other select banks with this collusion of the Federal Reserve have been artificially depressing the price of gold for years. Every time there's a new financial crisis, they intervene and keep gold within a very tight range. At a certain point that's not going to work anymore and then some people estimate to follow the gold markets much more than I do but it could quickly go up to$10,000 an ounce or even beyond that.

Be that as it may, gold as you point out has no counterparty risk and it's a historic store of value. It's one of the beautiful commodities out there and it has a special – the other just being special significance economically and historically, the other thing is that China is the number one mining producer of gold in the world today, not South Africa. South Africa has fallen far behind

LS: Yeah, and Russia is number three.

FWE: Russia is number three.

LS: And a lot of member states of the Shanghai Cooperation Organisation are producers or are buying gold.

FWE: At the rail connections of the circle of the China Belt Road Initiative in part are aiming to go in the areas where there are known gold reserves but no infrastructure during the Soviet era to bring that gold down to market. So, we have an extremely fascinating prospect, not just for China and Russia, for the world really to build up instead of tear down, destroy and burn and bankrupt which is the only policy that Washington seems able to follow these days.

LS: Yeah. To sum it up with a famous Chinese proverb. "May you live in interesting times" – you and all the others.

FWE: We certainly do.

LS: Okay. great. Thank you very much, William, for this interview.

FWE: Thank you, Lars.

Omega a day ago ,

Two things:

1. Operation Hammer:

In 1989 President George H. W. Bush began the multi-billion dollar Project Hammer program using an investment strategy to bring about the economic destruction of the Soviet Union including the theft of the Soviet treasury, the destabilization of the ruble, funding a KGB coup against Gorbachev in August 1991 and the seizure of major energy and munitions industries in the Soviet Union.

Those resources would subsequently be turned over to international bankers and corporations. On November 1, 2001, the second operative in the Bush regime, President George W. Bush, issued Executive Order 13233 on the basis of "national security" and concealed the records of past presidents, especially his father's spurious activities during 1990 and 1991.

2. Why can't Putin touch Yeltsinist oligarchs:

Yeltsin's oligarchs remained as rich as they were; Yeltsin's family still possesses immense riches. And Putin does not dare to touch them. He goes hat in hand to open a Yeltsin's Memorial Centre; he is courteous with Yeltsin's widow and daughter. Putin's establishment cautiously avoided celebration, or even mention of the Revolution centenary, in keeping with Yeltsin's anticommunism. This is the Deal.
Fraser a day ago ,

Given the depth of the fall, the rise (under Putin) has been remarkable.

Guy Fraser a day ago ,

The rise has been astounding and all because they have a leader that can't be bought , not corrupt and loves his country. That is why he literally was swept in in the last election. The Western leaders will not admit it but I am sure they are terribly envious .

Tommy Jensen a day ago ,

Very good article to bring to RI also.

It open eyes on how the West political elite are a criminal rotten cancer syndicate and Georg Bush Sr. shows up to be even worse than the disgusting profile he already has in media and Georg Soros bad reputation gets confirmed.

No police or court are available to take this out. We only have John Connor or The One to count on.
Choice is the problem now. We will have to make a choice.

Play Hide
Nicole Temple a day ago ,

https://viableopposition.bl...

There is something rotten in Washington and it has been in existence for decades.

Guy a day ago ,

Great interview .William Engdahl is a very knowledgeable person. I have read a few of his books. Superb in my view.

Jimi Thompson a day ago ,

Quite a few unknown tidbits for me in all of this... very eye-opening even for someone that is aware of the games being played at the higher levels.

To imagine all of what remains unknown, including many of the players, leaves much to the imagination.

#### [Apr 10, 2018] Applied in the conditions of the Soviet Union in the Nineties, shock therapy actually created pressing rational incentives leading to creation of organized crime in Russia

##### "... What is bizarre now is the c ombination of an unreal sense of danger relating to non-existent or grossly exaggerated threats, with a lack of any sense of danger relating to our current practice of making actually or potentially unstable areas of the world even more unstable (pushing Humpty-Dumpty off the wall, one might call it.) ..."
###### Apr 10, 2018 | turcopolier.typepad.com

David Habakkuk , 4 years ago

rkka, kao_hsien_chih

I broadly agree with rkka's last comment.

Another point may be worth bringing into the discussion. One thing that Oxford University does rather well nowadays, perhaps ironically, is mafia studies – they have two splendid Italian professors, Diego Gambetta and Federico Varese. As the latter put it in his 2011 study 'Mafias on the Move':

'A relatively recent body of research has shown that mafias emerge in societies that are undergoing a sudden and late transition to a market economy, lack a legal structure that reliably protects property rights or settles business disputes, and have a supply of people trained in violence who become unemployed at this specific juncture.'

An interesting feature of this work is that a great deal of it is really an application of 'rational choice' theory. Applied in the conditions of the Soviet Union in the Nineties, 'shock therapy' actually created pressing 'rational' incentives leading to extensive criminalisation.

If property rights cannot be protected by an effective state, they will be protected by private enterprise – which means mafias. And if at the same time a vast military, intelligence and internal security apparatus is being demobilised, some of its members have the strongest incentives to join mafias.

Some kind of reconstruction of the Russian state – and also of Russian patriotism – was clearly necessary if large parts of Eurasia were not to be permanently locked in a state of criminalised anarchy.

People can legitimately disagree about the merits and demerits of Putin's approaches, and the interpenetration between organised crime, supposedly 'legitimate' business and politics continues to be a massive problem.

However, any argument based upon the belief Russia was 'on the right lines' in the Yeltsin years quite patently makes it impossible to understand what the possibilities are in the country today – in particular as, precisely as rkka says, it leads to the conclusion that Putin's supporters are suffering from a massive case of 'false consciousness'.

rkka , 4 years ago

"Of course, this means that we know nothing of what Putin has managed to accomplish in Russia, beyond the fact that we apparently aren't supposed to like him much, or understand why he enjoys the kind of support that he apparently does."

Exactly. In the '90s, oligarchs felt no need to pay wages to workers or taxes to the government, preferring to offshore every kopek they could get their hands on. Hence, workers suffered and the government was bankrupt.

And the FreeMarketReformers were fine with this.

When Putin arrived, he offered the oligarchs a deal: Keep your swag from the '90s, but behave from this point on. Most took him up on it. Several refused and tried to do as they had before. And when these were exiled or jailed, the Angosphere Foreign Policy Elite and Punditocracy (AFPE&P) howled with outrage at Putin 'violating their human rights'

However, the Russian people know by their own experience that they now live far better than they did while FreeMarketReformers were running the place. This is the simple reason Putin is popular with Russians. The AFPE&P say its because the Russian government dominates Russian media and propagandizes the ignorant masses. The AFPE&P lie about this, from both ignorance and malice.

kao_hsien_chih, 4 years ago
USG is clearly out of date by at least a decade and a half, or more likely, two or more, when it comes to Russia. After all, isn't that when we supposedly "won" the Cold War? If my speculation is right and no serious Russia experts came near the loci of power in USG since then, I shudder to think how out of date our information about the rest of the world (besides Russia and its surroundings) are.

Of course, this means that we know nothing of what Putin has managed to accomplish in Russia, beyond the fact that we apparently aren't supposed to like him much, or understand why he enjoys the kind of support that he apparently does.

David Habakkuk , 4 years ago

kao_hsien_chih,

I would absolutely agree with everything you write.

Some tentative thoughts in response.

In relation to British imperial experience, it may be relevant that the distinctive nature of Indian society, both the religious issues involved and the critical issue of caste, facilitated imperial control over a population which was not simply 'primitive' in the way that was the case in, for instance, most of Africa.

But 'divide et impera' can only be practised on the basis of understanding. Moreover, there were clear penalties for obtuseness, as we discovered in 1857.

What is bizarre now is the c ombination of an unreal sense of danger relating to non-existent or grossly exaggerated threats, with a lack of any sense of danger relating to our current practice of making actually or potentially unstable areas of the world even more unstable (pushing Humpty-Dumpty off the wall, one might call it.)

• As regards alien cultures, it is certainly not necessary either to agree with or to 'respect' them. What however strikes me is the apparent marginalisation of a sense of interest – which I think has catastrophic consequences for intelligence.

An example from British intelligence history may be to the point. The unit in MI6 which handled the material from Enigma relating to the Abwehr, the German intelligence service, was headed by Hugh Trevor-Roper. A classicist turned historian of early modern Europe – and a strange, feline creature – his response to the chaos of the time was to identify strongly with an eighteenth-century Enlightenment tradition.

But he made sense of the accumulating evidence about the nature of the Nazi regime through a perspective shaped by a tradition of interpretation of despotism going back through Gibbon to Tacitus, and knowledge of millenarian and apocalyptic cults in early modern Europe.

Doing so enabled him to see something which both Roosevelt and Churchill failed to grasp – that the view of the Second World War as a continuation of its predecessor, and the enemy as 'Prussianism', was at best a half-truth, and a dangerous one at best, obscuring the radical gulf in attitudes between the nihilistic millenarians of the 'Sicherheitsdienst' and the German General Staff.

One of the most fascinating counterfactuals of the war is what might have happened had Trevor-Roper's attempts to get the British to respond to the overtures from the Abwehr chief Admiral Canaris born fruit.

#### [Apr 02, 2018] Belarus Expels Moscow Diplomats 'Leading Russia Expert' Falls for Cheeky April Fool's Joke

###### Apr 02, 2018 | russia-insider.com
• BaBa • 9 hours ago ,

"Anders Aslund's deep knowledge of Eastern European politics"

During the 1990's in Russia the illusions of Mr. Aslund and others facilitated the transcendence of the "Soviet Union" by the Russian Federation.

It appears that Mr. Aslund continues to serve a useful purpose.

It was decided in the 1990's not to thank Mr. Aslund, Mr. Sachs and others for their complicity since such was deemed to be indelicate, so perhaps now this should be rectified.

#### [Mar 14, 2018] In effect, under Yeltsin our Harvard mafia turned Russia into African economy, never mind that Russian's aren't African's. This desire to rape and pillage the earth in order to take rents is a sophisticated, yet criminally insane method

###### Mar 14, 2018 | www.unz.com
@DESERT FOX

God bless Putin and Russia for standing against the Zionist NWO

You are correct Desert Fox. The prime variable in history is economics. Economics before politics and before war.

Our illuminist friends manipulate the strings of international bank capital for their one world government. In effect, the West has been infested with a tiny cadre of plutocrats, who operate a usury mechanism to extract wealth from host peoples and nations.

Russia was to be broken up into parts. ((Harvard boys)) came to the 'rescue" and privatized Russia with various schemes, the most important of which was to saddle Russian's with "dollar" debts. Russians as hewers of wood and drawers of water, were to sell their "earth" in exchange for finished dollar priced goods. Middle Class Russian labor is then cut out of wealth production inherent in making finished goods. For example, Russian platinum is used to make high value catalytic converters elsewhere, while only a few Russian's get wealthy (in dollar terms) by poking holes in Russian land to extract minerals. Former Russian nuclear scientists walk around drunk as they are not fit for being good labor to extract oil, platinum, etc.

In effect, our ((friends)) turned Russia into African economy, never mind that Russian's aren't African's. This desire to rape and pillage the earth, to then take rents on the world, to then think of yourselves as god (note a little g) is a sophisticated, yet criminally insane method akin to parasitism.

Russian's were infested by parasites, and yet Russian people as hosts have become stronger year on year, to eject their parasite. Putin was instrumental in this transformation.

All nationalist economies in the past, which had the temerity to eject these parasites have come under attack. I'm thinking Nazi Germany as well – oh the horror. This economic attack is often under the guise of liberalism, which has a knock on effect of breaking down civil society. In other words, liberalism is a symptom of parasitic financial oligarchy (and illuminism) a control method to make a host weak, to then be re-colonized.

Russia DOES need to take full control of its Central Bank and eject its fifth columnists (atlantacists), a final act that hasn't been done yet. On this point, it is factual and fair to criticize Putin, because once Russian's have their own money power, they can accelerate even faster. http://www.sovereignmoney.eu

#### [Mar 12, 2018] There is no democracy without economic democracy by Jason Hirthler

##### "... The enduring lie is that there is no democracy without economic democracy. ..."

Part 3 - A False Promise

This 'Washington Consensus' is the false promise promoted by the West. The reality is quite different. The crux of neoliberalism is to eliminate democratic government by downsizing, privatizing, and deregulating it. Proponents of neoliberalism recognize that the state is the last bulwark of protection for the common people against the predations of capital. Remove the state and they'll be left defenseless .

Think about it. Deregulation eliminates the laws. Downsizing eliminates departments and their funding. Privatizing eliminates the very purpose of the state by having the private sector take over its traditional responsibilities.

Ultimately, nation-states would dissolve except perhaps for armies and tax systems. A large, open-border global free market would be left, not subject to popular control but managed by a globally dispersed, transnational one percent. And the whole process of making this happen would be camouflaged beneath the altruistic stylings of a benign humanitarianism.

Globalists, as neoliberal capitalists are often called, also understood that democracy, defined by a smattering of individual rights and a voting booth, was the ideal vehicle to usher neoliberalism into the emerging world. Namely because democracy, as commonly practiced, makes no demands in the economic sphere. Socialism does. Communism does. These models directly address ownership of the means of production. Not so democratic capitalism. This permits the globalists to continue to own the means of production while proclaiming human rights triumphant in nations where interventions are staged.

The enduring lie is that there is no democracy without economic democracy.

What matters to the one percent and the media conglomerates that disseminate their worldview is that the official definitions are accepted by the masses. The real effects need never be known. The neoliberal ideology (theory) thus conceals the neoliberal reality (practice). And for the masses to accept it, it must be mass produced. Then it becomes more or less invisible by virtue of its universality.

#### [Mar 10, 2018] Russian oligarchs represents the US fifth column in Russia created by Harward mafia in 1990th with this explicit purpose

##### "... Just think about who can go down with Trump is such a case. It's not only Bill and Hillary. It is also a very dangerous thing to open this can of worms as "the people" might learn something that neoliberal elite does not want them to know -- specifically the USA and intelligence agencies role in creating Russian mafia and oligarchs after the dissolution of the USSR. Do you, by any chance, know such a name as Andrei Shleifer and such a term as "Harvard Mafia" ? Please Google those if you do not. ..."
###### Mar 10, 2018 | turcopolier.typepad.com

Mark Logan , 10 March 2018 at 02:05 PM

My understanding is Fusion GPS does research for both sides. Soros giving them money is entirely plausible but assuming that money equals control is a bit of a leap.

It appears to be some Russians seeking to discredit the investigation with clever BS/truthiness.

I suspect a few absurdly wealthy Russians harbor a deep fear of Mueller. They may believe he is primarily after them and they may be right. I see Mueller as an old-school lawman, and suspect he is using all this as a golden opportunity to put the hurt on some Russian mobsters, particularly in their money laundering. It would not surprise me if he hopes he will not be forced to nail Trump himself to the wall, which would drag all kinds of political noise into the trials, some of the people around Trump will be bad enough. Using some of them, at least for the moment, is unavoidable, it's the politics is the source of his mission and resources.

If only our press had the bandwidth necessary to distinguish those few Russians from ALL Russians...

likbez said in reply to Mark Logan... , 10 March 2018 at 03:43 PM
"I suspect a few absurdly wealthy Russians harbor a deep fear of Mueller."

"I see Mueller as an old-school lawman, and suspect he is using all this as a golden opportunity to put the hurt on some Russian mobsters"

Thank you ! You have such a refreshing level of naivety that I really enjoyed your posts.

How one in his sound mind can call Mueller "an old-school lawman" if one remember Mueller's role in 9/11 and anthrax investigations.

And FYI those "absurdly wealthy Russians" represents the US fifth column in Russia (as guarantors and protectors of neoliberalism in Russia; Google such a name as Chubais https://www.rusjournal.org/wp-content/uploads/2016/02/Yeltsin_Putin.pdf ) and to destroy them might not be in best USA interests. Moreover, such a move actually will be do Putin a huge favor, strengthening his hand.

As for "a golden opportunity to put the hurt on some Russian mobsters" the danger of such a brilliant move is to reveal criminal connections with Russian oligarchs (and financial oligarchs in general as you never know where the oligarch ends and the mafia boss starts) and the Democratic Party.

Just think about who can go down with Trump is such a case. It's not only Bill and Hillary. It is also a very dangerous thing to open this can of worms as "the people" might learn something that neoliberal elite does not want them to know -- specifically the USA and intelligence agencies role in creating Russian mafia and oligarchs after the dissolution of the USSR. Do you, by any chance, know such a name as Andrei Shleifer and such a term as "Harvard Mafia" ? Please Google those if you do not.

FYI Bill Clinton took a huge bribe in the form of speech fee from people very close to "Russian Mobsters" (organized crime figures should probably more correctly be called "the informal neoliberals" ;-)

There was an interesting discussion in Quora in 2016 on this topic:

https://www.quora.com/Who-paid-Bill-Clintons-2-5-million-commission-and-500-000-speaking-fee-for-brokering-the-sale-of-20-of-Americas-uranium-deposits-to-Russia

#### [Mar 10, 2018] From Yeltsin to Putin: Chubais, Liberal Pathology, and Harvard's Criminal Record

##### Highly recommended!
###### Mar 10, 2018 | www.rusjournal.org

From Yeltsin to Putin: Chubais, Liberal Pathology, and Harvard's Criminal Record

Matthew Raphael Johnson

Johnstown, PAWhen the USSR collapsed in 1990-1991, Gorbachev was incapable of handling thesituation. Boris Yeltsin came to power both bureaucratically and popularly. He was named theChief of the Presidium, but in June of 1991, he was elected in a popular election where heearned 57% of the popular vote.

With a small army of American advisers, Yeltsin began selling off Soviet era assets.The problem was that the process had nothing to do with markets. Privatization of assets wentto a handful of well-connected politicians and bureaucrats who came to control the economyas a whole.1 They had amassed a huge number of shares by 1995, and hence, the post-Sovietoligarchy was born. The fact is that the work of 70 years of Soviet labor went to the pocketsof two or three dozen people.2

The rising oligarchs could easily manipulate the court system and tax police, sincethere was no real law governing private enterprise. Russia was led to the brink of anarchy. By1998, according to a paper by Sergei Guriev and Andrei Rachinsky, the oligarchs comprisedabout 700 individuals that completely controlled Russia's economic assets.3

The Western Elites and the Ivy League as a Criminal Syndicate

In NS Leonov's book (only in Russian), The Way of the Cross: Russia from 1991-2000, he states, as the first "reform" of Yeltsin's government :

Government "reforms" that began Gaidar's privatization scam was the seizure of the savings of the people. These were taken by force, though not directly. Inflation and economic collapse made the transfer of funds easy. State control was removed from prices and the "free market" would ensure the enrichment of corruption. This was the level of cynicism the new democracy had reached, while simultaneously preaching the sanctity of private property. What did not melt away in the deliberate fleecing of the people was taken by other means. An estimate of the total taken thisway is about 300 billion rubles, and it had the proper effect: without money, rebellion was difficult. They cried out in frustration.4

Nothing was done according to democratic norms, which is odd since democracy was the buzzword that made these economic decisions seem political. At almost no time in the history of the USSR did one man, Chubais and his allies, have such total and irresponsible control over the Russian economy. When the voucher program was introduced in 1992, massive inflation resulted. Soon, each 10,000 ruble voucher was worth very little. It was rendered null regardless, since the state refused to consider the vouchers as legal tender.

1 Hoffman, D. The Oligarchs: Wealth And Power In The New Russia. Public Affairs Books, 2011 (cf esp ch12).

2 Kotz, D.M. Russia's Financial Crisis: The Failure of Neoliberalism? Z Magazine, (1998), 28-32

3 Guriev, S. and Andrei Rachinsky. The Role of Oligarchs in Russian Capitalism. Journal of EconomicPerspectives, 19(1), (2005), 131-150 http://pages.nes.ru/sguriev/papers/GurievRachinsky.pdf

4 Leonov, NS. The Way of the Cross: Russia from 1991-2000. Moscow: Russia House, 2002 (All citations aremy translations from the Russian.

Making the entire scam even more blatant, Chubais inserted a rider to the law stating that the value of the voucher would only exist until late 1993. In 1992, Yeltsin's popularity went from 50% in January to 30% in August, and from there to single digits.

By July of 1992, Chubais was hated. This led Yeltsin to limit the power of parliament, increase his executive power and totally dominate the regions. This was done with western backing and was a far greater centralization of power than Putin was later to be condemned for. He had already banned the Communist Party, helping to break his main opposition and prevent their imminent reelection in Parliament. The fraud of democracy was clearly open.

Soon Chubais and his crew stated that there was no benchmark value for any sold property. The institution in charge of this, the Russian Federal Property Fund and related agencies, therefore, began from arbitrary benchmarks. Ultimately, major firms were being sold for 1-5% of their value. Worse, some of these were defense plants, bought up by shallcompanies operates by the CIA – this was Hay's job. Therefore, scientific advances of the USSR were now entirely in American hands.

In 1992, Yeltsin did fairly well in a referendum, receiving about 50% approval, but at this date, privatization had just begun. Elections a bit later were to belie this vote. Yeltsin himself clearly had no confidence in this referendum. Having no confidence in that vote, Yeltsin then, again with western backing, banned all opposition protests in Moscow. Then, making matters worse, he signed order 1400 in September of 1993 which stripped the Congress of People's Deputies of all power. For the upcoming elections, Yeltsin passed a law saying that only 25% of voters needed to show for it to be valid. This was a means of making sure that opposition boycotts could not win. Yeltsin soon after banned the main opposition newspaper.

Russia's privatization scam was created, directed and imposed by Harvard University and carried out by two "professors" whose incompetence is rivaled only by their lack of accountability. Anatoly Chubais, probably the most hated man in Russia, was an old friend of Harvard "economist" Andrei Shleifer, who was also working with Harvard don Jonathan Hay (who according to the FSB, is CIA). Chubais, functioning as a Russian dictator since Yeltsin was not functional at the time, put the privatization scheme into Harvard's hands. Apparently having no workable knowledge of Russian life, the Harvard elite, believing themselves infallible, quickly proved their theories not only false, but directly responsible for ruining thelives of millions.5

1994-1995 was the period of the solidification of the oligarchic clans, their connection with the United States, and the complete collapse of the state. Oligarchic clans, created by Chubais, filled the vacuum with private armies, political machines and newspapers. In the US, conservative and liberal alike called this the "free market" and democracy. Vladimir Zhirinovsky, of Jewish origin and endlessly changing political positions, became the government's ace in the hole: whenever the US questioned the increasingly obvious destruction of Russia, Yeltsin would trot this clown out to make some typically outrageous statement. In 1995, it was clear that Zhirinovsky both "loved Hitler" and was "proud" of Russia's victory in the Great Patriotic War. Clearly in the pocket of Yeltsin, Zhirinovsky a)kept US aid money coming into his efforts, b) siphoned off serious criticism, c) easily associated nationalist views with this kind of rhetorical nonsense.

Chubais continued to hang onto power. Not being a Russian citizen (and yet having all that power), he clearly equated the oligarchic clans as "democracy." In Davos, 1996, he met with the heads of all the clans including Guzinsky, Berezovsky, Khodorkovsky, Friedman, Potanin and many others, and formed a political movement designed to keep nationalist and communists out of power.

5 McClintick, D. How Harvard Lost Russia. Institutional Investor, 2006. http://www.institutionalinvestor.com/Article/1020662/How-Harvard-lost-Russia.html?ArticleId=1020662&single=true#.UY7blLWG2So

This move shows that Chubais backed the oligarchs, did not consider them "unintended consequences" and sought their assistance to stay in power: All in the name of democracy.

Yeltsin, now at 3% (with the same margin of error) began to implement populist measures, but now was isolated. Winning a strangely high 33% of the vote in the 1996 elections, it can only be attributed to a) electoral fraud, or b) the fact that Gen. Alexander Lebed had been talked into entering a sort of coalition with Yeltsin. If they won, then Lebed's rival Pavel Grachev, would be history. Yeltsin won the second round with just over 50%, as the oligarchs and Chubais personally spend a small fortune bribing artists, journalists, writers and, making an even worse mockery of democracy, busing thousands of urban youth into Moscow to ensure their support.

Harvard's Sinister Role

Harvard University spent quite a bit of its money to restructure Russia. The US government sued some of them, specifically, Andrei Shleifer, for breach of contract. Many economists from Harvard worked for the State Department so as to be able to control Russia for the better. The fraud of the Russian economy was in part blamed on these advisers, whowere forced to pay more than $31 million to the US government for "conspiracy to defraud." Harvard had authored the plan that Gorbachev had requested to turn Russia into a capitalist state. This was the plan that was enacted. The Harvard Institute for International Development in Russia was the group created at Harvard and sponsored by the US government. This is what was sued over. The US government argued that the reform program was a failure, and the planners, living in America, knew it was a failure and continued to defend it – with taxpayer money. Even worse, as it turns out, Shleifer was rigging some of the auctions himself, investing his own money in firms that he knew would turn a profit, even if overseas. The US Justice Department in 2000 sued, among others, Shleifer and Hay for defrauding the US government. The Justice Department stated: The United States alleges that Defendants' actions undercut the fundamental purpose of the United States' program in Russia -- the creation of trust and confidence in the emerging Russian financial markets and the promotion of openness, transparency, the rule of law, and fair play in the development of theRussian economy and laws.6 Since they were using$40 million in taxpayer money, the cold-blooded desolation of Russia implicated the US. The civil lawsuit argued, to simplify, that Harvard's economists, especially Shleifer (and his wife), was investing taxpayer money in Russian companies about which they were giving financial advice. Harvard admitted guilt in the form of a $25 million settlement. How much of this assisted their victims in Russia is not known.7 In response to the suit, lawyers for Shleifer and his co-conspirator, Jonathan Hay, sneered to the press: "We are confident that, as the civil case unfolds, the court will confirm that the Harvard program significantly fostered Russian reform and that the government received its money's worth." As it turns out, even their lawyers did not believe this, since their defense rested, not on the denial that conflict of interest existed, but that they were never bound by such ethical rules.8 6 "United States of America, Plaintiff v. the President and Fellows of Harvard College, Andrei Shleifer, Jonathan Hay, Nancy Zimmerman, and Elizabeth Hebert, Defendants" (2000) 7 His crimes and the full nature of the lawsuit and evidence can be found here: Wedel, J. Who Taught CronyCapitalism to Russia? How Harvard and the 'U.S. Government's Aid Agency became part of the RussianProblem. The Wall Street Journal Europe, March 19, 2001 In 2005, a federal judge found Shleifer guilty of professional fraud. The disgraced "professor" paid the US government$2 million, and his wife, operating yet another scam, settled out of court for $1.5 million. Harvard paid about$10 million in legal fees to defend their role in the starvation of Russia.9

For all that, Shleifer remains a celebrated professor at Harvard and the toast of academia worldwide. His academic stock has not suffered in theleast from this. Just as puzzling, Harvard suffered no diminution in prestige. This is especially puzzling in that ivy league scandals erupt seemingly on a daily basis. This Teflon world exists partly due to the protection of former Harvard President, World Bank economist and Treasury Secretary, Lawrence Summers, also a pivotal figure in the Russian fiasco.10

Summers is partly to blame for the American sub-prime mortgage disaster since hewas pivotal in removing many of the regulatory barriers that forbade predatory lendingpractices. Therefore, the execrable Summers is the co-author of not one but two national meltdowns. Summers, after being forced to resign from Harvard based on an unrelated set of sins,11 was quickly rehired as a "professor" by the government. Then, Summers became a leading figure in Obama's economic brain trust, was soon after appointed as part of the "oversight"panel for the UN's economic programs and became a member of the Group of 30, a highlyelite and secretive organization created by the Rockefeller family.

Like Summers and Shleifer, Chubais was also handsomely rewarded for his direct role in the Russian cataclysm. He was soon placed on the board of JP Morgan, and, to no one's surprise, was granted a seat on the ultra-elite Council on Foreign Relations, another powerful conclave within the Rockefeller cult.12

Summer's career, his almost comic legacy of failure and ignorance, and the criminal impoverishment of Russia (not to mention the 2007 US meltdown) wholly destroy the "elitestatus" of places like Harvard.13 This set of scandals, largely unknown to a bewildered and exhausted American public, shows the profound and pervasive putrescence of academia, especially in the Ivy leagues. It brought into question academic tenure, unearned salaries, and the famed academic insulation from consequences arising from their theories. The Harvard civil suit and all it entails demonstrates the incompetence of those paid to implement policy and their ability to get their hands on taxpayer money. It shows a reprehensible and reckless disregard for the welfare of others that is rewarded with academic posts, social prestige, ostentatious wealth and immense power.

It might be worth mentioning that the behavior patters of Chubais conforms almost perfectly to the Triarchic diagnostic model of psychopathy as developed by Skeem, et al in 2011. First, it is typified by a pathological arrogance. The victim has full confidence that he is above the law, or that the law only applies to others. Second, the victim shows an impulsive and anti-social temper that focuses only on short term gratification based on the lowest motives. Because of these two symptoms, the victim either does not perceive or does not have any restraints on his destructive behavior. Finally, and most significantly, the victim feels no remorse for the consequences of his actions. Other criteria related to these includeparasitic behavior, superficial charm, grandiosity, ingenious criminal ideas, and assertive narcissism.14 Yeltsin, quoted in Leonov's book, called Chubais "an absolute Bolshevik by temperament and mentality." The basic consensus about Chubais' behavior is that he cared little for construction, and only for destruction.

8 Seward, Z. Harvard To Pay $26.5 Million in HIID Settlement. Crimson, July 20059 The guilty verdict and settlement issues are summarized in the Crimson article above. 10 Finucane, M "Feds Sue Harvard over Russia Advisers." ABD News; also see Wedel, Janine R. The HarvardBoys Do Russia. The Nation, 2008; and "Larry Summers, Robert Rubin: Will The Harvard Shadow EliteBankrupt The University And The Country?" The Huffington Post, Jan 2010: http://www.huffingtonpost.com/harry-r-lewis/larry-summers-robert-rubi_b_419224.html 11 These had something to do with comments about intellectual differences between men and women. That this contrived controversy erupted just as Harvard was paying off the federal government is no coincidence. 12 Levy, Ari. Summers Joins Andreessen Horowitz as a Part-Time Adviser to Entrepreneurs. Bloomberg, June2011 and Greenwald, Glenn. Larry Summers, Tim Geithner and Wall Street's ownership of government.Salon, 2009 13 As far as ivy league fraud and incompetence go, this is just one scandal out of hundreds. The political lesson of this is unfortunate: the diagnostic criteria for criminal psychopathy are precisely the qualities required for success in big business and government. Even the best intentioned politician or businessman must display some combination of thesevices in order to successfully compete in these fields. What passes as virtue in libera lcapitalism is actually an undisguised form of mental illness. Leonov speaks in more detail about his pathology: Evil lurks in Chubais' colorless eyes. He arrogantly uses his supporters in public. Assertiveness and phony composure is his cynical way. Yeltsin was seen by him as merely manageable. Yeltsin was easy to manipulate due to his unpopularity. He did not have the intellectual wherewithal to fight back. He was compliant and signed anything on cue. He saw the Duma as mere formalism that can be bypassed. In reality, he just relied on Presidential decrees. Of course, all of this in the name of democracy. Rather than deal with the fallout for the sins of others, Yeltsin did one excellent thing for Russia – appointed Vladimir Putin astemporary president on new year's eve, 1999. As was proper, Putin guaranteed Yeltsin immunity from prosecution, which meant he could no longer be used as a scapegoat. Putin, to make a long story very short, brought Russia from a GDP that was 98th in the world to 2014,where it is 8th. For the period 1991-1997, the transfer of wealth from Russia to the oligarchs was roughly$1.75 trillion. This was not "lost" to Russia, since wealth is not "lost." It merely changed hands. Under Chubais and Harvard, the economic contracted by almost 90%.

For all that, Yeltsin's party received 15% of the vote. With instructions from the US, Yeltsin, after this humiliation, created the idea of a "consensus document." The point is to create the illusion of agreement. Several western NGOs designed a position paper which supported "free market" reforms. Representatives of the new rich in Russia signed this document, which was then trumpeted as proof of social cohesion around Yeltsin.

Bernard Black et al, writing in 2009, described the devastation of this shock treatment for Russia and Ukraine in 1994:Russia's mass privatization. . . permitted insiders (managers and controlling shareholders) to engage in extensive "self" or "inside" dealing. . . which the government did nothing to control. Later privatization "auctions" were a massive giveaway of Russia's most important companies at bargain prices to a handful of well-connected "kleptocrats". . . Medium-term prospects are grim; the Russian ruble has plunged; the Russian government has defaulted on both its dollar denominated and ruble-denominated debt; most banks are bankrupt; corruption is rampant; tax revenues have collapsed; capital flight is pervasive; and the government (whomever the Prime Minister happens to be at the moment) seems clueless about what to do next.15

14 Skeem, JL, Polaschek, DLL, Patrick, CJ, and S Lilienfeld. Psychopathic Personality: Bridging the GapBetween Scientific Evidence and Public Policy. Psychological Science in the Public Interest 12 (3): 95–1622011

15 Black, et al, 1

This scheme represents one of the most luridly thoroughgoing, colossal and overwhelming failures in economic history. The role of the US government, international financial agencies and elite academia in this monumental disaster is well known. During the well publicized destruction and starvation of Russia, the British journal Euromoney named Chubais the "Worlds Greatest Finance Minister," as yet another means of displaying theelite's lack of accountability. In the Financial Times of 2004, A. Ostrovsky states "Chubais makes no excuses and feels no remorse over the most controversial privatization of all - the 'loans-for-shares' deal, in which he handed control of Russia's largest and most valuable assets to the group of tycoons [sic] in return for loans and support in the 1996 election for the then ailing Yeltsin."16

Once this became plain, the architects of the plan backed off, blaming everyone else for the issues. He writes in Foreign Affairs that the "Russian people" must vote for "democracy" in the 2000 elections. At the time, his own popularity was running about 2-3%. Hence, he did not mean "democracy" in the normal sense of the word. The real change was between 1994-1996. Here, the oligarchs were openly ruling with Yeltsin, who was often drunk and would disappear for weeks on end. It didn't matter. The oligarchs bought up most of the banks, then issued licenses to trade internationally that only they could have. As the government got desperate, the oligarchs stepped in and loaned Moscow the money to continue to function. Russian was not a "government" in any sense of the word. About 700 major families controlled almost the entire Russian economy and hence, the state as well.

The Results of the Scam

Government revenues went down by over 50% in this same time. Wages went down by about 75% by 1998. In 1992, the inflation rate was almost 1000%. Light industry, that is, the consumer sector, lost about 90% of its capital, the hardest hit sector of all. Machinery of all kinds fell by about 75%, meaning that 75% of the machines useful in the Russian economy had been liquidated (or were just not used) by 1998. The only thing that kept Russiaafloat was the black market.17

The state could no longer enforce its laws, and hence, men started not showing up for the draft. Republic after republics declared independence, to be immediately recognized by the US. So, what can we conclude here? Very few deny that Yeltsin was a failure, but a failure of the worst kind. This kind of economic destruction has never been seen before outside of warfare. Government revenues and expenditures collapsed, hence, an already bad infrastructure was made far worse. Believe it or not, from 1992-1999, the Russian government collected about $6 billion all told. Hence, the state did not function. Interest rates were high, about 300% in 1994, so credit was available only to the very rich, who controlled the (now private) central bank in the first place. Nearly everyoligarchical bank was connected with organized crime. In fact, there is no substantial difference between the oligarchs and organized crime.18 Under the oligarchs, tax collection collapsed. Industrial production went down by 25% in just a few years. By 1997, Russia had defaulted on its debts. Between 1991 and 1998,Russian GDP fell by almost 40%. Life expectancy went down from 68 to 56 years. Russians became impoverished. Money was so scarce that, by 1996, most trade was done through barter. Importantly, these oligarchs became a state within a state. Tax collection had collapsed, and the new Russia was completely broke. With the Asian meltdown in 1998, interest rates for Russian borrowing went to 300%. 19 16 Arkady Ostrovsky, Father to the Oligarchs. Financial Times, 2004. 17 Graham, Thomas. From Oligarchy to Oligarchy: The Structure of Russia's Ruling Elite. Demokratizatsiya7(3), (1997) 325-340 18 ibid Yeltsin's popularity by 1998 went to about zero. Since then, pro-western (that is, pro freemarket) parties have polled no more than 5-7% of the vote combined. Yeltsin resigned the Presidency in 1999 and appointed Vladimir Putin as president. A man of immense mental and physical strength, he sought to discipline the oligarchs, rebuild Russia and create a modern economy. As soon as Putin took office, he went after the media monopoly of Vladimir Guzinsky. Soon, numerous oil firms and banks were investigated for tax fraud. Some oligarchs fled the country, others like Mikhail Khordokovsky, ended up in prison. Attempting to split the oligarchs, playing one fraction against another, Putin's popularity soared, and Russian economic growth recovered.20 Since the meltdown in 1998, the Russian economy has gone from$1 trillion to $2.5 trillion by 2011. Growth rates remain high, and Russia enjoys both a trade and budget surplus. In the first eight years of Putin's presidency, the Russian GDP increased by over 75%. Near the end of 1993, about 18-20 billion rubles had fled the country. As 1994 dawned, the population was impoverished. Malnutrition was becoming a problem, and alcoholism was increasing, as was suicide and all manner of social pathology. By 1994, thedeputy interior minister, Vladimir Kozlov, stated that about 40% of the economy is nowcriminalized. Leonov writes, V. Polevanov [deputy prime minister at the time] notes that the total nominal valueof the voucher fund (about$1.5 trillion rubles) was 20 times less than the cost fixed assets industry, fired up for auction. One Moscow, where privatization was notcarried out on the residual and by market value, gained 20% of the enterprises 1.8 trillion rubles, while income from the rest of Russia in the first two years of privatization amounted to only $1 trillion rubles. The above argument is abstract. In this section, a case study will be analyzed in detail to show how these forces come to be, how they operate, and how they attempt to insulate themselves from its consequences. Traumatic economic events do not occur due to abstract or impersonal forces. People, very powerful people, create the conditions that destroy entire economies. Economic self-interest is the engine of these irrational policies. Economics depicts social actors and institutions as calculating machines with no identity or purpose. The result is that economics is always treated in the passive voice, which is a fundamental mystification. The Second Half of the 1990s Showing Chubais complete rejection of supporting Russian interests, Leonov writes, Soon, it became clear that Chubais committed his sins only because he was controlled by others. The real owners of Russia. In 1998, Russia was continuing to disaster, that is, total bankruptcy. At this point, even after the default, American investors finally got the message and moved their cash out of Russian securities. This strengthened the effect of the default. As he became CEO of RAO (etc), he sold to foreigners a 32% chunk of Russian energy concerns, which violated all Russian laws. This meant, of course, that foreigners now could block Russian energy policy. Chubais and his Harvard friends did not believe in their own rhetoric. Their had quickly moved into the most luxurious apartments and appointed to themselves very high salaries. Nothing about their world was based on the market principles they hypocriticallyadvocated. While advocating the rule of law, the oligarchical firms allied with Chubais werenot paying taxes; but it just so happens that the criminal code recently passed did not considerthis a crime. In 1997, there was no question that Chubais was evading taxes as well. 19 Ibid, cf esp 330-332 20 Sakwa, R. Putin and the Oligarchs. New Political Economy, 13(2) (2008): 185-191 Admitting his guilt, he paid about 500 million rubles, which was just a small amount of what he owed. His power did not diminish, but it remains a fact that no dictator in Russian history had the power that Chubais had. In the name of market reform and the rule of law,Chubais was receiving millions from shall companies for non existent services. Alexander Lebed remained the sole source of opposition to Chubais once Yeltsin sought treatment for heart illness. Chubais, realizing the general's recent spike in popularity for negotiating successfully with Chechen rebels, invented a slew of charges that the general conspired with these same militants. Chubais had become so powerful that he was no longer required to be creative. Lebed was dismissed from his post, proving that Chubais was, in fact, a dictator.21 In the name of the rule of law, Chubais made mafia gangster Boris Berezovsky "deputy director of the security council." Potanin, another underworld billionaire, was named "Deputy Prime Minister." Chubais was rubbing Russia's face in his power, typical of thepsychotic. Soon, all major television channels were in the hands of two mafia dons, Berezovsky and Guzinsky. Leonov writes: By 1996, all the financial power was concentrated in the hands of a small group of businessmen almost exclusively Jewish. It consisted of Boris Berezovsky, Vladimir Gusinsky, Alexander Smolensky, Pyotr Aven, Boris Chait, and Vitaly Malkin. Major bankers also included gentiles Potanin and Vinogradov, the only two. Since the state had collapsed, these oligarchs acted as the state treasury and profited from it. Billions continued to be looted and wound up in banks in Israel, Britain and the US. Yet, elections were coming up. An ailing Yeltsin dismissed Chernomyrdin's "government," which included Chubais. Boris Berezovsky began, in his words, to rally all the "democraticand reformist forces in Russia" to prevent his own possible dispossession. Typical of the psychotic, these men knew no limits. They began issuing high yield junk bonds, eventually promising to pay out, in some cases, 180%. Foreigners were buying these bonds to the point where almost 30% of all marketable securities of the Russian "state"were owned by outsiders. It was another scam, and the bankers refused to pay anypercentage, and even more, demanded the return of Chubais to government. Chubais quicklyflew to Washington, warning of a communist-nationalist resurgence.$6 billion was quickly given, which was never seen again.

Forming a shadow government, Russia's bankers dictated terms to Yeltsin. In their generosity, they agreed to not demand immediate debt payment from the Russian taxpayer. Yet, to punish Yeltsin, this oligarchy declared that it will reduce the sale of foreign currency. Putting downward pressure on the ruble, the oligarchs got their revenge for the tepid rebellion of Yeltsin. This is what drove the junk bonds as high as 180%; the ruble was suddenly worth nothing. In fear, Yeltsin put the banker's friend, Chernomyrdin, back in power in late summer, 1998.22

21 Ostrovsky, Arkady. Father to the Oligarchs. Financial Times, 2004

22 Russian Federation: Selected Issues 2012 International Monetary Fund IMF Country Report No. 12/218http://www.imf.org/external/pubs/ft/scr/2012/cr12218.pdf and Oliker, O, and T. Paley. Assessing Russia's

As typical of capitalist democracies, the political clique took the fall for the private sector. Yeltsin was blamed for the disaster, though his power was nil. That winter, Russia froze with millions unable to buy fuel. The perfect man was chosen for the prime ministership, Yevgeny Primakov, with no apparent beliefs of any kind. Quickly, Primakov demanded the return of Chubais and others who caused the mess, in order to repair it.

The default that August destroyed any bank not immediately under the oligarchs. GDPfell by 200-300 billion rubles. Industry was devastated. In one month, September of 1998, the average Russian income fell by over 30%. The Federation Council, too late, officially declared Chubais and crew as "negligent and incompetent." At the same time, the banking oligarchy was speculating in currency markets, making a profit estimated at the time of 5.5billion rubles in 1997.

Bill Clinton at the time cared only about the possibility of the Lebed coup. Primakov, however, began to strengthen the state as the only possibly solution to the total dissolution of Russia as a political entity. Soon, the dependable Zhirnovsky was again trotted out, with the occasional spray painted swastika to re-direct attention and create the "extremist" threat. More political groups, heretofore unknown, showed up in Moscow with strange uniforms and rallies. Gaidar was quick to link them with the communists, creating a convenient, single group for the masses to visualize.

In the midst of the meltdown, the system took advantage of the perfectly timed murder of Galina Starovoitova, a westernizing politician. 15,000 members of the opposition were rounded up and the "democratic forces" demanded emergency powers. The westenizers even created their own "nationalist" political group, "Fatherland" in order to siphon off opposition activists. In a display showing excellent acting, Yeltsin, in December of 1998, disbanded the group as a "threat" to "democracy." Of course, western Russia experts breathed a sigh of relief that "fascism" was not coming to Russia.

Solzhenitsyn refused to be a part of the charade, refusing to accept the Medal of St. Andrei from Yeltsin. A long time nationalist, Solzhenitsyn realized that in giving this award, Yeltsin was currying favor. Another misdirection was the attempted impeachment of Yeltsin in 1998, as if he was in charge of the disaster he only vaguely understood. Like the Clinton impeachment, it was an absurdity, deliberately designed to protect those with actual power (that is, the private sector) who created the disaster. The Commission decided that Yeltsin had "exceeded his power" as president, as if this is the reason why Muscovites just froze the previous winter. Using political figures to cover for the banking cartel is as old as the Medicis in Florence. Then, in another mockery of Russia, Yeltsin was blamed 100% for the disaster ofthe previous decade.23

Given all this, you are now ready to understand Putin. He came to power as Premier under Yeltsin when the latter resigned in 1999. Yeltsin's popularity rating was between 3-5%. All aid from the IMF was stolen and funneled into the hands of the oligarchs. Oil and gas firms had their profits pocketed in the same way, tax free. As Yeltsin retired, he gave many of his friends immunity from prosecution.

Putin as the Restorer of Sanity

Putin's leadership restored confidence in the currency, the state and the law. Oligarchystill exists in Russia (as elsewhere), but the monopoly position they used to wield is no more.Russian oil firms have come under the control, though not the ownership, of the state, sinceoligarchs were planning on selling assets to Exxon-Mobil, which led to the "KhordokovskyDecline. The Rand Corporation, 2002http://www.rand.org/content/dam/rand/pubs/monograph_reports/2007/MR1442.pdf23 Guriev, S. and Andrei Rachinsky (2005). The Role of Oligarchs in Russian Capitalism. Journal of EconomicPerspectives, 19(1), (2005) 131-150 http://pages.nes.ru/sguriev/papers/GurievRachinsky.pdfaffair." Mikhail Khordokovshy was an oligarch who controlled YUKOS, one of Russia's mostpowerful oil firms. In the interest of national security, Putin placed Khordokovsky under arrest. He was indeed guilty of tax evasion, but his plans to see Russian strategic assets to Americans was too much for Putin to stomach. The more oligarchs Putin put in jail, the more popular he becomes.

Putin's policy has been to tread softly, taking on only the most powerful and obnoxious of the oligarchs. He has made strategic alliances with some in order to intimidate others While Russia has been rebuilt and the state became powerful, the oligarchs still have fight left in them, and Putin acts cautiously. Putin's basic approach has been to guide investment and control the flow of investment funds so they benefit Russia, not the oligarchy. The state does not own the economy, but it does oversee it. The oligarchy gave Putin no other choice.

The oligarchs financed all of Yeltsin's election campaigns and public image in Russia at the time. The point was to keep Yeltsin in power long enough so that the oligarchs could get their cash out of the country. They knew that eventually, a popular government would punish them. Putin, to a great extent, was this punishment.

Putin created an entirely new Russian government, when local districts under his control. Needless to say, the regional governments had been bought, and Putin could have no dealings with them. Some of them even had their own foreign policy! All those sent to govern the regions were from the security services or the army. This was no accident. Putin restructured the Upper House (the Federation Council) so as to permit his government to have a say in who gets appointed to it. 24

Putin insisted that local law must be consistent with federal law. This is because local leaders were creating their own countries, and this could not stand. Putin then permitted oligarchs and their puppets to be tried as violators of the constitution. Let me give you one example. In 2003, the oligarch Mikhail Khodorkovsky had taken over the Russian oil giant Yukos. Now, Putin got intelligence that Khodorkovsky was planning on entering intobusiness with Exxon-Mobil, permitting their penetration into the Russian market. Realizing this was a security threat (which it was, since it would mean that Exxon would control much of Russia's oil), he had Khodorkovsky arrested. Is list of crimes was well known, but the stategot him on taxes, which was a no-brainier. Putin was immediately attacked or "authoritarianism" by the press in the west.

So why does the west heap abuse on this man?

He reformed the tax code, putting in place a 13% flat tax on all income and investments. About half of regional prosecutors were removed from their positions due toe xtreme corruption. All Russians knew that already. He quickly ended the war in Chechnya, making sure a Chechen, pro-Russian government was put in charge.

He brought together the top 13 oligarchical families to a conference he organized. He told them that their rule was over. He forced them to pay millions in back taxes to the state, and to create several important charitable funds with their stolen money.

He was going to use the state to pressure their media into being more objective, pro-Russian and pro-state. Since the oligarchs controlled the press, it made sense that this had to be fought. To call this "assaulting press freedom" is absurd.

He realized that the political opposition in Russia was created by the oligarchy. Hence, there was no actual party development. Few parties had an agenda (except the communists, who did well), and these were mostly personal vehicles for their founders.

Putin also shifted investment away from oil and towards higher end items. This was needed to diversify the economy. The judiciary is independent. Today, about 70% of people who sue the state for various reasons win. Putin also introduced the jury.25

24 Sakwa, R. Putin and the Oligarchs. New Political Economy, 13(2), (2008), 185-191

It's tough to argue with Putin's success:

Labor productivity grew 49 percent 1995-2005, ranging from a 23 percent improvement in retailing to a 73 percent rise in construction. Total factor productivity grew by 5.8 percent per year, and the World Bank estimates that only one third of that increase came from increased capacity utilization. Firm turnover (i.e. the exit of inefficient firms and the entry of new ones) accounts for half the total improvement. Stock market capitalization rose to 44 percent of GDP by 2005, while the RTS index went from 300 in 2000 to 2,360 in December 2007.

In September 2006 the market capitalization of the 200 biggest firms was $833 billion (one third of which was Gazprom). The percent of the population living in poverty fell from 38 percent in 19998 to 9.5 percent in 2004, and the share of family budgets spent on food fell from 73% in 1992to 54% in 2004. The only macroeconomic indicator that gives cause for concern is inflation, which dropped from 20 percent in 2000 to 9 percent in2006, before creeping back up to 11-12 percent level.26 Now, "market capitalization" and other such elite measures are not the whole story. They can exist with an economy failing in other respects. However, before wealth can b eredistributed, it has to exist. Accumulating what can then be redistributed are what these numbers are telling us. Given all this, however, it should come as no surprise that those who are condemning Putin today backed the privatization deals 20 years ago. W. Thompson, writing in the Guardian in the Summer of 2003, states: Fiscal consolidation has probably contributed more than any other single factor to restoring the authority and legitimacy of the formerly bankrupt state. Exceptionally favorable economic circumstances account for much of this improvement, but so also do better expenditure management, the reform of tax legislation and more efficient administration. The state's rule-making capacity has also grown markedly. Unlike Yeltsin, Putin has a compliant parliament and presides over a government that, for all its internal divisions, is not riven by the factional conflicts that marked the 1990s. The result has been a flood of new legislation, much of it directly concerned with state reconstruction.27 Thompson speaks the truth. "Exceptionally favorable economic circumstances "can not cause national success. They do not in Ukraine, much of Africa or Detroit. They must be identified and utilized with substantial skill. Circumstances, of themselves, tell us nothing. The "compliant parliament" exists because of Putin's popularity, though Thomas seems to suggest that such legislative cooperation is required in times of emergency. Worried about bureaucratic corruption, Putin passed several laws limiting the discretionary power of federal agencies. Reform has reduced corruption, endemic at onepoint. Business is much easier to accomplish. Putin's reelection numbers roughly mirror his popularity in the country, and his opposition, backed by the US, has no agenda whatsoever. 25 Lavelle, P Putin's "Authoritarianism" vs. the "Commentariat". Commentary, 2004ahttp://www.futurebrief.com/peterlavelle004.asp and Lavelle, P Russia's Economic Future. Commentary,2004 http://www.futurebrief.com/peterlavelle.asp 26 Rutland, P. Putin's Economic Record. Wesleyan University, CT, 2008 27 Thompson, W. Putin's Success. The Guardian; June 2003 http://www.guardian.co.uk/world/2003/jun/08/russia.theworldtodayessays They simply want more Yeltsinism. As of January 1 of this 2013, Russia's anti-bribery legislation is the toughest in the world. In Russia, about 92% of American businesses think that Russian investment is a good thing, and that Russia is a decent place to do business. The IMF has stated that part of Putin's success is is utilization of capital that was left idle. Utilization of the country's resources has increased from about 50% in 2000 to over 76% today. But in order to do this, he needed to destroy the power of the oligarchs at the regional level. Conclusion The simple fact is that Putin's authoritarianism was forced upon him. He did use a heavy hand, but not nearly as heavy as Yeltsin. He realized that it was either a strong hand or chaos. As the state has been rebuilt, so have oversight bodies empowered to check it'sbehavior. Putin launched a bunch of commissions to look into corruption in different areas o the country, knowing full well that his popularity is based on that, plus economic growth.Putin needed to increase the potential of the state before the state itself could grow. Hence,the reformation of all police agencies gave them a direct line to the Kremlin, but, by 2002,crime was still rife. Now, all that has changed. It makes sense to call Putin a reaction to Yeltsin, chaos and oligarchy. His policies make no sense without the background. Things appear differently when contrasted with the free-fall collapse of the Yeltsin years. Putin then did two things: first, to build up the rudiments of a new state, one that can permit business to thrive and destroy oligarchy. He needed a new law code, more centralized structures and an end to regional independence. Second, he was to create a new macroeconomic structure, with strong fiscal and oversight measures. Russia now runs a trade and budget deficit. He then stabilized the currency. Once economic growth took off, he tried to get as much money out of foreign banks as possible. He first backed big business (for the sake of growth), then shifted more recently to backing smaller business. He then engaged in education and pension reform. He turned Russia to the east, allying with China to cooperate in their tremendous economic growth. It is easy to forget that all that Putin is "blamed" for was suggested by western elites for Yeltsin. Liberal democracy in the eastern bloc has, without exception, merely been a cover for the most cynical sort of exploitation. In the name of "democracy" the eastern bloc melted into the bank accounts of both foreign and local elites. Warlords developed with private armies that, in the 1990s, were the subject of some journalistic treatment. A Russia in collapse is far more dangerous for the west than anything Putin has dreamed about. Rationally, the enforced, rehearsed and studied contempt of Putin can only exist because the west had other plans for Russia, as a hinterland for cheap, educated labor and resources. Western collapse is assured precisely because Russia is not prostrate and under the thumb of Exxon-Mobil. Putin will have the last laugh, which, when the smoke clears, is the only real cause of the west's irrational hatred. ... ... ... #### [Dec 19, 2017] Do not Underestimate the Power of Microfoundations ##### Highly recommended! ##### Nice illustration of ideologically based ostrakism as practiced in Academia: "Larry [Summers] leaned back in his chair and offered me some advice. I had a choice. I could be an insider or I could be an outsider. Outsiders can say whatever they want. But people on the inside don't listen to them. Insiders, however, get lots of access and a chance to push their ideas. People - powerful people - listen to what they have to say. But insiders also understand one unbreakable rule: they don't criticize other insiders." ##### Notable quotes: ##### "... A more probable school of thought is that this game was created as a con and a cover for the status quo capitalist establishment to indulge themselves in their hard money and liquidity fetishes, consequences be damned. ..." ##### "... The arguments over internal and external consistency of models is just a convenient misdirection from what policy makers are willing to risk and whose interests they are willing to risk policy decisions for ..." ##### "... Mathematical masturbations are just a smoke screen used to conceal a simple fact that those "economists" are simply banking oligarchy stooges. Hired for the specific purpose to provide a theoretical foundation for revanschism of financial oligarchy after New Deal run into problems. Revanschism that occurred in a form of installing neoliberal ideology in the USA in exactly the same role which Marxism was installed in the USSR. With "iron hand in velvet gloves" type of repressive apparatus to enforce it on each and every university student and thus to ensure the continues, recurrent brainwashing much like with Marxism on the USSR universities. ..." ##### "... To ensure continuation of power of "nomenklatura" in the first case and banking oligarchy in the second. Connections with reality be damned. Money does not smell. ..." ##### "... Economic departments fifth column of neoliberal stooges is paid very good money for their service of promoting and sustaining this edifice of neoliberal propaganda. Just look at Greg Mankiw and Rubin's boys. ..." ##### "... "Larry [Summers] leaned back in his chair and offered me some advice. I had a choice. I could be an insider or I could be an outsider. Outsiders can say whatever they want. But people on the inside don't listen to them. Insiders, however, get lots of access and a chance to push their ideas. People - powerful people - listen to what they have to say. But insiders also understand one unbreakable rule: they don't criticize other insiders." ..." ###### Apr 04, 2015 | Economist's View Darryl FKA Ron -> pgl... At the risk of oversimplifying might it not be as simple as stronger leanings towards IS-LM and kind are indicative of a bias towards full employment and stronger leanings towards DSGE, microfoundations, and kind are indicative of a bias towards low inflation? IN general I consider over-simplification a fault, if and only if, it is a rigidly adhered to final position. This is to say that over-simplification is always a good starting point and never a good ending point. If in the end your problem was simple to begin with, then the simplified answer would not be OVER-simplified anyway. It is just as bad to over-complicate a simple problem as it is to over-simplify a complex problem. It is easier to build complexity on top of a simple foundation than it is to extract simplicity from a complex foundation. A lot of the Chicago School initiative into microfoundations and DSGE may have been motivated by a desire to bind Keynes in a NAIRU straight-jacket. Even though economic policy making is largely done just one step at a time then that is still one step too much if it might violate rentier interests. Darryl FKA Ron -> Barry... There are two possible (but unlikely) schools of (generously attributed to as) thought for which internal consistency might take precedence over external consistency. One such school wants to consider what would be best in a perfect world full of perfect people and then just assume that is best for the real world just to let the chips fall where they may according to the faults and imperfections of the real world. The second such school is the one whose eyes just glaze over mesmerized by how over their heads they are and remain affraid to ask any question lest they appear stupid. A more probable school of thought is that this game was created as a con and a cover for the status quo capitalist establishment to indulge themselves in their hard money and liquidity fetishes, consequences be damned. Richard H. Serlin Consistency sounds so good, Oh, of course we want consistency, who wouldn't?! But consistent in what way? What exactly do you mean? Consistent with reality, or consistent with people all being superhumans? Which concept is usually more useful, or more useful for the task at hand? Essentially, they want models that are consistent with only certain things, and often because this makes their preferred ideology look far better. They want models, typically, that are consistent with everyone in the world having perfect expertise in every subject there is, from finance to medicine to engineering, perfect public information, and perfect self-discipline, and usually on top, frictionless and perfectly complete markets, often perfectly competitive too. But a big thing to note is that perfectly consistent people means a level of perfection in expertise, public information, self-discipline, and "rationality", that's extremely at odds with how people actually are. And as a result, this can make the model extremely misleading if it's interpreted very literally (as so often it is, especially by freshwater economists), or taken as The Truth, as Paul Krugman puts it. You get things like the equity premium "puzzle", which involves why people don't invest more in stocks when the risk-adjusted return appears to usually be so abnormally good, and this "puzzle" can only be answered with "consistency", that people are all perfectly expert in finance, with perfect information, so they must have some mysterious hidden good reason. It can't be at all that it's because 65% of people answered incorrectly when asked how many reindeer would remain if Santa had to lay off 25% of his eight reindeer ( http://richardhserlin.blogspot.com/2013/12/surveys-showing-massive-ignorance-and.html ). Yes, these perfect optimizer consistency models can give useful insights, and help to see what is best, what we can do better, and they can, in some cases, be good as approximations. But to say they should be used only, and interpreted literally, is, well, inconsistent with optimal, rational behavior -- of the economist using them. Richard H. Serlin -> Richard H. Serlin... Of course, unless the economist using them is doing so to mislead people into supporting his libertarian/plutocratic ideology. dilbert dogbert As an old broken down mech engineer, I wonder why all the pissing and moaning about micro foundations vs aggregation. In strength of materials equations that aggregate properties work quite well within the boundaries of the questions to be answered. We all know that at the level of crystals, materials have much complexity. Even within crystals there is deeper complexities down to the molecular levels. However, the addition of quantum mechanics adds no usable information about what materials to build a bridge with. But, when working at the scale of the most advanced computer chips quantum mechanics is required. WTF! I guess in economics there is no quantum mechanics theories or even reliable aggregation theories. Poor economists, doomed to argue, forever, over how many micro foundations can dance on the head of a pin. RGC -> dilbert dogbert... Endless discussions about how quantum effects aggregate to produce a material suitable for bridge building crowd out discussions about where and when to build bridges. And if plutocrats fund the endless discussions, we get the prominent economists we have today. Darryl FKA Ron -> dilbert dogbert... "...I guess in economics there is no quantum mechanics theories or even reliable aggregation theories..." [I guess it depends upon what your acceptable confidence interval on reliability is. Most important difference that controls all the domain differences between physical science and economics is that underlying physical sciences there is a deterministic methodology for which probable error is merely a function of the inaccuracy in input metrics WHEREAS economics models are incomplete probabilistic estimating models with no ability to provide a complete system model in a full range of circumstances. YOu can design and build a bridge to your load and span requirements with alternative models for various designs with confidence and highly effective accuracy repeatedly. No ecomomic theory, model, or combination of models and theories was ever intended to be used as the blueprint for building an economy from the foundation up. With all the formal trappings of economics the only effective usage is to decide what should be done in a given set of predetermined circumstance to reach some modest desired effect. Even that modest goal is exposed to all kinds of risks inherent in assumptions, incomplete information, externalities, and so on that can produce errors of uncertain potential bounds. Nonetheless, well done economics can greatly reduce the risks encountered in the random walk of economics policy making. So much so is this true, that the bigger questions in macro-economics policy making is what one is willing to risk and for whom. The arguments over internal and external consistency of models is just a convenient misdirection from what policy makers are willing to risk and whose interests they are willing to risk policy decisions for.] Darryl FKA Ron -> Peter K.... unless you have a model which maps the real world fairly closely like quantum mechanics. [You set a bar too high. Macro models at best will tell you what to do to move the economy in the direction that you seek to go. They do not even ocme close to the notion of a theory of everything that you have in physics, even the theory of every little thing that is provided by quantum mechanics. Physics is an empty metaphor for economics. Step one is to forgo physics envy in pursuit of understanding suitable applications and domain constraints for economics models. THe point is to reach a decision and to understand cause and effect directions. All precision is in the past and present. The future is both imprecise and all that there is that is available to change. For the most part an ounce of common sense and some simple narrative models are all that are essential for making those policy decisions in and of themselves. HOWEVER, nation states are not ruled by economist philosopher kings and in the process of concensus decision making by (little r)republican governments then human language is a very imprecise vehicle for communicating logic and reason with respect to the management of complex systems. OTOH, mathematics has given us a universal language for communicating logic and reason that is understood the same by everyone that really understands that language at all. Hence mathematical models were born for the economists to write down their own thinking in clear precise terms and check their own work first and then share it with others so equipped to understand the language of mathematics. Krugman has said as much many times and so has any and every economist worth their salt.] likbez -> Syaloch... I agree with Pgl and PeterK. Certain commenters like Darryl seem convinced that the Chicago School (if not all of econ) is driven by sinister, class-based motives to come up justifications for favoring the power elite over the masses. But based on what I've read, it seems pretty obvious that the microfoundation guys just got caught up in their fancy math and their desire to produce more elegant, internally consistent models and lost sight of the fact that their models didn't track reality. That's completely wrong line of thinking, IMHO. Mathematical masturbations are just a smoke screen used to conceal a simple fact that those "economists" are simply banking oligarchy stooges. Hired for the specific purpose to provide a theoretical foundation for revanschism of financial oligarchy after New Deal run into problems. Revanschism that occurred in a form of installing neoliberal ideology in the USA in exactly the same role which Marxism was installed in the USSR. With "iron hand in velvet gloves" type of repressive apparatus to enforce it on each and every university student and thus to ensure the continues, recurrent brainwashing much like with Marxism on the USSR universities. To ensure continuation of power of "nomenklatura" in the first case and banking oligarchy in the second. Connections with reality be damned. Money does not smell. Economic departments fifth column of neoliberal stooges is paid very good money for their service of promoting and sustaining this edifice of neoliberal propaganda. Just look at Greg Mankiw and Rubin's boys. But the key problem with neoliberalism is that the cure is worse then disease. And here mathematical masturbations are very handy as a smoke screen to hide this simple fact. likbez -> likbez... Here is how Rubin's neoliberal boy Larry explained the situation to Elizabeth Warren: "Larry [Summers] leaned back in his chair and offered me some advice. I had a choice. I could be an insider or I could be an outsider. Outsiders can say whatever they want. But people on the inside don't listen to them. Insiders, however, get lots of access and a chance to push their ideas. People - powerful people - listen to what they have to say. But insiders also understand one unbreakable rule: they don't criticize other insiders." Elizabeth Warren, A Fighting Chance Syaloch -> likbez... Yeah, case in point. #### [Dec 19, 2017] Many in Russia believe that the US Treasury pushed Washington Consensus policies to weaken their country. The deep corruption of the Harvard University team chosen to "help" Russia in its transition, described in a detailed account published in 2006 by Institutional Investor, reinforced these beliefs. ##### Was it intelligence operation run by US and GB agencies with Harward economists as puppets? ##### Notable quotes: ##### "... Just look at what the West did to Iraq. Like Stiglitz I think it is more incompetence and ideology than a sinister plan to destroy Iraq and Russia. And we are reaping the results of that incompetence. ..." ##### "... "Too much [neo]liberal swamp gas" ..." ###### Dec 19, 2017 | economistsview.typepad.com Peter K. , April 03, 2017 at 01:31 PM PGL puts the blame on Yeltsin and this is what Stiglitz writes: "I believe what we are confronting is partly the legacy of the flawed Washington Consensus that shaped Russia's transition. This framework's influences was reflected in the tremendous emphasis reformers placed on privatization, no matter how it was done, with speed taking precedence over everything else, including creating the institutional infrastructure needed to make a market economy work." Larry Summers and Jeffrey Sachs were involved in this. It would be nice if they wrote mea culpas. "Many in Russia believe that the US Treasury pushed Washington Consensus policies to weaken their country. The deep corruption of the Harvard University team chosen to "help" Russia in its transition, described in a detailed account published in 2006 by Institutional Investor, reinforced these beliefs. I believe the explanation was less sinister: flawed ideas, even with the best of intentions, can have serious consequences. And the opportunities for self-interested greed offered by Russia were simply too great for some to resist. Clearly, democratization in Russia required efforts aimed at ensuring shared prosperity, not policies that led to the creation of an oligarchy." Just look at what the West did to Iraq. Like Stiglitz I think it is more incompetence and ideology than a sinister plan to destroy Iraq and Russia. And we are reaping the results of that incompetence. 2008 was also incompetence, greed and ideology not some plot to push through "shock doctrines." If the one percent were smart they would slowly cook the frog in the pot, where the frog doesn't notice, instead of having these crises which backfire. pgl -> Peter K.... , April 03, 2017 at 04:30 PM Nice cherry picking especially for someone who never read his chapter 5 of that great 1997 book. libezkova -> pgl... , April 03, 2017 at 10:40 PM The book is great, the article is junk. As Paine aptly said (in best Mark Twain style): "Too much [neo]liberal swamp gas" #### [Dec 19, 2017] Illiberal stagnation: Russia transition by Joseph E Stiglitz ##### Petty neoliberal bastard Joseph ;-) ... ##### Notable quotes: ##### "... I believe what we are confronting is partly the legacy of the flawed Washington Consensus that shaped Russia's transition. ..." ##### "... This framework's influences was reflected in the tremendous emphasis reformers placed on privatization, no matter how it was done, with speed taking precedence over everything else, including creating the institutional infrastructure needed to make a market economy work.... ..." ##### "... Once one of the world's two superpowers, Russia's GDP is now about 40% of Germany's and just over 50% of France's. Life expectancy at birth ranks 153rd in the world, just behind Honduras and Kazakhstan. ..." ##### "... My impression is that Andrei Shleifer was a marionette, a low level pawn in a big game. The fact that he was a greedy academic scum, who tried to amass a fortune in Russia probably under influence of his wife (his wife, a hedge fund manager, was GS alumnae and was introduced to him by Summers) is peripheral to the actual role he played. ..." ##### "... Jeffey Sacks also played highly negative role being the architect of "shock therapy": the sudden release of price and currency controls, withdrawal of state subsidies, and immediate trade liberalization within a country, usually also including large-scale privatization of previously public-owned assets. ..." ##### "... In other words "shock therapy" = "economic rape" ..." ##### "... "Many in Russia believe that the US Treasury pushed Washington Consensus policies to weaken their country. The deep corruption of the Harvard University team chosen to "help" Russia in its transition, described in a detailed account published in 2006 by Institutional Investor, reinforced these beliefs." ..." ##### "... This was not a corruption. This was the intent on Clinton administration. I would think about it as a planned operation. ..." ##### "... The key was that the gangster capitalism model was enforced by the Western "Washington consensus" (of which IMF was an integral part) -- really predatory set of behaviors designed to colonize Russia and make is US satellite much like Germany became after WWII but without the benefit of Marshall plan. ..." ##### "... My impression is that Clinton was and is a criminal. And he really proved to be a very capable mass murderer. And his entourage had found willing sociopaths within Russian society (as well as in other xUUSR republics; Ukraine actually fared worse then Russia as for the level of plunder) who implemented neoliberal policies. Yegor Gaidar was instrumental in enforcing Harvard-designed "shock therapy" on Russian people. He also create the main neoliberal party in Russia -- the Democratic Choice of Russia - United Democrats. Later in 1990s, it became the Union of Right Forces. ..." ##### "... Questionable figures from the West flowed into Russia and tried to exploit still weak law system by raiding the companies. Some of them were successful and amassed huge fortunes. Some ended being shot. Soros tried, but was threatened to be shot by Berezovsky and choose to leave for the good. ..." ##### "... It may eventually prove to be generous to describe Russia's misfortune as "the legacy of the flawed Washington Consensus that shaped Russia's transition" according to Stiglitz. It may prove rather to be "the legacy of *intentionally* flawed consensus". ..." ##### "... It was done according to the "expert" advice of deregulatin' Larry's gang from Harvard. ..." ##### "... Does deregulatin' Larry still have a job? Why? ..." ##### "... Yes PGL blames Yeltsin but it was the Western advisers who forced disastrous shock therapy on Russia. See the IMF, Europe and Greece for another example. No doubt PGL blames the Greeks. He always blames the victims. ..." ##### "... Suppose though the matter with privatization is not so much speed but not understanding what should not be subject to privatizing, such as soft and hard infrastructure. ..." ##### "... The persuasiveness of the Washington Consensus approach to development strikes me as especially well illustrated by the repeated, decades-long insistence by Western economists that Chinese development is about to come to a crashing end. The insistence continues with an almost daily repetition in the likes of The Economist or Financial Times. ..." ###### Apr 03, 2017 | www.project-syndicate.org April 2, 2017 Illiberal stagnation: Russia transition by Joseph E Stiglitz I believe what we are confronting is partly the legacy of the flawed Washington Consensus that shaped Russia's transition. This framework's influences was reflected in the tremendous emphasis reformers placed on privatization, no matter how it was done, with speed taking precedence over everything else, including creating the institutional infrastructure needed to make a market economy work.... ... ... ... Once one of the world's two superpowers, Russia's GDP is now about 40% of Germany's and just over 50% of France's. Life expectancy at birth ranks 153rd in the world, just behind Honduras and Kazakhstan. pgl , April 03, 2017 at 09:52 AM Stiglitz returns to the issue of why post Soviet Union Russia has done so poorly in terms of economics: "In terms of per capita income, Russia now ranks 73rd (in terms of purchasing power parity) – well below the Soviet Union's former satellites in Central and Eastern Europe. The country has deindustrialized: the vast majority of its exports now come from natural resources. It has not evolved into a "normal" market economy, but rather into a peculiar form of crony-state capitalism . Many had much higher hopes for Russia, and the former Soviet Union more broadly, when the Iron Curtain fell. After seven decades of Communism, the transition to a democratic market economy would not be easy. But, given the obvious advantages of democratic market capitalism to the system that had just fallen apart, it was assumed that the economy would flourish and citizens would demand a greater voice. What went wrong? Who, if anyone, is to blame? Could Russia's post-communist transition have been managed better? We can never answer such questions definitively: history cannot be re-run. But I believe what we are confronting is partly the legacy of the flawed Washington Consensus that shaped Russia's transition. This framework's influences was reflected in the tremendous emphasis reformers placed on privatization, no matter how it was done, with speed taking precedence over everything else, including creating the institutional infrastructure needed to make a market economy work. Fifteen years ago, when I wrote Globalization and its Discontents, I argued that this "shock therapy" approach to economic reform was a dismal failure. But defenders of that doctrine cautioned patience: one could make such judgments only with a longer-run perspective. Today, more than a quarter-century since the onset of transition, those earlier results have been confirmed, and those who argued that private property rights, once created, would give rise to broader demands for the rule of law have been proven wrong. Russia and many of the other transition countries are lagging further behind the advanced economies than ever. GDP in some transition countries is below its level at the beginning of the transition." Stiglitz is not saying markets cannot work if the rules are properly constructed. He is saying that the Yeltsin rules were not as they were crony capitalism at their worse. And it seems the Putin rules are not much better. He mentions his 1997 book which featured as chapter 5 "Who Lost Russia". It still represents an excellent read. RGC -> pgl... , April 03, 2017 at 10:11 AM "Shleifer also met his mentor and professor, Lawrence Summers, during his undergraduate education at Harvard. The two went on to be co-authors, joint grant recipients, and faculty colleagues.[5] During the early 1990s, Andrei Shleifer headed a Harvard project under the auspices of the Harvard Institute for International Development (HIID) that invested U.S. government funds in the development of Russia's economy. Schleifer was also a direct advisor to Anatoly Chubais, then vice-premier of Russia, who managed the Rosimushchestvo (Committee for the Management of State Property) portfolio and was a primary engineer of Russian privatization. Shleifer was also tasked with establishing a stock market for Russia that would be a world-class capital market.[14] In 1996 complaints about the Harvard project led Congress to launch a General Accounting Office investigation, which stated that the Harvard Institute for International Development (HIID) was given "substantial control of the U.S. assistance program."[15] In 1997, the U.S. Agency for International Development (USAID) canceled most of its funding for the Harvard project after investigations showed that top HIID officials Andre Schleifer and Johnathan Hay had used their positions and insider information to profit from investments in the Russian securities markets. Among other things, the Institute for a Law Based Economy (ILBE) was used to assist Schleifer's wife, Nancy Zimmerman, who operated a hedge fund which speculated in Russian bonds.[14] In August 2005, Harvard University, Shleifer and the Department of Justice reached an agreement under which the university paid$26.5 million to settle the five-year-old lawsuit. Shleifer was also responsible for paying $2 million worth of damages, though he did not admit any wrongdoing https://en.wikipedia.org/wiki/Andrei_Shleifer RGC -> RGC... , April 03, 2017 at 10:26 AM Awards: John Bates Clark Medal (1999) "He has held a tenured position in the Department of Economics at Harvard University since 1991 and was, from 2001 through 2006, the Whipple V. N. Jones Professor of Economics." libezkova said in reply to RGC... , April 03, 2017 at 08:18 PM My impression is that Andrei Shleifer was a marionette, a low level pawn in a big game. The fact that he was a greedy academic scum, who tried to amass a fortune in Russia probably under influence of his wife (his wife, a hedge fund manager, was GS alumnae and was introduced to him by Summers) is peripheral to the actual role he played. Jeffey Sacks also played highly negative role being the architect of "shock therapy": the sudden release of price and currency controls, withdrawal of state subsidies, and immediate trade liberalization within a country, usually also including large-scale privatization of previously public-owned assets. In other words "shock therapy" = "economic rape" As Anne Williamson said: "Instead, after robbing the Russian people of the only capital they had to participate in the new market – the nation's household savings – by freeing prices in what was a monopolistic economy and which delivered a 2500% inflation in 1992, America's "brave, young Russian reformers" ginned-up a development theory of "Big Capitalism" based on Karl Marx's mistaken edict that capitalism requires the "primitive accumulation of capital". Big capitalists would appear instantly, they said, and a broadly-based market economy shortly thereafter if only the pockets of pre-selected members of their own ex-Komsomol circle were properly stuffed. Those who hankered for a public reputation were to secure the government perches from which they would pass state assets to their brethren in the nascent business community, happy in the knowledge that they too would be kicked back a significant cut of the swag. The US-led West accommodated the reformers' cockeyed theory by designing a rapid and easily manipulated voucher privatization program that was really only a transfer of title and which was funded with$325 million US taxpayers' dollars. "

libezkova said in reply to RGC... , April 03, 2017 at 07:51 PM
From the article:

"Many in Russia believe that the US Treasury pushed Washington Consensus policies to weaken their country. The deep corruption of the Harvard University team chosen to "help" Russia in its transition, described in a detailed account published in 2006 by Institutional Investor, reinforced these beliefs."

This was not a corruption. This was the intent on Clinton administration. I would think about it as a planned operation.

The key was that the gangster capitalism model was enforced by the Western "Washington consensus" (of which IMF was an integral part) -- really predatory set of behaviors designed to colonize Russia and make is US satellite much like Germany became after WWII but without the benefit of Marshall plan.

Clinton consciously chose this criminal policy among alternatives: kick the lying body. So after Russian people get rid of corrupt and degraded Communist regime, they got under the iron hill of US gangsters from Clinton administration.

My impression is that Clinton was and is a criminal. And he really proved to be a very capable mass murderer. And his entourage had found willing sociopaths within Russian society (as well as in other xUUSR republics; Ukraine actually fared worse then Russia as for the level of plunder) who implemented neoliberal policies. Yegor Gaidar was instrumental in enforcing Harvard-designed "shock therapy" on Russian people. He also create the main neoliberal party in Russia -- the Democratic Choice of Russia - United Democrats. Later in 1990s, it became the Union of Right Forces.

http://www.vdare.com/posts/the-rape-of-russia-explained-by-anne-williamson

== quote ==

Testimony of Anne Williamson

Before the Committee on Banking and Financial Services of the United States House of Representatives

September 21, 1999

In the matter before us – the question of the many billions in capital that fled Russia to Western shores via the Bank of New York and other Western banks – we have had a window thrown open on what the financial affairs of a country without property rights, without banks, without the certainty of contract, without an accountable government or a leadership decent enough to be concerned with the national interest or its own citizens' well-being looks like. It's not a pretty picture, is it? But let there be no mistake, in Russia the West has truly been the author of its own misery. And there is no mistake as to who the victims are, i.e. Western, principally U.S., taxpayers and Russian citizens' whose national legacy was stolen only to be squandered and/or invested in Western real estate and equities markets

... ... ...
== end of quote ==

A lot of people, especially pensioners, died because of Clinton's gangster policies in xUUSR space.

I am wondering how Russian managed to survive as an independent country. The USA put tremendous efforts and resources in destruction of Russian economy and colonizing its by creating "fifth column" on neoliberal globaliozation.

all those criminal oligarchs hold moved their capitals to the West as soon as they can because they were afraid of the future. Nobody persecuted them and Western banks helped to extract money from Russia to the extent that some of their methods were clearly criminals.

Economic devastation was comparable with caused by Nazi armies, although amount of dead was less, but also in millions.

Questionable figures from the West flowed into Russia and tried to exploit still weak law system by raiding the companies. Some of them were successful and amassed huge fortunes. Some ended being shot. Soros tried, but was threatened to be shot by Berezovsky and choose to leave for the good.

Especially hard hit was military industrial complex, which was oversized in any case, but which was an integral part of Soviet economy and employed many highly qualified specialists. Many of whom later emigrated to the West. At some point it was difficult to find physics department in the US university without at least a single person from xUSSR space (not necessary a Russian)

paine -> DrDick ... , April 03, 2017 at 04:22 PM
Too much liberal swamp gas
libezkova said in reply to paine... , April 03, 2017 at 09:33 PM
"Too much [neo]liberal swamp gas"

this is almost Mark Twain's level quote :-).

anne -> paine... , April 03, 2017 at 06:20 PM
But I would conjecture the Deng path trumps the Yeltsin path

[ Really? Would the conjecture rest on growth of real Gross Domestic Product in China averaging 9.6% yearly while growth of real per capita GDP averaged 8.6% yearly these last 40 years? ]

anne -> anne... , April 03, 2017 at 06:22 PM
https://fred.stlouisfed.org/graph/?g=cacK

August 4, 2014

Real per capita Gross Domestic Product for China and Russia, 1990-2015

(Percent change)

August 4, 2014

Real per capita Gross Domestic Product for China and Russia, 1990-2015

(Indexed to 1990)

anne -> anne... , April 03, 2017 at 06:27 PM
https://fred.stlouisfed.org/graph/?g=cacQ

November 1, 2014

Total Factor Productivity at Constant National Prices for China and Russia, 1990-2014

November 1, 2014

Total Factor Productivity at Constant National Prices for China and Russia, 1990-2014

(Indexed to 1990)

libezkova said in reply to paine... , April 03, 2017 at 08:28 PM
"But i'd conjecture the Deng path trumps the yeltsin path"

True.

anne -> paine... , April 04, 2017 at 07:52 AM
But I would conjecture the Deng Xiaoping path trumps the Boris Yeltsin path

[ What then is the point of such a conjecture when real per capita GDP in Russia grew a mere 15.8% from 1990 through 2015 while in China real per capita grew by a remarkable 789.1%?

Total factor productivity in Russia decreased by 16.9% from 1990 through 2014, while in China total factor productivity increased by 76.4%.

The inability to understand what China has accomplished is shocking to me. Possibly, rethinking fairly is in order. ]

point -> pgl... , April 03, 2017 at 06:28 PM
It may eventually prove to be generous to describe Russia's misfortune as "the legacy of the flawed Washington Consensus that shaped Russia's transition" according to Stiglitz. It may prove rather to be "the legacy of *intentionally* flawed consensus".
anne -> anne... , April 03, 2017 at 10:01 AM
https://en.wikipedia.org/wiki/Washington_Consensus

The term Washington Consensus was coined in 1989 by English economist John Williamson to refer to a set of 10 relatively specific economic policy prescriptions that he considered constituted the "standard" reform package promoted for crisis-wracked developing countries by Washington, D.C.–based institutions such as the International Monetary Fund (IMF), World Bank, and the US Treasury Department. The prescriptions encompassed policies in such areas as macroeconomic stabilization, economic opening with respect to both trade and investment, and the expansion of market forces within the domestic economy.

Fiscal policy discipline, with avoidance of large fiscal deficits relative to GDP;

Redirection of public spending from subsidies toward broad-based provision of key pro-growth, pro-poor services like primary education, primary health care and infrastructure investment;

Tax reform, broadening the tax base and adopting moderate marginal tax rates;

Interest rates that are market determined and positive (but moderate) in real terms;

Competitive exchange rates;

Trade liberalization: liberalization of imports, with particular emphasis on elimination of quantitative restrictions (licensing, etc.); any trade protection to be provided by low and relatively uniform tariffs;

Liberalization of inward foreign direct investment;

Privatization of state enterprises;

Deregulation: abolition of regulations that impede market entry or restrict competition, except for those justified on safety, environmental and consumer protection grounds, and prudential oversight of financial institutions;

Legal security for property rights.

pgl -> anne... , April 03, 2017 at 10:18 AM
"privatization, no matter how it was done, with speed taking precedence over everything else".

It does matter how it is done as Stiglitz, Dani Rodrik, and even that ProMarket blog often point out. It was done very poorly under Yeltsin.

RGC -> pgl... , April 03, 2017 at 10:34 AM
It was done according to the "expert" advice of deregulatin' Larry's gang from Harvard.
RGC -> RGC... , April 03, 2017 at 10:46 AM
Does deregulatin' Larry still have a job? Why?
Peter K. -> RGC... , April 03, 2017 at 01:24 PM
"It was done according to the "expert" advice of deregulatin' Larry's gang from Harvard."

Yes PGL blames Yeltsin but it was the Western advisers who forced disastrous shock therapy on Russia. See the IMF, Europe and Greece for another example. No doubt PGL blames the Greeks. He always blames the victims.

Peter K. -> Peter K.... , April 03, 2017 at 01:33 PM
PGL blames Yeltsin but even Stiglitz writes that it was the Washington Consensus which was to blame for the poor transition and disastrous collapse of Russia. Now we are reaping the consequences. Just like with Syria, ISIL and Iraq.
pgl -> Peter K.... , April 03, 2017 at 04:27 PM
WTF? The IMF may have given bad advice but Yeltsin ran the show. And if you think Yeltsin was the victim - then you are really lost.

"No doubt PGL blames the Greeks."

anne -> pgl... , April 03, 2017 at 11:15 AM
Suppose though the matter with privatization is not so much speed but not understanding what should not be subject to privatizing, such as soft and hard infrastructure.
anne -> anne... , April 03, 2017 at 10:46 AM
That a Washington Consensus approach to Russian development proved obviously faulty is important because I would argue the approach has repeatedly proved faulty from Brazil to South Africa to the Philippines... When the consensus has been turned away from as in Brazil for several years the development results have dramatically changed but turning from the approach which allows for severe concentrations of wealth has proved politically difficult as we find now in Brazil.
anne -> anne... , April 03, 2017 at 10:48 AM

August 4, 2014

Real per capita Gross Domestic Product for China, India, Brazil, South Africa and Russia, 1990-2015

(Percent change)

August 4, 2014

Real per capita Gross Domestic Product for China, India, Brazil, South Africa and Russia, 1990-2015

(Indexed to 1990)

anne -> anne... , April 03, 2017 at 10:55 AM
The range in real per capita GDP growth from 1990 to 2015 extends from 15.8% to 19.8% to 41.1% to 223.1% to 789.1%. This range needs to be thoroughly analyzed in terms of reflective policy.
anne -> anne... , April 03, 2017 at 10:49 AM

November 1, 2014

Total Factor Productivity at Constant National Prices for China, India, Brazil, South Africa and Russia, 1990-2014

November 1, 2014

Total Factor Productivity at Constant National Prices for China, India, Brazil, South Africa and Russia, 1990-2014

(Indexed to 1990)

anne -> anne... , April 03, 2017 at 11:00 AM
The range in total factor productivity growth or decline from 1990 to 2014 extends from a decline of - 16.9% to - 12.2% to - 5.1% to growth of 40.9% and 76.4%. Again, this range needs to be thoroughly analyzed in terms of reflective policy.
anne -> anne... , April 03, 2017 at 11:10 AM
The persuasiveness of the Washington Consensus approach to development strikes me as especially well illustrated by the repeated, decades-long insistence by Western economists that Chinese development is about to come to a crashing end. The insistence continues with an almost daily repetition in the likes of The Economist or Financial Times.

I would suggest the success of China thoroughly studied provides us with remarkable policy prescriptions.

#### [Dec 11, 2017] How Russia-gate Met the Magnitsky Myth by Robert Parry

##### "... The Canadian Minister Chrysta Freeland met with William Brawder in Davos a few months ago " -- Birds of a feather flock together. Mrs. Chrystal Freeland has a very interesting background for which she is very proud of: her granddad was a Ukrainian Nazi collaborator denounced by Jewish investigators: https://consortiumnews.com/2017/02/27/a-nazi-skeleton-in-the-family-closet/ ..."
###### Jul 13, 2017 | consortiumnews.com

Exclusive: A documentary debunking the Magnitsky myth, which was an opening salvo in the New Cold War, was largely blocked from viewing in the West but has now become a factor in Russia-gate, reports Robert Parry.

Near the center of the current furor over Donald Trump Jr.'s meeting with a Russian lawyer in June 2016 is a documentary that almost no one in the West has been allowed to see, a film that flips the script on the story of the late Sergei Magnitsky and his employer, hedge-fund operator William Browder.

The Russian lawyer, Natalie Veselnitskaya, who met with Trump Jr. and other advisers to Donald Trump Sr.'s campaign, represented a company that had run afoul of a U.S. investigation into money-laundering allegedly connected to the Magnitsky case and his death in a Russian prison in 2009. His death sparked a campaign spearheaded by Browder, who used his wealth and clout to lobby the U.S. Congress in 2012 to enact the Magnitsky Act to punish alleged human rights abusers in Russia. The law became what might be called the first shot in the New Cold War.

According to Browder's narrative, companies ostensibly under his control had been hijacked by corrupt Russian officials in furtherance of a $230 million tax-fraud scheme; he then dispatched his "lawyer" Magnitsky to investigate and – after supposedly uncovering evidence of the fraud – Magnitsky blew the whistle only to be arrested by the same corrupt officials who then had him locked up in prison where he died of heart failure from physical abuse. Despite Russian denials – and the "dog ate my homework" quality of Browder's self-serving narrative – the dramatic tale became a cause celebre in the West. The story eventually attracted the attention of Russian filmmaker Andrei Nekrasov, a known critic of President Vladimir Putin. Nekrasov decided to produce a docu-drama that would present Browder's narrative to a wider public. Nekrasov even said he hoped that he might recruit Browder as the narrator of the tale. However, the project took an unexpected turn when Nekrasov's research kept turning up contradictions to Browder's storyline, which began to look more and more like a corporate cover story. Nekrasov discovered that a woman working in Browder's company was the actual whistleblower and that Magnitsky – rather than a crusading lawyer – was an accountant who was implicated in the scheme. So, the planned docudrama suddenly was transformed into a documentary with a dramatic reversal as Nekrasov struggles with what he knows will be a dangerous decision to confront Browder with what appear to be deceptions. In the film, you see Browder go from a friendly collaborator into an angry adversary who tries to bully Nekrasov into backing down. Blocked Premiere Ultimately, Nekrasov completes his extraordinary film – entitled "The Magnitsky Act: Behind the Scenes" – and it was set for a premiere at the European Parliament in Brussels in April 2016. However, at the last moment – faced with Browder's legal threats – the parliamentarians pulled the plug. Nekrasov encountered similar resistance in the United States, a situation that, in part, brought Natalie Veselnitskaya into this controversy. Film director Andrei Nekrasov, who produced "The Magnitsky Act: Behind the Scenes." As a lawyer defending Prevezon, a real-estate company registered in Cyprus, on a money-laundering charge, she was dealing with U.S. prosecutors in New York City and, in that role, became an advocate for lifting the U.S. sanctions, The Washington Post reported. That was when she turned to promoter Rob Goldstone to set up a meeting at Trump Tower with Donald Trump Jr. To secure the sit-down on June 9, 2016, Goldstone dangled the prospect that Veselnitskaya had some derogatory financial information from the Russian government about Russians supporting the Democratic National Committee. Trump Jr. jumped at the possibility and brought senior Trump campaign advisers, Paul Manafort and Jared Kushner, along. By all accounts, Veselnitskaya had little or nothing to offer about the DNC and turned the conversation instead to the Magnitsky Act and Putin's retaliatory measure to the sanctions, canceling a program in which American parents adopted Russian children. One source told me that Veselnitskaya also wanted to enhance her stature in Russia with the boast that she had taken a meeting at Trump Tower with Trump's son. But another goal of Veselnitskaya's U.S. trip was to participate in an effort to give Americans a chance to see Nekrasov's blacklisted documentary. She traveled to Washington in the days after her Trump Tower meeting and attended a House Foreign Affairs Committee hearing, according to The Washington Post. There were hopes to show the documentary to members of Congress but the offer was rebuffed. Instead a room was rented at the Newseum near Capitol Hill. Browder's lawyers. who had successfully intimidated the European Parliament, also tried to strong arm the Newseum, but its officials responded that they were only renting out a room and that they had allowed other controversial presentations in the past. Their stand wasn't exactly a profile in courage. "We're not going to allow them not to show the film," said Scott Williams, the chief operating officer of the Newseum. "We often have people renting for events that other people would love not to have happen." In an article about the controversy in June 2016, The New York Times added that "A screening at the Newseum is especially controversial because it could attract lawmakers or their aides." Heaven forbid! One-Time Showing So, Nekrasov's documentary got a one-time showing with Veselnitskaya reportedly in attendance and with a follow-up discussion moderated by journalist Seymour Hersh. However, except for that audience, the public of the United States and Europe has been essentially shielded from the documentary's discoveries, all the better for the Magnitsky myth to retain its power as a seminal propaganda moment of the New Cold War. Financier William Browder (right) with Magnitsky's widow and son, along with European parliamentarians. After the Newseum presentation, a Washington Post editorial branded Nekrasov's documentary Russian "agit-prop" and sought to discredit Nekrasov without addressing his many documented examples of Browder's misrepresenting both big and small facts in the case. Instead, the Post accused Nekrasov of using "facts highly selectively" and insinuated that he was merely a pawn in the Kremlin's "campaign to discredit Mr. Browder and the Magnitsky Act." The Post also misrepresented the structure of the film by noting that it mixed fictional scenes with real-life interviews and action, a point that was technically true but willfully misleading because the fictional scenes were from Nekrasov's original idea for a docu-drama that he shows as part of explaining his evolution from a believer in Browder's self-exculpatory story to a skeptic. But the Post's deception is something that almost no American would realize because almost no one got to see the film. The Post concluded smugly: "The film won't grab a wide audience, but it offers yet another example of the Kremlin's increasingly sophisticated efforts to spread its illiberal values and mind-set abroad. In the European Parliament and on French and German television networks, showings were put off recently after questions were raised about the accuracy of the film, including by Magnitsky's family. "We don't worry that Mr. Nekrasov's film was screened here, in an open society. But it is important that such slick spin be fully exposed for its twisted story and sly deceptions." The Post's gleeful editorial had the feel of something you might read in a totalitarian society where the public only hears about dissent when the Official Organs of the State denounce some almost unknown person for saying something that almost no one heard. New Paradigm The Post's satisfaction that Nekrasov's documentary would not draw a large audience represents what is becoming a new paradigm in U.S. mainstream journalism, the idea that it is the media's duty to protect the American people from seeing divergent narratives on sensitive geopolitical issues. Over the past year, we have seen a growing hysteria about "Russian propaganda" and "fake news" with The New York Times and other major news outlets eagerly awaiting algorithms that can be unleashed on the Internet to eradicate information that groups like Google's First Draft Coalition deem "false." First Draft consists of the Times, the Post, other mainstream outlets, and establishment-approved online news sites, such as Bellingcat with links to the pro-NATO think tank, Atlantic Council. First Draft's job will be to serve as a kind of Ministry of Truth and thus shield the public from information that is deemed propaganda or untrue. In the meantime, there is the ad hoc approach that was applied to Nekrasov's documentary. Having missed the Newseum showing, I was only able to view the film because I was given a special password to an online version. From searches that I did on Wednesday, Nekrasov's film was not available on Amazon although a pro-Magnitsky documentary was. I did find a streaming service that appeared to have the film available. But the Post's editors were right in their expectation that "The film won't grab a wide audience." Instead, it has become a good example of how political and legal pressure can effectively black out what we used to call "the other side of the story." The film now, however, has unexpectedly become a factor in the larger drama of Russia-gate and the drive to remove Donald Trump Sr. from the White House. Investigative reporter Robert Parry broke many of the Iran-Contra stories for The Associated Press and Newsweek in the 1980s. You can buy his latest book, America's Stolen Narrative, either in print here or as an e-book (from Amazon and barnesandnoble.com ). Joseph A. Haran, Jr. , July 13, 2017 at 2:13 pm Why are so many people–corporate executives, governments, journalists, politicians–afraid of William Browder? Why isn't Andrei Nekrasov's film available via digital versatile disk, for sale on line? Mr. Parry, why can't you find it? Oh, wait: You did! Heaven forbid we, your readers, should screen it. Since you, too, are helping keep that film a big fat secret at least give us a few clues as to where we can find it. Throw us a bone! Thank you. Rob Roy , July 13, 2017 at 2:45 pm Parry isn't keeping the film viewing a secret. He was given a private password and perhaps can get permission to let the readers here have it. It isn't up to Parry himself but rather to the person(s) who have the rights to the password. I've come across this problem before. ToivoS , July 13, 2017 at 4:01 pm Parry wrote: I did find a streaming service that appeared to have the film available. Any link?? I am willing to buy it. Lisa , July 13, 2017 at 6:28 pm This may not be of much help, as the film is dubbed in Russian. If you want to look for the Russian versions on the internet, search for: "????? ?????? ????????? "????? ???????????. ?? ????????" https://my.mail.ru/bk/n-osetrova/video/71/18682.html?time=155&from=videoplayer I'll keep looking for the film with translation into some other language. Lisa , July 13, 2017 at 6:31 pm Sorry, the Russian text did not appear. Try with latin alphabet: Film Andreia Nekrasova "Zakon Magnitskogo. Za kulisami" Lisa , July 13, 2017 at 6:45 pm https://www.youtube.com/watch?v=8d1ylakLMNU This is the same dubbed version, on youtube. Abe , July 13, 2017 at 5:21 pm Hysterical agit-prop troll insists that world trembles in fear of "genuine American hero" William Browder. John McCain in 2012 was too busy trembling to notice that Browder had given up his US citizenship in 1998 in order to better profit from the Russian financial crisis. backwardsevolution , July 13, 2017 at 5:51 pm Abe – and to escape U.S. taxes. incontinent reader , July 13, 2017 at 6:24 pm Well stated. Vincent Castigliola , July 13, 2017 at 2:38 pm Mr. Parry, Excellent report and analysis. Thanks for timely reminder regarding the Magitsky story and the fascinating background regarding Andrei Nekrasov's film, in particular its metamorphosis and subsequent aggressive suppression. Both of those factors render the film a particular credibility and wish on my part to view it. Is there any chance you can share information regarding a means of accessing the forbidden film? I am beginning to feel more and more like the citizens of the old USSR, who, were to my recollection and understanding back in the 50's and 60's:. Longing to read and hear facts suppressed by the communist state, dependent upon the Voice of America and underground news sources within the Soviet Union for the truth. RU, Consortium news, et. al. seem somewhat a parallel, and 1984 not so distant. Last night, After watching Max Boot self destruct on Tucker Carlson, i was inspired to watch episode 2 of The Putin Interviews. I felt enlightened. If only the Establishment Media could turn from promoting its agenda of shaping and suppressing the news into accurately reporting it. Media corruption is not so new. Yellow journalism around the turn of the 19th century, took us into a progression of wars. The War to End All Wars didn't. Blame the munitions makers and the Military Industrial Complex if you will, but a corrupt medial, at the very least enabled a progression of wars over the last 120 or so years. Demonizing other countries is bad enough, but wilfully ignoring the potential for a nuclear war to end not only war, but life as we know it, is appalling. Anna , July 13, 2017 at 5:54 pm "After watching Max Boot self destruct on Tucker Carlson " Am I the only one who thinks that Max Boot should have been institutionalized for some time already? He is not well. Vincent Castigliola , July 13, 2017 at 9:41 pm Anna, Perhaps Max can share a suite with John McCain. Sadly, the illness is widespread and sometimes seems to be in the majority. Neo con/lib both are adamant in finding enemies and imposing punishment. Finding splinters, ignoring beams. Changing regimes everywhere. Making the world safe for Democracy. Unless a man they don't like get elected Anna , July 14, 2017 at 9:31 am Max Boot parents are Russain Jews who seemingly instilled in him a rabid hatred for everything Russian. The same is with Aperovitch, the CrowdStrike fraudster. The first Soviet (Bolshevik) government was 85% Jewish. Considering what happened to Russia under Bolsheviks, it seems that Russians are supremely tolerant people. orwell , July 14, 2017 at 3:44 pm Anna, Anti-Semitism will get you NOWHERE, and you should be ashamed of yourself for injecting such HATRED into the rational discussion here. Cal , July 14, 2017 at 8:03 pm Dear orwell re Anna Its not anti Semitic if its true .and its true he is a Russian Jew and its very obvious he hates Russia–as does the whole Jewish Zionist crowd in the US. Kiza , July 15, 2017 at 1:02 am orwell, I wonder why the truth always turns out to be so anti-semitic!? Taras77 , July 13, 2017 at 11:17 pm I hope you caught the preceding tucker interview with Ralph Peters, who says he is a retired us army LTC. He came off as completely deranged and hysterical. The two interviews back to back struck me as neo con desperation and panic. My respect for Tucker just went up for taking on these two wackos. Zachary Smith , July 13, 2017 at 2:51 pm The fact that the film is being suppressed by everybody is significant to me. I don't know a thing about the "facts" of the Magnitsky case, and a quick look at the results of a Google search suggests this film isn't going to be available to me unless I shell out some unknown amount of money. If the producers want the film to be seen, perhaps they ought to release it for download to any interested parties for a nominal sum. This will mean they won't make any profit, but on the other hand they will be able to spit in the eyes of the censors. Dan Mason , July 13, 2017 at 6:42 pm I went searching the net for access to this film and found that I was blocked at every turn. I did find a few links which all seemed to go to the same destination which claimed to provide access once I registered with their site. I decided to avoid that route. I don't really have that much interest in the Magnitsky affair, but I do wonder why we are being denied access to information. Who has this kind of influence, and why are they so fearful. I'm really afraid that we already live in a largely hidden Orwellian world. Now where did I put that tin foil hat? orwell , July 14, 2017 at 3:48 pm The Orwellian World is NOT HIDDEN, it is clearly visible. Drew Hunkins , July 13, 2017 at 2:53 pm Nekrasov, though he's a Putin critic, is a genuine hero in this instance. He ulitimately put his preconceptions aside and took the story where it truly led him. Nekrasov deserves boatloads of praise for his handling of Browder and his final documentary film product. backwardsevolution , July 13, 2017 at 3:30 pm Drew – good comment. It's very hard to "turn", isn't it? I wonder if many people appreciate what it takes to do this. Easier to justify, turn a blind eye, but to actually stop, question, think, and then follow where the story leads you takes courage and strength. BannanaBoat , July 13, 2017 at 6:12 pm Especially when your bucking an aggressive billionaire. backwardsevolution , July 14, 2017 at 1:49 am BannanaBoat – that too! Zim , July 13, 2017 at 3:11 pm This is interesting: "In December 2015, The Wall Street Journal reported that Hillary Clinton opposed the Magnitsky Act while serving as secretary of state. Her opposition coincided with Bill Clinton giving a speech in Moscow for Renaissance Capital, a Russian investment bank! for which he was paid$500,000.

"Mr. Clinton also received a substantial payout in 2010 from Renaissance Capital, a Russian investment bank whose executives were at risk of being hurt by possible U.S. sanctions tied to a complex and controversial case of alleged corruption in Russia.

Members of Congress wrote to Mrs. Clinton in 2010 seeking to deny visas to people who had been implicated by Russian accountant Sergei Magnitsky, who was jailed and died in prison after he uncovered evidence of a large tax-refund fraud. William Browder, a foreign investor in Russia who had hired Mr. Magnitsky, alleged that the accountant had turned up evidence that Renaissance officials, among others, participated in the fraud."

The State Department opposed the sanctions bill at the time, as did the Russian government. Russian Foreign Minister Sergei Lavrov pushed Hillary Clinton to oppose the legislation during a meeting in St. Petersburg in June 2012, citing that U.S.-Russia relations would suffer as a result."

Virginia , July 13, 2017 at 6:13 pm

Very interesting, Zim.

Bart in Virginia , July 13, 2017 at 3:15 pm

"[Veselnitskaya] traveled to Washington in the days after her Trump Tower meeting and attended a House Foreign Affairs Committee hearing, according to The Washington Post." The other day I saw photos of her sitting right behind Amb. McFaul in some past hearing. How did she get a seat on the front row?

Now I remember that Post editorial. I was one of only 20 commenters before they shut down comments. It was some heavy pearl clutching.

Cal , July 13, 2017 at 3:31 pm

WOW..excellent reporting.

BobH , July 13, 2017 at 3:35 pm

nice backgrounder for an ever evolving story censorship is censorship by any other name!

BobH , July 13, 2017 at 3:38 pm

afterthought couldn't the film be shown on RT America?

Kiza , July 15, 2017 at 1:11 am

Would that not enable Bowder's employees online to claim that this documentary is Russian state propaganda, which it obviously is not because it would have been made available for free everywhere already just like RT. I believe that Nekrasov does not like RT and RT probably still does not like Nekrasov. The point of RT has never been the truth then the alternative point of view, as they advertised: Audi alteram partem.

Abe , July 13, 2017 at 3:41 pm

"The approach taken by Brennan's task force in assessing Russia and its president seems eerily reminiscent of the analytical blinders that hampered the U.S. intelligence community when it came to assessing the objectives and intent of Saddam Hussein and his inner leadership regarding weapons of mass destruction. The Russia NIA notes, 'Many of the key judgments rely on a body of reporting from multiple sources that are consistent with our understanding of Russian behavior.' There is no better indication of a tendency toward 'group think' than that statement.

Moreover, when one reflects on the fact much of this 'body of reporting' was shoehorned after the fact into an analytical premise predicated on a single source of foreign-provided intelligence, that statement suddenly loses much of its impact.

"The acknowledged deficit on the part of the U.S. intelligence community of fact-driven insight into the specifics of Russian presidential decision-making, and the nature of Vladimir Putin as an individual in general, likewise seems problematic. The U.S. intelligence community was hard wired into pre-conceived notions about how and what Saddam Hussein would think and decide, and as such remained blind to the fact that he would order the totality of his weapons of mass destruction to be destroyed in the summer of 1991, or that he could be telling the truth when later declaring that Iraq was free of WMD.

'President Putin has repeatedly and vociferously denied any Russian meddling in the 2016 U.S. Presidential election. Those who cite the findings of the Russia NIA as indisputable proof to the contrary, however, dismiss this denial out of hand. And yet nowhere in the Russia NIA is there any evidence that those who prepared it conducted anything remotely resembling the kind of 'analysis of alternatives' mandated by the ODNI when it comes to analytic standards used to prepare intelligence community assessments and estimates. Nor is there any evidence that the CIA's vaunted 'Red Cell' was approached to provide counterintuitive assessments of premises such as 'What if President Putin is telling the truth?'

'Throughout its history, the NIC has dealt with sources of information that far exceeded any sensitivity that might attach to Brennan's foreign intelligence source. The NIC had two experts that it could have turned to oversee a project like the Russia NIA!the NIO for Cyber Issues, and the Mission Manager of the Russian and Eurasia Mission Center; logic dictates that both should have been called upon, given the subject matter overlap between cyber intrusion and Russian intent.

'The excuse that Brennan's source was simply too sensitive to be shared with these individuals, and the analysts assigned to them, is ludicrous!both the NIO for cyber issues and the CIA's mission manager for Russia and Eurasia are cleared to receive the most highly classified intelligence and, moreover, are specifically mandated to oversee projects such as an investigation into Russian meddling in the American electoral process.

'President Trump has come under repeated criticism for his perceived slighting of the U.S. intelligence community in repeatedly citing the Iraqi weapons of mass destruction intelligence failure when downplaying intelligence reports, including the Russia NIA, about Russian interference in the 2016 election. Adding insult to injury, the president's most recent comments were made on foreign soil (Poland), on the eve of his first meeting with President Putin, at the G-20 Conference in Hamburg, Germany, where the issue of Russian meddling was the first topic on the agenda.

"The politics of the wisdom of the timing and location of such observations aside, the specific content of the president's statements appear factually sound."

Throwing a Curveball at 'Intelligence Community Consensus' on Russia By Scott Ritter http://www.theamericanconservative.com/articles/did-17-intelligence-agencies-really-come-to-consensus-on-russia/

Joe Tedesky , July 13, 2017 at 4:13 pm

Thanks Abe once again, for providing us with news which will never be printed or aired in our MSM. Brennan may ignore the NIC, as Congress and the Executive Branch constantly avoid paying attention to the GAO. Why even have these agencies, if our leaders aren't going to listen them?

Virginia , July 13, 2017 at 6:16 pm

Abe, I'm always amazed at how much you know. Thank you for sharing. If you have your comments in article form or on a site where they can be shared, I'd really like to know about it. I've tried, but I garble the many points you make when trying to explain historical events you've told us about.

Skip Scott , July 14, 2017 at 9:08 am

Thanks Abe. You are a real asset to us here at CN.

John V. Walsh , July 13, 2017 at 3:54 pm

Very good article! The entire Magnitsky saga has become so convoluted and mired in controversy and propaganda that it is very hard to understand. I remember vaguely the controversy surrounding the showing of the film at the Newseum. it is especially impressive that Nekrasov changed his opinion as fcts unfolded.

I will now try to get the docudrama and watch it.
If anyone has suggestions on how to do this, please let me know via a response. here.
Thanks.

Roger Annis , July 13, 2017 at 4:02 pm

A 'Magnitsky Act' in Canada was approved by the (appointed) Senate several months ago and is now undergoing fine tuning in the House of Commons prior to a third and final vote of approval. The proposed law has the unanimous support of the parties in Parliament.

A column in today's Globe and Mail daily by the newspaper's 'chief political writer' tiptoes around the Magnitsky story, never once daring to admit that a contrary narrative exists to that of Bill Browder.

John-Albert Eadie , July 13, 2017 at 5:01 pm

Magnitsky Act in Canada has been based on made-up facts as Globe & Mail reporting proves. Not news, but deepens my concern about Canada following the Cold War without examination.

backwardsevolution , July 13, 2017 at 5:56 pm

Roger Annis – just little lemmings following the leader. Disgusting. I hope you posted a comment at the Globe and Mail, Roger, with a link to this article.

Britton , July 13, 2017 at 4:05 pm

Browder is a Communist Jew, his father has a Communist past according to his background so I know I can't trust anything he says. Hes just one of many shady interests undermining Putin I've seen over the years. His book Red Notice is just as shady. Good reporting Consortium News. Fox News promotes Browder like crazy every chance they get especially Fox Business channel.

Joe Average , July 13, 2017 at 5:06 pm

"Browder is a Communist " Hedge Fund managers are hardly Communist – that's an oxymoron.

ToivoS , July 13, 2017 at 6:02 pm

Bill Browder's grandfather was Earl Browder, leader of the CPUSA from the the late 30s to late 40s. His father was also a communist. Bill jr parlayed those connections with the Soviet apparatchiks to gain a foothold in looting Russia of its state assets during the 1990s. No he was not a communist but neither were the leaders of the Soviet Union at the time of its dissolution (in name yes, but in fact not).

Joe Average , July 13, 2017 at 6:34 pm

ToivoS,

thank you for this background information.

My main intention had been to straighten out the blurring of calling a hedge fund manager communist. Nowadays everything gets blurred by people misrepresenting political concepts. Either the people have been dumbed-down by misinformation or misrepresenting is done in order to keep neo-liberalism the dominant economical model. On many occasions I had read comments of people seemingly believing that Nationalsocialism had been some variant of socialism. Even the ideas of Bernie Sanders had been misrepresented as socialist instead of social democratic ones.

backwardsevolution , July 13, 2017 at 6:21 pm

Joe Average – Dave P. mentioned Aleksandr Solzhenitsyn's book entitled "Two Hundred Years Together" the other day. I've been reading a long synopsis of this book. What Britton says appears to be quite true. I don't know about Browder, but from what I've read the Jews were instrumental in the communist party, in the deaths of so many Russians. It wasn't just the Jews, but they played a big part. It's no wonder Solzhenitsyn's book has been "lost in translation", at least into English, for so many years.

I've also heard that it was the Jewish commissars who, when the USSR fell apart, rushed off to grab everything they could (with the help of outside Jewish money) and became the Russian oligarchs we hear about today. This is probably what Britton is getting at: "His father has a communist past." You go from running the government to owning it. Anti-Putin because Putin put a stop to them.

Dave P. , July 13, 2017 at 7:37 pm

backwardsevolution: I worked with a Soviet emigre engineer – Jewish – on the same project in an Engineering design and construction company during early 1990's. He immigrated with his family around 1991. In Soviet Union, there being no private financial institutions or lawyers so to speak , many Jews went into science and engineering. A very interesting person, we were close work place friends. His elder brother had stayed behind back in Russia. His brother was in Moscow and involved in this plunder going on there. He used to tell me all these hair raising first hand stories about what was going on in Russia during that time. All the plunder flowed into the Western Countries.

In recent history, no country went through this kind of plunder on a scale Russia went through during ten or fifteen years starting in 1992. Russia was a very badly ravaged country when Putin took over. Means of production, finance, all came to halt, and society itself had completely broken down. It appears that the West has all the intentions to do it again.

Bruce Walker , July 13, 2017 at 9:29 pm

I have read all the comments up to yours you have told it like it was in Russia in those years. Browder was the king of the crooks looting Russia. Then he got to John McCain with all his lies and bullshit and was responsible for the sanctions on Russia. All the comments aboutBrowders grandfather andCommunist party are all true but hardly important. Except that it probably was how Browder was able to get his fingers on the pie in Russia. And he sure did get his fingers in the pie BIG TIME.

backwardsevolution , July 14, 2017 at 12:38 am

Joe Average – "I guess that this book puts blame for Communism entirely on the Jewish people and that this gave even further rise to antisemitism in the Germany of the 1930's."

No, it doesn't put the blame entirely on the Jews; it just spells out that they did play a large part. As one Jewish scholar said, Aleksandr Solzhenitsyn was too much of an academic, too intelligent to ever put the blame entirely on one group. But something like 40 – 60 million died – shot, taken out on boats with rocks around their necks and thrown overboard, starved, gassed in rail cars, poisoned, worked to death, froze, you name it. Every other human slaughter pales in comparison. Good old man, so civilized (sarc)!

But someone(s) has been instrumental in keeping this book from being translated into English (or so I've read many places online). Solzhenitsyn's "Gulag Archipelago" and his other books have been translated, but not this one. (Although I just found one site that has almost all of the chapters translated, but not all). Several people ordered the book off Amazon, only to find out that it was in the Russian language. LOL

Solzhenitsyn does say at one point in the book: "Communist rebellions in Germany post-WWI was a big reason for the revival of anti-Semitism (as there was no serious anti-Semitism in the imperial [Kaiser] Germany of 1870 – 1918)."

Lots of Jewish people made it into the upper levels of the Soviet government, academia, etc. (and lots of them were murdered too). I might skip reading these types of books until I get older. Too bleak. Hard enough reading about the day-to-day stuff here without going back in time for more fun!

I remember reading Naomi Klein's "Shock Doctrine," but I just could not get through the chapter on the USSR falling apart. I started reading it, but I didn't want to finish it (and I didn't) because it just made me angry. The West was too unfair! Russia was asking for help, but instead the West just looted. I'd say that Russia was very lucky to have someone like Putin clean it up.

Keep smiling, Joe.

backwardsevolution , July 14, 2017 at 12:58 am

Dave P. – I told you, you are a wealth of information, a walking encyclopedia. Interesting about your co-worker. Sounds like it was a free-for-all in Russia. Yes, I totally agree that Putin has done and is doing all he can to bring his country back up. Very difficult job he is doing, and I hope he is successful at keeping the West out as much as he can, at least until Russia is strong and sure enough to invite them in on their own terms.

Now go and tell your wife what I said about you being a "walking encyclopedia". She'll probably have a good laugh. (Not that you're not, but you know what she'll say: "Okay, smartie, now go and do the dishes.")

Chucky LeRoi , July 14, 2017 at 9:56 am

Just some small scale, local color kind of stuff, but living in the USA, west coast specifically, it was quite noticeable in the mid to late '90's how many Russians with money were suddenly appearing. No apparent skills or 'jobs', but seemingly able to pay for stuff. Expensive stuff.

A neighbor invited us to her 'place in the mountains', which turned out to be where a lumber company had almost terra-formed an area and was selling off the results. Her advice: When you go to the lake (i.e., the low area now gathering runoff, paddle boats rentals, concession stand) you will see a lot of men with huge stomachs and tiny Speedos. They will be very rude, pushy, confrontational. Ignore them, DO NOT comment on their rudeness or try to deal with their manners. They are Russians, and the amount of trouble it will stir up – and probable repercussions – are simply not worth it.

Back in town, the anecdotes start piling up quickly. I am talking crowbars through windows (for a perceived insult). A beating where the victim – who was probably trying something shady – was so pulped the emergency room staff couldn't tell if the implement used was a 2X4 or a baseball bat. When found he had with $3k in his pocket: robbery was not the motive. More traffic accidents involving guys with very nice cars and serious attitude problems. I could go on. More and more often somewhere in the relating of these incidents the phrase " this Russian guy " would come up. It was the increased use of this phrase that was so noticeable. And now the disclaimer. Before anybody goes off, I am not anti-Russian, Russo-phobic, what have you. I studied the Russian language in high school and college (admittedly decades ago). My tax guy is Russian. I love him. My day to day interactions have led me to this pop psychology observation: the extreme conditions that produced that people and culture produced extremes. When they are of the good, loving , caring, cultured, helpful sort, you could ask for no better friends. The generosity can be embarrassing. When they are of the materialistic, evil, self-centered don't f**k with me I am THE BADDEST ASS ON THE PLANET sort, the level of mania and self-importance is impossible to deal with, just get as far away as possible. It's worked for me. Joe Average , July 13, 2017 at 8:10 pm backwardsevolution, thanks for the info. I'll add the book to the list of books onto my to-read list. As far as I know a Kibbutz could be described as a Communist microcosm. The whole idea of Communism itself is based on Marx (a Jew by birth). A while ago I had started reading "Mein Kampf". I've got to finish the book, in order to see if my assumption is correct. I guess that this book puts blame for Communism entirely on the Jewish people and that this gave even further rise to antisemitism in the Germany of the 1930's. The most known Russian Oligarchs that I've heard of are mainly of Jewish origin, but as far as I know they had been too young to be commissars at the time of the demise of the USSR. At least one aspect I've read of many times is that a lot of them built their fortunes with the help of quite shady business dealings. With regard to President Putin I've read that he made a deal with the oligarchs: they should pay their taxes, keep/invest their money in Russia and keep out of politics. In return he wouldn't dig too deep into their past. Right at the moment everybody in the West is against President Putin, because he stopped the looting of his country and its citizens and that's something our Western oligarchs and financial institutions don't like. On a side note: Several years ago I had started to read several volumes about German history. Back then I didn't notice an important aspect that should attract my attention a few years later when reading about the rise of John D. Rockefeller. Charlemagne (Charles the Great) took over power from the Merovingians. Prior to becoming King of the Franks he had been Hausmeier (Mayor of the Palace) for the Merovingians. Mayor of the Palace was the title of the manager of the household, which seems to be similar to a procurator and/or accountant (bookkeeper). The similarity of the beginnings of both careers struck me. John D. Rockefeller started as a bookkeeper. If you look at Bill Gates you'll realize that he was smart enough to buy an operating system for a few dollars, improved it and sold it to IBM on a large scale. The widely celebrated Steve Jobs was basically the marketing guy, whilst the real brain behind (the product) Apple had been Steve Wozniak. Another side note: If we're going down the path of neo-liberalism it will lead us straight back to feudalism – at least if the economy doesn't blow up (PCR, Michael Hudson, Mike Whitney, Mike Maloney, Jim Rogers, Richard D. Wolff, and many more economists make excellent points that our present Western economy can't go on forever and is kept alive artificially). backwardsevolution , July 14, 2017 at 12:50 am Joe Average – somehow my reply to you ended up above your post. What? How did that happen? You can find it there. Thanks for the interesting info about John D. Rockefeller, Gates, Jobs and Wozniak. Some are good managers, others good at sales, while others are the creative inventors. Yes, Joe, I totally agree that we are headed back to feudalism. I don't think we'll have much choice as the oil is running out. We'll probably be okay, but our children? I worry about them. They'll notice a big change in their lifetimes. The discovery and capture of oil pulled forward a large population. As we scale back, we could be in trouble, food-wise. Or at least it looks that way. Thanks, Joe. Miranda Keefe , July 14, 2017 at 5:48 am Charlemagne did not take over from the Merovingians. The Mayor of the Palace was not an accountant. During the 7th Century the Mayor of the Place more and more became the actual ruler of the Franks. The office had existed for over a century and was basically the "prime minister" to the king. By the time Pepin of Herstal, a scion of a powerful Frankish family, took the position in 680, the king was ceremonial leader doing ritual and the Mayor ruled- like the relationship of the Emperor and the Shogun in Japan. In 687 Pepin's Austrasia conquered Neustria and Burgundy and he added "Duke of the Franks" to his titles. The office became hereditary. When Pepin died in 714 there was some unrest as nobles from various parts of the joint kingdoms attempted to get different ones of his heirs in the office until his son Charles Martel took the reins in 718. This is the famous Charles Martel who defeated the Moors at Tours in 732. But that was not his only accomplishment as he basically extended the Frankish kingdom to include Saxony. Charles not only ruled but when the king died he picked which possible heir would become king. Finally near the end of his reign he didn't even bother replacing the king and the throne was empty. When Charles Martel died in 741 he followed Frankish custom and divided his kingdom among his sons. By 747 his younger son, Pepin the Short, had consolidated his rule and with the support of the Pope, deposed the last Merovingian King and became the first Carolingian King in 751- the dynasty taking its name from Charles Martel. Thus Pepin reunited the two aspects of the Frankish ruler, combining the rule of the Mayor with the ceremonial reign of the King into the new Kingship. Pepin expanded the kingdom beyond the Frankish lands even more and his son, Charlemagne, continued that. Charlemagne was 8 when his father took the title of King. Charlemagne never was the Mayor of the Palace, but grew up as the prince. He became King of the Franks in 768 ruling with his brother, sole King in 781, and then started becoming King of other countries until he united it all in 800 as the restored Western Roman Emperor. When he died in 814 the Empire was divided into three Kingdoms and they never reunited again. The western one evolved into France. The eastern one evolved in the Holy Roman Empire and eventually Germany. The middle one never solidified but became the Low Countries, Switzerland, and the Italian states. Anna , July 14, 2017 at 9:45 am The Canadian Minister Chrysta Freeland met with William Brawder in Davos a few months ago " -- Birds of a feather flock together. Mrs. Chrystal Freeland has a very interesting background for which she is very proud of: her granddad was a Ukrainian Nazi collaborator denounced by Jewish investigators: https://consortiumnews.com/2017/02/27/a-nazi-skeleton-in-the-family-closet/ Since the inti-Russian tenor of the Canadian Minister Chrysta Freeland is in accord with the US ziocons anti-Russian policies (never mind all this fuss about WWII Jewish mass graves in Ukraine), "Chrysta" is totally approved by the US government. Joe Average , July 14, 2017 at 11:32 pm I'll reply to myself in order to send a response to backwardsevolution and Miranda Keefe. For a change I'll be so bold to ignore gentleman style and reply in the order of the posts – instead of Ladies first. backwardsevolution, in my first paragraph I failed to make a clear distinction. I started with the remark that I'm adding the book "Two Hundred Years Together" to my to-read list and then mentioned that I'm right now reading "Mein Kampf". All remarks after mentioning the latter book are directed at this one – and not the one of Solzhenitsyn. Miranda Keefe, I'm aware that accountant isn't an exact characterization of the concept of a Mayor of the Palace. As a precaution I had added the phrase "seems to be similar". You're correct with the statement that Charlemagne was descendant Karl Martel. At first I intended to write that Karolinger (Carolings) took over from Merowinger (Merovingians), because those details are irrelevant to the point that I wanted to make. It would've been an information overload. My main point was the power of accountants and related fields such as sales and marketing. Neither John D. Rockefeller, Bill Gates nor Steve Jobs actually created their products from scratch. Many of those who are listed as billionaires haven't been creators / inventors themselves. Completely decoupled from actual production is banking. Warren Buffet is started as an investment salesman, later stock broker and investor. Oversimplified you could describe this activity as accounting or sales. It's the same with George Soros and Carl Icahn. Without proper supervision money managers (or accountants) had and still do screw those who had hired them. One of those victims is former billionaire heiress Madeleine Schickedanz ( https://en.wikipedia.org/wiki/Madeleine_Schickedanz ). Generalized you could also say that BlackRock is your money manager accountant. If you've got some investment (that dates back before 2008), which promises you a higher interest rate after a term of lets say 20 years, the company with which you have the contract with may have invested your money with BlackRock. The financial crisis of 2008 has shown that finance (accountants / money managers) are taking over. Aren't investment bankers the ones who get paid large bonuses in case of success and don't face hardly any consequences in case of failure? Well, whatever turn future might take, one thing is for sure: whenever SHTF even the most colorful printed pieces of paper will not taste very well. Cal , July 13, 2017 at 10:13 pm History's Greatest Heist: The Looting of Russia by the Bolsheviks on http://www.jstor.org/stable/j.ctt1nppst History's Greatest Heist: The Looting of Russia by the Bolsheviks . EVER SINCE THE Emperor Constantine established the legal position of the church in the Many Bolsheviks fled to Germany , taking with them some loot that enabled them to get established in Germany. Lots of invaluable art work also. backwardsevolution , July 14, 2017 at 1:54 am Cal – read about "History's Greatest Heist" on Amazon. Sounds interesting. Was one of the main reasons for the Czar's overthrow to steal and then flee? It's got to have been on some minds. A lot of people got killed, and they would have had wedding rings, gold, etc. That doesn't even include the wealth that could be stolen from the Czar. Was the theft just one of those things that happened through opportunism, or was it one of the main reasons for the overthrow in the first place, get some dough and run with it? Cal , July 14, 2017 at 2:22 pm @ backwards " Was the theft just one of those things that happened through opportunism, or was it one of the main reasons for the overthrow"' imo some of both. I am sure when they were selling off Russian valuables to finance their revolution a lot of them set aside some loot for themselves. backwardsevolution , July 14, 2017 at 4:09 pm Cal – thank you. Good books like this get us closer and closer to the truth. Thank goodness for these people. Brad Owen , July 14, 2017 at 11:45 am An autocratic oligarch would probably be a better description. He probably believes like other Synarchist financiers that they should rightfully rule the World, and see democratic processes as heresy against "The Natural Order for human society", or some such belief. Brad Owen , July 14, 2017 at 12:13 pm Looking up "A short definition of Synarchism (a Post-Napoleonic social phenomenon) by Lyndon LaRouche" would give much insight into what's going on. People from the intelligence community made sure a copy of a 1940 army intelligence dossier labelled something like "Synarchism:NAZI/Communist" got into Lyndon's hands. It speaks of the the Synarchist method of attacking a targeted society from both extreme (Right-Left) ends of the political spectrum. I guess this is dialectics? I suppose the existence of the one extreme legitimizes the harsh, anti-democratic/anti-human measures taken to exterminate it by the other extreme, actually destroying the targeted society in the process. America, USSR, and (Sun Yat Sen's old Republic of) China were the targeted societies in the pre-WWII/WWII yearsfor their "sins" of championing We The People against Oligarchy. FDR knew the Synarchist threat and sided with Russia and China against Germany and Japan. He knew that, after dealing with the battlefield NAZIs, the "Boardroom" NAZIs would have to be dealt with Post-War. That all changed with his death.The Synarchists are still at it today, hence all the rabid Russo-phobia, the Pacific Pivot, and the drive towards war. This is all being foiled with Trump's friendly, cooperative approach towards Russia and China. mike k , July 13, 2017 at 4:11 pm Big Brother at work – always protecting us from upsetting information. How nice of him to insure our comfort. No need for us to bother with all of this confusing stuff, he can do all that for us. The mainstream media will tell us all we need to know .. (Virginia – please notice my use of irony.) Joe Tedesky , July 13, 2017 at 4:21 pm Do you remember mike K when porn was censored, and there were two sides to every issue as compromise was always on the table? Now porn is accessible on cable TV, and there is only one side to every issue, and that's I'm right about everything and your not, what compromise with you? Don't get me wrong, I don't really care how we deal with porn, but I am very concerned to why censorship is showing up whereas we can't see certain things, for certain reasons we know nothing about. Also, I find it unnerving that we as a society continue to stay so undivided. Sure, we can't all see the same things the same way, but maybe it's me, and I'm getting older by the minute, but where is our cooperation to at least try and work with each other? Always like reading your comments mike K Joe Joe Average , July 13, 2017 at 5:09 pm Joe, when it comes to the choice of watching porn and bodies torn apart (real war pictures), I prefer the first one, although we in the West should be confronted with the horrible pictures of what we're assisting/doing. Joe Tedesky , July 13, 2017 at 5:27 pm This is where the Two Joe's are alike. mike k , July 13, 2017 at 6:07 pm I do remember those days Joe. I am 86 now, so a lot has changed since 1931. With the 'greed is good' philosophy in vogue now, those who seek compromise are seen as suckers for the more single minded to take advantage of. Respect for rules of decency is just about gone, especially at the top of the wealth pyramid. Cal , July 13, 2017 at 10:15 pm Yep BannanaBoat , July 13, 2017 at 6:36 pm Distraction from critical thinking, excellent observation ( please forget the NeoCon Demos they are responsible for half of the nightmare USA society has become. ranney , July 13, 2017 at 4:37 pm Wow Robert, what a fascinating article! And how complicated things become "when first we practice to deceive". Abe thank you for the link to Ritter's article; that's a really good one too! John , July 13, 2017 at 4:40 pm If we get into a shooting war with Russia and the human race somehow survives it Robert Parry' s name will one day appear in the history books as the person who most thoroughly documented the events leading up to that war. He will be considered to be a top historian as well as a top journalist. Abe , July 13, 2017 at 7:01 pm "Browder, who abjured his American citizenship in 1998 to become a British subject, reveals more about his own selective advocacy of democratic principles than about the film itself. He might recall that in his former homeland freedom of the press remains a cherished value." A Response to William Browder By Rachel Bauman http://nationalinterest.org/feature/response-william-browder-16654 Abe , July 13, 2017 at 7:16 pm William Browder is a "shareholder activist" the way Mikhail Khodorkovsky is a "human rights activist". Both loudly bleat the "story" of their heroic "fight for justice" for billionaire Jewish oligarchs: themselves. Abe , July 13, 2017 at 7:19 pm "never driven by the money" https://www.thejc.com/culture/books/be-careful-of-putin-he-is-a-true-enemy-of-jews-1.61745 backwardsevolution , July 14, 2017 at 2:50 am Abe – "never driven by the money". No, he would never be that type of guy (sarc)! "It's hard to know what Browder will do next. He rules out any government ambitions, instead saying he can achieve more by lobbying it. This summer, he says he met "big Hollywood players" in a bid to turn his book into a major film. "The most important next step in the campaign is to adapt the book into a Hollywood feature film," he says. "I have been approached by many film-makers and spent part of the summer in LA meeting with screenwriters, producers and directors to figure out what the best constellation of players will be on this. "There are a lot of people looking at it. It's still difficult to say who we will end up choosing. There are many interesting options, but I'm not going to name any names." What the ..? I can see it now, George Clooney in the lead role, Mr. White Helmets himself, with his twins in tow. Kiza , July 15, 2017 at 1:56 am Is it not impressive how money buys out reality in the modern world? This is why one can safely assume that whatever is told in the MSM is completely opposite to the truth. Would MSM have to push it if it were the truth? You may call this Kiza's Law if you like (modestly): " The truth is always opposite to what MSM say! " The 0.1% of situations where this is not the case is the margin of error. Abe , July 13, 2017 at 7:39 pm "no figure in this saga has a more tangled family relationship with the Kremlin than the London-based hedge fund manager Bill Browder [ ] "there's a reticence in his Jewish narrative. One of his first jobs in London is with the investment operation of the publishing billionaire Robert Maxwell. As it happens, Maxwell was originally a Czech Jewish Holocaust survivor who fled and became a decorated British soldier, then helped in 1948 to set up the secret arms supply line to newly independent Israel from communist Czechoslovakia. He was also rumored to be a longtime Mossad agent. But you learn none of that from Browder's memoir. "The silence is particularly striking because when Browder launches his own fund, he hires a former Israeli Mossad agent, Ariel, to set up his security operation, manned mainly by Israelis. Over time, Browder and Ariel become close. How did that connection come about? Was it through Maxwell? Wherever it started, the origin would add to the story. Why not tell it? "When Browder sets up his own fund, Hermitage Capital Management -- named for the famed czarist-era St. Petersburg art museum, though that's not explained either -- his first investor is Beny Steinmetz, the Israeli diamond billionaire. Browder tells how Steinmetz introduced him to the Lebanese-Brazilian Jewish banking billionaire Edmond Safra, who invests and becomes not just a partner but also a mentor and friend. "Safra is also internationally renowned as the dean of Sephardi Jewish philanthropy; the main backer of Israel's Shas party, the Sephardi Torah Guardians, and of New York's Holocaust memorial museum, and a megadonor to Yeshiva University, Hebrew University, the Weizmann Institute and much more. Browder must have known all that. Considering the closeness of the two, it's surprising that none of it gets mentioned. "It's possible that Browder's reticence about his Jewish connections is simply another instance of the inarticulateness that seizes so many American Jews when they try to address their Jewishness." http://forward.com/news/376788/the-secret-jewish-history-of-donald-trump-jrs-russia-scandal/ backwardsevolution , July 14, 2017 at 3:15 am Abe – what a web. Money makes money, doesn't it? It's often what club you belong to and who you know. I remember a millionaire in my area long ago who went bankrupt. The wealthy simply chipped in, gave him some start-up money, and he was off to the races again. Simple as that. And I would think that the Jews are an even tighter group who invest with each other, are privy to inside information, get laws changed in favor of each other, pay people off when one gets in trouble. Browder seems a shifty sort. As the article says, he leaves a lot out. Abe , July 14, 2017 at 11:37 pm In 1988, Stanton Wheeler (Yale University – Law School), David L. Weisburd (Hebrew University of Jerusalem; George Mason University – The Department of Criminology, Law & Society; Hebrew University of Jerusalem – Faculty of Law). Elin Waring (Yale University – Law School), and Nancy Bode (Government of the State of Minnesota) published a major study on white collar crime in America. Part of a larger program of research on white-collar crime supported by a grant from the United States Department of Justice's National Institute of Justice, the study included "the more special forms associated with the abuse of political power [ ] or abuse of financial power". The study was also published as a Hebrew University of Jerusalem Legal Research Paper The research team noted that Jews were over-represented relative to their share of the U.S. population: "With respect to religion, there is one clear finding. Although many in both white collar and common crime categories do not claim a particular religious faith [ ] It would be a fair summary of our. data to say that, demographically speaking, white collar offenders are predominantly middle-aged white males with an over-representation of Jews." https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2632989 In 1991, David L. Weisburd published his study of Crimes of the Middle Classes: White-Collar Offenders in the Federal Courts, Weisburd found that although Jews comprised only around 2% of the United States population, they contributed at least 9% of lower category white-collar crimes (bank embezzlement, tax fraud and bank fraud), at least 15% of moderate category white-collar crimes (mail fraud, false claims, and bribery), and at least 33% of high category white-collar crimes (antitrust and securities fraud). Weisburg showed greater frequency of Jewish offenders at the top of the hierarchy of white collar crime. In Weisbug's sample of financial crime in America, Jews were responsible for 23.9%. Kiza , July 15, 2017 at 2:26 am What I find most interesting is how Putin handles the Jews. It is obvious that he is the one who saved the country of Russia from the looting of the 90s by the Russian-American Jewish mafia. This is the most direct explanation for his demonisation in the West, his feat will never be forgiven, not even in history books (a demon forever). Even to this day, for example in Syria, Putin's main confrontation is not against US then against the Zionist Jews, whose principal tool is US. Yet, there is not a single anti-Semitic sentence that Putin ever uttered. Also, Putin let the Jewish oligarchs who plundered Russia keep their money if they accepted the authority of the Russian state, kept employing Russians and paying Russian taxes. But he openly confronted those who refused (Berezovsky, Khodorovsky etc). Furthermore, Putin lets Israel bomb Syria under his protection to abandon. Finally, Putin is known in Russia as a great supporter of Jews and Israel, almost a good friend of Nutty Yahoo. Therefore, it appears to me that the Putin's principal strategy is to appeal to the honest Jewish majority to restrain the criminal Jewish minority (including the criminally insane), to divide them instead of confronting them all as a group, which is what the anti-Semitic Europeans have traditionally been doing. His judo-technique is in using Jewish power to restrain the Jews. I still do not know if his strategy will succeed in the long run, but it certainly is an interesting new approach (unless I do not know history enough) to an ancient problem. It is almost funny how so many US people think that the problem with the nefarious Jewish money power started with US, if they are even aware of it. Cal , July 16, 2017 at 5:41 am " His judo-technique is in using Jewish power to restrain the Jews. " The Jews have no power without their uber Jew money men, most of whom are ardent Zionist. And because they get some benefits from the lobbying heft of the Zionist control of congress they arent going to go against them. Abe , July 15, 2017 at 5:11 pm Bill Browder with American-Israeli interviewer Natasha Mozgovaya, TV host for Voice of America. https://www.youtube.com/watch?v=YbgNeQ_xINM In this 2015 tirade, Browder declared "Someone has to punch Putin in the nose" and urged "supplying arms to the Ukrainians and putting troops, NATO troops, in all of the surrounding countries". The choice of Mozgovaya as interviewer was significant to promote Browder with the Russian Jewish community abroad. Born in the Soviet Union in 1979, Mozgovaya immigrated to Israel with her family in 1990. She became a correspondent for the Israeli newspaper Yediot Ahronoth in 2000. Although working most of the time in Hebrew, her reports in Russian appeared in various publications in Russia. Mozgovaya covered the Orange Revolution in Ukraine, including interviews with President Victor Yushenko and his partner-rival Yulia Timoshenko, as well as the Russian Mafia and Russian oligarchs. During the presidency of Vladimir Putin, Mozgovaya gave one of the last interviews with the Russian journalist Anna Politkovskaya. She interviewed Garry Kasparov, Edward Limonov, Boris Berezovsky, Chechen exiles such as Ahmed Zakaev, and the widow of ex-KGB agent Alexander Litvinenko. In 2008, Mozgovaya left Yedioth Ahronoth to become the Washington Bureau Chief for Haaretz newspaper in Washington, D.C.. She was a frequent lecturer on Israel and Middle Eastern affairs at U.S. think-tanks. In 2013, Mozgovaya started working at the Voice of America. HIDE BEHIND , July 13, 2017 at 7:43 pm Gramps was decended from an old Irish New England Yankee lineage and in my youth he always dragged me along when the town meetings were held, so my ideas of American DEmocracy stem from that background, one of open participation. The local newspapers had more social chit chat than political news of international or for that mstter State or Federal shenanigansbut everu member in that far flung settled communit read them from front to back; ss a child I got to read the funny and sports pages until Gramps got finidhed reading the "News Section, always the news first yhen the lesser BS when time allowed,this habit instilled in me the sence of priority. Aftrr I had read his dection of paper he would talk with me,even being a yonker, in a serious but opinionated manner, of the Editorial section which had local commentary letterd to the editor as large as somtimes too pages. I wonder today at which section of papersf at all, is read by american public, and at how manyadults discuss importsn news worthy tppics with their children. At advent of TV we still had trustworthy journalist to finally be seen after years of but reading their columns or listening on radios,almost tottaly all males but men of honesty and character, and worthy of trust. They wrre a part of all social stratas, had lived real lives and yes most eere well educated but not the elitist thinking jrrks who are no more than parrots repeating whatevrr a teleprompter or bias of their employers say to write. Wrll back to Gramps and hid home spun wisdom: He alwsys ,and shoeed by example at those old and somrtimes boistrous town Halls, that first you askef a question, thought about the answer, and then questioned the answer. This made the one being question responsible for the words he spoke. So those who have doubts by a presumed independent journalist, damn right they should question his motives, which in reality begin to answer our unspoken questions we can no longer ask those boobs for bombs and political sychophants and their paymasters of popular media outlets. As one who likes effeciency in prodution one monitors data to spot trends and sny aberations bring questions so yes I note this journalist deviation from the norms as well. I can only question the why, by looking at data from surrounding trends in order to later be able to question his answers. backwardsevolution , July 14, 2017 at 2:07 am Hide Behind – sounds like you had a smart grandpa, and someone who cared enough about you to talk things over with you (even though he was opinionated). I try to talk things over with my kids, sometimes too much. They're known on occasion to say, "Okay, enough. We're full." I wait a few days, and then fill them up some more! Ha. Joe Tedesky , July 13, 2017 at 10:53 pm Here's a thought; will letting go of Trump Jr's infraction cancel out a guilty verdict of Hillary Clinton's transgressions? I keep hearing Hillary references while people defend Donald Trump Jr over his meeting with Russian Natalia Veselnitskaya. My thinking started over how I keep hearing pundits speak to Trump Jr's 'intent'. Didn't Comey find Hillary impossible to prosecute due to her lack of 'intent'? Actually I always thought that to be prosecuted under espionage charges, the law didn't need to prove intent, but then again we are talking about Hillary here. The more I keep hearing Trump defenders make mention of Hillary's deliberate mistakes, and the more I keep hearing Democrates point to Donald Jr's opportunistic failures, the more similarity I see between the two rivals, and the more I see an agreed upon truce ending up in a tie. Remember we live in a one party system with two wings. Am I going down the wrong road here, or could forgiving Trump Jr allow Hillary to get a free get out of jail card? F. G. Sanford , July 14, 2017 at 12:42 am I've been saying all along, our government is just a big can of worms, and neither side can expose the other without opening it. But insiders on both sides are flashing their can openers like it's a game of chicken. My guess is, everybody is gonna get a free pass. I read somewhere that Preet Bharara had the goods on a whole bunch of bankers, but he sat on it clear up to the election. Then, he got fired. So much for draining the swamp. If they prosecute Hillary, it looks like a grudge match. If they prosecute Junior, it looks like revenge. If they prosecute Lynch, it looks like racism. When you deal with a government this corrupt, everybody looks innocent by comparison. I'm still betting nobody goes to jail, as long as the "deep state" thinks they have Trump under control. Joe Tedesky , July 14, 2017 at 1:29 am It's like we are sitting on the top of a hill looking down at a bunch of little armies attacking each other, or something. I'm really screwy, I have contemplated to if Petraues dropped a dime on himself for having a extra martial affair, just to get out of the Benghazi mess. Just thought I'd tell you that for full disclosure. When it comes to Hillary, does anyone remember how in the beginning of her email investigation she pointed to Colin Powell setting precedent to use a private computer? That little snitch Hillary is always the one when caught to start pointing the finger .she would never have lasted in the Mafia, but she's smart enough to know what works best in Washington DC. I'm just starting to see the magic; get the goods on Trump Jr then make a deal with the new FBI director. Okay go ahead and laugh, but before you do pass the popcorn, and let's see how this all plays out. Believe half of what you hear, and nothing of what you see. Joe Lisa , July 14, 2017 at 4:22 am "Believe half of what you hear, and nothing of what you see." Joe, where does this quote originate? Or is it a paraphrase? I once had an American lecturer (political science) at the university, and he stressed the idea that we should not believe anything we read or hear and only half of what we see. This was l-o-o-ng ago, in the 60's. Joe Tedesky , July 14, 2017 at 10:59 am The first time I ever heard that line, 'believe nothing of what you see', was a friend of mine said it after we watched Roberto Clemente throw a third base runner out going towards home plate, as Robert threw the ball without a bounce to the catcher who was standing up, from the deep right field corner of the field .oh those were the days. Gregory Herr , July 14, 2017 at 9:12 pm JT, Clemente had an unbelievable arm! The consummate baseball player I have family in western PA, an uncle your age in fact who remembers Clemente well. Roberto also happened to be a great human being. Joe Tedesky , July 14, 2017 at 9:56 pm I got loss at Forbes Field. I was seven years old, it was 1957. I got separated from my older cousin, we got in for 50 cents to sit in the left field bleachers. Like I said I loss my older cousin so I walked, and walked, and just about the time I wanted my mum the most I saw daylight. I followed the daylight out of the big garage door, and I was standing within a foot of this long white foul line. All of a sudden this Black guy started yelling at me in somekind of broken English to, 'get off the field, get out of here'. Then I felt a field ushers hand grab my shoulder, and as I turned I saw my cousin standing on the fan side of the right field side of the field. The usher picked me up and threw me over to my cousin, with a warning for him to keep his eye on me. That Black baseball player was a young rookie who was recently just drafted from the then Brooklyn Dodgers .#21 Roberto Clemente. Gregory Herr , July 14, 2017 at 10:12 pm You were a charmed boy and now you are a charmed man. Great story life is a Field of Dreams sometimes. Zachary Smith , July 15, 2017 at 9:00 pm Believe half of what you hear, and nothing of what you see. My introduction to this had the wording the other way around: "Don't believe anything you hear and only half of what you see." This was because the workplace was saturated with rumors, and unfortunately there was a practice of management and union representatives "play-acting" for their audience. So what you "saw" was as likely as not a little theatrical production with no real meaning whatever. The two fellows shouting at each other might well be laughing about it over a cup of coffee an hour later. backwardsevolution , July 14, 2017 at 2:01 am Sanford – "But insiders on both sides are flashing their can openers " That's funny writing. Gregory Herr , July 14, 2017 at 10:20 pm yessir, love it Kiza , July 15, 2017 at 2:41 am Absolutely, one of the best political metaphors ever (unfortunately works in English language only). Kiza , July 15, 2017 at 6:19 pm BTW, they are flashing at each other not only can openers then also jail cells and grassy knolls these days. But the can openers would still be most scary. Abe , July 14, 2017 at 2:13 am Israeli banks have helped launder money for Russian oligarchs, while large-scale fraudulent industries, like binary options, have been allowed to flourish here. A May 2009 diplomatic cable by the US ambassador to Israel warned that "many Russian oligarchs of Jewish origin and Jewish members of organized crime groups have received Israeli citizenship, or at least maintain residences in the country." The United States estimated at the time that Russian crime groups had "laundered as much as$10 billion through Israeli holdings."

In 2009, then Manhattan U.S. Attorney Preet Bharara charged 17 managers and employees of the Conference on Jewish Material Claims for defrauding Germany 42.5 million dollars by creating thousands of false benefit applications for people who had not suffered in the Holocaust.

The scam operated by creating phony applications with false birth dates and invented histories of persecution to process compensation claims. In some cases the recipients were born after World War II and at least one person was not even Jewish.

Among those charged was Semyon Domnitser, a former director of the conference. Many of the applicants were recruited from Brooklyn's Russian community. All those charged hail from Brooklyn.

When a phony applicant got a check, the scammers were given a cut, Bharara said. The fraud which has been going on for 16 years was related to the 400 million dollars which Germany pays out each year to Holocaust survivors.

Later, in November 2015, Bharara's office charged three Israeli men in a 23-count indictment that alleged that they ran a extensive computer hacking and fraud scheme that targeted JPMorgan Chase, The Wall Street Journal, and ten other companies.

According to prosecutors, the Israeli's operation generated "hundreds of millions of dollars of illegal profit" and exposed the personal information of more than 100 million people.

Despite his service as a useful idiot propagating the Magnitsky Myth, Bharara discovered that for Russian Jewish oligarchs, criminals and scam artists, the motto is "Nikogda ne zabyt'!" Perhaps more recognizable by the German phrase: "Niemals vergessen!"

backwardsevolution , July 14, 2017 at 3:00 am

Abe – wow, what a story. I guess it's lucrative to "never forget"! Bandits.

Cal , July 14, 2017 at 2:14 pm

https://www.ncjrs.gov/App/publications/Abstract.aspx?id=6180

National Criminal Justice Reference Service (NCJRS)
NCJRS Abstract
The document referenced below is part of the NCJRS Library collection. To conduct further searches of the collection, visit the NCJRS Abstracts Database. See the Obtain Documents page for direction on how to access resources online, via mail, through interlibrary loans, or in a local library.

NCJ Number: NCJ 006180
Title: CRIMINALITY AMONG JEWS – AN OVERVIEW

United States of America
Journal: ISSUES IN CRIMINOLOGY Volume:6 Issue:2 Dated:(SUMMER 1971) Pages:1-39
Date Published: 1971
Page Count: 15
.
Abstract: THE CONCLUSION OF MOST STUDIES IS THAT JEWS HAVE A LOW CRIME RATE. IT IS LOWER THAN THAT OF NON-JEWS TAKEN AS A WHOLE, LOWER THAN THAT OF OTHER RELIGIOUS GROUPS,

HOWEVER, THE JEWISH CRIME RATE TENDS TO BE HIGHER THAN THAT OF NONJEWS AND OTHER RELIGIOUS GROUPS FOR WHITE-COLLAR OFFENSES,

THAT IS, COMMERCIAL OR COMMERCIALLY RELATED CRIMES, SUCH AS FRAUD, FRAUDULENT BANKRUPTCY, AND EMBEZZLEMENT.

Index Term(s): Behavioral and Social Sciences ; Adult offenders ; Minorities ; Behavioral science research ; Offender classification

Country: United States of America
Language: English

backwardsevolution , July 14, 2017 at 4:21 pm

Cal – that does not surprise me at all. Of course they would be where the money is, and once you have money, you get nothing but the best defense. "I've got time and money on my side. Go ahead and take me to court. I'll string this thing along and it'll cost you a fortune. So let's deal. I'm good with a fine."

A rap on the knuckles, a fine, and no court case, no discovery of the truth that the people can see. Of course they'd be there. That IS the only place to be if you want to be a true criminal.

Skip Scott , July 15, 2017 at 1:57 pm

Thanks again Abe, you are a wealth of information. I think you have to allow for anyone to make a mistake, and Bharara has done a lot of good.

BannanaBoat , July 14, 2017 at 10:45 am

USA justice for Oilygarchs; Ignore capital crimes and mass destruction ; concentrate on entertaining shenanigans.

Cal , July 13, 2017 at 11:39 pm

If Trump wants to survive he better let go of his son-in-law, Jared Kushner.

Lets start here:

Trump's personal attorneys are reportedly fed up with Jared Kushner

Longtime Trump attorney Marc Kasowitz and his team have directed their grievance at Jared Kushner, Trump's son-in-law and senior White House adviser.
Citing a person familiar with Trump's legal team, The Times said Kasowitz has bristled at Kushner's "whispering in the president's ear" about stories on the Russia investigation without telling Kasowitz and his team.
The Times' source said the attorneys, who were hired as private counsel to Trump in light of the Russia investigation, view Kushner "as an obstacle and a freelancer" motivated to protect himself over over Trump. The lawyers reportedly told colleagues the work environment among Trump's inner circle was untenable, The Times said, suggesting Kasowitz could resign

Second
Who thinks Jared works for Trump? I don't.
Jared works for his father Charles Kushner, the former jail bird who hired prostitutes to blackmail his brother in law into not testifying against him. Jared spent every weekend his father was in prison visiting him.,,they are inseparable.

Third
So what is Jared doing in his WH position to help his father and his failing RE empire?

Trying to get loans from China, Russia, Qatar,Qatar

And why Is Robert Mueller Probing Jared Kushner's Finances?

Because of this no doubt:..seeking a loan for the Kushners from a Russian bank.

https://www.theguardian.com/world/2017/jun/03/sergei-gorkov-russian-banker-jared-kushner

The White House and the bank have offered differing accounts of the Kushner-Gorkov sit-down. While the White House said Kushner met Gorkov and other foreign representatives as a transition official to "help advance the president's foreign policy goals." Vnesheconombank, also known as VEB, said it was part of talks with business leaders about the bank's development strategy.
It said Kushner was representing Kushner companies, his family real estate empire.

Jared Kushner 'tried and failed to get a $500m loan from Qatar before http://www.independent.co.uk › News › World › Americas › US politics 2 days ago – Jared Kushner tried and failed to secure a$500m loan from one of Qatar's richest businessmen, before pushing his father-in-law to toe a hard line with the country, it has been alleged. This intersection between Mr Kushner's real estate dealings and his father-in-law's

The Kushners are about to lose their shirts..unless one of those foreign country's banks gives them the money.

At Kushners' Flagship Building, Mounting Debt and a Foundered Deal
https://www.nytimes.com/2017/04/03/nyregion/kushner-companies-666-fifth-avenue.html
The Fifth Avenue skyscraper was supposed to be the Kushner Companies' flagship in the heart of Manhattan -- a record-setting $1.8 billion souvenir proclaiming that the New Jersey developers Charles Kushner and his son Jared were playing in the big leagues. And while it has been a visible symbol of their status, it has also it has also been a financial headache almost from the start. On Wednesday, the Kushners announced that talks had broken off with a Chinese financial conglomerate for a deal worth billions to redevelop the 41-story tower, at 666 Fifth Avenue, into a flashy 80-story ultraluxury skyscraper comprising a chic retail mall, a hotel and high-priced condominiums" Get these cockroaches out of the WH please.,,,Jared and his sister are running around the world trying to get money in exchange for giving them something from the Trump WH. BannanaBoat , July 14, 2017 at 10:52 am The NYC skyline displays 666 in really really really HUGE !!!! numbers. Perhaps the USA government as Cheney announced has gone to the very very very DARK side. Cal , July 14, 2017 at 2:16 pm Yea 666 probably isn't a coincidence .lol Chris Kinder , July 14, 2017 at 12:15 am What I think most comments overlook here is the following: the US is the primary imperialist aggressor in the world today, and Russia, though it is an imperialist competitor, is much weaker and is generally losing ground. Early on, the US promised that NATO would not be extended into Eastern Europe, but now look at what's happened: not only does the US have NATO allies and and missiles in Eastern Europe, but it also engineered a coup against a pro-Russian regime in Ukraine, and is now trying to drive Russia out of Eastern Ukraine, as in Crimea and the Donbass and other areas of Eastern Ukraine, which are basically Russian going back more than a century. Putin is pretty mild compered to the US' aggressive stance. That's number one. Number two is that the current anti-Russian hysteria in the US is all about maintaining the same war-mongering stance against Russia that existed in the cold war, and also about washing clean the Democratic Party leadership's crimes in the last election. Did the Russians hack the election? Maybe they tried, but the point is that what was exposed–the emails etc–were true information! They show that the DNC worked to deprive Bernie Sanders of the nomination, and hide crimes of the Clintons'! These exposures, not any Russian connection to the exposures, are what really lost Hillary the election. So, what is going on here? The Democrats are trying to hide their many transgressions behind an anti-Russian scare, why? Because it is working, and because it fits in with US imperialist anti-Russian aims which span the entire post-war period, and continue today. And because it might help get Trump impeached. I would not mind that result one bit, but the Democrats are no alternative: that has been shown to be true over and over again. This is all part of the US attempt to be the dominant imperialist power in the world–something which it has pursued since the end of the last world war, and something which both Democrats and Republicans–ie, the US ruling class behind them–are committed to. Revolutionaries say: the main enemy is at home, and that is what I say now. That is no endorsement of Russian imperialism, but a rejection of all imperialism and the capitalist exploitative system that gives rise to it. Thanks for your attention -- Chris Kinder backwardsevolution , July 14, 2017 at 1:58 am Chris – good post. Thanks. mike k , July 14, 2017 at 11:35 am Chris, I think most commenters here are aware of everything you summarized above, but we just don't put all that in each individual post. Paranam Kid , July 14, 2017 at 6:40 am It is ironic that Browder on his website describes himself as running a battle against corporate corruption in Russia, and there is a quote by Walter Isaacson: "Bill Browder is an amazing moral crusader". http://www.billbrowder.com/bio HIDE BEHIND , July 14, 2017 at 10:02 am One cannot talk of Russian monry laundering in US without exposing the Jewish Israeli and many AIPAC connections. I studied not so much the Jewish Orthodoxy but mainly the evolution of noth their outlook upon G.. but also how those who do not believe in a G.. and still keep their cultural cohesiveness The largest money laundering group in US is both Jewish and Israeli, and while helping those of their cultural similarities, their ecpertise goes. Very deep in Eastern U.S. politics and especially strong in all commercial real estate, funding, setting up bribes to permitting officials,contractors and owners of construvtion firms. Financials some quite large are within this Jew/Israel connections, as all they who offshore need those proper connections to do so. take bribes need the funding cleaned and flow out through very large tax free Jewish Charity Orgd, the largest ones are those of Orthodox. GOV Christie years ago headed the largest sting operation to try and uproot what at that time he believed was just statewide tax fraud and laundering operations, many odd cash flows into political party hacks running for evrry gov position electefd or appointed. Catchng a member of one of the most influential Orthofox familys mrmbers, that member rolled on many many indivifuals of his own culture. It was only when Vhristies investigative team began turning up far larger cases of laundering and political donations thst msinly centered in NY Stste and City, fid he then find out howuch power this grouping had. Soon darn near every AIPAC aided elected politico from city state and rspecially Congress was warning him to end investigation. Which he did. His reward was for his fat ass to be funded for a run towards US Presidency, without any visibly open opposition by that cultural grouping. No it is not odd for Jewery to charge goyim usury or to aid in political schemes that advance their groups aims. One thing to remenber by the Bible thumpers who delay any talks of Israel ; Christian Zionist, is that to be of their culture one does not have to believe in G. There are a few excellent books written about early days Jewish immigrant Pre Irish andblre Sicilian mafias. The Jewish one remainst to this day but are as well orgNized as the untold history of what is known as "The Southern mafia. backwardsevolution , July 14, 2017 at 1:55 pm Hide Behind – fascinating! I guess if we ever knew half of what goes on behind the scenes, we'd be shocked. We only ever know things like this exist when people like you enlighten us, or when there's a blockbuster movie about it. Thanks. Deborah Andrew , July 14, 2017 at 10:03 am With great respect and appreciation for your writing about the current unsubstantiated conversations/writing about 'Russia-gate' I would ask if 'the other side of a story' is really what we want or, is it that we want all the facts. Analysis and opinions, that include the facts, may differ. However, it is the readers who will evaluate the varied analysis and opinions when they include all the facts known. I raise this question, as it seems to me that we have a binary approach to our thinking and decision making. Something is either good or bad, this or that. Sides are taken. Labels are added (such as conservative and progressive). Would we not be wiser and would our decision making not be wiser if it were based on a set of principles? My own preference: the precautionary principle and the principle of do no harm. I am suggesting that we abandon the phrase and notion of the 'other side of the story' and replace it with: based on the facts now known, or, based on all the facts revealed to date or, until more facts are revealed it appears BannanaBoat , July 14, 2017 at 11:00 am HEAR -- HEAR -- Excellent -- Zachary Smith , July 14, 2017 at 11:04 am I would ask if 'the other side of a story' is really what we want or, is it that we want all the facts. Replying to a question with another question isn't really good form, but given my knowledge level of this case I can see no alternative. How do you propose to determine the "facts" when virtually none of the characters involved in the affair appear trustworthy? Also, there is a lot of evidence (displayed by Mr. Parry) that another set of "characters" we call the Mainstream Media are extremely biased and one-sided with their coverage of the story. Again – Where am I going to find those "facts" you speak of? Kiza , July 15, 2017 at 2:52 am Spot on. backwardsevolution , July 14, 2017 at 2:02 pm Deborah Andrew – good comment, but the problem is that we never seem to get "the other side of the story" from the MSM. You are right in pointing out that "the other side of the story" probably isn't ALL there is (as nothing is completely black and white), but at least it's something. The only way we can ever get to the truth is to put the facts together and question them, but how are you going to do that when the facts are kept away from us? It can be very frustrating, can't it, Deborah? Cheers. Cal , July 14, 2017 at 8:52 pm Nice comment. None of us can know the exact truth of anything we ourselves haven't seen or been involved in. The best we can do is try to find trusted sources, be objective, analytical and compare different stories and known the backgrounds and possible agendas of the people involved in a issue or story. We can use some clues to help us cull thru what we hear and read. Twenty-Five Rules of Disinformation Note: The first rule and last five (or six, depending on situation) rules are generally not directly within the ability of the traditional disinfo artist to apply. These rules are generally used more directly by those at the leadership, key players, or planning level of the criminal conspiracy or conspiracy to cover up. 1. Hear no evil, see no evil, speak no evil. Regardless of what you know, don't discuss it -- especially if you are a public figure, news anchor, etc. If it's not reported, it didn't happen, and you never have to deal with the issues. 2. Become incredulous and indignant. Avoid discussing key issues and instead focus on side issues which can be used show the topic as being critical of some otherwise sacrosanct group or theme. This is also known as the 'How dare you!' gambit. 3. Create rumor mongers. Avoid discussing issues by describing all charges, regardless of venue or evidence, as mere rumors and wild accusations. Other derogatory terms mutually exclusive of truth may work as well. This method which works especially well with a silent press, because the only way the public can learn of the facts are through such 'arguable rumors'. If you can associate the material with the Internet, use this fact to certify it a 'wild rumor' from a 'bunch of kids on the Internet' which can have no basis in fact. 4. Use a straw man. Find or create a seeming element of your opponent's argument which you can easily knock down to make yourself look good and the opponent to look bad. Either make up an issue you may safely imply exists based on your interpretation of the opponent/opponent arguments/situation, or select the weakest aspect of the weakest charges. Amplify their significance and destroy them in a way which appears to debunk all the charges, real and fabricated alike, while actually avoiding discussion of the real issues. 5. Sidetrack opponents with name calling and ridicule. This is also known as the primary 'attack the messenger' ploy, though other methods qualify as variants of that approach. Associate opponents with unpopular titles such as 'kooks', 'right-wing', 'liberal', 'left-wing', 'terrorists', 'conspiracy buffs', 'radicals', 'militia', 'racists', 'religious fanatics', 'sexual deviates', and so forth. This makes others shrink from support out of fear of gaining the same label, and you avoid dealing with issues. 6. Hit and Run. In any public forum, make a brief attack of your opponent or the opponent position and then scamper off before an answer can be fielded, or simply ignore any answer. This works extremely well in Internet and letters-to-the-editor environments where a steady stream of new identities can be called upon without having to explain criticism, reasoning -- simply make an accusation or other attack, never discussing issues, and never answering any subsequent response, for that would dignify the opponent's viewpoint. 7. Question motives. Twist or amplify any fact which could be taken to imply that the opponent operates out of a hidden personal agenda or other bias. This avoids discussing issues and forces the accuser on the defensive. 8. Invoke authority. Claim for yourself or associate yourself with authority and present your argument with enough 'jargon' and 'minutia' to illustrate you are 'one who knows', and simply say it isn't so without discussing issues or demonstrating concretely why or citing sources. 9. Play Dumb. No matter what evidence or logical argument is offered, avoid discussing issues except with denials they have any credibility, make any sense, provide any proof, contain or make a point, have logic, or support a conclusion. Mix well for maximum effect. 10. Associate opponent charges with old news. A derivative of the straw man -- usually, in any large-scale matter of high visibility, someone will make charges early on which can be or were already easily dealt with – a kind of investment for the future should the matter not be so easily contained.) Where it can be foreseen, have your own side raise a straw man issue and have it dealt with early on as part of the initial contingency plans. Subsequent charges, regardless of validity or new ground uncovered, can usually then be associated with the original charge and dismissed as simply being a rehash without need to address current issues -- so much the better where the opponent is or was involved with the original source. 11. Establish and rely upon fall-back positions. Using a minor matter or element of the facts, take the 'high road' and 'confess' with candor that some innocent mistake, in hindsight, was made -- but that opponents have seized on the opportunity to blow it all out of proportion and imply greater criminalities which, 'just isn't so.' Others can reinforce this on your behalf, later, and even publicly 'call for an end to the nonsense' because you have already 'done the right thing.' Done properly, this can garner sympathy and respect for 'coming clean' and 'owning up' to your mistakes without addressing more serious issues. 12. Enigmas have no solution. Drawing upon the overall umbrella of events surrounding the crime and the multitude of players and events, paint the entire affair as too complex to solve. This causes those otherwise following the matter to begin to lose interest more quickly without having to address the actual issues. 13. Alice in Wonderland Logic. Avoid discussion of the issues by reasoning backwards or with an apparent deductive logic which forbears any actual material fact. 14. Demand complete solutions. Avoid the issues by requiring opponents to solve the crime at hand completely, a ploy which works best with issues qualifying for rule 10. 15. Fit the facts to alternate conclusions. This requires creative thinking unless the crime was planned with contingency conclusions in place. 16. Vanish evidence and witnesses. If it does not exist, it is not fact, and you won't have to address the issue. 17. Change the subject. Usually in connection with one of the other ploys listed here, find a way to side-track the discussion with abrasive or controversial comments in hopes of turning attention to a new, more manageable topic. This works especially well with companions who can 'argue' with you over the new topic and polarize the discussion arena in order to avoid discussing more key issues. 18. Emotionalize, Antagonize, and Goad Opponents. If you can't do anything else, chide and taunt your opponents and draw them into emotional responses which will tend to make them look foolish and overly motivated, and generally render their material somewhat less coherent. Not only will you avoid discussing the issues in the first instance, but even if their emotional response addresses the issue, you can further avoid the issues by then focusing on how 'sensitive they are to criticism.' 19. Ignore proof presented, demand impossible proofs. This is perhaps a variant of the 'play dumb' rule. Regardless of what material may be presented by an opponent in public forums, claim the material irrelevant and demand proof that is impossible for the opponent to come by (it may exist, but not be at his disposal, or it may be something which is known to be safely destroyed or withheld, such as a murder weapon.) In order to completely avoid discussing issues, it may be required that you to categorically deny and be critical of media or books as valid sources, deny that witnesses are acceptable, or even deny that statements made by government or other authorities have any meaning or relevance. 20. False evidence. Whenever possible, introduce new facts or clues designed and manufactured to conflict with opponent presentations -- as useful tools to neutralize sensitive issues or impede resolution. This works best when the crime was designed with contingencies for the purpose, and the facts cannot be easily separated from the fabrications. 21. Call a Grand Jury, Special Prosecutor, or other empowered investigative body. Subvert the (process) to your benefit and effectively neutralize all sensitive issues without open discussion. Once convened, the evidence and testimony are required to be secret when properly handled. For instance, if you own the prosecuting attorney, it can insure a Grand Jury hears no useful evidence and that the evidence is sealed and unavailable to subsequent investigators. Once a favorable verdict is achieved, the matter can be considered officially closed. Usually, this technique is applied to find the guilty innocent, but it can also be used to obtain charges when seeking to frame a victim. 22. Manufacture a new truth. Create your own expert(s), group(s), author(s), leader(s) or influence existing ones willing to forge new ground via scientific, investigative, or social research or testimony which concludes favorably. In this way, if you must actually address issues, you can do so authoritatively. 23. Create bigger distractions. If the above does not seem to be working to distract from sensitive issues, or to prevent unwanted media coverage of unstoppable events such as trials, create bigger news stories (or treat them as such) to distract the multitudes. 24. Silence critics. If the above methods do not prevail, consider removing opponents from circulation by some definitive solution so that the need to address issues is removed entirely. This can be by their death, arrest and detention, blackmail or destruction of theircharacter by release of blackmail information, or merely by destroying them financially, emotionally, or severely damaging their health. 25. Vanish. If you are a key holder of secrets or otherwise overly illuminated and you think the heat is getting too hot, to avoid the issues, vacate the kitchen. . Note: There are other ways to attack truth, but these listed are the most common, and others are likely derivatives of these. In the end, you can usually spot the professional disinfo players by one or more of seven (now 8) distinct traits: Eight Traits of the Disinformationalist by H. Michael Sweeney copyright (c) 1997, 2000 All rights reserved (Revised April 2000 – formerly SEVEN Traits) 1) Avoidance. They never actually discuss issues head-on or provide constructive input, generally avoiding citation of references or credentials. Rather, they merely imply this, that, and the other. Virtually everything about their presentation implies their authority and expert knowledge in the matter without any further justification for credibility. 2) Selectivity. They tend to pick and choose opponents carefully, either applying the hit-and-run approach against mere commentators supportive of opponents, or focusing heavier attacks on key opponents who are known to directly address issues. . 3) Coincidental. They tend to surface suddenly and somewhat coincidentally with a new controversial topic with no clear prior record of participation in general discussions in the particular public arena involved. They likewise tend to vanish once the topic is no longer of general concern. They were likely directed or elected to be there for a reason, and vanish with the reason. 4) Teamwork. They tend to operate in self-congratulatory and complementary packs or teams. Of course, this can happen naturally in any public forum, but there will likely be an ongoing pattern of frequent exchanges of this sort where professionals are involved. Sometimes one of the players will infiltrate the opponent camp to become a source for straw man or other tactics designed to dilute opponent presentation strength. 5) Anti-conspiratorial. They almost always have disdain for 'conspiracy theorists' and, usually, for those who in any way believe JFK was not killed by LHO. Ask yourself why, if they hold such disdain for conspiracy theorists, do they focus on defending a single topic discussed in a NG focusing on conspiracies? One might think they would either be trying to make fools of everyone on every topic, or simply ignore the group they hold in such disdain.Or, one might more rightly conclude they have an ulterior motive for their actions in going out of their way to focus as they do. 6) Artificial Emotions. An odd kind of 'artificial' emotionalism and an unusually thick skin -- an ability to persevere and persist even in the face of overwhelming criticism and unacceptance. You might have outright rage and indignation one moment, ho-hum the next, and more anger later -- an emotional yo-yo. With respect to being thick-skinned, no amount of criticism will deter them from doing their job, and they will generally continue their old disinfo patterns without any adjustments to criticisms of how obvious it is that they play that game -- where a more rational individual who truly cares what others think might seek to improve their communications style, substance, and so forth, or simply give up. 7) Inconsistent. There is also a tendency to make mistakes which betray their true self/motives. This may stem from not really knowing their topic, or it may be somewhat 'freudian', so to speak, in that perhaps they really root for the side of truth deep within. 8) BONUS TRAIT: Time Constant. Wth respect to News Groups, is the response time factor. There are three ways this can be seen to work, especially when the government or other empowered player is involved in a cover up operation: 1) ANY NG posting by a targeted proponent for truth can result in an IMMEDIATE response. The government and other empowered players can afford to pay people to sit there and watch for an opportunity to do some damage. SINCE DISINFO IN A NG ONLY WORKS IF THE READER SEES IT – FAST RESPONSE IS CALLED FOR, or the visitor may be swayed towards truth. 2) When dealing in more direct ways with a disinformationalist, such as email, DELAY IS CALLED FOR – there will usually be a minimum of a 48-72 hour delay. This allows a sit-down team discussion on response strategy for best effect, and even enough time to 'get permission' or instruction from a formal chain of command. 3) In the NG example 1) above, it will often ALSO be seen that bigger guns are drawn and fired after the same 48-72 hours delay – the team approach in play. This is especially true when the targeted truth seeker or their comments are considered more important with respect to potential to reveal truth. Thus, a serious truth sayer will be attacked twice for the same sin. Michael Kenny , July 14, 2017 at 11:22 am I don't really see Mr Parry's point. The banning of Nekrasov's film isn't proof of the accuracy of its contents and even less does it prove that anything that runs counter to Nekrasov's argument is false. Nor does proving that a mainstream meida story is false prove that an internet story saying the opposite is true. "A calls B a liar. B proves that A is a liar. That proves that B is truthful." Not very logical! What seems to be established is that the lawyer in question represents a Russian-owned company, a money-laundering prosecution against which was settled last May on the basis of what the company called a "surprise" offer from prosecutors that was "too good to refuse". This "Russian government attorney" (dixit Goldstone) had information concerning illegal campaign contributions to the Democratic National Committee. Trump Jr jumped at it and it makes no difference whether he was tricked or even whether he actually got anything, his intent was clear. In addition DNC "dirt" did indeed appear on the internet via Wikileaks, just as "dirt" appeared in the French election. MacronLeaks proves Russiagate and "Juniorgate" confirms MacronLeaks. The question now is did Trump, as president, intervene to bring about this "too good to refuse" offer? That question cannot just be written off with the "no evidence" argument. Skip Scott , July 14, 2017 at 1:40 pm God, you are persistent if nothing else. Keep repeating the same lie until it is taken as true, just like the MSM. You say that Russia-gate, Macron leaks, etc can't be written off with the "no evidence" argument (how is that logical?), and then you trash a film you haven't even seen because it doesn't fit your narrative. Maybe some evidence is provided in the film, did you consider that possibility? That fact that Nekrasov started out to make a pro Broder film, and then switched sides, leads me to believe he found some disturbing evidence. And if you look into Nekrasov you will find that he is no fan of Putin, so one has to wonder what his motive is if he is lying. I am wondering if you ever look back at previous posts, because you never reply to a rebuttal. If you did, you would see that you are almost universally seen by the commenters here as a troll. If you are being paid, I suppose it might not matter much to you. However, your employer should look for someone with more intelligent arguments. He is wasting his money on you. Abe , July 14, 2017 at 9:27 pm Propaganda trolls attempt to trash the information space by dismissing, distracting, diverting, denying, deceiving and distorting the facts. The trolls aim at confusing rather than convincing the audience. The tag team troll performance of "Michael Kenny" and "David" is accompanied by loud declarations that they have "logic" on their side and "evidence" somewhere. Then they shriek that they're being "censored". Propaganda trolls target the comments section of independent investigative journalism sites like Consortium News, typically showing up when articles discuss the West's "regime change" wars and deception operations. Pro-Israel Hasbara propaganda trolls also strive to discredit websites, articles, and videos critical of Israel and Zionism. Hasbara smear tactics have intensified due to increasing Israeli threats of military aggression, Israeli collusion with the United States in "regime change" projects from the Middle East to Eastern Europe, and Israeli links to international organized crime and terrorism in Syria. Kiza , July 15, 2017 at 3:04 am Gee Abe, you are a magician (and I thought that you only quote excellent articles). Short and sharp. Abe , July 15, 2017 at 4:15 pm When they have a hard time selling that they're being "censored" (after more than a dozen comments), trolls complain that they're being "dismissed" and "invalidated" by "hostile voices". exiled off mainstreet , July 14, 2017 at 1:54 pm Aaron Kesel, in Activistpost documents the links between Veselnitskaya and Fusion GPS, the company engaged by the Clintons to prepare the defamatory Christopher Steele Dossier against Trump later used by Comey to help gin up the Russian influence conspiracy theory. In the article, it is true the GPS connection may have involved her lobbying efforts to overturn the Magnitsky law, not the dossier, but it is also interesting that she is on record as anti-Trump and having associations with Clinton democrats. Though it may have been part of the beginnings of a conspiracy, the conspiracy may have developed later and the meeting became something they related back to to bolster this fraudulent dangerous initiative. mike k , July 14, 2017 at 2:01 pm I think as you say Skip that most on this blog have seen through Michael Kenny's stuff. Nobody's buying it. He's harmless. If he's here on his own dime, if we don't feed him, he will get bored and go away. If he's being payed, he may persist, but so what. Sometimes I check the MSM just to see what the propaganda line is. Kenny is like that; his shallow arguments tell me what we must counter to wake people up. Skip Scott , July 14, 2017 at 5:51 pm Yeah mike k, I know you're right. I don't know why I let the guy get under my skin. Perhaps it's because he never responds to a rebuttal. Kiza , July 15, 2017 at 3:14 am Then you would have to waste more time rebutting the (equally empty) rebuttal. The second thing is that many trolls suffer from DID, that is the Dissociative Identity Disorder, aka sock puppetry. There is a bit of similarity in argument between David and Michael and HAWKINS, only one of them rebuts quite often. Philippe Lemoine , July 14, 2017 at 3:41 pm Another excellent article! I wrote a very detailed blog post in which I methodically take apart the latest "revelation" about Donald Trump Jr.'s emails. I talk a lot about the Magnitsky Act, which is very relevant to this whole story. Joe Tedesky , July 14, 2017 at 4:43 pm I always like reading your articles Philippe, you have a real talent. Maybe read what I wrote above, but I'm sensing this Trump Jr affair will help Hillary more than anything, to give her a reprieve from any further FBI investigations. I mean somehow, I'm sure by Hillary's standards and desires, that this whole crazy investigation thing has to end. So, would it not seem reasonable to believe that by allowing Donald Jr to be taken off the hook, that Hillary likewise will enjoy the taste of forgiveness? Tell me if you think this Donald Trump Jr scandal could lead to this Joe PS if so this could be a good next article to write there I go telling the band what to play, but seriously if this Russian conclusion episode goes on much longer, could you not see a grand bargain and a deal being made? Philippe Lemoine , July 14, 2017 at 5:14 pm Thanks for the compliment, I'm glad you like the blog. I wasn't under the impression that Clinton was under any particular danger from the Justice Department, but even if she was, she doesn't have the power to stop this Trump/Russia collusion nonsense because it's pushed by a lot of people that have nothing to do with her except for the fact that they would have preferred her to win. Abe , July 14, 2017 at 6:48 pm Excellent summary and analysis, Philippe. Key observation: "as even the New York Times admits, there is no evidence that Natalia Veselnitskaya, the lawyer who met Donald Trump Jr., Jared Kushner and Paul Manafort for 20-30 minutes on 9 June 2016, provided any such information during that meeting. Donald Trump Jr. said that, although he asked her about it, she didn't give them anything on Clinton, but talked to him about the Magnitsky Act and Russia's decision to block adoption by American couples in retaliation. Of course, if we just had his word, we'd have no particularly good reason to believe him. But the fact remains that no documents of the sort described in Goldstone's ridiculous email ever surfaced during the campaign, which makes what he is saying about how the meeting went down pretty convincing, at least on this specific point. It should be noted that Donald Trump Jr. has offered to testify under oath about anything related to this meeting. Moreover, he also said during the interview he gave to Sean Hannity that there was no follow-up to this meeting, which is unlikely to be a lie since he must know that, given the hysteria about this meeting, it would come out. He may not be the brightest guy in the world, but surely he or at least the people who advised him before that interview are not that stupid." Philippe Lemoine , July 14, 2017 at 10:27 pm Thanks! exiled off mainstreet , July 16, 2017 at 1:31 pm Your own necpluribus article was one of the best I've seen summarising the whole controversy, and your exhaustive responses to the pro-deep state critics was edifying. I am now convinced that your view of Veselnitskaya's role in the affair and the nature her connections to the dossier drafting company GPS being based on their unrelated work on the magnitsky law is accurate. Mike , July 14, 2017 at 9:36 pm Pretty interesting: Big Tim , July 15, 2017 at 12:31 am "Bill Browder, born into a notable Jewish family in Chicago, is the grandson of Earl Browder, the former leader of the Communist Party USA,[2] and the son of Eva (Tislowitz) and Felix Browder, a mathematician. He grew up in Chicago, Illinois, and attended the University of Chicago where he studied economics. He received an MBA from Stanford Business School[3] in 1989 where his classmates included Gary Kremen and Rich Kelley. In 1998, Browder gave up his US citizenship and became a British citizen.[4] Prior to setting up Hermitage, Browder worked in the Eastern European practice of the Boston Consulting Group[5] in London and managed the Russian proprietary investments desk at Salomon Brothers.[6]" Rake , July 15, 2017 at 9:13 am Successfully keeping a salient argument from being heard is scary, given the social media and alternative media players who are all ripe to uncover a bombshell. Sy Hersh needs to convince Nekrasov to get his documentary to WkiLeaks. Anna , July 15, 2017 at 10:25 am "Sy Hersh needs to convince Nekrasov to get his documentary to WkiLeaks." Agree. P. Clark , July 15, 2017 at 12:01 pm When Trump suggested that a Mexican-American judge might be biased because of this ethnicity the media said this was racist. Yet these same outlets like the New York Times are now routinely questioning Russian-American loyalty because of their ethnicity. As usual a ridiculous double standard. Basically the assumption is all Russians are bad. We didn't even have this during the cold war. Cal , July 15, 2017 at 8:10 pm Yes indeed P. Clark .that kind or hypocrisy makes my head explode! MichaelAngeloRaphaelo , July 15, 2017 at 12:17 pm Enough's Enough STOP DNC/DEMs #CryBabyFakeNewsBS Support Duly ELECTED @POTUS @realDonaldTrump #BoycottFakeNewsSponsors #DrainTheSwamp #MAGA Roy G Biv , July 15, 2017 at 12:50 pm CN article on 911 truthers: https://www.consortiumnews.com/2011/011511.html Finnish wonderer , July 15, 2017 at 1:19 pm Wow, I just learned via this article that in US Nekrasov is labeled as "pro-Kremlin" by WaPo. That's just too funny. He's in a relationship with a Finnish MEP Heidi Hautala, who is very well known for her anti-Russia mentality. Nekrasov is defenetly anti-Kremlin if something. He was supposed to make an anti-Kremlin documentary, but the facts turned out to be different than he thought, but still finished his documentary. Mark Dankof , July 15, 2017 at 3:21 pm The lengths to which the Neo Conservative War Cabal will go to destroy freedom of speech and access to alternative news sources underscores that the United States is becoming an Orwellian agitation-propaganda police state equally dedicated to igniting World War III for Netanyahu, the Central Banks, our Wahhabic Petrodollar Partners, and a pipeline consortium or two. The Old American Republic is dead. Roy G Biv , July 15, 2017 at 4:38 pm Interesting to note that each and everyone of David's comments were bleached from this page. Looks like he was right about the censorship. Sad. Abe , July 15, 2017 at 5:41 pm Note "allegations that are unsupported by facts". https://consortiumnews.com/2016/01/19/a-reminder-about-comment-rules-2/ David , July 16, 2017 at 3:51 pm Duly noted Abe. But you should adhere to the first part of the statement that you somehow forgot to include: From Editor Robert Parry: At Consortiumnews, we welcome substantive comments about our articles, but comments should avoid abusive language toward other commenters or our writers, racial or religious slurs (including anti-Semitism and Islamophobia), and allegations that are unsupported by facts. Kiza , July 15, 2017 at 6:06 pm My favorite was David's claim that he contributed to this zine whilst it was publishing articles not to his liking (/sarc). I kindly reminded him that people pay much more money to have publishing the way they like it – for example how much Bezos paid for Washington Post, or Omidyar to establish The Intercept. Except for such funny component, David's comments were totally substance free and useless. Nothing lost with bleaching. Roy G Biv , July 16, 2017 at 5:44 am You're practicing disinformation. He actually said he contributed early on and had problems with the recent course of the CN trajectory. Censorship is cowardly. Abe , July 16, 2017 at 1:53 pm Consortium News welcomes substantive comments. "David" was presenting allegations unsupported by facts and disrupting on-topic discussion. Violations of CN comment policy are taken down by the moderator. Period. It has nothing to do with "censorship". Stop practicing disinformation and spin, "Roy G Biv". David , July 16, 2017 at 3:57 pm I stopped contributing after the unintellectual dismissal of scientific 911 truthers. And it's easy for you to paint over my comments as they have been scrubbed. There was plenty of useful substance, it just ran against the tide. Sorry you didn't appreciate it the contrary viewpoint or have the curiosity to read the backstory. Abe , July 16, 2017 at 5:02 pm The cowardly claim of "censorship". The typical troll whine is that their "contrary viewpoint" was "dismissed" merely because it "ran against the tide". No. Your allegations were unsupported by facts. They still are. Martyrdom is just another troll tactic. dub , July 15, 2017 at 9:44 pm torrent for the film? Roy G Biv , July 16, 2017 at 5:56 am Here is the pdf of the legal brief about the Magnitsky film submitted by Senator Grassly to Homeland Security Chief. Interesting read and casts doubt on the claims made in the film, refutes several claims actually. Skip past Chuck Grassly's first two page intro to get to the meat of it. If you are serious about a debate on the merits of the case, this is essential reading. Abe , July 16, 2017 at 1:16 pm Yes, very interesting read. By all means, examine the brief. But forget the spin from "Roy G Biv" because the brief actually refutes nothing about Andrei Nekrasov's film. It simply notes that the Russian government was understandably concerned about "unscrupulous swindler" and "sleazy crook" William Browder. After your finished reading the brief, try to remember any time when Congress dared to examine a lobbying campaign undertaken on behalf of Israeli (which is to say, predominantly Russian Jewish) interests, the circumstances surrounding a pro-Israel lobbying effort and the potential FARA violations involved. or the background of a Jewish "Russian immigrant". Note on page 3 of the cover letter the CC to The Honorable Dianne Feinstein, Ranking Member of the Senate Committee on the Judiciary. Feinstein was born Dianne Emiel Goldman in San Francisco, to Betty (née Rosenburg), a former model, and Leon Goldman, a surgeon. Feinstein's paternal grandparents were Jewish immigrants from Poland. Her maternal grandparents, the Rosenburg family, were from Saint Petersburg, Russia. While they were of German-Jewish ancestry, they practiced the Russian Orthodox faith as was required for Jews residing in Saint Petersburg. In 1980, Feinstein married Richard C. Blum, an investment banker. In 2003, Feinstein was ranked the fifth-wealthiest senator, with an estimated net worth of US$26 million. By 2005 her net worth had increased to between US$43 million and US$99 million.

Like the rest of Congress, Feinstein knows the "right way" to vote.

David , July 16, 2017 at 1:50 pm

So you're saying because a Jew Senator was CC'd it invalidates the information? Read the first page again. The Chairman of the Senate Judiciary Committee is obligated to CC these submissions to the ranking member of the Committee, Jew heritage or not. Misinformation and disinformation from you Abe, or generously, maybe lazy reading. The italicized unscrupulous swindler and sleazy crook comments were quoting the Russian Foreign Minister Sergei Lavrov after the Washington screening of Nekrasov's film and demonstrating Russia's intentions to discredit Browder. You are practiced at the art of deception. Hopefully readers will simply look for themselves.

Abe , July 16, 2017 at 2:11 pm

My statements about Senator Feinstein are entirely supported by facts. You really should look into that.

Also, please note that quotation marks are not italics.

And please note that the Russian Foreign Minister is legally authorized to present the view of the Russian government.

Browder is pretty effective at discrediting himself. He simply has to open his mouth.

I encourage readers to look for themselves, and not simply take the word of one Browder's sockpuppets.

David , July 16, 2017 at 2:55 pm

It won't last papushka. Every post and pended moderated post was scrubbed yesterday, to the cheers of you and your mean spirited friends. But truth is truth and should be defended. So to the point, I reread the Judiciary Committee linked document, and the items you specified are in italics, because the report is quoting Lavrov's comments to a Moscow news paper and "another paper" as evidence of Russia's efforts to undermine the credibility and standing of Browder. This is hardly obscure. It's plain as day if you just read it.

David , July 16, 2017 at 2:59 pm

Also Abe, before I get deleted again, I don't question any of you geneological description of Feinstein. I merely pointed out that she is the ranking Democrat on the House Judiciary Committee, and it is normal for the Chairman of the Committee (Republican) to CC the ranking member. Unless of course it is Devin Nunes, then fairness and tradition goes out the window.

Abe , July 16, 2017 at 4:01 pm

It's plain as day, "David" or whatever other name you're trolling under, that you're here to loudly "defend" the "credibility" and "standing" of William Browder.

Sorry, but you're going to have to "defend" Browder with something other than your usual innuendo, blather about 9-11, and slurs against RP.

Otherwise it will be recognized for what it is, repeated violation of CN comment policy, and taken down by the moderator again.

Good luck to any troll who wants to "defend" Browder's record.

But you're gonna have to earn your pay with something other than your signature unsupported allegations, 9-11 diversions, and the "non-Jewish Russian haters gonna hate" propaganda shtick.

David , July 16, 2017 at 5:07 pm

I wish you would stop with the name calling. I am not a troll. I have been trying to make simple rational points. You respond by calling me names and wholly ignoring and/or misrepresenting and obfuscating easily verifiable facts. I suspect you are the moderator of this page, and if so am surprised by your consistent negative references to Jews. I'm not Jewish but you're really over the top. Of course you have many friends here so you get little push back, but I really hope you are not Bob or Sam.

Anonymous , July 16, 2017 at 10:26 am

We can see that it was what can be considered to be a Complex situation, where it was said that someone had Dirt on Hillary Clinton, but there was No collusion and there was No attempted collusion, but there was Patriotism and Concern for Others during a Perplexing situation.

This is because of what is Known as Arkancide, and which is associated with some People who say they have Dirt on the Clintons.

The Obvious and Humane thing to do was to arrange to meet the Russian Lawyer, who it was Alleged to have Dirt on Hillary Clinton, regardless of any possible Alleged Electoral advantage against Hillary Clinton, and until further information, there may have been some National Security Concerns, because it was Known that Hillary Clinton committed Espionage with Top Secret Information on her Unauthorized, Clandestine, Secret Email Server, and the Obvious cover up by the Department of Justice and the FBI, and so it was with this background that this Complex situation had to be dealt with.

This is because there is Greater Protection for a Person who has Dirt or Alleged Dirt on the Clintons, if that Information is share with other People.

This is because it is a Complete Waste of time to go to the Authorities, because they will Not do anything against Clinton Crimes, and a former Haitian Government Official was found dead only days before he was to give Testimony regarding the Clinton Foundation.

We saw this with Seth Rich, where the Police Videos has been withheld, and we have seen the Obstruction in investigating that Crime.

The message to Leakers is that Seth Rich was taken to hospital and Treated and was on his way to Fully Recovering, but he died in hospital, and those who were thinking of Leaking Understood the message from that.

There was Also concern for Rob Goldstone, who Alleged that the Russian Lawyer had Dirt on the Clintons.

We Know that is is said Goldstone that he did Not want to hear what was said at the meeting.

This is because Goldstone wanted associates of Candidate Donald Trump to Know that he did Not know what was said at that meeting.

We now Know that the meeting was a set up to Improperly obtain a FISA Warrant, which was Requested in June of 2016, and that is same the month and the year as the meeting that the Russian Lawyer attended.

There was what was an Unusual granting of a Special Visa so that the Russian Lawyer could attend that set up, which was Improperly Used to Request a FISA Warrant in order to Improperly Spy on an Opposition Political Candidate in order to Improperly gain an Electoral advantage in an Undemocratic manner, because if anything wrong was intended by Associates of Candidate Donald Trump, then there were enough People in that meeting who were the Equivalent of Establishment Democrats and Establishment Republicans, because we Know that after that meeting, that the husband of the former Florida chair of the Trump campaign obtained a front row seat to a June 2016 House Foreign Affairs Committee hearing for the Russian Lawyer.

There are Americans who consider that the 2 Major Political Party Tyranny has Betrayed the Constitution and the Principles of Democracy, because they oppose President Donald Trump's Election Integrity Commission, because they think that the Establishment Republicans and the Establishment Democrats are the Bribed and Corrupted Puppets of the Shadow Regime.

We Know from Senator Sanders, that if Americans want a Political Revolution, then they will need their own Political Party.

There are Americans who think that a Group of Democratic Party Voters and Republican Party Voters who have No association with the Democratic Party or the Republican Party, and that they may be named The Guardians of American Democracy.

These Guardians of American Democracy would be a numerous Group of People, and they would ask Republican Voters to Vote for the Democratic Party Representative instead of the Republican who is in Congress and who is seeking Reelection, in exchange for Democratic Party Voters to Vote for the Republican Party Candidate instead of the Democrat who is in Congress and who is seeking Reelection, and the same can be done for the Senate, because the American People have to Decide if it is they the Shadow Regime, or if it is We the People, and the Establishment Republicans and the Establishment Democrats are the Bribed and Corrupt Puppets of the Shadow Regime, and there would be equal numbers of Republicans and Democrats replaced in this manner, and so it will Not affect their numbers in the Congress or the Senate.

There could be People who think that Debbie Wasserman Schultz was Unacceptability Biased and Unacceptability Corrupt during the Democratic Party Primaries, and that if she wants a Democratic Party Candidate to be Elected in her Congressional District, then she Should announce that she will Not be contesting the next Election, and there could be People who think that Speaker Paul Ryan was Unacceptability Disloyal by insufficiently endorse the Republican Presidential nominee, and with other matters, and that if he wants a Republican Party Candidate to be Elected in his Congressional District, then he Should announce that he will Not be contesting the next Election, and then the Guardians of American Democracy can look at other Dinos and Rinos, including those in the Senate, because the Constitution says the words: We the People.

There are Many Americans who have Noticed that Criminal Elites escape Justice, and Corruption is the norm in American Politics.

There are those who Supported Senator Sanders who Realize that Senator Sanders would have been Impeached had he become President, and they Know that they Need President Donald Trump to prepare the Political Landscape so that someone like Senator Sanders could be President, without a Coup attempt that is being attempted on President Donald Trump, and while these People may not Vote for the Republicans, they can Refuse to Vote for the Democratic Party, until the conditions are there for a Constitutional Republic and a Constitutional Democracy, and they want the Illegal Mueller Team to recuse themselves from this pile of Vile and Putrid McCarthyist Lies Invented by their Shadow Regime Puppet Masters,

There are Many Americans who want Voter Identification and Paper Ballots for Elections, and they have seen how several States are Opposed to President Donald Trump's Commission on Election Integrity, because they want to Rig their Elections, and this is Why there are Many Americans who want America to be a Constitutional Republic and a Constitutional Democracy.

MillyBloom54 , July 16, 2017 at 12:31 pm

http://washingtonmonthly.com/2017/07/10/trumps-inner-circle-met-with-no-ordinary-russian-lawyer/

Abe , July 16, 2017 at 1:32 pm

Yes, very interesting read. By all means, examine the article, which concludes:

"So, let's please stay focused on why this matters.

"And why was Preet Bharara fired again?"

Israeli banks have helped launder money for Russian oligarchs, while large-scale fraudulent industries have been allowed to flourish in Israel.

A May 2009 diplomatic cable by the US ambassador to Israel warned that "many Russian oligarchs of Jewish origin and Jewish members of organized crime groups have received Israeli citizenship, or at least maintain residences in the country."

The United States estimated at the time that Russian crime groups had "laundered as much as $10 billion through Israeli holdings." In 2009, then Manhattan U.S. Attorney Preet Bharara charged 17 managers and employees of the Conference on Jewish Material Claims for defrauding Germany 42.5 million dollars by creating thousands of false benefit applications for people who had not suffered in the Holocaust. The scam operated by creating phony applications with false birth dates and invented histories of persecution to process compensation claims. In some cases the recipients were born after World War II and at least one person was not even Jewish. Among those charged was Semyon Domnitser, a former director of the conference. Many of the applicants were recruited from Brooklyn's Russian community. All those charged hail from Brooklyn. When a phony applicant got a check, the scammers were given a cut, Bharara said. The fraud which has been going on for 16 years was related to the 400 million dollars which Germany pays out each year to Holocaust survivors. Later, in November 2015, Bharara's office charged three Israeli men in a 23-count indictment that alleged that they ran a extensive computer hacking and fraud scheme that targeted JPMorgan Chase, The Wall Street Journal, and ten other companies. According to prosecutors, the Israeli's operation generated "hundreds of millions of dollars of illegal profit" and exposed the personal information of more than 100 million people. Why was Bharara fired? Any real investigation of Russia-Gate will draw international attention towards Russian Jewish corruption in the FIRE (Finance, Insurance, and Real Estate) sectors, and lead back to Israel. Ain't gonna happen. David , July 16, 2017 at 3:22 pm Remember Milly that essentially one of the first things Trump did when he came into office was fire Preet, and just days before the long awaited trial. Then, Jeff Sessions settled the case for 6 million without any testimony on a 230 million dollar case, days after. Spectacular and brazen, and structured to hide the identities of which properties were bought by which investors. Hmmmm. David , July 16, 2017 at 3:33 pm By the way Milly, great summary article you have linked and one that everyone who is championing the Nekrasov film should read. Abe , July 16, 2017 at 4:37 pm The "great" article was not written by a journalist. It's an opinion piece written by Martin Longman, a blogger and Democratic Party political consultant. From 2012 to 2013, Longman worked for Democracy for America (DFA) a political action committee, headquartered in South Burlington, Vermont, founded by former Democratic National Committee Chairman Howard Dean. Since March 2014, political animal Longman has managed the The Washington Monthly website and online magazine. Although it claims to be "an independent voice", the Washington Monthly is funded by the Ford Foundation, JP Morgan Chase Foundation, and well-heeled corporate entities http://washingtonmonthly.com/about/ Longman's credentials as a "progressive" alarmist are well established. Since 2005, he has been the publisher of Booman Tribune. Longman admits that BooMan is related to the 'bogey man' (aka, bogy man, boogeyman), an evil imaginary character who harms children. Vladimir Putin is the latest bogey man of the Democratic Party and its equally pro-Israel "opposition". Neither party wants the conversation to involve Jewish Russian organized crime, because that leads to Israel and the pro-Israel AIPAC lobby that funds both the Republican and Democratic parties. Very interesting. #### [Dec 07, 2017] Amy Klein, in particular her book Shock Doctine tells how Milton Friedman's neoliberal economics was brought to S. America, Russia, Iraq, and other vulnerable nations to devore them by the greedy Vampire Squid with insatiable appetite for money and unchallenged world power. ###### Dec 07, 2017 | www.unz.com @ChuckOrloski I read her books, To others: Even FB may gain some historical wisdom by reading Amy K.'s description of the Chicago School of Economics and how Milton Friedman's economic "Shock Doctrine" was brought to S. America, Russia, Iraq, and other awe struck nations vulnerable to the greedy Vampire Squid's insatiable appetite for money and unchallenged world power. you must mean Naomi Klein, who wrote "Shock Doctrine". She's great and looks good too. Recently some British black woman interviewed her and she was nicely poised and patient with the Dodo. Milton Friedman, whata guy, is he any relative of Thomas (alla'akbar ) Friedmin? (whata other f'n guy too. I think Vampire Squid was a phrase that Taibbi started about Wall St. But haven't seen much of him lately. #### [Dec 03, 2017] How Criminals Built Capitalism by Clive Crook ##### That explains why after dissolution of the USSR organized crime reached such level: this is standard capitalism development scenario. ##### Notable quotes: ##### "... In fact, the evolution of the modern economy owes more than you might think to these outlaws. That's the theme of " Forging Capitalism: Rogues, Swindlers, Frauds, and the Rise of Modern Finance " by Ian Klaus. It's a history of financial crimes in the 19th and early 20th centuries that traces a recurring sequence: new markets, new ways to cheat, new ways to transact and secure trust. As Klaus says, criminals helped build modern capitalism. ..." ##### "... Cochrane, in a way, was convicted of conduct unbecoming a man of his position. Playing the markets, let alone cheating, was something a man of his status wasn't supposed to do. Trust resided in social standing. ..." ##### "... The stories are absorbing and the larger theme is important: "Forging Capitalism" is a fine book and I recommend it. But I have a couple of criticisms. The project presumably began as an academic dissertation, and especially at the start, before Klaus starts telling the stories, the academic gravity is crushing. ..." ##### "... Nonetheless, Klaus is right: Give the markets' ubiquitous and ingenious criminals their due. They helped build modern capitalism, and they aren't going away. Just ask Bernie Madoff. ..." ###### Apr 05, 2015 | Bloomberg View Whenever buyers and sellers get together, opportunities to fleece the other guy arise. The history of markets is, in part, the history of lying, cheating and stealing -- and of the effort down the years to fight commercial crime. In fact, the evolution of the modern economy owes more than you might think to these outlaws. That's the theme of "Forging Capitalism: Rogues, Swindlers, Frauds, and the Rise of Modern Finance" by Ian Klaus. It's a history of financial crimes in the 19th and early 20th centuries that traces a recurring sequence: new markets, new ways to cheat, new ways to transact and secure trust. As Klaus says, criminals helped build modern capitalism. And what a cast of characters. Thomas Cochrane is my own favorite. (This is partly because he was the model for Jack Aubrey in Patrick O'Brian's "Master and Commander" novels, which I've been reading and rereading for decades. Presumably Klaus isn't a fan: He doesn't note the connection.) Cochrane was an aristocrat and naval hero. At the height of his fame in 1814 he was put on trial for fraud. An associate had spread false rumors of Napoleon's death, driving up the price of British government debt, and allowing Cochrane to avoid heavy losses on his investments. Cochrane complained (with good reason, in fact) that the trial was rigged, but he was found guilty and sent to prison. The story is fascinating in its own right, and the book points to its larger meaning. Cochrane, in a way, was convicted of conduct unbecoming a man of his position. Playing the markets, let alone cheating, was something a man of his status wasn't supposed to do. Trust resided in social standing. As the turbulent century went on, capitalism moved its frontier outward in every sense: It found new opportunities overseas; financial innovation accelerated; and buyers and sellers were ever more likely to be strangers, operating at a distance through intermediaries. These new kinds of transaction required new ways of securing trust. Social status diminished as a guarantee of good faith. In its place came, first, reputation (based on an established record of honest dealing) then verification (based on public and private records that vouched for the parties' honesty). Successive scams and scandals pushed this evolution of trust along. Gregor MacGregor and the mythical South American colony of Poyais ("the quintessential fraud of Britain's first modern investment bubble," Klaus calls it); Beaumont Smith and an exchequer bill forging operation of remarkable scope and duration; Walter Watts, insurance clerk, theatrical entrepreneur and fraudster; Harry Marks, journalist, newspaper proprietor and puffer of worthless stocks. On and on, these notorious figures altered the way the public thought about commercial trust, and spurred the changes that enabled the public to keep on trusting nonetheless. The stories are absorbing and the larger theme is important: "Forging Capitalism" is a fine book and I recommend it. But I have a couple of criticisms. The project presumably began as an academic dissertation, and especially at the start, before Klaus starts telling the stories, the academic gravity is crushing. Trust, to be simple with our definition, is an expectation of behavior built upon norms and cultural habits. It is often dependent upon a shared set of ethics or values. It is also a process orchestrated through communities and institutions. In this sense, it is a cultural event and thus a historical phenomenon. No doubt, but after a first paragraph like that you aren't expecting a page-turner. Trust me, it gets better. When he applies himself, Klaus can write. Describing the messenger who brought the false news of Napoleon's death, he says: Removed from the dark of the street, the man could be seen by the light of two candles. He looked, a witness would later testify, "like a stranger of some importance." A German sealskin cap, festooned with gold fringes, covered his head. A gray coat covered his red uniform, upon which hung a star Neighbors and residents of the inn stirred and peered in as the visitor penned a note. Tell me more. My other objection is to the book's repeated suggestion that Adam Smith and other classical proponents of market economics naively underestimated the human propensity to deceive and over-credited the market's ability to promote good behavior. Klaus doesn't examine their claims at length or directly, but often says things such as: The sociability in which Adam Smith had placed his hopes for harnessing self-interest was not a sufficient safeguard in the sometimes criminal capitalism of the ruthless free market. Of course it wasn't. Smith didn't believe that the market's civilizing tendencies, together with humans' instinct for cooperation, were a sufficient safeguard against fraud or breach of contract or other commercial wrongs. He was nothing if not realistic about human nature. And by the way, many of the subtle adaptations to the shifting risk of fraud that Klaus describes were private undertakings, not government measures. Far from being surprised by them, Smith would have expected their development. Nonetheless, Klaus is right: Give the markets' ubiquitous and ingenious criminals their due. They helped build modern capitalism, and they aren't going away. Just ask Bernie Madoff. To contact the author on this story: Clive Crook at ccrook5@bloomberg.net #### [Nov 30, 2017] The people who worked in int l finance in the 90s (representing countries to the WB and IMF) knew about the criminal callousness of these institutions when pushing austerity or reform policies. Local elites sometimes were complacent and profited (those privatizations! those newly opened markets!), sometimes resisted, but the US and the multilateral system –financial or otherwise– are ruthless and very hard to resist. ##### Notable quotes: ##### "... "The World Wealth and Inequality project's latest white-paper, co-authored by Thomas "Capital in the 21st Century" Piketty, painstaking pieces together fragmentary data-sources to build up a detailed picture of wealth inequality in Russia in the pre-revolutionary period; during phases of the Soviet era; on the eve of the collapse of the USSR; and ever since. ..." ##### "... According to our benchmark estimates, top income shares are now similar to (or higher than) the levels observed in the United States. We also find that inequality has increased substantially more in Russia than in China and other ex-communist countries in Eastern Europe. We relate this finding to the specific transition strategy followed in Russia. According to our benchmark estimates, the wealth held offshore by rich Russians is about three times larger than official net foreign reserves, and is comparable in magnitude to total household financial assets held in Russia. ..." ##### "... For my money, Saker emphasises the supposed friendliness of the Western people towards Russia too much. It is not the Western people who want to attack Russia then the Western Anglozionist elite, but the Western people really do not care, as long as it is not the blood of their progeny and their own money paying for bringing Russia to heel. ..." ##### "... And if Russia is destroyed, just like Ukraine, then there could be some lucrative jobs when the Western Zio-elite starts dismembering the Russian corpse. And well paying jobs are in great demand in the bankrupt West. The unwritten contract that the Western people have with their Anglozionist elite says: find a way to destroy Russia without a global nuclear war, cheaply, without serious dying on our side and throw us a few bones and we will gladly hybernate our moral conscience. ..." ###### Nov 30, 2017 | www.unz.com The people who worked in int'l finance in the 90s (representing countries to the WB and IMF) knew about the criminal callousness of these institutions when pushing 'austerity' or 'reform' policies. Local elites sometimes were complacent and profited (those privatizations! those newly opened markets!), sometimes resisted, but the US and the multilateral system –financial or otherwise– are ruthless and very hard to resist. Many countries suffered, not because they were Russian or Brazilian or Mexican, but because the opportunity for gain was there. anon , Disclaimer November 29, 2017 at 4:51 am GMT There's some common ground between the reds and whites in that the reds tapped into nationalist sentiments, hence the wars of national liberation around the world being supported by the communists: Korea, Vietnam, insurgencies in Latin America, Africa, etc. The script has flipped with the western countries now being the 'godless' ones who are trying to destroy religion, the family and traditional ways of life. The 1% were horrified that there was an ideology out there that advocated taking their loot away so they used all their resources in combatting it, even being willing to take the world to the brink of nuclear Armageddon in doing so. They'd take the world down with them rather than lose their positions of power and money. Now that the ideology is no longer there it's just back to the business of robbing everyone weaker than them. All the hysteria about Putin is simply that he's built up the Russian state to where they can resist and that he's not a fellow slaveholder like them. The intervention in Syria has unhinged parts of the west where they thought they could rob and kill anywhere they pleased but now have been successfully resisted. Political systems come and go but the people have endured for the past thousand years, something the fat cats of the west are trying to destroy to enlarge their slave plantation. peterAUS , November 29, 2017 at 6:57 am GMT @anon he's not a fellow slaveholder like them . Quick Google: Inequality in Russia " With the richest 10% owning 87% of all the country's wealth, Russia is rated the most unequal of the world's major economies. ." " Russia has greater economic disparity than any other major global power. In 2016, Credit Suisse's Global Wealth Report found that the wealthiest 10% of people in Russia controlled 89% of the country's wealth .. "The World Wealth and Inequality project's latest white-paper, co-authored by Thomas "Capital in the 21st Century" Piketty, painstaking pieces together fragmentary data-sources to build up a detailed picture of wealth inequality in Russia in the pre-revolutionary period; during phases of the Soviet era; on the eve of the collapse of the USSR; and ever since. The headline findings: official Russian estimates drastically understate national inequality; Russia is as unequal as the USA or even moreso; Russian inequality is more intense than the inequality in other post-Soviet states and in post-Deng China. This paper combines national accounts, survey, wealth and fiscal data (including recently released tax data on high-income taxpayers) in order to provide consistent series on the accumulation and distribution of income and wealth in Russia from the Soviet period until the present day. We find that official survey-based measures vastly under-estimate the rise of inequality since 1990. According to our benchmark estimates, top income shares are now similar to (or higher than) the levels observed in the United States. We also find that inequality has increased substantially more in Russia than in China and other ex-communist countries in Eastern Europe. We relate this finding to the specific transition strategy followed in Russia. According to our benchmark estimates, the wealth held offshore by rich Russians is about three times larger than official net foreign reserves, and is comparable in magnitude to total household financial assets held in Russia. From Soviets to Oligarchs: Inequality and Property in Russia 1905-2016 [Filip Novokmet, Thomas Piketty, Gabriel Zucman/World Wealth and Income Database]" Etc Cyrano , November 29, 2017 at 8:25 am GMT @anon People used to stage revolutions in order to bring communism to their countries. Plenty of examples for that: Russia, China, Cuba and many others. Of course, those people were deluded, right? Who would want to bring a system that preaches economic equality? It must be someone who is out of their mind. Has there ever been a capitalist revolution where someone took up arms trying to bring capitalism to their country? Must be because it's such a humane and desirable system. Also, a lot of people think that Islam is a backward religion. Really? Then how come it tolerates socialism (communism), better than Christianity ever did? Libya, Iraq, Syria, Afghanistan they were all socialist at some point. That's why the greatest democracy set their sights on them to destroy them. Because, you see, by their calculations, no matter how extremist and backward the Islam gets, it's still more progressive than socialism or communism. Helluva math there. The game has always been about preserving capitalism, and not the most benign version either. Which is too bad, because capitalism has been known to tolerate dictatorship, fascism, Nazism, slavery – pretty much the ugliest forms of government the sick human mind can come up with, but it can't tolerate little bit of socialism. Because you see, socialism is worse than any of those lovely political systems. Democracy (capitalism) is too pure for that, such a fragile and delicate thing that it is. I am surprised Sweden hasn't been bombed yet, for their flirting with socialism, but the way the things are going over there, they don't have to be bombed. They did themselves in by following someone's stupid ideas about multiculturalism – which of course is also a form of socialism – racial one, instead the real deal – the economic socialism that the greatest democracy of them all is so afraid of. Kiza , November 29, 2017 at 12:30 pm GMT When the Serbians in different parts of Yugoslavia started being attacked by the West, I was constantly pointing out that in recent times, since WW1, an attack on Serbia has been a kind of introduction to an attack on Russia. In other words, I had no doubt that Russia was next. But, there is one huge difference between Serbia and Russia. Whilst the Serbians killed very few of those Western Zionist military mercenaries who were killing Serbians directly or using their Croat, Muslim and Albanian proxies, if attacked the Russian military could kill hundreds of thousands of the Western mercenaries. This is why whilst the war on Serbia was real and bloody only on Serbians and the Bosnian Muslim proxies, the war on Russia would be totally disastrous for the Anglozionist Empire. This is the only reason a shooting war on Russia has not started already. For my money, Saker emphasises the supposed friendliness of the Western people towards Russia too much. It is not the Western people who want to attack Russia then the Western Anglozionist elite, but the Western people really do not care, as long as it is not the blood of their progeny and their own money paying for bringing Russia to heel. And if Russia is destroyed, just like Ukraine, then there could be some lucrative jobs when the Western Zio-elite starts dismembering the Russian corpse. And well paying jobs are in great demand in the bankrupt West. The unwritten contract that the Western people have with their Anglozionist elite says: find a way to destroy Russia without a global nuclear war, cheaply, without serious dying on our side and throw us a few bones and we will gladly hybernate our moral conscience. yeah , November 29, 2017 at 3:31 pm GMT @Quartermaster Well, what evidence have you for asserting that Putin is a thug? You saw through the media's false reporting earlier as you admit, so how come you again swallow the load of marbles that they dish out? And while Putin may or may not be feared by "near abroad" he certainly is feared by those who seek total dominance of the planet. The thing is, he is not an easy pushover and that is what is behind the thug claims. Many thinking people admire his intellect, statesmanship, and skill in dealing with major problems of our times. The media also hates him because he shows up the western leaders for the clowns that they are. A principled US Government would have dealt very differently with Russia and Putin. There is no inherent conflict of interest with Russia once global dominance is discarded as the main policy objective. Avery , November 29, 2017 at 3:59 pm GMT @Quartermaster {The only people that fear Putin is the near abroad, .} Sure, if you say so, Bub. Texas* is, of course, 'near aboard' . [Russia has begun testing of its new intercontinental ballistic missile (ICBM), the RS-28 Sarmat. Sarmat can carry a payload of up to ten tons of nukes. The missile system is set to enter service in 2018. The RS-28 Sarmat is the first entirely new Russian ICBM in decades. The heavyweight missile weighs 100 tons and can boost 10 tons. Russia claims the Sarmat can lift 10 heavyweight warheads, or 16 lighter ones, and Russian state media has described it as being able to wipe out an area the size of Texas or France.] _______________________ * [Russia's New ICBM Could "Wipe Out Texas"] http://www.popularmechanics.com/military/weapons/a23547/russias-new-icbm-could-wipe-out-texas/ disturbed_robot , November 29, 2017 at 4:20 pm GMT @WorkingClass Wow, this is the most refreshing and clear minded comment I've seen here in a while. Nice job WorkingClass, you've managed to keep your mind clear and not buy into the BS. You've given me some hope Thank you. Anonymous , Disclaimer November 29, 2017 at 4:52 pm GMT @peterAUS Inequality in Russia The supposed leaders of the West are busy trying to replace or at the very least water down their own populations with a totally different set of people from far away. Obviously these supposedly democratic leaders loathe what are supposed to be their own people but rather see all those below them as just so many replaceable units of labor, the mark of a "slaveholder". Putin has helped his people immensely. Life expectancies had plummeted into the 50′s and that's now been improved greatly as well as living standards. He's popular because he's done much for the people he identifies with, unlike Western leaders who hold their noses when anywhere near the citizenry. If the Russians like him then they must not be as worried about some issues as critics outside the country appear to be. L.K , November 29, 2017 at 6:35 pm GMT Very interesting interview with Professor McCoy: On Contact: Decline of the American empire with Alfred McCoy WorkingClass , November 29, 2017 at 7:03 pm GMT @disturbed_robot Thanks for the kind words. Aedib , November 29, 2017 at 7:08 pm GMT @James N. Kennett It is hard to find people in the West who "hate the Russian people themselves"; but in place of hatred there is definitely fear – fear of Russia's military strength. Disagree. The enormous propagandistic effort to demonize Russia in the West, not only reveals fear. It also reveals hate, at least on most of the elites. Most people are indifferent toward Russia but elites definitively have fear to the bear. You can test some people by simply naming "Russia" and you will see on their eyes a quite irrationala mix of hate and fear. I think this is result of an Orwellian propaganda effort aimed at injecting fear to "Eurasia". This fear is exaggerated by the US military-industrial complex for its own purposes; Agreed. gwynedd1 , November 29, 2017 at 7:22 pm GMT @WorkingClass Given any two races or culture , what they are and what I think of them hardly matters. However pitted against each other it will cultivate and create good conditions for the scum of both of them and embroil the rest in the conflict. It is an against of chaos for a hostile order. gwynedd1 , November 29, 2017 at 7:30 pm GMT @Quartermaster "Why should the west try to destroy Russia? They're doing a great job of it all by themselves" How many times have you visited Russia? Cyrano , November 29, 2017 at 7:41 pm GMT @Philip Owen Right. Those were capitalist revolutions. You are bang on. Capitalism is one of the most tolerant systems of all kinds of extremism, as I already mentioned. Capitalism has been known to tolerate monarchy, fascism, Nazism, various forms of dictatorships, slavery, pretty much everything. But they draw the line at tolerating socialism, like it's the worst extremism they have ever tolerated. My point is, capitalism is pretty robust system, it's not some delicate beauty that will fall apart if it comes in touch with socialism. Democracy is only a window dressing, it has never been about democracy, it has always been about capitalism. AB_Anonymous , November 29, 2017 at 8:12 pm GMT There's nothing easier nowadays than becoming a Kremlin (or any other kind of) Troll. Just start talking about things as they are and you're half way through. Keep talking that way a bit longer, and you'll forever become another precious source of income for the army of no-talent crooks with unlimited rights and zero oversee from those for whom they officially work. These guys are simply used to build their entire careers and financial well-beings by adjusting reality to their needs. They've been doing it for decades. Why not, as long as the true bosses are happy ? Why not, when the MSM will make population to swallow anything, no matter how idiotic and illogical it is ? #### [Nov 30, 2017] The people who worked in int'l finance in the 90s (representing countries to the WB and IMF) knew about the criminal callousness of these institutions when pushing 'austerity' or 'reform' policies. Local elites sometimes were complacent and profited (those privatizations! those newly opened markets!), sometimes resisted, but the US and the multilateral system –financial or otherwise– are ruthless and very hard to resist. ###### Nov 30, 2017 | www.unz.com The people who worked in int'l finance in the 90s (representing countries to the WB and IMF) knew about the criminal callousness of these institutions when pushing 'austerity' or 'reform' policies. Local elites sometimes were complacent and profited (those privatizations! those newly opened markets!), sometimes resisted, but the US and the multilateral system –financial or otherwise– are ruthless and very hard to resist. Many countries suffered, not because they were Russian or Brazilian or Mexican, but because the opportunity for gain was there. anon , Disclaimer November 29, 2017 at 4:51 am GMT There's some common ground between the reds and whites in that the reds tapped into nationalist sentiments, hence the wars of national liberation around the world being supported by the communists: Korea, Vietnam, insurgencies in Latin America, Africa, etc. The script has flipped with the western countries now being the 'godless' ones who are trying to destroy religion, the family and traditional ways of life. The 1% were horrified that there was an ideology out there that advocated taking their loot away so they used all their resources in combatting it, even being willing to take the world to the brink of nuclear Armageddon in doing so. They'd take the world down with them rather than lose their positions of power and money. Now that the ideology is no longer there it's just back to the business of robbing everyone weaker than them. All the hysteria about Putin is simply that he's built up the Russian state to where they can resist and that he's not a fellow slaveholder like them. The intervention in Syria has unhinged parts of the west where they thought they could rob and kill anywhere they pleased but now have been successfully resisted. Political systems come and go but the people have endured for the past thousand years, something the fat cats of the west are trying to destroy to enlarge their slave plantation. peterAUS , November 29, 2017 at 6:57 am GMT @anon he's not a fellow slaveholder like them . Quick Google: Inequality in Russia " With the richest 10% owning 87% of all the country's wealth, Russia is rated the most unequal of the world's major economies. ." " Russia has greater economic disparity than any other major global power. In 2016, Credit Suisse's Global Wealth Report found that the wealthiest 10% of people in Russia controlled 89% of the country's wealth .. "The World Wealth and Inequality project's latest white-paper, co-authored by Thomas "Capital in the 21st Century" Piketty, painstaking pieces together fragmentary data-sources to build up a detailed picture of wealth inequality in Russia in the pre-revolutionary period; during phases of the Soviet era; on the eve of the collapse of the USSR; and ever since. The headline findings: official Russian estimates drastically understate national inequality; Russia is as unequal as the USA or even moreso; Russian inequality is more intense than the inequality in other post-Soviet states and in post-Deng China. This paper combines national accounts, survey, wealth and fiscal data (including recently released tax data on high-income taxpayers) in order to provide consistent series on the accumulation and distribution of income and wealth in Russia from the Soviet period until the present day. We find that official survey-based measures vastly under-estimate the rise of inequality since 1990. According to our benchmark estimates, top income shares are now similar to (or higher than) the levels observed in the United States. We also find that inequality has increased substantially more in Russia than in China and other ex-communist countries in Eastern Europe. We relate this finding to the specific transition strategy followed in Russia. According to our benchmark estimates, the wealth held offshore by rich Russians is about three times larger than official net foreign reserves, and is comparable in magnitude to total household financial assets held in Russia. From Soviets to Oligarchs: Inequality and Property in Russia 1905-2016 [Filip Novokmet, Thomas Piketty, Gabriel Zucman/World Wealth and Income Database]" Etc Cyrano , November 29, 2017 at 8:25 am GMT @anon People used to stage revolutions in order to bring communism to their countries. Plenty of examples for that: Russia, China, Cuba and many others. Of course, those people were deluded, right? Who would want to bring a system that preaches economic equality? It must be someone who is out of their mind. Has there ever been a capitalist revolution where someone took up arms trying to bring capitalism to their country? Must be because it's such a humane and desirable system. Also, a lot of people think that Islam is a backward religion. Really? Then how come it tolerates socialism (communism), better than Christianity ever did? Libya, Iraq, Syria, Afghanistan they were all socialist at some point. That's why the greatest democracy set their sights on them to destroy them. Because, you see, by their calculations, no matter how extremist and backward the Islam gets, it's still more progressive than socialism or communism. Helluva math there. The game has always been about preserving capitalism, and not the most benign version either. Which is too bad, because capitalism has been known to tolerate dictatorship, fascism, Nazism, slavery – pretty much the ugliest forms of government the sick human mind can come up with, but it can't tolerate little bit of socialism. Because you see, socialism is worse than any of those lovely political systems. Democracy (capitalism) is too pure for that, such a fragile and delicate thing that it is. I am surprised Sweden hasn't been bombed yet, for their flirting with socialism, but the way the things are going over there, they don't have to be bombed. They did themselves in by following someone's stupid ideas about multiculturalism – which of course is also a form of socialism – racial one, instead the real deal – the economic socialism that the greatest democracy of them all is so afraid of. Kiza , November 29, 2017 at 12:30 pm GMT When the Serbians in different parts of Yugoslavia started being attacked by the West, I was constantly pointing out that in recent times, since WW1, an attack on Serbia has been a kind of introduction to an attack on Russia. In other words, I had no doubt that Russia was next. But, there is one huge difference between Serbia and Russia. Whilst the Serbians killed very few of those Western Zionist military mercenaries who were killing Serbians directly or using their Croat, Muslim and Albanian proxies, if attacked the Russian military could kill hundreds of thousands of the Western mercenaries. This is why whilst the war on Serbia was real and bloody only on Serbians and the Bosnian Muslim proxies, the war on Russia would be totally disastrous for the Anglozionist Empire. This is the only reason a shooting war on Russia has not started already. For my money, Saker emphasises the supposed friendliness of the Western people towards Russia too much. It is not the Western people who want to attack Russia then the Western Anglozionist elite, but the Western people really do not care, as long as it is not the blood of their progeny and their own money paying for bringing Russia to heel. And if Russia is destroyed, just like Ukraine, then there could be some lucrative jobs when the Western Zio-elite starts dismembering the Russian corpse. And well paying jobs are in great demand in the bankrupt West. The unwritten contract that the Western people have with their Anglozionist elite says: find a way to destroy Russia without a global nuclear war, cheaply, without serious dying on our side and throw us a few bones and we will gladly hybernate our moral conscience. yeah , November 29, 2017 at 3:31 pm GMT @Quartermaster Well, what evidence have you for asserting that Putin is a thug? You saw through the media's false reporting earlier as you admit, so how come you again swallow the load of marbles that they dish out? And while Putin may or may not be feared by "near abroad" he certainly is feared by those who seek total dominance of the planet. The thing is, he is not an easy pushover and that is what is behind the thug claims. Many thinking people admire his intellect, statesmanship, and skill in dealing with major problems of our times. The media also hates him because he shows up the western leaders for the clowns that they are. A principled US Government would have dealt very differently with Russia and Putin. There is no inherent conflict of interest with Russia once global dominance is discarded as the main policy objective. Avery , November 29, 2017 at 3:59 pm GMT @Quartermaster {The only people that fear Putin is the near abroad, .} Sure, if you say so, Bub. Texas* is, of course, 'near aboard' . [Russia has begun testing of its new intercontinental ballistic missile (ICBM), the RS-28 Sarmat. Sarmat can carry a payload of up to ten tons of nukes. The missile system is set to enter service in 2018. The RS-28 Sarmat is the first entirely new Russian ICBM in decades. The heavyweight missile weighs 100 tons and can boost 10 tons. Russia claims the Sarmat can lift 10 heavyweight warheads, or 16 lighter ones, and Russian state media has described it as being able to wipe out an area the size of Texas or France.] _______________________ * [Russia's New ICBM Could "Wipe Out Texas"] http://www.popularmechanics.com/military/weapons/a23547/russias-new-icbm-could-wipe-out-texas/ disturbed_robot , November 29, 2017 at 4:20 pm GMT @WorkingClass Wow, this is the most refreshing and clear minded comment I've seen here in a while. Nice job WorkingClass, you've managed to keep your mind clear and not buy into the BS. You've given me some hope Thank you. Anonymous , Disclaimer November 29, 2017 at 4:52 pm GMT @peterAUS Inequality in Russia The supposed leaders of the West are busy trying to replace or at the very least water down their own populations with a totally different set of people from far away. Obviously these supposedly democratic leaders loathe what are supposed to be their own people but rather see all those below them as just so many replaceable units of labor, the mark of a "slaveholder". Putin has helped his people immensely. Life expectancies had plummeted into the 50′s and that's now been improved greatly as well as living standards. He's popular because he's done much for the people he identifies with, unlike Western leaders who hold their noses when anywhere near the citizenry. If the Russians like him then they must not be as worried about some issues as critics outside the country appear to be. L.K , November 29, 2017 at 6:35 pm GMT Very interesting interview with Professor McCoy: On Contact: Decline of the American empire with Alfred McCoy WorkingClass , November 29, 2017 at 7:03 pm GMT @disturbed_robot Thanks for the kind words. Aedib , November 29, 2017 at 7:08 pm GMT @James N. Kennett It is hard to find people in the West who "hate the Russian people themselves"; but in place of hatred there is definitely fear – fear of Russia's military strength. Disagree. The enormous propagandistic effort to demonize Russia in the West, not only reveals fear. It also reveals hate, at least on most of the elites. Most people are indifferent toward Russia but elites definitively have fear to the bear. You can test some people by simply naming "Russia" and you will see on their eyes a quite irrationala mix of hate and fear. I think this is result of an Orwellian propaganda effort aimed at injecting fear to "Eurasia". This fear is exaggerated by the US military-industrial complex for its own purposes; Agreed. gwynedd1 , November 29, 2017 at 7:22 pm GMT @WorkingClass Given any two races or culture , what they are and what I think of them hardly matters. However pitted against each other it will cultivate and create good conditions for the scum of both of them and embroil the rest in the conflict. It is an against of chaos for a hostile order. gwynedd1 , November 29, 2017 at 7:30 pm GMT @Quartermaster "Why should the west try to destroy Russia? They're doing a great job of it all by themselves" How many times have you visited Russia? Cyrano , November 29, 2017 at 7:41 pm GMT @Philip Owen Right. Those were capitalist revolutions. You are bang on. Capitalism is one of the most tolerant systems of all kinds of extremism, as I already mentioned. Capitalism has been known to tolerate monarchy, fascism, Nazism, various forms of dictatorships, slavery, pretty much everything. But they draw the line at tolerating socialism, like it's the worst extremism they have ever tolerated. My point is, capitalism is pretty robust system, it's not some delicate beauty that will fall apart if it comes in touch with socialism. Democracy is only a window dressing, it has never been about democracy, it has always been about capitalism. AB_Anonymous , November 29, 2017 at 8:12 pm GMT There's nothing easier nowadays than becoming a Kremlin (or any other kind of) Troll. Just start talking about things as they are and you're half way through. Keep talking that way a bit longer, and you'll forever become another precious source of income for the army of no-talent crooks with unlimited rights and zero oversee from those for whom they officially work. These guys are simply used to build their entire careers and financial well-beings by adjusting reality to their needs. They've been doing it for decades. Why not, as long as the true bosses are happy ? Why not, when the MSM will make population to swallow anything, no matter how idiotic and illogical it is ? #### [Nov 29, 2017] How I became a Kremlin Troll by The Saker ###### Nov 29, 2017 | www.unz.com The Soviet authorities had long listed me, and my entire family, as dangerous anti-Soviet activists and I, therefore, could not travel to Russia until the fall of Communism in 1991 when I immediately caught the first available flight and got to Moscow while the barricades built against the GKChP coup were still standing. Truly, by this fateful month of August 1991, I was a perfect anti-Soviet activist and an anti-Communist hardliner. I even took a photo of myself standing next to the collapsed statue of Felix Derzhinsky (the founder of the ChK – the first Soviet Secret police) with my boot pressed on his iron throat. That day I felt that my victory was total. It was also short-lived. Instead of bringing the long-suffering Russian people freedom, peace, and prosperity, the end of Communism in Russia only brought chaos, poverty, violence, and abject exploitation by the worst class of scum the defunct Soviet system had produced. I was horrified. Unlike so many other anti-Soviet activists who were also Russophobes, I never conflated my people and the regime which oppressed them. So, while I rejoiced at the end of one horror, I was also appalled to see that another one had taken its place. Even worse, it was undeniable that the West played an active role in every and all forms of anti-Russian activities, from the total protection of Russian mobsters, on to the support of the Wahabi insurgents in Chechnya, and ending with the financing of a propaganda machine which tried to turn the Russian people into mindless consumers to the presence of western "advisors" (yeah, right!) in all the key ministries. The oligarchs were plundering Russia and causing immeasurable suffering, and the entire West, the so-called "free world" not only did nothing to help but helped all the enemies of Russia with every resource it had. Soon the NATO forces attacked Serbia, a historical ally of Russia, in total violation of the most sacred principles of international law. East Germany was not only reunified but instantly incorporated into West Germany and NATO pushed as far East as possible. I could not pretend that all this could be explained by some fear of the Soviet military or by a reaction to the Communist theory of world revolution. In truth, it became clear to me that the western elites did not hate the Soviet system or ideology, but that they hated Russian people themselves and the culture and civilization which they had created. By the time the war against the Serbian nation in Croatia, Bosnia and Kosovo broke out, I was in a unique situation: all day long I could read classified UNPROFOR and military reports about what was taking place in that region and, after work, I could read the counter-factual anti-Serbian propaganda the western corporate Ziomedia was spewing out every day. I was horrified to see that literally everything the media was saying was a total lie. Then came the false flags, first in Sarajevo, but later also in Kosovo. My illusions about "Free World" and the "West" were crumbling. Fast. Fate brought me to Russia in 1993 when I saw the carnage of meted out by the "democratic" Eltsin regime against thousands of Russians in Moscow (many more than what the official press reported). I also saw the Red Flags and Stalin portraits around the parliament building. My disgust by then was total. And when the Eltsin regime decided to bring Dudaev's Chechnia to heel triggering yet another needless bloodbath, that disgust turned into despair. Then came the stolen elections of 1996 and the murder of General Lebed. At that point, I remember thinking "Russia is dead." So, when the entourage of Eltsin suddenly appointed an unknown nobody to acting President of Russia, I was rather dubious, to put it mildly. The new guy was not a drunk or an arrogant oligarch, but he looked rather unimpressive. He was also ex-KGB which was interesting: on one hand, the KGB had been my lifelong enemy but on the other hand, I knew that the part of the KGB which dealt with foreign intelligence was staffed by the brightest of the brightest and that they had nothing to do with political repression, Gulags and all the rest of the ugly stuff another Directorate of the KGB (the 5th) was tasked with (that department had been abolished in 1989). Putin came from the First Main Directorate of the KGB, the "PGU KGB." Still, my sympathies were more with the (far less political) military intelligence service (GRU) than the very political PGU which, I was quite sure by then, had a thick dossier on my family and me. Then, two crucial things happened in parallel: both the "Free world" and Putin showed their true faces: the "Free world" as an AngloZionist Empire hell-bent on aggression and oppression, and Vladimir Putin as a real patriot of Russia. In fact, Putin slowly began looking like a hero to me: very gradually, in small incremental steps first, Putin began to turn Russia around, especially in two crucial matters: he was trying to "re-sovereignize" the country (making it truly sovereign and independent again), and he dared the unthinkable: he openly told the Empire that it was not only wrong, it was illegitimate (just read the transcript of Putin's amazing 2007 "Munich Speech"). Putin inspired me to make a dramatic choice: will I stick to my lifelong prejudices or will I let reality prove my lifelong prejudices wrong. The first option was far more comfortable to me, and all my friends would approve. The second one was far trickier, and it would cost me the friendship of many people. But what was the better option for Russia? Could it be that it was the right thing for a "White Russian" to join forces with the ex-KGB officer? The transcript for the 2007 speech is here in English, plus questions and answers NoseytheDuke , November 28, 2017 at 1:07 pm GMT @SteveLancs Thanks for that Steve, I had intended to search for it but got sidetracked by visits to the vet. What strikes me whenever I read a transcript of Putin's speeches is the precision of his language, it's really impressive. It really isn't fair to compare that to the loose waffle of GWB or the Trumpster but even WJC or BHO who were considered to be commendable orators just lack the fine edge and the gravitas of Putin. #### [Oct 30, 2017] IMF forced Russia to allow other former Soviet countries to use, and issue, Rubles, thereby delaying the introduction of national currencies by a year, and giving the other former Soviet countries a motivation to issue huge quantities of currency, and thereby driving hyperinflation ##### Notable quotes: ##### "... New York Magazine ..." ###### Oct 30, 2017 | marknesop.wordpress.com saskydisc , October 27, 2017 at 7:21 pm I am reading Alex Krainer's book on Bill Browder. After introducing himself, he summarized Browser's Red Alert, then spends several chapters giving the context of the 1990s US/IMF rape of Russia via Yeltsin. One thing that he mentions of which I was not aware, is that the IMF forced Russia to allow other former Soviet countries to use, and issue , Rubles, thereby delaying the introduction of national currencies by a year, and giving the other former Soviet countries a motivation to issue huge quantities of currency, and thereby driving hyperinflation. He portrays Jeffrey Sachs as possibly a geopolitical useful idiot of the US and IMF. The IMF refused to give loans to actually assist the transition, but they had no problem giving Yeltsin a 6.7 billion dollar loan for the Chechen war. Banks were given loans "to support the ruble," which were promptly used to bet against same. At times, the conduct of the Harvard connected personnel in Russia became so blatantly criminal that the FBI investigated and prosecuted. Harvard defended the guilty parties, and even paid a 31 million dollar US fine to settle the matter, and kept the guilty party as faculty. rkka , October 28, 2017 at 1:08 pm By the way, Jeff Sachs has come to the conclusion that he was used in exactly that way, that the USG never intended to actually assist Russia's transition, but to make the process as prolonged and destructive as possible. And then there was the US support to Yeltsin's reelection campaign in '96. In January Yeltsin was polling with a 5% approval rating. 55% of Russians thought he should resign rather than seek reelection, mostly because his policies had them dying off by almost a million a year. Funny that. He and the 'Family' seriously considered cancelling the election and ruling by decree. Instead, they decided to steal it, with the assistance of Western governments & the IMF. In March, President Clinton prevailed on the IMF to release about$10b to the Russian government, which used the funds to support Yeltsin's reelection. Years of wage arrears for government workers were suddenly cleared, as if by magic! Zyuganov was buried under a tsunami of stories that he intended to bring back War Communism and the Purges from both State and Oligarch-owned media, while getting no coverage of his actual positions from same. Zyuganov adhered to the legal limits on campaign spending, while Yeltsin exceeded them by a couple of orders of magnitude, with no consequence. And to top it all off, there was flagrant use of 'administrative resource' and outright voter fraud. Mr. Michael Meadowcroft, the leader of the OSCE election monitoring team, told The Exile of the heavy pressure he got from Western governments to minimize his reporting of how the Yeltsin reelection team was abusing Russian political processes in every possible way to ensure his reelection and the continuation of the policies that had Russians dying off by almost a million a year.

And so in '96 Western media celebrated the 54% majority vote for the guy with the 5% approval rating as 'A Triumph of Democracy!'

In 2012 they called it 'Massive Fraud!' when the guy with the 66% approval rating got 63% of the vote.

The only possible conclusion from this is that Western government care nothing for what Russians think, or how, or even whether, they live, only that the Russian government submit.

Their big problem for Western governments is that Russian voters now understand this, which puts them beyond the influence of the Anglosphere Foreign Policy Elite & Punditocracy.

This drives the AFPE&P up the wall, for they are obsessed with having 'Leverage' and 'Influence' and cannot stand having none.

saskydisc , October 28, 2017 at 4:23 pm
The desperation is in full display. One interesting thing that I notice is that the apolitical people are not aware, and even forget the propaganda shortly after being subjected to it. While this has the downside of making them uninterested in the facts, it does make them indifferent to the propaganda as well. Should they be dragooned into fighting, they will fight to survive, rather than to conquer.

As such, the powers that still are, are out of options. Winning a battle such as a colour revolution is more expensive to their aims in the long run than not initiating one, yet they need to steal other countries' wealth to roll over their expense accounts. I need to work up my cynicism and invest in popcorn.

saskydisc , October 28, 2017 at 4:40 pm
Another nice little detail that Krainer includes is the sending of large sums of mint US banknotes to Russian banks involved in money laundering for gangs. This was done by a bank owned by Browser's "angel" investor, Edmond Safra, and he lists how the regulators went out of their way to avoid their legal responsibilities in that matter. He also spends some time on Browder's confession that his (Browder's) pretensions of being in opposition to Soros outfit Renaissance Capital was a ruse, as Browder admits to having conducted much business with same.

He also spends some pages looking at Browder's tax evasion through transfer pricing (selling cheaply abroad, to a tax haven) using avionics outfit AVISMA.

Finally, some humour: when Browder got served his summons, he started complaining that he left the US due to prosecution of his family. Under examination, it turns out that his immediate family included professors at prestigious US universities, long after McCarthy, but long before he opted for UK citizenship.

marknesop , October 29, 2017 at 12:48 pm
Yes, I did a piece on that long ago , probably before your time here. It included some very useful links, some of which probably still work – perhaps the most eye-popping being Robert Friedman's "The Money Plane", from New York Magazine . Check it out; I think you'll find it enlightening.

I did not know that Renaissance Capital was connected to Soros, though; that's news to me, and I guess you can always learn something.

saskydisc , October 29, 2017 at 2:32 pm
Will check it out. Krainer does cite one of your pieces, in a different matter.
saskydisc , October 29, 2017 at 2:44 pm
You go into more detail, e.g. that the purpose of the shell companies was to take ownership of and manipulate Gazprom et alia. You also have more detail on Safra -- Krainer did not mention his death, and I don't recall him mentioning Mr North.
marknesop , October 29, 2017 at 9:06 am
And there is considerable anecdotal confirmation – which I realize is not evidence – that Zyuganov actually won the election, but was so stupefied and frightened at the prospect of leading such a restive country that he allowed the election to be stolen from him without opposing it. If true, he has never spoken of it himself to my knowledge. But others have.
Pro-Freedom , October 29, 2017 at 9:08 am
For that matter, there likely wouldn't not have been a Putin presidency.
kirill , October 29, 2017 at 10:30 am
Zyuganov was 5th column comprador who made sure the Communist Party did not evolve and thereby ensuring its long term oblivion.
Matt , October 29, 2017 at 10:45 am
Per Dugin, that technically qualifies him as a 6th columnist:

http://katehon.com/1318-sixth-column.html

This structure sure is stable, kek.

#### [Oct 21, 2017] Socialism, Land and Banking 2017 compared to 1917 by Michael Hudson

##### "... Journal of Economic Issues ..."
###### Oct 20, 2017 | www.counterpunch.org
Socialism a century ago seemed to be the wave of the future. There were various schools of socialism, but the common ideal was to guarantee support for basic needs, and for state ownership to free society from landlords, predatory banking and monopolies. In the West these hopes are now much further away than they seemed in 1917. Land and natural resources, basic infrastructure monopolies, health care and pensions have been increasingly privatized and financialized.

Instead of Germany and other advanced industrial nations leading the way as expected, Russia's October 1917 Revolution made the greatest leap. But the failures of Stalinism became an argument against Marxism – guilt-by-association with Soviet bureaucracy. European parties calling themselves socialist or "labour" since the 1980s have supported neoliberal policies that are the opposite of socialist policy. Russia itself has chosen neoliberalism.

Few socialist parties or theorists have dealt with the rise of the Finance, Insurance and Real Estate (FIRE) sector that now accounts for most increase in wealth. Instead of evolving into socialism, Western capitalism is being overcome by predatory finance and rent extraction imposing debt deflation and austerity on industry as well as on labor.

Failure of Western economies to recover from the 2008 crisis is leading to a revival of Marxist advocacy. The alternative to socialist reform is stagnation and a relapse into neofeudal financial and monopoly privileges.

Socialism flowered in the 19 th century as a program to reform capitalism by raising labor's status and living standards, with a widening range of public services and subsidies to make economies more efficient. Reformers hoped to promote this evolution by extending voting rights to the working population at large.

Ricardo's discussion of land rent led early industrial capitalists to oppose Europe's hereditary landlord class. But despite democratic political reform, the world has un-taxed land rent and is still grappling with the problem of how to keep housing affordable instead of siphoning off rent to a landlord class – more recently transmuted into mortgage interest paid to banks by owners who pledge the rental value for loans. Most bank lending today is for real estate mortgages. The effect is to bid up land prices toward the point where the entire rental value is paid as interest. This threatens to be a problem for socialist China as well as for capitalist economies.

Landlords, banks and the cost of living

The classical economists sought to make their nations more competitive by keeping down the price of labor so as to undersell competitors. The main cost of living was food; today it is housing. Housing and food prices are determined not by the material costs of production, but by land rent – the rising market price for land.

In the era of the French Physiocrats, Adam Smith, David Ricardo and John Stuart Mill, this land rent accrued to Europe's hereditary landlord class. Today, the land's rent is paid mainly to bankers – because families need credit to buy a home. Or, if they rent, their landlords use the property rent to pay interest to the banks.

The land issue was central to Russia's October Revolution, as it was for European politics. But the discussion of land rent and taxation has lost much of the clarity (and passion) that guided the 19 th century when it dominated classical political economy, liberal reform, and indeed most early socialist politics.

In 1909/10 Britain experienced a constitutional crisis when the democratically elected House of Commons passed a land tax, only to be overridden by the House of Lords, governed by the old aristocracy. The ensuing political crisis was settled by a rule that the Lords never again could overrule a revenue bill passed by the House of Commons. But that was Britain's last real opportunity to tax away the economic rents of landlords and natural resource owners. The liberal drive to tax the land faltered, and never again would gain serious chance of passage.

The democratization of home ownership during the 20 th century led middle-class voters to oppose property taxes – including taxes on commercial sites and natural resources. Tax policy in general has become pro- rentier and anti-labor – the regressive opposite of 19 th -century liberalism as developed by "Ricardian socialists" such as John Stuart Mill and Henry George. Today's economic individualism has lost the early class consciousness that sought to tax economic rent and socialize banking.

The United States enacted an income tax in 1913, falling mainly on rentier income, not on the working population. Capital gains (the main source of rising wealth today) were taxed at the same rate as other income. But the vested interests campaigned to reverse this spirit, slashing capital gains taxes and making tax policy much more regressive. The result is that today, most wealth is not gained by capital investment for profits. Instead, asset-price gains have been financed by a debt-leveraged inflation of real estate, stock and bond prices.

Many middle-class families owe most of their net worth to rising prices for their homes. But by far the lion's share of the real estate and stock market gains have accrued to just One Percent of the population. And while bank credit has enabled buyers to bid up housing prices, the price has been to siphon off more and more of labor's income to pay mortgage loans or rents. As a result, finance today is what is has been throughout history: the main force polarizing economies between debtors and creditors.

Global oil and mining companies created flags of convenience to make themselves tax-exempt, by pretending to make all their production and distribution profits in tax-free trans-shipping havens such as Liberia and Panama (which use U.S. dollars instead of being real countries with their own currency and tax systems).

The fact that absentee-owned real estate and natural resource extraction are practically free of income taxation shows that democratic political reform has not been a sufficient guarantee of socialist success. Tax rules and public regulation have been captured by the rentiers , dashing the hopes of 19 th -century classical reformers that progressive tax policy would produce the same effect as direct public ownership of the means of production, while leaving "the market" as an individualistic alternative to government regulation or planning.

In practice, planning and resource allocation has passed to the banking and financial sector. Many observers hoped that this would evolve into state planning, or at least work in conjunction with it as in Germany. But liberal "Ricardian socialist" failed, as did German-style "state socialism" publicly financing transportation and other basic infrastructure, pensions and similar "external" costs of living and doing business that industrial employers otherwise would have to bear. Attempts at "half-way" socialism via tax and regulatory policy against monopolies and banking have faltered repeatedly. As long as major economic or political choke points are left in private hands, they will serve s springboards to subvert real reform policies. That is why Marxist policy went beyond these would-be socialist reforms.

To Marx, the historical task of capitalism was to prepare the way for socializing the means of production by clearing away feudalism's legacy: a hereditary landlord class, predatory banking, and the monopolies that financial interests had pried away from governments. The path of least resistance was to start by socializing land and basic infrastructure. This drive to free society from economic overhead in the form of hereditary privilege and unearned income by the "idle rich" was a step toward socialist management, by minimizing rentier costs (" faux frais of production").

Proto-socialist reform in the leading industrial nations

Marx was by no means alone in expecting a widening range of economic activity to be shifted away from the market to the public sector. State socialism (basically, state-sponsored capitalism) subsidized pensions and public health, education and other basic needs so as to save industrial enterprise from having to bear these charges.

In the United States, Simon Patten – the first economics professor at the new Wharton business school at the University of Pennsylvania – defined public infrastructure as a "fourth factor of production" alongside labor, capital and land. The aim of public investment was not to make a profit, but to lower the cost of living and doing business so as to minimize industry's wage and infrastructure bill. Public health, pensions, roads and other transportation, education, research and development were subsidized or provided freely. [1]

The most advanced industrial economies seemed to be evolving toward some kind of socialism. Marx shared a Progressive Era optimism that expected industrial capitalism to evolve in the most logical way, by freeing economies from the landlordship and predatory banking inherited from Europe's feudal era. That was above all the classical reform program of Adam Smith, John Stuart Mill and the intellectual mainstream.

But the aftermath of World War I saw the vested interests mount a Counter-Enlightenment. Banking throughout the Western world find its major market in real estate mortgage lending, natural resource extraction and monopolies – the Anglo-American model, not that of German industrial banking that had seemed to be capitalism's financial future in the late 19 th century.

Since 1980 the Western nations have reversed early optimistic hopes to reform market economies. Instead of the classical dream of taxing away the land rent that had supported Europe's hereditary landed aristocracies, commercial real estate has been made virtually exempt from income taxation. Absentee owners avoid tax by a combination of tax-deductibility for interest payments (as if it is a necessary business expense) and fictitious over-depreciation tax credits that pretend that buildings and properties are losing value even when market prices for their land are soaring.

These tax breaks have made real estate the largest bank customers. The effect has been to financialize property rents into interest payments. Likewise in the industrial sphere, regulatory capture by lobbyists for the major monopolies has disabled public attempts to keep prices in line with the cost of production and prevent fraud by breaking up or regulating monopolies. These too have become major bank clients.

The beginning and end of Russian socialism

Most Marxists expected socialism to emerge first in Germany as the most advanced capitalist economy. After its October 1917 Revolution, Russia seemed to jump ahead, the first nation to free itself from rent and interest charges inherited from feudalism. By taking land, industry and finance into state control, Soviet Russia's October Revolution created an economy without private landlords and bankers. Russian urban planning did not take account of the natural rent-of-location, nor did it charge for the use of money created by the state bank. The state bank created money and credit, so there was no need to rely on a wealthy financial class. And as property owner, the state did not seek to charge land rent or monopoly rent.

By freeing society from the post-feudal rentier class of landlords, bankers and predatory finance, the Soviet regime was much more than a bourgeois revolution. The Revolution's early leaders sought to free wage labor from exploitation by taking industry into the public domain. State companies provided labor with free lunches, education, sports and leisure activity, and modest housing.

Agricultural land tenure was a problem. Given its centralized marketing role, the state could have reallocated land to build up a rural peasantry and helped it invest in modernization. The state could have manipulated crop prices to siphon off agricultural gains, much like Cargill does in the United States. Instead, Stalin's collectivization program waged a war against the kulaks. This political shock led to famine. It was a steep price to pay for avoiding rent was paid to a landlord class or peasantry.

Marx had said nothing about the military dimension of the transition from progressive industrial capitalism to socialism. But Russia's Revolution – like that of China three decades later – showed that the attempt to create a socialist economy had a military dimension that absorbed the lion's share of the economic surplus. Military aggression by a half dozen leading capitalist nations seeking to overthrow the Bolshevik government obliged Russia to adopt War Communism. For over half a century the Soviet Union devoted most of capital to military investment, not provide sufficient housing or consumer goods for its population beyond spreading literacy, education and public health.

Despite this military overhead, the fact that the Soviet Union was free of a rentier class of financiers and absentee landlords should have made the Soviet Union the world's most competitive low-cost economy in theory. In 1945 the United States certainly feared the efficiency of socialist planning. Its diplomats opposed Soviet membership on the ground that state enterprise and pricing would enable such economies to undersell capitalist countries. [2] So socialist countries were kept out of the IMF, World Bank and the planned World Trade Organization, explicitly on the ground that they were free of land rent, natural resource rent, monopoly rent and financial charges.

Capitalist economies are now privatizing and financializing their basic needs and infrastructure. Every activity is being forced into "the market," at prices that need to cover not only the technological costs of production but also interest, ancillary financial fees and pension set-asides. The cost of living and doing business is further privatized as financial interests pry roads, health care, water, communications and other public utilities away from the public sector, while driving housing and commercial real estate deeply into debt.

The Cold War has shown that capitalist countries plan to continue fighting socialist economies, forcing them to militarize in self-defense. The resulting oppressive military overhead is then blamed on socialist bureaucracy and inefficiency.

The collapse of Russian Stalinism

Russia's Revolution ended after 74 years, leaving the Soviet Union so dispirited that it ended in collapse. The contrast between the low living standards of Russian consumers and what seemed to be Western success became increasingly pronounced. In contrast to China's housing construction policy, the Soviet regime insisted that families double up. Clothing and other consumer goods had only drab designs, needlessly suppressing variety. To cap matters, public opposition to Russia's military personnel losses in Afghanistan caused popular resentment.

When the Soviet Union dissolved itself in 1991, its leaders took neoliberal advice from its major adversary, the United States, in hope that this would set it on a capitalist road to prosperity. But turning its economies into viable industrial powers was the last thing U.S. advisors wanted to teach Russia. [3] Their aim was to turn it and its former satellites into raw-materials colonies of Wall Street, the City of London and Frankfurt – victims of capitalism, not rival producers.

Russia has gone to the furthest anti-socialist extreme by adopting a flat tax that fails to distinguish wages and profits of labor and capital from unearned rental income. By also having to pay a value-added tax (VAT) on consumer goods (with no tax on trading in financial assets), labor is taxed much higher than the wealthy.

Most Western "wealth creation" is achieved by debt-leveraged price increases for real estate, stocks and bonds, and by privatizing the public domain. The latter process has gained momentum since the early 1980s in Margaret Thatcher's Britain and Ronald Reagan's America, followed by Third World countries acting under World Bank tutelage. The pretense is that privatization will maximize technological efficiency and prosperity for the economy as a whole.

Following this advice, Russian leaders agreed that the major sources of economic rent – natural resource wealth, real estate and state companies – should be transferred to private owners (often to themselves and associated insiders). The "magic of the marketplace" was supposed to lead the new owners to make the economy more efficient as a byproduct of making money in the quickest way possible.

##### "... You see, as this book explains, the Clinton's Russia policy did not just plunder Russians, leaving them destitute while creating a new and ruthless class of international capitalist gangsters at U.S. taxpayer expense; it had the double consequence of bringing all Americans deeper into the bankers' New World Order by increasing their debt load, decreasing their privacy, and restricting their civil rights. If only Americans cared. ..."
###### Jun 25, 2017 | economistsview.typepad.com

libezkova -> anne..., June 25, 2017 at 06:47 PM

After 1991 Eastern Europe and FSU were mercilessly looted. That was tremendous one time transfer of capital (and scientists and engineers) to Western Europe and the USA. Which helped to secure "Clinton prosperity period"

China were not plundered by the West. Russia and Eastern Europe were. That's the key difference.

For Russia this period was called by Anne Williamson in her testimony before the Committee on Banking and Financial Services of the United States House of Representatives "The economic rape of Russia"

Paul Likoudis has an interesting analysis of this event: https://paullikoudis.wordpress.com/2011/03/24/the-plunder-of-russia-in-the-1990s/

Sorry long quote

How Clinton & Company & The Bankers Plundered Russia by Paul Likoudis

May 4, 2000

The other day I was surprised to learn that Jeffrey Sachs, the creator of "shock therapy" capitalism, who participated in the looting of Russia in the 1990s, is now NY Gov. Andrew Cuomo's top adviser for health care. So we in NY will get shock therapy, much as the Russians did two decades ago. Here is a story I wrote for The Wanderer in 2000:

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How Clinton & Company & The Bankers Plundered Russia

by Paul Likoudis

In an ordinary election year, Anne Williamson's Contagion would be political dynamite, a bombshell, a block-buster, a regime breaker.

If America were a free and democratic country, with a free press and independent publishing houses (and assuming, of course, that Americans were a literate people), Williamson's book would topple the Clinton regime, the World Bank, the International Monetary Fund, and the rest of the criminal cabal that inhabits the world of modern corporate statism faster than you could say "Jonathan Hay."

Hay, for those who need an introduction to the international financial buccaneers who control our lives, was the general director of the Harvard Institute of International Development (HIID) in Moscow (1992-1997), who facilitated the crippling of the Russian economy and the plundering of its industrial and manufacturing infrastructure with a strategy concocted by Larry Summers, Andre Schliefer (HIID's Cambridge-based manager), Jeffrey Sachs and his Swedish sidekick Anders Aslund, and a host of private players from banks and investment houses in Boston and New York - a plan approved and assisted by the U.S. Department of the Treasury.

Contagion can be read on many different levels.

At its simplest, it is a breezy, slightly cynical, highly entertaining narrative of Russian history from the last months of Gorbachev's rule to April 2000 - a period which saw Russia transformed from a decaying socialist economy (which despite its shortcomings, provided a modest standard of living to its citizens) to a "managed economy" where home-grown gangsters and socialist theoreticians from the West, like Hay and his fellow Harvardian Jeffrey Sachs, delivered 2,500% inflation and indescribable poverty, and transferred the ownership of Russian industry to Western financiers.

Williamson was an eyewitness who lived on and off in Russia for more than ten years, where she reported on all things Russian for The New York Times, Th e Wall Street Journal, and a host of other equally reputable publications. She knew and interviewed just about everybody involved in this gargantuan plundering scheme: Russian politicians and businessmen, the new "gangster" capitalists and their American sponsors from the IMF, the World Bank, USAID, Credit Suisse First Boston, the CIA, the KGB - all in all, hundreds of sources who spoke candidly, often ruthlessly, of their parts in this terrible human drama.

Her account is filled with quotations from interviews with top aides of Yeltsin and Clinton, all down through the ranks of the two hierarchical societies to the proliferating mass of Russian destitute, pornographers, pimps, drug dealers, and prostitutes. Some of the principal characters, of course, refused to talk to Williamson, such as Bill Clinton's longtime friend from Oxford, Strobe Talbott, now a deputy secretary of state and, Williamson suspects, a onetime KGB operative whose claim to fame is a deceitful translation of the Khrushchev Memoirs. (A KGB colonel refused to confirm or deny to Williamson that Clinton and Talbott visited North Vietnam together in 1971 - though he did confirm their contacts with the KGB for their protests against the U.S. war in Vietnam in Moscow. See especially footnote 1, page 210.)

The 546-page book (the best part of which is the footnotes) gives a nearly day-by-day report on what happened to Russia; left unstated, but implied on every page, is the assumption that those in the United States who think what happened in Russia "can't happen here" better realize it can happen here.

Once the Clinton regime and its lapdogs in the media defined Russian thug Boris Yeltsin as a "democrat," the wholesale looting of Russia began. According to the socialist theoreticians at Harvard, Russia needed to be brought into the New World Order in a hurry; and what better way to do it than Sachs' "shock therapy" - a plan that empowered the degenerate, third-generation descendants of the original Bolsheviks by assigning them the deeds of Russia's mightiest state-owned industries - including the giant gas, oil, electrical, and telecommunications industries, the world's largest paper, iron, and steel factories, the world's richest gold, silver, diamond, and platinum mines, automobile and airplane factories, etc. - who, in turn, sold some of their shares of the properties to Westerners for a song, and pocketed the cash, while retaining control of the companies.

These third-generation Bolsheviks - led by former Pravda hack Yegor Gaidar, grandson of a Bolshevik who achieved prominence as the teenage mass murderer of White Army officers, now heads the Moscow-based Institute for Economies in Transition - became instant millionaires (or billionaires) and left the Russian workers virtual slaves of them and their new foreign investors.

When Russian members of the Supreme Soviet openly criticized the looting of the national patrimony by these new gangsters early in the U.S.-driven "reform" program, in 1993, before all Soviet institutions were destroyed, Yeltsin bombed Parliament.

Ironically, when Harvard's Sachs and Hay started identifying Russians they could work with, they ignored - or shunned - the most capable talent at hand: those numerous Russian economists who for 20 years had been studying the Swiss economist Wilhelm von Roepke and his disciple, Ludwig Erhard, father of Germany's "economic miracle" in anticipation of the day when Communism would collapse. Somewhat sardonically, Williamson notes that one, probably unintended, benefit of Gorbachev's perestroika was the recruitment of these Russian economists by top U.S. universities.

In the new, emerging global economy, it's clear that Russia is the designated center for heavy manufacturing - just as Asia is for clothing and computers - with its nearly unlimited supply of hydroelectric power, iron and steel, timber, gold and other precious metals.

This helps explain why America's political elites don't give a fig about the closing down of American industries and mines. As Williamson observes, Russia is viewed as some kind of "closet."

What is important for Western readers to understand - as Williamson reports - is that when Western banks and corporations bought these companies at bargain basement prices, they bought more than just industrial equipment. In the Soviet model, every unit of industrial production included workers' housing, churches, opera houses, schools, hospitals, supermarkets, etc., and the whole kit-and-caboodle was included in the selling price. By buying large shares of these companies, Western corporations became, ipso facto, town managers.

Another Level

On another level, Contagion is about the workings of international finance, the consolidation of capital into fewer and fewer hands, and the ruthless, death-dealing policies it inflicts on its target countries through currency manipulation, inflation, depression, taxation and war - with emphasis on Russia but with attention also given to Mexico, Thailand, Indonesia, the Balkans, and other countries, and how it uses its control over money to produce social chaos.

Those who read Williamson's book will find particularly interesting her treatment of the Federal Reserve, and how this "bank" was designed to plunder the wealth of America through war, debt, and taxation, in order to maintain what is nothing more nor less than a giant pyramid scheme that depends on domination