Obama’s courting of Castro, Putin, the Ayatollah Khamenei, and the King of Saudi Arabia; his appointment of policy advisers who are members of the Muslim Brotherhood; his rude eviction of the bust of Churchill from the Oval Office, his bullying of the President of Israel, and his cold-shouldering of Canada over the Keystone oil pipeline are signs that he is – what? Could they be read as indications that he is biased towards Communism and Islam, and is not at all keen on the values and polities of the West?
They could not only be easily read as that; it would be difficult to interpret them any other way.
Yet half the voting population cannot see it. Or if they can see it, they must like it, since they twice voted him into power.
But what are we saying? Half the adult, literate, sane people of the United States of America prefer Communism and/or Islam to their own free republic? Surely that cannot be true?
So what else could account for what happened? Well, perhaps most of them simply paid no attention to Barack Obama’s ideologies – although they could easily have discovered them before his first election to the presidency – and voted him into power for the purely racist reason that he’s black and they wanted (paradoxically) to show they were against discrimination on the grounds of race? And didn’t that prove they were nice people?
Now they’ve seen what a terrible mistake it was not to take his ideas and affiliations into account, they won’t do anything like that again – will they? They won’t again choose a president for such an extremely poor “reason”? A candidate’s race, color, ethnicity, or gender will not be seen as a qualification in itself for supreme power?
And next time they’ll be sure to take a candidate’s ideology into account – right?
We quote from an article at Front Page titled The Arabian Candidate, by William Kilpatrick:
In The Manchurian Candidate, the son of a prominent right-wing politician is captured by the Soviets and brainwashed in a secret Manchurian location. His task is to assassinate a presidential candidate, thus ensuring the election of the demagogic vice-president. …
The film has several parallels to current events. The main difference is that in those days, Americans had to be brainwashed into serving enemy interests by psy-ops teams. Nowadays, they come self-brainwashed with some indoctrinative assist from the American educational system.
In the film, a scary lady with leftist sympathies who looks vaguely like Hillary Clinton manipulates her husband into high political office. In real life, a scary lady with leftist leanings [who is Hillary Clinton] … manipulates herself into high political office.
In her case, teams of brainwashers are not required, since she has brainwashed herself into believing that foreign governments are dumping truckloads of cash into her family foundation because she’s such a charming and intelligent woman. And also because Arab sovereigns like nothing better than to do their part to improve the lives of the poor, the hungry, the environmentally underserved, and kids who need braces — in short, the very causes for which the foundation was founded.
Another similarity is that in the film, the [scary lady] character has some sort of hypnotic power over her son, the unwitting assassin. Whenever it begins to dawn on him that something funny is going on, she flashes a Queen of Diamonds playing card and he falls into a catatonic state of complete obedience. In the present situation [Hillary Clinton] has merely to flash the gender card and, presto, skeptical voters fall back into line.
There are parallels to other movies as well. Today’s Queen of Diamonds has a secret server in her home so that her exchanges with foreign dono- I mean “diplomats” can’t be traced. I’m not sure if the server takes up only one room of the palatial house, or a whole suite of rooms. And who knows what’s in the cavern-like basement? It’s all faintly reminiscent of those James Bond thrillers in which the villain’s remote island estate sits atop a vast underground military-industrial complex.
At some point the analogy breaks down. You could still convince a sixties audience that leftists were willing to sell out the country. We, on the other hand, have convinced ourselves that we live in a brave new world where such things never happen — at least, not in modern Western societies. No one would dare to pull a fast one on us because we’re just too smart. … So if it were discovered that Arabs controlled the White House, we would shrug our shoulders and say, “At this point, what does it matter?”
The Clinton-Arab connection actually goes back to the time when Bill Clinton was governor of Arkansas and worked to secure a hefty Saudi contribution to a Middle-Eastern studies program at the University of Arkansas. But let’s skip all that and fast forward to relatively recent times when Secretary of State Hillary Clinton appointed her longtime aide Huma Abedin as Deputy Chief of Staff at the State Department. When it was discovered that Abedin’s family was deeply involved in the Muslim Brotherhood in Saudi Arabia, very few eyebrows were raised. After all, even President Obama had relatives in the Muslim Brotherhood. So it would have been silly to make something of it.
It’s probably just a coincidence that while working for the Clintons, Huma herself was the assistant editor of the Journal of Muslim Minority Affairs which — you guessed it — is a Muslim Brotherhood journal. Before that, and while still interning at the White House, she was an executive board member of the Muslim Student Association (MSA) at George Washington University. The MSA was the first Muslim Brotherhood organization in the United States and George Washington was the first Muslim president. Well, the latter hasn’t yet been firmly established, but it’s just a matter of time until those Saudi-funded Mid-East studies professors at the University of Arkansas and the Saudi-funded professors at Georgetown (Bill’s alma mater) discover the prayer rug in the attic at Mount Vernon. It’s also probably a coincidence that, like her boss, Huma conducted State Department business using her own personal e-mail address, connected, one supposes, to the same master server that served her master so well … er, mistress.
Abedin also worked until recently for the Clinton Foundation. Again, this is no doubt a pure coincidence and, as the old saying goes, it has nothing to do with Islam. … Today’s government officials seem curiously lacking in curiosity. In 2012, Michelle Bachmann and four other House members wrote letters to the Inspector Generals of several government agencies asking them to conduct an investigation into Muslim Brotherhood penetration of the government. They were particularly concerned about Huma Abedin in view of her family connections and influential position. They noted thatthe Clinton State Department had “taken actions recently that have been enormously favorable to the Muslim Brotherhood and its interests”.
The request was dismissed by numerous congressmen and senators as “offensive”, “insensitive,” and even “hurtful”. By that time the machinery of the “Islamophobia” industry was already in high gear and it was deemed prudent even by Republicans to defend Abedin and to damn her accusers …
Still, the case for an inquiry seemed strong. … Even if Abedin was innocent of any wrongdoing, the State Department’s own guidelines about foreign family connections would disqualify her for a security clearance for such a sensitive position.
But then, again, a lot of people in sensitive positions don’t seem to qualify for a security clearance. For example, if all your closest relatives were leftists or communists, if your chief mentors were, respectively, a member of the Communist Party and a radical left-wing preacher, and if you used to hang out with known terrorists, you probably couldn’t get a job as a night watchman at an auto parts warehouse. On the other hand, if someone with the same background throws his hat into the presidential ring, he can become Commander-in-Chief of the Army and Navy, and get to set foreign policy.
He also gets to appoint Secretaries of State. It shouldn’t be any surprise if they turn out to be the kind of people who can’t be bothered with security checks. Such people seem to live in an ethereal realm that puts them above suspicion and above conflicts of interest. Normally, when a Secretary of State receives tens of millions in donations from countries that support the spread of a radical ideology, it would be a sign that something is terribly wrong. For an analogy, ask yourself if you would keep someone on at your firm if she had access to sensitive trade secrets and yet received huge gifts from rival corporations while conducting company business on her private server.
You would probably get rid of her pronto. But that’s only if you apply the normal rules of logic — which apparently don’t apply to Secretaries of State appointed by President Obama.
Now comes a surprise – or at least, a surprise to us. We did not know that John Kerry has family connections in Iran. How much does it explain?
If you applied such logic, you might also think there was something awkward about the fact that current Secretary of State John Kerry’s daughter is married to an Iranian who has extensive family ties in Iran. …
The FBI usually won’t grant security clearance to “individuals who are married to nationals of an enemy nation or have family members living in that country, for fear of divided loyalties or, more simply, blackmail”.
Of course, you would have to be some kind of conspiracy nut to think that having vulnerable in-laws in Iran would in any way compromise Secretary Kerry’s negotiations with the representatives of a country whose leaders routinely indulge in “death to America” rhetoric.
Undoubtedly, the President consulted with his senior adviser Valerie Jarrett about the matter. Since Jarrett was born in Iran and spoke Persian as a child, she would, by current standards of expertise, be assumed to have deep insight into the Persian mind. She could have assured the president that “Great Satan” and “Death to America” are typical of the rhetorical exuberance that characterizes the rich and vibrant Iranian culture. Moreover, she could have allayed any concerns about blackmail. Anyone who has studied Cliff Notes on Islam knows that blackmail runs counter to the deeply held beliefs of the mullahs.
Jarretts’ family left Iran when she was five, but apparently those five years were enough to qualify her as an expert on Iranian affairs. According to Discover the Networks, it was revealed in 2012 that for several months, Jarrett “had been leading secret negotiations with representatives of Iran’s Supreme leader … in an effort to normalize relations between the U.S. and Iran”.
The mind spins at the – what’s the word? — the audacity of it all. But the curious thing is not that there are people in high places willing to put self-interest ahead of the national interest. Such people are always with us. The curious thing is that the American people and the American press accept it with such equanimity.
During the Obama-Clinton-Kerry-Jarrett-Abedin years, Russia seized the Crimea, ISIS seized large parts of Iraq and Syria, the Taliban re-established itself in Afghanistan, allies stopped trusting us, enemies were emboldened, the Middle East was set on fire, and the Army was drastically reduced. Oh, and the way was cleared for Iran to have nuclear bombs. Future generations — if there are any — will wonder what we were thinking.
What we were thinking, they may discover, goes something like this (in shorthand brain language): “Mustn’t think that! Mustn’t say that! Not nice! What will people think!” You’d have to go back to the Victorian era to find another society with so much concern for propriety of thought and speech. … A sort of suicidal etiquette that chokes off common sense has grown up in our society. Under the rules of the new etiquette, we aren’t allowed to say that the Emperor has no clothes. We dare not even point out that the Emperor and his ministers appear to be throwing open the gates to the enemy.
Let’s see: The people of the United States elect as president a man they know very little about. When it becomes obvious that he has deep leftist sympathies combined with deep Islamist sympathies, they elect him again. He, in turn, appoints one Secretary of State who is beholden to Arab largesse, and then, after she steps down, he replaces her with a man who … has close family ties with Iran.
This time at last, in the coming election year, the Republican candidates whose broadcast debates will have the attention of millions of voters must take advantage of their opportunity to break through the protective wall the mainstream media have put round the Obama administration and the Democratic candidates. They must make all this – the ideology, the motivation, and the practices of Obama, Hillary Clinton, John Kerry and the rest of the gang – so well known to the electorate that no one who can read, watch TV, listen to radio, attend a political rally, or receive news through any medium, will be able to avoid knowing it. Or avoid knowing how perilous it is to their freedom, their safety, and even their survival.
Then if most voters choose Hillary Clinton for president …
We stand on the opposite side of the Great Political Divide (freedom v socialism) from Britain’s Guardian newspaper. But it covers the news better, and provides more useful information, than most of its competitors.
We quote from an extract it has taken from a book titled, The New Digital Age: Reshaping the Future of People, Nations and Business by Eric Schmidt and Jared Cohen.
The story of yesterday’s post was about the US government controlling our uses of the internet. Today’s story is about international controls on this last zone of freedom; and how a country could build a virtual wall round itself to cut itself off from the global internet – and then enforce extreme censorship within its own “walled garden”.
Each state will attempt to regulate the internet, and shape it in its own image. The majority of the world’s internet users encounter some form of censorship – also known by the euphemism “filtering” – but what that actually looks like depends on a country’s policies and its technological infrastructure. …
In some countries, there are several entry points for internet connectivity, and a handful of private telecommunications companies control them (with some regulation). In others, there is only one entry point, a nationalised internet service provider (ISP), through which all traffic flows. Filtering is relatively easy in the latter case, and more difficult in the former.
When technologists began to notice states regulating and projecting influence online, some warned against a “Balkanisation of the internet”, whereby national filtering and other restrictions would transform what was once the global internet into a connected series of nation-state networks. The web would fracture and fragment, and soon there would be a “Russian internet” and an “American internet” and so on, all coexisting and sometimes overlapping but, in important ways, separate. Information would largely flow within countries but not across them, due to filtering, language or even just user preference. The process would at first be barely perceptible to users, but it would fossilise over time and ultimately remake the internet.
It’s very likely that some version of the above scenario will occur, but the degree to which it does will greatly be determined by what happens in the next decade with newly connected states – which path they choose, whom they emulate and work together with.
The first stage of the process, aggressive and distinctive filtering, is under way. China is the world’s most active and enthusiastic filterer of information. Entire platforms that are hugely popular elsewhere in the world – Facebook, Tumblr, Twitter – are blocked by the Chinese government.
On the Chinese internet, you would be unable to find information about politically sensitive topics such as the Tiananmen Square protests, embarrassing information about the Chinese political leadership, the Tibetan rights movement and the Dalai Lama, or content related to human rights, political reform or sovereignty issues. …
China’s leadership doesn’t hesitate to defend its policies. In a white paper released in 2010, the government calls the internet “a crystallisation of human wisdom” but states that China’s “laws and regulations clearly prohibit the spread of information that contains contents subverting state power, undermining national unity or infringing upon national honour and interests.”
The next stage for many states will be collective editing, states forming communities of interest to edit the web together, based on shared values or geopolitics.
For “edit” read “censor”. States’ governments will decide what values it shares with other states’ governments.
For larger states, collaborations will legitimise their filtering efforts and deflect some unwanted attention (the “look, others are doing it too” excuse). For smaller states, alliances along these lines will be a low-cost way to curry favour with bigger players and gain technical skills that they might lack at home.
Collective editing may start with basic cultural agreements and shared antipathies among states, such as what religious minorities they dislike, how they view other parts of the world or what their cultural perspective is …
Larger states are less likely to band together than smaller ones – they already have the technical capabilities – so it will be a fleet of smaller states, pooling their resources, that will find this method useful. If some member countries in the Commonwealth of Independent States (CIS), an association of former Soviet states, became fed up with Moscow’s insistence on standardising the Russian language across the region, they could join together to censor all Russian-language content from their national internets and thus limit their citizens’ exposure to Russia.
Ideology and religious morals are likely to be the strongest drivers of these collaborations. Imagine if a group of deeply conservative Sunni-majority countries – say, Saudi Arabia, Yemen, Algeria and Mauritania – formed an online alliance and decided to build a “Sunni web”. While technically this Sunni web would still be part of the larger internet, it would become the main source of information, news, history and activity for citizens living in these countries.
For years, the development and spread of the internet was highly determined by its English-only language standard, but the continued implementation of internationalised domain names (IDN), which allow people to use and access domain names written in non-Roman alphabet characters, is changing this. The creation of a Sunni web – indeed, all nationalised internets – becomes more likely if its users can access a version of the internet in their own language and script.
Within the Sunni web, the internet could be sharia-complicit: e-commerce and e-banking would look different, since no one would be allowed to charge interest; religious police might monitor online speech, working together with domestic law enforcement to report violations; websites with gay or lesbian content would be uniformly blocked; women’s movements online might somehow be curtailed; and ethnic and religious minority groups might find themselves closely monitored, restricted or even excluded. …
There will be some instances where autocratic and democratic nations edit the web together. Such a collaboration will typically happen when a weaker democracy is in a neighbourhood of stronger autocratic states that coerce it to make the same geopolitical compromises online that it makes in the physical world.
For example, Mongolia is a young democracy with an open internet, sandwiched between Russia and China – two large countries with their own unique and restrictive internet policies. … Seeking to please its neighbours [and so] preserve its own physical and virtual sovereignty, Mongolia might find it necessary to abide by a Chinese or Russian mandate and filter internet content associated with hot-button issues.
What started as the world wide web will begin to look more like the world itself, full of internal divisions and divergent interests.
And full of tyranny.
Some form of visa requirement will emerge on the internet. … Citizen engagement, international business operations and investigative reporting will all be seriously affected. …
Under conditions like these, the world will see its first Internet asylum seeker. A dissident who can’t live freely under an autocratic Internet and is refused access to other states’ Internets will choose to seek physical asylum in another country to gain virtual freedom on its Internet. … Virtual asylum will not work, however, if the ultimate escalation occurs: the creation of an alternative domain name system (DNS), or even aggressive and ubiquitous tampering with it to advance state interests.
Today, the internet as we know it uses the DNS to match computers and devices to relevant data sources, translating IP addresses (numbers) into readable names, with .edu, .com, .net suffixes, and vice versa. No government has yet achieved an alternative system, but if one succeeded in doing so, it would effectively unplug its population from the global internet and instead offer only a closed, national intranet. In technical terms, this would entail creating a censored gateway between a given country and the rest of the world, so that a human proxy could facilitate external data transmissions when absolutely necessary – for matters involving state resources, for instance.
It’s the most extreme version of what technologists call a walled garden. On the internet, a walled garden refers to a browsing environment that controls a user’s access to information and services online. … For the full effect of disconnection, the government would also instruct the routers to fail to advertise the IP addresses of websites – unlike DNS names, IP addresses are immutably tied to the sites themselves – which would have the effect of putting those websites on a very distant island, utterly unreachable. Whatever content existed on this national network would circulate only internally, trapped like a cluster of bubbles in a computer screen saver, and any attempts to reach users on this network from the outside would meet a hard stop. With the flip of a switch, an entire country would simply disappear from the internet.
This is not as crazy as it sounds. It was first reported in 2011 that the Iranian government’s plan to build a “halal internet” was under way, and the regime’s December 2012 launch of Mehr, its own version of YouTube with “government-approved videos”, demonstrated that it was serious about the project. Details of the plan remained hazy but, according to Iranian government officials, in the first phase the national “clean” internet would exist in tandem with the global internet for Iranians (heavily censored as it is), then it would come to replace the global internet altogether. The government and affiliated institutions would provide the content for the national intranet, either gathering it from the global web and scrubbing it, or creating it manually. All activity on the network would be closely monitored. Iran’s head of economic affairs told the country’s state-run news agency that they hoped their halal internet would come to replace the web in other Muslim countries, too – at least those with Farsi speakers. Pakistan has pledged to build something similar. …
How exactly the state intends to proceed with this project is unclear both technically and politically. How would it avoid enraging the sizable chunk of its population that has access to the internet? Some believe it would be impossible to fully disconnect Iran from the global internet because of its broad economic reliance on external connections. Others speculate that, if it wasn’t able to build an alternative root system, Iran could pioneer a dual-internet model that other repressive states would want to follow. Whichever route Iran chooses, if it is successful in this endeavour, its halal internet would surpass the “great firewall of China” as the single most extreme version of information censorship in history. It would change the internet as we know it.
As the Guardian puts it (not necessarily implying disapproval): the net is closing in.
The Washington Post and the EU are finding it hard to understand the behavior of the newly elected far-left government of Greece.
It is doing things that could possibly be interpreted as signs that it feels friendlier towards Russia and China than to its fellow members the EU. But no one wants to jump to conclusions. It’s strange and puzzling, as the Washington Post reports it:
[Greece] is complicating Western efforts to take a tough line against Moscow amid an escalating Russian-backed insurgency in southeastern Ukraine.
The new dynamic was on display Thursday, with European foreign ministers gathered for an emergency meeting in Brussels to consider fresh sanctions against Moscow just days after shelling killed 30 civilians in the Ukrainian port city of Mariupol. But amid Greece’s doubts, the ministers could agree only to extend existing sanctions while deferring any decision on new ones after hours of emotional debate.
“The discussion was open, frank and heated,” Lithuanian Foreign Minister Linas Linkevicius said in an interview.
Take note of that “heated”.
Although Greece is just one of 28 members of both the European Union and NATO, both organizations operate on a principle of unanimous consent, meaning any member can block policy with a simple veto.
After years of Russian support for populists on the far right and far left in an attempt to undermine European unity, the election of Syriza gives Moscow a potentially critical spoiler at the heart of Western decision-making. …
The prospect of a Russian beachhead inside Western alliances has stirred Cold War-style fears within European defense ministries this week. “If you can’t sit down in a NATO meeting in Brussels, dive into the intelligence and be sure that it’s not going straight back to the Kremlin, that’s a pretty significant and shocking development for the alliance,” said Ian Kearns, director of the European Leadership Network, a London-based think tank.
But just how far Greece’s new government will go in hewing to a pro-Russian line remains unclear. …
The threat of disruption to Europe’s Russia policy, some officials said, may be a mere tactic ahead of broader and, for Greece, more important negotiations to come over the terms of the country’s mammoth debt. Syriza has demanded that the country’s $284 billion bailout agreements be renegotiated, with a significant portion of the total forgiven and austerity restrictions lifted. …
In other words, members of the EU suspect that Greece may be blackmailing it: “Save our economy, or you may find you have big problems with Russia.” But they don’t want to think about that. They prefer to feel bewildered. So what, they wonder, is Greece playing at?
Before the party’s victory Sunday, Syriza’s leadership was outspoken in defending Russia against Western criticism. Last spring, Tsipras visited Moscow and met with Kremlin associates. Western sanctions, he said, were counterproductive.
“I’m sure the E.U. should conduct dialogue and seek peaceful ways out of the conflict together with Moscow and not impose sanctions on Russia,” Tsipras told the state-owned daily newspaper Rossiyskaya Gazeta.
Since Sunday, Syriza has doubled down in its backing for Russia.
Tsipras had been in office for only hours Monday when he welcomed his first foreign visitor, the Russian ambassador.
The second was the Chinese ambassador.
Greece objected vehemently when European Council President Donald Tusk on Tuesday issued a statement condemning Moscow for the shelling of Mariupol [in the Ukraine] and asking European foreign ministers to draw up new sanctions. …
For Syriza, challenging the EU stance on Russia reflects an ideology “that says we have to be skeptical of certain things our European partners do because the EU is a capitalist, neoliberal enterprise,” said Spyros Economides, an international relations professor at the London School of Economics. For Russia, he said, support for Syriza is more “a marriage of convenience”.
Some Russian officials have responded to Syriza’s triumph with undisguised glee.
“Syriza’s victory will be a breakthrough and will destroy Europe’s liberal consensus,” Mikhail Emelyanov, head of the Russian Duma’s committee on economic policy, told the state news service RIA Novosti. …
But say it is not so! It seems as if … but no … surely not … we simply cannot be sure ….
“You have a lot of people asking themselves whether Greece is going to play the role of the Trojan horse,” said Ben Nimmo, a European security analyst and former NATO official. “But nobody really knows. … ”
A baffled EU. Unable to interpret the signs with any conviction. Lost in a cloud of unknowing.
Even while the Cold War was on, and not just in hindsight, the chances of a nuclear war between the West and Soviet Russia never seemed very high. The possibility of it never seemed critical enough to stir up intense or widespread fear. Not even when thousands of peace protestors marched on the streets of Europe’s capitals (at least some of them being perfectly aware of, and cynically indifferent to the fact that their movement was funded by the Soviets in hope of panicking the West into unilateral disarmament) did many people in the West seriously think – or at least show signs of thinking – that mankind was really in imminent danger of being wiped off the face of the earth.
But if Iran becomes a nuclear power – which it will because Obama is letting it – the case will be very different.
Fear of “mutually assured destruction” may have had something to do with the Soviets’ restraint. The ayatollahs who rule Iran will not be restrained by that fear. They love death as we love life. Because death will translate them to a brothel in the sky.
So now the possibility of nuclear war is high. Would it be unreasonable if there were to be intense and widespread fear of it? Or if people in the West at least began to think that we are in imminent danger of being wiped off the face of the earth?
No, not unreasonable. So why aren’t they? Because nuclear armageddon is not yet looming so large as to terrify us.
Before that happens other smaller wars will rage on. America might be singed by them but not devastated.
There’ll be no panic until the Iranians actually deliver their first uranium or plutonium bomb.
Yet there have already been irreversible changes, and the human race is in more danger now from human causes than ever before. Largely because of the ideology-driven policies of the Obama presidency.
J. E. Dyer writes (in part) at Liberty Unyielding:
The Iranian nuclear program is just one of several problems that are working together to destabilize our world, and throw it into – quite possibly – the gravest danger mankind has ever seen.
Even aside from her nuclear program, revolutionary Iran is backing insurgencies and radical clients around the Middle East (like the Houthi insurgency that just pulled off a coup in Yemen). The problem of radical Islamism is coming to a head with the vicious, bloody state-Islamism of ISIS, but also with tribal and Islamist-factional insurgencies elsewhere (Libya, Nigeria), and the collapse of century-old nation-states. Borders are being rendered meaningless. Huge tracts of territory are being taken over by opportunists, who bring no popular charter from anyone, but only a fanatical willingness to slaughter.
Russia, meanwhile … has already invaded Ukraine, something that would have been unthinkable ten years ago. China is imposing a veto on other nations’ economic and maritime activity in the South China Sea – a Chinese aggression against a core U.S. security principle that the world, until only a few years ago, expected American power to deter. Both Asian giants have bigger plans, which everyone can foresee, and there is no longer an American-led consortium with the preparedness and capability to stop them.
In fact, Russia and China are both modernizing their militaries and developing new strategic weapons as rapidly as they can, while the United States is losing ground with our strategic (as well as conventional) arsenal, and doing nothing about it.
Our fast-declining military advantage is one reason our power no longer carries the import it once did. But the more significant point here is that our legacy of power is now being turned against us. America is still the leader of the status quo pack: the nations that aren’t looking to shift borders, remake the map, create economic dependencies abroad, or establish a caliphate. And that leadership, particularly in the case of the Iranian nuclear program, is being leveraged to hold the status quo nations passive and inert while the radical actors do what they want.
Our president’s negotiating policy with Iran is worse than an obstacle to preventing an Iranian bomb. By fencing the “Iran problem” off and giving it time, Obama is actually aiding Iran in pursuing nuclear weapons. The main thing Iran needs is time, and Obama’s management of the P5+1 process gives her that.
Few if any of our highest-profile voices have found a way to make this plain, and articulate the implications. But the main implication – that in the crunch, Obama’s leadership will have to be actively disregarded, or we’re all sunk – is the one the nations in the most danger have to deal with. That’s their reality.
Israel is one of the nations facing this reality, but by no means the only one. Saudi Arabia, the other Gulf states, Jordan, Egypt; the nations bordering Libya and Nigeria; the nations of Eastern Europe; the neighbors in China’s sights in the Far East; the nations bordering the combined socialist and cartel-driven tumult in Central America – all face the same reality. Cooperating with Obama’s America under the old conventions can’t be a given for them, because it’s likely to actually do harm.
Just as important, to those who want to deter threats to American security, is that America herself needs to establish that Obama’s leadership is not what we are committed to. We vigorously disagree with giving Iran time to build a bomb. We have no intention of being held hostage to it.
We know there is a point, in general, at which the trend of policy is no longer disputable, but clearly weak and ineffective – even counterproductive, as with the Iranian nuclear program and the security of our own border. And we’ve reached that point.
The American people have to speak, as much as the other nations. That’s what’s going on with Boehner’s invitation to Netanyahu. …
Having Netanyahu come speak to Congress is the way available to him of giving the American people a voice against the Obama policy on Iran. The same attempt is at work in the Iran-policy bills being pushed in the Senate. … [T]he untethered radicalism of the Obama approach – its violation of America’s own principles of power – is what they’re trying to hold in check.
The president is given primacy in foreign relations by the U.S. Constitution, and it is a very big step to posture against him. It’s not so big a step for a foreign leader to do so. His responsibility is to his people, not to a particular president of the United States, or to that president’s policies. The Obama administration does huff petulantly at the drop of a hat, and make it all personal, but the real point is that Netanyahu, or any other foreign leader, must look out for his country’s interests. [Prime Minister Netanyahu] knows that it’s in Israel’s interest to affirm her people’s iron-forged link with the American people, and to articulate what policies a true reckoning of that link would dictate in this hour. …
Boehner has made a big decision because America faces a problem of unprecedented dimension. The world is not what it was five years ago, and trying to maintain the same priorities would, in sober truth, be fatal.
Note; While we fully agree with Commander Dyer’s analysis and warning, we don’t ourselves use the term “Islamism”. The danger we are in comes from Islam, aided by the indulgence of the Obama administration.
Obama has sent a message to Iran that the best way to secure a deal is by wrapping it in an American hostage. He has told ISIS that we do negotiate with terrorists. And he has once again demonstrated that his vaunted “smart power” is nothing more than appeasement wrapped in excuses and lies.
We quote Daniel Greenfield writing at Front Page about President Obama’s decision to normalize diplomatic relations with Cuba:
Carter couldn’t save the Soviet Union, but he did his best to save Castro, visiting Fidel and Raul in Cuba where the second worst president in American history described his meeting with Castro as a greeting among “old friends”.
Raul Castro called Carter “the best of all U.S. presidents”.
Obama’s dirty deal with Raul will make the worst president in American history, Castro’s new best friend.
Carter couldn’t save Castro, but Obama did. This was not a prisoner exchange. This was a Communist bailout.
Obama boasted that he would increase the flow of money to Cuba from businesses, from bank accounts and from trade. When he said, “We’re significantly increasing the amount of money that can be sent to Cuba”, that was his real mission statement.
The Castro regime is on its last legs. Its sponsors in Moscow and Caracas are going bankrupt due to failing energy prices. The last hope of the Butcher of Havana was a bailout from Washington D.C.
And that’s exactly what Obama gave him.
Obama has protected the Castros from regime change as if Communist dictators are an endangered species. …
Obama began his Castro speech with a lie, declaring, “The United States of America is changing its relationship with the people of Cuba.”
The Cuban people have no relationship with the United States because they have no free elections and no say in how they are governed. The only Cubans who have a relationship with the United States fled here on rafts.
Obama did not make his dirty deal with the Cuban people. He made it in a marathon phone call with the Cuban dictator.
When Obama claims that his deal with Raul Castro represents a new relationship with the people of Cuba, he is endorsing a Communist dictatorship as the legitimate representative of the Cuban people.
This is a retroactive endorsement of the Castro regime and its entire history of mass murder and political terror. Obama is not trying to “open up” Cuba as he claimed. He likes Cuba just the way it is; Communist and closed.
Obama did not consult the Cuban people, just as he did not consult the American people. He disregarded the embargo, Congress, the Constitution and the freedom of the Cuban people.
His dictatorial disregard of the embargo, which can only be eliminated by Congress, in order to support a dictatorship, is a disturbing reminder that the road he is walking down leads to a miserable tyranny.
Cuban-American senators from both parties have been unanimous in condemning the move. These senators are the closest thing to Cuban elected officials. But Obama disregarded Senator Menendez, a man of his own party, Senator Marco Rubio and Senator Ted Cruz.
Instead Obama chose to stand with Raul Castro and his Communist dictatorship.
Obama tried to whitewash his crime by exploiting Alan Gross, a USAID contractor who was imprisoned and abused by the Castro regime, as if the release of an American hostage justified helping the men holding him hostage stay in power. And the media, which was reprinting Castro’s propaganda claiming that Gross’ imprisonment was justified, is busy now pretending that it cares about his release. …
The blood money pouring out of American banks into the Castro regime will encourage other dictatorships to take Americans hostage as leverage for obtaining concessions from the United States. Americans abroad will suffer for Obama’s dirty deal.
No European country recognized ISIS in exchange for the release of hostages. Only Obama was willing to go that far with Cuba, not only opening diplomatic and economic relations, but promising to remove the Communist dictatorship from the list of state sponsors of terror despite the fact that the last State Department review found that Cuba continued to support the leftist narco-terrorists of FARC [The Revolutionary Armed Forces of Columbia].
FARC had taken its own American hostages who were starved and beaten, tortured and abused.
Now Obama has given in to the demand of a state sponsor of terror to be removed from the list of state sponsors of terrorism in exchange for releasing a hostage. …
But Obama did not act to help Alan Gross. He did not even act because he genuinely thought that diplomatic relations would open up Cuba. In his speech, Obama used the claim commonly put forward by Castro apologists that the very fact that the Castros were still in power proved that sanctions had failed. Yet the lack of sanctions against Cuba by the rest of the world certainly did not usher in the new spirit of openness that Obama is promising.
Rewarding dictators with cash never frees a nation.
This embrace by Obama of the Communist totalitarians who rule Cuba was always on the cards, from the moment he was elected. Obama was raised to be a Communist. It’s plain to all but those who will not see that he likes Communism.
Obama is speeding up action on his agenda, to implement as much of it as he can while he is still in power. Over the next two years, unless Congress and the Supreme Court find ways to stop him, he will continue to prop up Communist regimes; advance the Islamic jihad; facilitate the annihilation of Israel; change the demographics of the United States by bringing in millions of uneducated proletarians from Latin America; and dissolve the borders of the country he was elected to defend.
All this is in accordance with well established Leftist doctrine. The ultimate aim is the abolition of the nation-state and the establishment of world Communist government.
Every day the evidence that America elected its own worst enemy to lead it mounts up. And still most Americans refuse to see it.
This is from an editorial at Investor’s Business Daily:
As Russia’s ruble plunges, its economy is fast melting down. …
Russia’s central bank raised official interest rates to 17% from 10.5% in a bid to halt the ruble’s stunning plunge, the largest since 1998’s ruble crisis. But on Tuesday, even that desperate rate-hike move failed, as the ruble continued to dive another 4%.
Next up, in all probability, will be capital controls. Putin might even confiscate citizens’ savings by forcing them to swap dollar-based savings accounts for debased ruble ones. This kind of shabby thievery has been done before, but mostly by Latin American dictators. …
How could Russia’s economy go into meltdown mode so fast? …
The major reason for Russia’s implosion is the decline in oil prices. The country relies on selling oil to earn dollars, and the more than 30% drop in oil prices has hit the economy and the currency hard.
A recent estimate by Russia’s Finance Ministry says oil has to average about $117 a barrel for the government to balance its budget. At a current oil price under $60 a barrel, Russia is a fiscal disaster.
The U.S. fracking revolution is a big reason for this. America now puts out more than 9 million barrels of oil a day — up from 7 million barrels just two years ago.
The oil and natural gas fracking boom is happening on private and states’ lands – against the will and the policy of the Obama administration.
As crude prices have declined, oil producers from Venezuela to Saudi Arabia to Iran have felt extraordinary economic pain. Now Russia’s feeling it too, and with political turmoil growing, Russian and foreign investors are leaving the country in droves — and taking their hard currency with them. …
Capital flight is a disaster for the ruble, and is likely to set off double-digit inflation soon.
Interest rates may have to go even higher to stave off a total ruble collapse – 20%? 25%? 30%? No one knows.
But higher rates, soaring inflation, a 60% decline in the stock market and reduced oil revenues mean 2015 is likely to be a nasty year for Russia’s caving economy. …
“Putin’s consistent policy of increasing state economic control may well be leading Russia on the path to stagnation and economic decline,” according to a report issued by the Heritage Foundation in September. …
[Russia’s] reliance on oil exports, the trigger for this crisis, is an obvious one. … Russia also faces a shocking demographic decline — its population is actually shrinking, and it has the odious distinction of being the only industrialized nation in which the average life span is falling. … Russians with skills and schooling are leaving in large numbers, a brain drain. A 2013 survey found 45% of university students wanted to leave the country and live permanently outside the former USSR. What’s left to run Russia’s enfeebled economy is a shrinking, unproductive remnant.
Russia should try a free market economy. It is the only way to prosperity. And then we could have peaceful trading relations with Russia at last. But Russia is very unlikely to do that. The Russian people have never known freedom under the rule of law. They have never wanted it. They get the governments they deserve.
President Obama believes that America is arrogant.* If his foreign policy can be explained by anything, it would be his intention to bring America down a peg or ten. Looked at like that, the disasters we see happening in many parts of the world are testimony not to Obama’s failure, but to his success.
Not that President Obama can have any objection to arrogance as such. He is an arrogant man. He just doesn’t want America to be proud of its superiority. He hates the very idea that it is superior. But while he would not even acknowledge its political-moral superiority as a republic constituted for liberty, he cannot deny that it is economically and militarily stronger than any other country. So he’s been working to change that for the last six years.
The whole world is the worse for his efforts.
This is from Front Page, by Bruce Thornton:
The 6 years of Barack Obama’s foreign policy have seen American influence and power decline across the globe. Traditional rivals like China and Russia are emboldened and on the march in the South China Sea and Ukraine. Iran, branded as the world’s deadliest state sponsor of terrorism, is arrogantly negotiating its way to a nuclear bomb. Bloody autocrats and jihadist gangs in the Middle East scorn our president’s threats and behead our citizens. Countries in which Americans have shed their blood in service to our interests and ideals are in the process of being abandoned to our enemies. And allies like Israel and Saudi Arabia are bullied or ignored. All over the world, a vacuum of power has been created by a foreign policy sacrificed to domestic partisan advantage, and characterized by criminal incompetence.
Incompetence is what it looks like. But if failure is the aim, then either the incompetence is only an appearance, or it is a means to the end.
How we have arrived at this point, the dangers to our security and interests if we don’t change course, and what must be done to recover our international prestige and effectiveness are the themes of Bret Stephens’ America in Retreat. The New Isolationism and the Coming Global Disorder. …
A clear sign of American retreat is the precipitous decline in military spending. “In the name of budgetary savings,” Stephens writes, “the Army is returning to its June 1940 size,” and “the Navy put fewer ships at sea at any time since 1916.” The Air Force is scheduled to retire 25,000 airmen and mothball 550 planes. Our nuclear forces are being cut to meet the terms of the 2010 New Start Treaty with Russia, even as its nuclear arsenal has been increasing. Meanwhile Obama … issues empty threats, blustering diktats, and sheer lies that convince world leaders he is a “self-infatuated weakling”.
Unfortunately, 52% of the American people agree that the U.S. “should mind its own business internationally”, and 65% want to “reduce overseas military commitments”, including a majority of Republicans. This broad consensus that America should retreat from global affairs reflects our age’s bipartisan isolationism, the centerpiece of Stephens’ analysis. This national mood is not a sign of decline, according to Stephens, who documents the enormous advantages America still enjoys globally, from its superiority in research and entrepreneurial vigor, to its healthy demographics and spirit of innovation. But it does bespeak a dangerous withdrawal from the policies that created the postwar Pax Americana – even though this global order policed by the U.S. defeated the murderous, nuclear-armed ideology of Soviet communism, and made possible the astonishing economic expansion that has lifted millions from poverty all over the world. …
For Stephens, isolationism has not been the only danger to American foreign policy success. What he calls “the overdose of ideals”, specifically the “freedom agenda” of the sort George W. Bush tried in Iraq and Afghanistan, has misdirected our efforts and squandered our resources in the pursuit of impossible goals. The success of the Cold War and the subsequent spread of democracy and free-market economies suggested that the world could be not just protected from an evil ideology, but “redeemed” by actively fostering liberal democracy even in countries and regions lacking the necessary network of social mores and political virtues upon which genuine liberal democracy rests. But in attempting to redeem the world, Stephens notes, policy makers “neglected a more prosaic responsibility: to police it”.
The failures to create stability, let alone true democracy, in Iraq and Afghanistan have enabled what Stephens calls the “retreat doctrine”, one to be found in both political parties. Barack Obama is the master of this species of foreign policy, incoherently combining idealistic democracy-promoting rhetoric with actions that further withdraw the U.S. from its responsibility to ensure global order. Under the guise of “nation-building at home,” and in service to traditional leftist doubt about America’s goodness, Obama has retreated in the face of aggression, and encouraged cuts in military spending in order to fund an ever-expanding entitlement state.
But also, equally, in order to make America weaker.
Meanwhile, “Republicans are busy writing their own retreat doctrine in the name of small government, civil liberties, fiscal restraint, ‘realism’, a creeping sense of Obama-induced national decline, and a deep pessimism about America’s ability to make itself, much less the rest of the world, better.”
The “retreat doctrine” is dangerous because global disorder is a constant contingency. The remainder of Stephens’ book approaches this topic first from the perspective of theory and history, and then from today’s practice. History teaches us that all the substitutes for a liberal dominant global power have failed to prevent the descent into conflict and mass violence. The ideas of a balance of power, collective security, or the presumed peaceful dividend and “harmony of interests” created by global trade did not prevent World War I or its even more devastating sequel. Nor are they any more useful in our own times.
As for today, Stephens identifies several challenges to a global order fragilely held together by the commitment to liberal democracy, open economies, and the free circulation of ideas and trade. The “revisionists” attack this model from various perspectives. Iran sees it as a fomenter of godlessness and hedonism, Russia is moved to oppose it by “revanchism and resentment”, and China believes that it “is a recipe for bankruptcy and laziness”, lacking a “sense of purpose, organization, and direction”. All three see evidence for their various critiques in the failure of the U.S. to exercise its massive power in the face of challenges, and in the willingness of American elites to revel in guilt and self-doubt. These perceptions of national decline invite rivals and enemies to behave as if the U.S. is in fact declining.
The other international players that could worsen disorder are “freelancers” and “free radicals”. The former include those countries like Israel or Japan who, convinced that America will not act in its own or its allies’ interests, will understandably take action that necessarily entails unforeseen disastrous consequences. Much more dangerous are the “free radicals”, the jihadist gangs rampaging across 3 continents, and the nuclear proliferators like Iran, North Korea, and Pakistan’s A.Q. Khan, whose collaboration with each other and rogue regimes like Venezuela endangers the world through provoking even further proliferation on the part of rivals, or by handing off nuclear weapons to terrorist organizations. And then there are “free radicals” like Edward Snowden and Julian Assange, who have undermined global order by publicizing the necessarily covert tools, practices, and institutions that undergird and protect it.
Finally, there are the structural weaknesses of the globalized economy and its continuing decline in growth, which may create “breaks” in national economic systems that “will be profoundly disruptive, potentially violent, and inherently unpredictable”. Add America’s retreat from world affairs and reductions in military spending, and in the “nearer term”, Stephens warns, “terrorists, insurgents, pirates, hackers, ‘whistleblowers’, arms smugglers, and second-rate powers armed with weapons of mass destruction and ballistic missiles will be able to hold the United States inexpensively at risk”, provoking further American retreat from world affairs and the inevitable increased aggression by our enemies and rivals. …
So what can be done? In his conclusion Stephens applies to foreign affairs the “broken windows” tactics of urban policing that caused rates of violent crimes to plummet over the last few decades. Thus “the immediate goal of U.S. foreign policy should be to arrest the continued slide into a broken-windows world of international disorder”.
This foreign policy would require increasing U.S. military spending to 5% of GDP, with a focus on increasing numbers of troops, planes, and ships rather than on overly sophisticated and expensive new weapons. It would mean stationing U.S. forces near global hotspots to serve as a deterrent and rapid-reaction force to snuff out incipient crises. It would require reciprocity from allies in military spending, who for too long have taken for granted the American defense umbrella. It would focus attention on regions and threats that really matter, particularly the borderlands of free states, in order to protect global good citizens from predators. It means acting quickly and decisively when conflict does arise, rather than wasting time in useless debates and diplomatic gabfests. Finally, it would require that Americans accept that their unprecedented global economic, cultural, and military power confers on us both vulnerability to those who envy and hate us, and responsibility for the global order on which our own security and interests depend. …
No matter how understandable our traditional aversion to military and political entanglements abroad, history has made us the global policeman, one committed to human rights, accountability, and political freedom. If we abdicate that position, there is no country powerful, or worthy enough, to take our place.
We agree with that.
And Thornton tantalizes us with this:
Stephens ends with an imagined “scenario” of how a serious global disruption could occur, one grounded in current trends and thus frighteningly believable.
When we’ve found out what that scenario is, which is to say when we’ve read the book, we’ll return to this important subject.
* “In his first nine months in office, President Obama has issued apologies and criticisms of America in speeches in France, England, Turkey, and Cairo; at the CIA headquarters in Langley, Virginia, the National Archives in Washington, D.C., and the United Nations in New York City. He has apologized for what he deems to be American arrogance, dismissiveness, and derision; for dictating solutions, for acting unilaterally, and for acting without regard for others; for treating other countries as mere proxies, for unjustly interfering in the internal affairs of other nations, and for feeding anti-Muslim sentiments; for committing torture, for dragging our feet on global warming and for selectively promoting democracy.” – Mitt Romney, quoted by PolitiFact.com
Slavery is not a thing of the past. Some 36 million people are counted this year as slaves. And there are certainly countless more.
Many domestic servants in Arab countries – Saudi Arabia for instance – are not counted as slaves because in theory they are paid wages, but their conditions of work are conditions of enslavement and many go unpaid in practice.
Almost the entire population of North Korea could be described as enslaved in their own country. And according to the Guardian: “Thousands of migrant labourers from North Korea are toiling for years on construction sites in Qatar for virtually no pay – including on the vast new metropolis that is the centrepiece of the World Cup – in what may amount to “state-sponsored slavery”.
And the number of slaves is growing continually, as men of the Islamic State (IS/ISIS/ISIL) – among other devout Muslims – sell women and girls in open slave markets.
Yahoo! News reports:
The Walk Free Foundation, an Australian-based human rights group, estimated in its inaugural slavery index last year that 29.8 million people were born into servitude, trafficked for sex work, trapped in debt bondage or exploited for forced labour.
Releasing its second annual index, Walk Free increased its estimate of the number of slaves to 35.8 million, saying this was due to better data collection and slavery being uncovered in areas where it had not been found previously.
For the second year, the index of 167 countries found India had by far the greatest number of slaves. Up to 14.3 million people in its population of 1.25 billion were victims of slavery, ranging from prostitution to bonded labour.
Mauritania was again the country where slavery was most prevalent by head of population while Qatar, host of the 2022 World Cup, rose up the rank from 96th place to be listed as the fourth worst country by percentage of the population.
“From children denied an education by being forced to work or marry early, to men unable to leave their work because of crushing debts they owe to recruitment agents, to women and girls exploited as unpaid, abused domestic workers, modern slavery has many faces,” the report said.
“It still exists today, in every country – modern slavery affects us all.”
The index defines slavery as the control or possession of people in such a way as to deprive them of their freedom with the intention of exploiting them for profit or sex, usually through violence, coercion or deception.
The definition includes indentured servitude, forced marriage and the abduction of children to serve in wars.
Hereditary slavery is deeply entrenched in the West African country of Mauritania, where four percent of the population of 3.9 million is estimated to be enslaved, the report said.
After Mauritania, slavery was most prevalent in Uzbekistan, where citizens are forced to pick cotton every year to meet state-imposed cotton quotas, and Haiti, where the practice of sending poor children to stay with richer acquaintances or relatives routinely leads to abuse and forced labour, it said. …
The next highest prevalence rates were found in India, Pakistan, Democratic Republic of Congo, Sudan, Syria and Central African Republic.
The index showed that 10 countries alone account for 71 percent of the world’s slaves.
After India, China has the most with 3.2 million, then Pakistan (2.1 million), Uzbekistan (1.2 million), Russia (1.05 million), Nigeria (834,200), Democratic Republic of Congo (762,900), Indonesia (714,100), Bangladesh (680,900) and Thailand (475,300).
And last year’s report by the Walk Free Foundation recorded this shocking information:
The United States, per capita, has a very low rate of slavery: just 0.02 percent, or one in every 5,000 people. But that adds up to a lot: an estimated 60,000 slaves, right here in America.
And this year?
Here’s the 2014 Walk Free Foundation’s map:
Andrew Klavan interprets the language of the Left.
Despite all President Obama’s efforts to prevent it, the US is winning the oil game. Because no human force is stronger than the market.
The knuckleheads of the Left love to hurl the accusation in the faces of conservatives that the presidents Bush “only went to war against Iraq because of oil”. (As if they themselves would never think of driving a gas-fueled car – or would be perfectly content not to.)
The accusation is not true. But perhaps the US should have gone to war against one or more Middle Eastern powers “because of oil”.
Oil is a very good reason to go to war. Would have been, when the Saudis had OPEC hyping the oil price in 1973. The results for the US and Western Europe were dire.
This is from Wikipedia:
In October 1973, OPEC declared an oil embargo in response to the United States’ and Western Europe’s support of Israel in the Yom Kippur War of 1973. The result was a rise in oil prices from $3 per barrel to $12 and the commencement of gas rationing. Other factors in the rise in gasoline prices included a market and consumer panic reaction, the peak of oil production in the United States around 1970 and the devaluation of the U.S. dollar. U.S. gas stations put a limit on the amount of gasoline that could be dispensed, closed on Sundays, and limited the days gasoline could be purchased based on license plates.
Even after the embargo concluded, prices continued to rise. The Oil Embargo of 1973 had a lasting effect on the United States. The Federal government got involved first with President Richard Nixon recommending citizens reduce their speed for the sake of conservation, and later Congress issuing a 55 mph limit at the end of 1973. Daylight savings time was extended year round to reduce electrical use in the American home. Smaller, more fuel efficient cars were manufactured. Nixon also formed the Energy Department as a cabinet office. People were asked to decrease their thermostats to 65 degrees and factories changed their main energy supply to coal.
One of the most lasting effects of the 1973 oil embargo was a global economic recession. Unemployment rose to the highest percentage on record while inflation also spiked. Consumer interest in large gas guzzling vehicles fell and production dropped. Although the embargo only lasted a year, during that time oil prices had quadrupled and OPEC nations discovered that their oil could be used as both a political and economic weapon against other nations.
War then would have been a far better answer to the Saudis than meek acceptance buttered with sycophancy.
War and drilling. Drilling wherever there was oil in America and off-shore. Including Alaska. Ignoring the Environmentalists with their philosophy of impoverishment.
Now all is changing. The US is becoming the biggest oil producer in the world. The Saudis and the other Middle Eastern tyrannies have no resource other than the oil discovered under their ground and developed into riches for them, by the infidel. And now they are losing it.
They, and all the evil powers that have wielded oil as a weapon, are taking desperate measures. Which will fail.
This is from Investor’s Business Daily:
With Saudi Arabia ramping up oil production, prices are tumbling, and the world’s petrotyrants — Iran, Russia and Venezuela — are taking a hit. Seems the old high-price, low-production tactic isn’t foolproof.
The Saudis don’t seem to be interested in budging. As prices fell to $83 a barrel for November-delivery crude, they’ve ramped up production even as others call on them to stop.
The first call came from fiscal shambles Venezuela, for an emergency meeting of the Organization of Petroleum Exporting Countries [OPEC] for a production hike. They were coldly rebuffed.
And on Tuesday, Prince Al-Waleed Bin Talal — a Saudi entrepreneur with a lot of non-oil money who sometimes plays gadfly to the regime — warned that the kingdom would fail to balance its own budget if oil prices went below $80. But he, too, was rebuffed.
It all may be because Saudi Arabia has a strategic need to check Iran over its nuclear program and financing of Islamic State terror and to discipline Russia for its support for the Assad regime in Syria.
It’s also almost certainly a response to the great shale revolution in the U.S., which has slashed U.S. dependency on oil exports to 20% from 60% a decade ago.
A Chilean-based entrepreneur told IBD last year that the greatest fear of Saudi Arabia’s king was America’s shale revolution, which was cutting into Saudi’s role as the world’s swing producer of oil.
However it spills out, the Saudi move to raise production may be the most dramatic move to shake events since President Reagan forced the bankruptcy of the Soviet empire by … asking the Saudis to raise production, which they did.
With this most recent move, the petrotyranny model of using oil as a weapon against smaller neighbors and the U.S. is effectively dead. Over the past decade, all of the states that have staked their futures on the power of oil have effectively burned their bridges to other models for building their economies.
When Venezuela’s Hugo Chavez took over in 1998, he scrapped that nation’s high-production, low-price, high-market-share strategy. In its place came a “model” based on high prices for consumers, low output and the expropriation of state oil company profits to pay for bigger government and an expansive welfare state, leaving the company without investment.
Foreign oil properties were also expropriated, including Exxon Mobil’s in 2007. It provided a short-term boost but left the country one of the most unattractive in the world for foreign investment and capital.
Russia, meanwhile, adopted a somewhat similar strategy after its 1998 crash. It focused on becoming a petropower, much to the detriment of the rest of the economy.
Today, more than three-quarters of Russia’s economy is oil-based, leaving it dependent on high oil prices with no balance from other sectors and wasting its most valuable asset: a well-educated workforce.
Instead of diversifying, Russia used energy as a weapon, repeatedly cutting off Ukraine’s natural gas supplies since 2009 in a bid to force its neighbor to toe the Moscow line, as well as to “Finlandize” its eastern and central European neighbors into fearing more energy cutoffs.
Then there’s Iran, whose illegal nuclear program has enjoyed soggy indifference in Europe based on the region’s dependence on Iranian oil.
These three troublemakers share one thing in common: a strategy of high oil prices and low production, plus a willingness to interfere with markets to make them into power games.
But as it turns out, that strategy was another kind of dependency. And the Saudis, egged on by the shale revolution, have just ended it.
Market manipulation is peculiar. In 1998, the Saudis tried to cut output to keep crude prices from falling further. It didn’t work. From that, they learned a valuable right lesson: Nothing is bigger than market forces.
Now, the world’s remaining petrotyrants are about to be schooled as well.
Time for a little quiet celebration. And it doesn’t have to be only a little or very quiet.
Let us crow.