The Dumbing of America

February 18th, 2008

The zombie hordes are outside my window, ho hum, maybe I’ll write a piece for the Washington Post.

Via: Washington Post:

“The mind of this country, taught to aim at low objects, eats upon itself.” Ralph Waldo Emerson offered that observation in 1837, but his words echo with painful prescience in today’s very different United States. Americans are in serious intellectual trouble — in danger of losing our hard-won cultural capital to a virulent mixture of anti-intellectualism, anti-rationalism and low expectations.

…

The classic work on this subject by Columbia University historian Richard Hofstadter, “Anti-Intellectualism in American Life,” was published in early 1963, between the anti-communist crusades of the McCarthy era and the social convulsions of the late 1960s. Hofstadter saw American anti-intellectualism as a basically cyclical phenomenon that often manifested itself as the dark side of the country’s democratic impulses in religion and education. But today’s brand of anti-intellectualism is less a cycle than a flood. If Hofstadter (who died of leukemia in 1970 at age 54) had lived long enough to write a modern-day sequel, he would have found that our era of 24/7 infotainment has outstripped his most apocalyptic predictions about the future of American culture.


22,000 Died Amid Delayed Bayer Drug Recall

February 18th, 2008

Via: Reuters:

The lives of 22,000 patients could have been saved if U.S. regulators had been quicker to remove a Bayer AG drug used to stem bleeding during open heart surgery, according to a medical researcher interviewed by CBS Television’s 60 Minutes program.

The drug Trasylol was withdrawn in November at the request of the FDA after an observational study linked the medicine to kidney failure requiring dialysis and increased death of those patients.

It had been given to as many as a third of all heart bypass patients in the United States at the height of its use over a period of many years, according to the report.

Dr. Dennis Mangano, the study’s researcher, said during the program that 22,000 lives could have been saved if Trasylol had been taken off the market when he first published his study in January 2006, according to a CBS News report on its Web site ahead of a broadcast slated for next Sunday.

He said in the broadcast that Bayer failed to disclose to the FDA during an FDA advisory panel meeting in September 2006 — at which Mangano’s negative findings were discussed — that the German drugmaker had conducted its own research which confirmed the same dangers established by his study.

The chairman of the FDA advisory panel, Dr. William Hiatt, told 60 Minutes he would have voted to remove Trasylol from the market had he been informed about Bayer’s study, according to the CBS report.

Learn More: Bayer I.G. Farben


Austrian UN Employee Dies in Fall from 19th Floor

February 18th, 2008

Via: New York Daily News:

A 44-year-old Austrian woman who worked for the United Nations plunged from the 19th floor of the iconic Secretariat building Sunday in an apparent suicide leap, police said.

Maria DiBiase, who worked with the Austrian Consulate, was discovered in the complex’s rear courtyard by horrified UN staffers about 8 a.m., police said.

DiBiase, who lived in a dormitory on W. 34th St., apparently jumped after showing up for work at the UN early Sunday, police sources said.

Security guards and investigators placed yellow tape around her heavyset body and blocked some staff from leaving the building. Later, DiBiase’s body lay draped with a white sheet on the east side of the 39-story building overlooking the East River.

There were no apparent signs of foul play, but an investigation was ongoing, NYPD Detective Martin Speechley said.

DiBiase was remembered as a chatty and friendly woman who had an interest in computers, according to police and UN security officers at the scene.

It wasn’t the first death jump from the 55-year-old landmark.

In 1982, Johannes Raven, 57, a UN official who had just resigned from the Office of Financial Services and was reported to have been upset about his failing health, jumped from the 18th floor on the west side of the building.

It was unclear what job DiBiase held at the UN.

In a statement, UN spokeswoman Marie Okabe said, “A UN agency staff member died after falling from the 19th floor of the UN Secretariat Building.

“At this time there is no suspicion of foul play.”

Update: UN Names Woman Who Fell From Building

By JOHN HEILPRIN

UNITED NATIONS (AP) — The woman who died after falling from the U.N.’s Secretariat Building was a 44-year-old employee of the World Health Organization’s International Computing Center, a U.N. spokeswoman said Monday.

U.N. deputy spokeswoman Marie Okabe identified the woman who fell from the 19th floor Sunday as Maria Gabriela Di Biase.

Police and U.N. security officers, who spoke on condition of anonymity because they were not authorized to talk to the media, said the woman had jumped from a window after showing up to work early in the morning.

Okabe said there was no suspicion of foul play. The police said they are still investigating. The official cause of death was to be determined by the medical examiner.

Di Biase, who has dual Uruguayan and Austrian nationalities, worked on the floor for the cooperative that provides computing and communication services to U.N. agencies. Employees would not discuss her death, though several recalled her as a friendly, likable woman.

United Nations security guards found her body Sunday morning on the lawn, several dozen yards away from the building, overlooking the East River. New York Police Department detectives and a medical examiner were summoned to the scene.


NORTHERN ROCK TO BE NATIONALISED

February 17th, 2008

Via: Financial Times:

The UK Treasury is to announce on Sunday that it is to nationalise Northern Rock, the troubled British bank, the Financial Times understands.

The decision ends months of efforts to find a private sector rescuer for the stricken mortgage lender, which ran into trouble as a result of the international credit squeeze.

It means that neither of the two bids for the bank, from Sir Richard Branson’s Virgin consortium and Northern Rock’s management team, have been successful.

Both bidders tendered revised offers on Friday after the government threatened that the bank would be nationalised unless their proposals were improved.

It is understood that the government believes nationalisation is now the best option, even though it is likely to spark a political storm, an angry reaction from some shareholders and big job losses in the north-east of England.


Idle Parenting Means Happy Children

February 17th, 2008

* wink *

Via: Telegraph:

The idle parent is a stay-at-home parent. Not for us costly leisure pursuits at the weekend. We reject the cheap thrills of expensive padded plastic fun palaces, zoos and days out in general. We find fun in our own backyards. We make aeroplanes out of cereal packets and it’s amazing how many catching and tickling games you can play with your kids while sitting on the sofa.

The idle parent is a thrifty parent. We don’t work too hard and therefore we can’t expect to be rolling in cash. With thrift comes creativity. “Waste is unpoetic, thrift is creative,” as GK Chesterton wrote. With no money, you start to discover your own inner resources. You make things and draw. Put a pile of A4 paper on the kitchen table, along with a stapler, scissors, crayons and glue, and you’ll be amazed at what your children come up with. Forget digital gewgaws. Go analogue. It’s more fun and a lot cheaper. Put a bird feeder outside the kitchen window. Fun does not need to be expensive.

We don’t care about status and career advancement and how we are perceived by others. We are free of all of that rubbish. We simply want to enjoy our lives and to give our children a happy childhood. What greater gift could there be from a parent? If our children tell their friends in later life that they enjoyed their childhood, I would count that as a great achievement. Better to have a happy childhood than a high-achieving one that brings a big psychiatrist’s bill in adult life.


Sheeple: Crowds ‘Pick Leaders to Follow’

February 17th, 2008

Via: Telegraph:

People in crowds behave just like sheep, scientists claim, by blindly following one or two people who seem to know where they are going.

Researchers at Leeds University believe their findings could have important applications, notably in the management of disasters.

The team, led by Prof Jens Krause, conducted a series of experiments in which volunteers were told to walk randomly around a large hall without talking to each other. A select few were then given more detailed instructions.

The results published today show that it takes a minority of just 5 per cent of what they called “informed individuals” to influence the direction of a crowd of a minimum of 200 people. The remaining herd of 95 per cent follow without realising it.

“There are strong parallels with animal grouping behaviour,” says Prof Krause, who reports the work with John Dyer in the Animal Behaviour Journal, with colleagues at the Universities of Oxford and Wales Bangor.

“We’ve all been in situations where we get swept along by the crowd but what’s interesting about this research is that our participants ended up making a consensus decision despite the fact that they weren’t allowed to talk or gesture to one another.

“In most cases the participants didn’t realise they were being led by others.”

The work follows another study by Dr Simon Reader of Utrecht University that showed that most of us are happy to play follow-my-leader, even if we are trailing after someone who does not really know where they are going.

“Even more striking, that study found that even when we are shown a faster route, we still prefer to stick with the old one and tell others to take the long road too.

That discovery could have lethal implications when it comes to evacuating a building or ship in an emergency, when people would likely stick to the familiar evacuation route, even if slower than an alternative.


Same Dealer Supplied Campus Killers

February 17th, 2008

Via: Sky:

A gunman who shot dead five Illinois students bought equipment from the same internet gun dealer as the student who murdered 32 people at Virginia Tech last year, it has emerged.

Gun supplier Eric Thompson said his website, topglock.com, sold two empty magazines and a holster to Stephen Kazmierczak just 10 days before the 27-year-old launched a suicidal attack on an Illinois classroom.

Another of his sites, thegunstore.com, also sold a Walther .22-calibre handgun to Cho Seung-Hui, who killed 32 people on the Virginia Tech campus in April 2007.

The dealer said: “I’m still blown away by the coincidences. I’m shaking. I can’t believe somebody would order from us again and do this.”

Mr Thompson admitted the thought had crossed his mind that Kazmierczak found out about his site from the publicity it got after the Virginia Tech shootings.

The site saw an increase in traffic after that shooting, he said, adding that he had also received many phone calls and threats.

Kazmierczak carried a rifle and three handguns into the classroom, two of which were purchased legally on February 9 in Champaign, Illinois.

Police said the sociology graduate, who had been an “outstanding student” during his time at the university, had become erratic after halting his medication.


Iran Opens First Oil Products Bourse

February 17th, 2008

Well, Iran finally did it. Somewhat. They’re not trading crude oil yet. It’s oil products.

Interestingly, they opened during the short window of time over the weekend when global financial markets are closed. So… Yeah. I don’t really know what to make of this so far.

Via: Forbes:

Iran, OPEC’s number two crude oil producer, on Sunday inaugurated its first bourse for oil products and petrochemicals, in a bid to become a major player in the global downstream industry.

Iran hopes that its oil goods bourse can lead the way for a domestic downstream industry to match its upstream crude oil production, the country’s main foreign currency revenue winner.

‘We have been a good seller (of crude oil) and now we have a higher objective to have a share in the oil trade,’ Oil Minister Gholam Hossein Nozari told reporters.

Iran claims to rank second in the region after Saudi Arabia in terms of production of petrochemicals at 22 million tons a year.

But it has failed to gain a significant share in the world export market because of state control of its petrochemical industry and state subsidies.

‘The objective is to make transactions (of oil products) transparent, create competition and motives for investment,’ the oil minister added.

‘And so that we can reach out to international markets as a big oil producer as well as an oil trader,’ he added.

Iran plans to open a market for trading crude oil as part of the second phase of the nascent bourse at an unspecified future date.

‘The first phase should operate for a while and we should find out its strong and weak points in order to open the second phase. Because the second phase is more complicated,’ Nozari said.

The idea of establishing a market for oil and its by-products was first mooted a decade ago, and practical steps to prepare its creation were first taken in 2001.

But its opening has lagged over administrative procedures and long-delayed moves to liberalise the price of petrochemicals which have been under the government’s control.

The opening ceremony was held in Tehran via a video conference to the southern island of Kish where the new bourse is based.


Lockheed Gets $1 Billion FBI Biometric Database Contract

February 17th, 2008

Via: CNN:

The FBI has awarded a nearly $1 billion contract to Lockheed Martin to help create a massive computer database of people’s physical characteristics as part of an effort to better identify criminals and terrorists.

The overall deal is worth between $850 million to $1 billion and could run as long as 10 years, said Thomas Bush, the FBI’s assistant director of the Criminal Justice Information Services Division.

“We are looking forward to this future effort,” Bush said.

Judy Marks, the president of Lockheed’s Transport and Security Solutions division, said, “We’re tremendously pleased to partner with the agency once again to deliver the next quantum leap in capability.”

Lockheed Martin built the FBI’s current fingerprint database. The new program is being billed as the Next Generation Identification — and is assailed by privacy advocates who say it should cause alarm among all Americans.

“It’s the beginning of the surveillance society where you can be tracked anywhere, any time and all your movements, and eventually all your activities will be tracked and noted and correlated,” Barry Steinhardt, director of the American Civil Liberties Union’s Technology and Liberty Project, told CNN last month.

The FBI currently has 55 million sets of fingerprints on file. In coming years, officials want to use the new database to compare palm prints, scars, tattoos, iris eye patterns and facial shapes.

Lockheed is being tapped with expanding the database to include these new types of biometric information. The idea is to combine various pieces of information to positively identify someone.

“Fingerprints will still be the big player,” Bush told CNN.

But he quickly added, “Whatever the biometric that comes down the road, we need to be able to plug that in and play.”


The Next Crisis Will be Over Food

February 17th, 2008

WARNING: This is not a recommendation to buy, sell or hold any financial instrument.

The mainstream media is figuring it out, quite late, as usual.

Be careful, though, about timing long entries when Goldman Sachs is shilling something higher, or short when they’re badmouthing something. Remember what happened after that late November 2007 Goldman Sachs’ call to sell gold?

Crooks.

Now, am I kicking myself for taking profit on DBA when I did at $36? No. Even though DBA is trading around $39 now, I’m still satisfied with my decision to take profit when I did. And I’d buy DBA again after a pull back, if it comes.

I’ll tell you what I’m not so proud of, though…

I was so convinced (gut level) that a short term correction was due that I bought a couple of cheap February DBA puts at .10. They expired worthless last week.

Buying those puts was a wildly reckless move that went against my own analysis on the matter. I wrote that I thought that it could easily go higher, with the fans intact and the symmetrical triangle shaping up. But there was nothing in there that justified taking a position (even a tiny one) the other way.

Cost of stupidity, including commission: About $27.

Reminder to stick with my own discipline: Priceless.

Via: Financial Times:

I used to think that the fastest way to become worried about markets was to stare into the bowels of a monoline. No longer. A few days ago, I happened to hear Goldman Sachs discuss the state of the global financial system with European clients.

And what struck me most forcefully from this analysis – aside from the usual, horrific litany of bank woes – was just how much trouble is quietly brewing in corners of the commodities world.

Never mind that oil prices are high; that problem is already well known and gallons of ink have been spilt debating that, along with the pressures in metals and mineral spheres.

Instead, what is really catching the attention of Goldman Sachs now is the outlook for agricultural prices. Or as Jeff Currie, head of commodities research at the US bank, says with disarming cheer: “We think we could go into crisis mode in many commodities sectors in the next 12 to 18 months?.?.?.?and I would argue that agriculture is key here.”

Now, to some readers of the Financial Times, that observation might seem odd. After all, inhabitants of the western world typically spend far more time worrying about the price of petrol for their car, rather than the price of wheat or corn. And when western investors do think about “commodity shock”, their reference point typically tends to be the 1970s oil crisis.

However, as Mr Currie observes, this is a dangerously blinkered view. Back in the 1970s, famine touched a much bigger proportion of the world’s population than the energy crisis, he says. And even today, rising food prices pack a powerful political punch in the developing (or partly-developed) world, to a degree that is sometimes underappreciated by the pampered west.

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But leaving aside this very real human tragedy, what should also be crystal clear for investors is that this is not a picture that points to 21st-century capital markets progress; nor is it likely to breed stability in the medium term. Anyone who thinks this decade’s problems start and end with credit, in other words, may yet receive a rude shock; sadly, we live in a world where soyabeans may yet pack as painful a punch as subprime.


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