United States presidential election, 2008: Herbert Hoover’s Ghost Haunts Markets

March 31, 2008

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In a her Bloomberg column, Amity Shlaes finds that Bear Stearns evokes the crash of 1929 and the Great Depression that followed it.

“Within 24 hours, Representative Rahm Emanuel, an Illinois Democrat, was weighing in with his own 1930s comparison. Roosevelt had pulled a country out of Depression and united it; President George W. Bush was doing the opposite, he said.

You get the picture: Bush is like Hoover, the do-nothing. Democrats are like Roosevelt, the activist. It’s worthwhile to go back to that Depression period to see what people actually did or didn’t do and who resembles whom. The reality differs from the cartoon.”

Read full story.


Asia’s Achilles Heel

March 31, 2008

In a article for Newsweek, David Victor argues that the big challenge in the coming century may not be the strength of Asia’s emerging economic powers but rather their weakness.

Victor shows how China’s recent power crisis was caused by the tensions between China’s burgeoning free-market sector and its residual state-owned and regulated industries. India faces a similar problem: Its state-owned power utilities are supposed to be run for a profit, but incessant political meddling with electricity prices has pushed most into bankruptcy. In both China and India, dynamic economic growth has masked these governance problems. But the power sector conveys a warning: Vestiges of the statist tradition can still obstruct progress.

“Market reforms are making Beijing less and less relevant to what’s really going on in the economy, threatening to turn China into a ‘weak state.’ And it’s not just China – India, too, is having trouble regulating its industry and economy. The phenomenon is a dark cloud on the Asian century.”

Read full story.


Geert Wilders’s anti-Koran movie and the freedom of speech

March 31, 2008

Ayaan Hirsi Ali, a Somali-born Dutch women’s rights activist and a prominent critic of Islam, criticizes the Dutch government’s response to Geert Wilders’s provocative film.

Fitna Is an Embarrassment for the Dutch Cabinet

by Ayaan Hirsi Ali, resident fellow at The American Enterprise Institute
De Volkskrant (The Netherlands)
Publication Date: March 28, 2008

The central thesis of Fitna is: the Koran commands Muslims to spread their faith throughout the entire world, by means of jihad and indoctrination. To show that some Muslims take these edicts literally, viewers are shown images of terror attacks in New York and Madrid. In the movie, you hear excerpts of sermons filled with hatred and Muslim crowds that cheer on the preachers.

In one scene, a girl of three is taught by rote that the Koran reveals that Jews are pigs and monkeys. At the end of the movie, suddenly one hears the sound of a page being ripped from a book followed by a message that this is a page from a telephone book, not the Qur’an, and that it is up to Muslims to deal with the intolerance in their Holy Book.

Fitna is polite, but Fitna is a severe embarrassment for the Dutch cabinet. First, because almost all of the publicity for the movie originated from the cabinet. If, last year, the prime minister had given a reaction along the lines of: “we cannot respond to a movie that has not yet been shown and until such a time a cabinet position will not be provided,” there would have been no worldwide, festering controversy.

Savages

A second reason for which the cabinet is suffering a severe loss of face is that it has shown that freedom of speech is not safe in its hands. By acting as if it was a worthwhile endeavor to investigate whether the movie should be banned (either before or after its release), the cabinet improperly reversed its constitutional position with regard to the Second Chamber of Parliament.

In the Netherlands, the cabinet governs, and Parliament controls the cabinet. In relation to MP Wilders, however, the cabinet has improperly set itself up as the controller. The Dutch cabinet has actively sought to silence an elected member of parliament. That the parliamentary opposition did not intervene against this appalling attempt at censorship, is more distressing than any possible movie about Islam could be. Fitna laid bare just what a distrustful image this Social-Christian cabinet has of Muslims. It considers Muslims as half-savage beasts, [a bit like Bokito, Holland's most famous gorilla] who will jump over the fence of reason at the slightest provocation and who in a collective frenzy disrupt the public peace.

They can only be kept in check by not engaging them as mature reasonable adults, by not contradicting them, not presenting them with difficult questions about their religion, by talking positively about it; all the while creating myriad emergency response plans through full crisis scenarios, because a film happens to be made about their holy book. It is just as in the case of Bokito the gorilla, who was put behind high bars in a zoo but was feverishly petted. This attitude is called “respect”, towards Muslims. I wonder what Muslims think of being regarded in this way?

Hypocritical Respect

Who actually insults Muslims here? The democratically elected MP who engages them by presenting them with painful, but highly relevant questions about their religion, or the Dutch cabinet that is suspicious of them while confessing to being respectful of their religion?

Mr. Wilders promised to start a nationwide campaign of debate with Muslims after launching his film. That is more respectful towards Muslims than all the predictions of catastrophe over their heads. Of the Dutch Muslim it can be assumed that he is reasonable. He lives in a free country, where he can choose whether or not to read, listen or view texts, sounds and images that are displeasing or distressing to him.

The fact that there are individuals in the Netherlands such as Mohammed Bouyeri who reach for the dagger, does not mean that all Muslims in the Netherlands do this as a matter of course. The cabinet may not prematurely confuse the 6 percent of Muslims, who are characterized as dangerous, with the other 94 percent.

Rather, the cabinet should put to Muslims the words that deputy minister Ahmed Aboutaleb, a Muslim, enunciated clearly in the television program Pauw & Witteman: “Muslims must think about the fear generated by their religion. The majority [of Muslims] remains silent and that is not good. We have chosen for the Netherlands, precisely because of the freedom here. This has to be said. I miss the [Muslim] voice that distances itself from extremism.” This is the fitting reaction to the core question of Fitna.

Counter-Movie

The official declaration of the cabinet, that the movie Fitna makes no contribution whatsoever to the social debate, is therefore factually inaccurate. Fitna has already proven its value. And the value goes beyond the wise words of Aboutaleb; other Islamic groups in the Netherlands are already busy with the creation of a counter-movie. A counter-movie, not blood baths! Words versus words, images versus images. Provocation, therefore, works to initiate a real dialogue.

Six years ago Aboutaleb found that asking critical questions about Islam was tantamount to “pissing in one’s own nest.” And now he is the only in this cabinet who responded sensibly. Without asking provocative questions, we would never have reached this point.

The official reaction of the Dutch cabinet to Fitna is a confession of weakness. It is bizarre that the prime minister says “just wait, very bad things will happen.” It almost seems as if he hopes this will happen, in order for him to save face. It is just as bizarre as people who now say that they are disappointed. To them the question: what were they actually hoping for?

Let us hope, in any case, that the entire cabinet will put itself behind the elegant point of view of deputy minister Ahmed Aboutaleb.

Reprinted with kindly permission of The American Enterprise Institute.


Switzerland’s shabby deal with Iran

March 31, 2008

In an opinion piece, the president of the World Jewish Congress criticizes Switzerland’s recent gas deal with Iran.

Switzerland’s shabby deal with Iran

by Ronald S. Lauder

The ejection of the populist politician Christoph Blocher from the Swiss government in December 2007 gave rise to hope that Switzerland could restore its tainted image and that the country’s “splendid isolation” on the international stage might soon be over.

In an opinion piece for the Swiss newspaper NZZ am Sonntag on 30 December 2007 I wrote: “Switzerland will not have a glorious future by isolating itself from the European Union and the wider world. In our globalized world (…) you cannot isolate yourself if you want to be heard. Swiss diplomacy can only return to its former strength if the Federal Council and the parties supporting it once again represent an open-minded Switzerland.”

Who would have thought that this call would be heeded so quickly? Two weeks ago, Swiss Foreign Minister Micheline Calmy-Rey appeared, veiled in a headscarf, at the side of Iranian President Mahmud Ahmadinejad to seal an enormous deal with the National Iranian Gas Export Company. She did so on behalf of a private Swiss company, “to safeguard Switzerland’s own strategic interests,” as she put it.

Back home, Calmy-Rey said that she had pressed Tehran on issues such as human rights or the nuclear program. The Iranian newspaper Tehran Times phrased it somewhat differently: “Calmy-Rey appreciated Iran for its cooperation with the IAEA. She also called for the continued Iran-Switzerland dialogue on human rights.” It became clear immediately that the visit by the Swiss foreign minister was a propagandistic triumph for the mullahs.

A few days after the Iranian gas deal, Calmy-Rey’s Foreign Affairs Department secured the election of Jean Ziegler as special adviser of the United Nations Human Rights Council. Ziegler, a self-declared human rights activist, is best known as campaigner for dictators such as Colonel Khaddafi of Libya, Robert Mugabe of Zimbabwe or Fidel Castro of Cuba.

Brushing aside all criticism leveled against Ziegler by respected international personalities and organizations, Calmy-Rey got her preferred candidate elected by forging alliances with the many Asians and Africans represented on the council – the same countries that rarely miss an opportunity to bash Israel for defending itself against the attacks by Hamas and Hezbollah.

Incidentally, it was Jean Ziegler who in 2006 claimed that Hezbollah in Lebanon was not a terrorist group, but a “national resistance movement”. He even expressed understanding for the kidnapping by Hezbollah of the two Israeli soldiers Ehud Goldwasser and Eldad Regev, who have not been released until this day.

In early March, Micheline Calmy-Rey personally appeared before the Human Rights Council to advocate a one-sided resolution, sponsored by Islamic countries, condemning Israel for its operations in the Palestinian territories – operations that are aimed at protecting Israel’s citizens from the constant rocket attacks by Hamas supporters. While all European Union countries on the council abstained, Switzerland voted in favor of the one-sided resolution, yet the Human Rights Council failed to condemn the deadly terrorist attack at a Jerusalem rabbinical seminary which had occurred shortly before.

There is nothing wrong with governments defending their national interests, but such actions should be centered around certain basic principles, i.e. those of democracy, peace and human liberties.

There is nothing wrong with criticizing Israel, provided equal measures of judgment and criticism are being applied to all countries.

What is horribly wrong, though, is Mrs. Calmy-Rey’s flawed foreign policy. It makes Switzerland a hostage to countries that, rather than respect human rights, pay merely lip service to them. This is especially true of international bodies like the UN Human Rights Council that has lost its credibility in the record-breaking time of 18 months.

Only days after the manipulated parliamentary election in Iran, Mrs. Calmy-Rey chose to lend public support to the Islamist regime in Tehran, whose declared aim is the eradication of Israel, while at the same time strengthening Israel’s (hypo-)critics at the United Nations in Geneva. But beware: placating the mullahs in Tehran comes with a heavy political price tag.

Micheline Calmy-Rey has gravely undermined the efforts of the international community, in particular the five permanent members on the UN Security Council and Switzerland’s neighbor Germany, to prevent Iran from becoming a nuclear power eventually capable of wreaking havoc on Israel and the entire Middle East. How on earth can we expect the sanctions regime to achieve results if a UN member – host country to many UN bodies – makes a mockery of the United Nations?

The current Swiss government has chosen to reduce the country’s natural gas dependence on Russia by helping a Swiss company to clinch a deal with another (the Islamic Republic of Iran).

The Swiss Jewish Community Federation is right to point out that Mrs. Calmy-Rey’s trip to Tehran sends out all the wrong signals. The US government is correct in criticizing Switzerland for setting a bad example for the rest of Europe.

It would be naïve to believe that Micheline Calmy-Rey’s announcement of a “human rights dialogue” with the rulers in Tehran will lead to any concrete improvements of the situation in Iran. The hanging and stoning of dissidents, students, homosexuals and other regime critics; the rigging of elections; the anti-Israel campaign sponsored by Tehran and its allies Hamas and Hezbollah that is violent both in words and in action; the denial of the Holocaust; the apparent quest for nuclear weapons: all that will continue, not only in spite of, but perhaps also because of the gas deal.

The concept of Swiss neutrality has a long tradition, but Switzerland’s credibility as an honest broker in international diplomacy has been badly bruised. Mrs. Calmy-Rey has sold out her government’s international credibility in return for 5.5 billion cubic meters of Iranian natural gas and perhaps for some new friends in the radical Muslim world – definitely not a good investment!

The next months will show if this Swiss diplomacy will be able to undo the damage that has been done.


United States presidential election, 2008: The Smart Way Out of a Foolish War

March 31, 2008

Top strategist Zbigniew Brzezinski, now foreign policy adviser to Senator Barack Obama, wrote in a Washington Post op-ed that a “sensibly conducted disengagement will actually make Iraq more stable over the long term.”

Read full story.


Paulson plan to combat credit market problems

March 31, 2008

The Wall Street Journal reports that U.S. Treasury Secretary Henry Paulson today will announce a broad proposal to overhaul regulation of U.S. financial markets. The article says the reforms could eliminate or merge major institutions – including the Securities and Exchange Commission – and might seek to strengthen the authority of the U.S. Federal Reserve.

Read full story.


CIA director believes Iran still pursuing nuclear bomb

March 31, 2008
The director of the Central Intelligence Agency (CIA), Michael V. Hayden, has said that he believes Iran is still pursuing nuclear weapons, even though a US intelligence report had reached a different assessment last year.

Asked on NBC’s ‘Meet the Press’ whether he thought Iran was trying to develop a nuclear weapon, Hayden answered “yes,” adding that his assessment was not based on “court-of-law stuff. . . . This is Mike Hayden looking at the body of evidence.”

He said his conviction stemmed largely from Iran’s willingness to endure international sanctions rather than comply with demands for nuclear inspections and abandon its efforts to develop technologies that can produce fissile material.

“Why would the Iranians be willing to pay the international tariff they appear willing to pay for what they’re doing now if they did not have, at a minimum … the desire to keep the option open to develop a nuclear weapon and, perhaps even more so, that they’ve already decided to do that?” he said.

A report last December by the National Intelligence Estimate (NIE), also signed off by the CIA, concluded that Iran had suspended its nuclear weapons work in 2003, soon after the United States invaded Iraq, and appeared not to have restarted it. Hayden is the latest senior Bush administration official to question the findings of the NIE.


Panel Debate: Iran’s Parliamentary elections and ramifications for EU policy

March 31, 2008
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The Transatlantic Institute has the pleasure of inviting you to join us for an off-the-record panel debate on:

Iran’s Parliamentary elections and ramifications for EU policy

Wednesday, 2nd April 2008 – 17.30 – 19.00

At the: MaeIbeek Room, International Press Center, Residence Palace, Rue de la loi 155, 1040 Brussels, Belgium

Guest Speakers:

Didier Cossé, Desk Officer in charge of Iran at DGE 5 – External Affairs, Middle East Task Force, Council of the European Union. Didier Cossé was previously in charge of human rights and non-proliferation at the Office of High Representative Mr. Javier Solana. He is a graduate of the Institut d’Études Politiques de Paris (IEP) and the École Nationale d’Administration (ENA).

Mehdi Khalaji, Visiting Fellow at the Washington Institute, focusing on the role of politics in contemporary Shiite clericalism in Iran and Iraq. A Shiite theologian by training, he trained in the seminaries of Qom, the traditional centre of Iran’s clerical establishment, from 1986 – 2000. He later joined the BBC Persian Service and then Radio Farda, the U.S. government Persian news service. He has written widely on contemporary Iranian issues.

Moderator: Dr. Emanuele Ottolenghi, Executive Director of the Transatlantic Institute

To participate, please contact the Transatlantic Institute at +32 2 500 72 85 or by e-mail at fellow@transatlanticinstitute.org.


John Grisham’s New Book: The Appeal

March 29, 2008
“If You Can’t Win the Case, Buy an Election and Get Your Own Judge”.
John Grisham‘s new book THE APPEAL is the cover review in the New York Times Book Review this Sunday, March 30.
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Steven Brill, the founder of American Lawyer magazine and Court TV, pens the review, calling THE APPEAL a “gripping tale” and commending John Grisham for pointing out “how the justice system in more than half of the 50 states is increasingly threatened by the kind of big-money gutter politics that have made so many Americans disgusted with Washington.”

In a sidebar interview, also in the Book Review, Steven Brill states that John Grisham‘s prose “has the texture and authority of someone who’s been exposed to [the legal system].”

Read full story.


United States presidential election, 2008: Rethinking President Reagan’s Strategic Defense Initiative

March 28, 2008

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In an op-ed in The Boston Globe, Democratic Representative of Massachusetts John Tierney, and military expert and author of The Edge of Disaster Stephen Flynn write that the best way to mark the anniversary of President Reagan’s ‘Star Wars’ speech would be a debate about its relevance post-September 11.

“The silver anniversary of President Ronald Reagan’s ‘Star Wars’ speech came and went quietly this week. However, the research program to develop ballistic missile defense still remains a big-ticket item a quarter-century later.

For 2009, the White House is requesting $12.3 billion to develop ballistic missile defense. This is on top of the more than $120 billion taxpayers have already spent since 1985 to develop a system that still has yet to be realistically tested and may never be operationally effective.

Over the past decade, security experts have warned that the most likely way a nuclear weapon will find its way into the United States is hidden in the cargo of a ship or smuggled across US borders.”

Read full story.

***

Address to the Nation on National Security by President Ronald Reagan, March 23, 1983

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My fellow Americans, 

The calls for cutting back the defense budget come in nice, simple arithmetic. They’re the same kind of talk that led the democracies to neglect their defenses in the 1930′s and invited the tragedy of World War II. We must not let that grim chapter of history repeat itself through apathy or neglect.

This is why I’m speaking to you tonight – to urge you to tell your Senators and Congressmen that you know we must continue to restore our military strength. If we stop in midstream, we will send a signal of decline, of lessened will, to friends and adversaries alike.

Free people must voluntarily, through open debate and democratic means, meet the challenge that totalitarians pose by compulsion. It’s up to us, in our time, to choose and choose wisely between the hard but necessary task of preserving peace and freedom and the temptation to ignore our duty and blindly hope for the best while the enemies of freedom grow stronger day by day.

The solution is well within our grasp. But to reach it, there is simply no alternative but to continue this year, in this budget, to provide the resources we need to preserve the peace and guarantee our freedom.

Now, thus far tonight I’ve shared with you my thoughts on the problems of national security we must face together. My predecessors in the Oval Office have appeared before you on other occasions to describe the threat posed by Soviet power and have proposed steps to address that threat. But since the advent of nuclear weapons, those steps have been increasingly directed toward deterrence of aggression through the promise of retaliation.

This approach to stability through offensive threat has worked. We and our allies have succeeded in preventing nuclear war for more than three decades. in recent months, however, my advisers, including in particular the Joint Chiefs of Staff, have underscored the necessity to break out of a future that relies solely on offensive retaliation for our security.

Over the course of these discussions, I’ve become more and more deeply convinced that the human spirit must be capable of rising above dealing with other nations and human beings by threatening their existence. Feeling this way, I believe we must thoroughly examine every opportunity for reducing tensions and for introducing greater stability into the strategic calculus on both sides.

One of the most important contributions we can make is, of course, to lower the level of all arms, and particularly nuclear arms. We’re engaged right now in several negotiations with the Soviet Union to bring about a mutual reduction of weapons. I will report to you a week from tomorrow my thoughts on that score. But let me just say, I’m totally committed to this course.

If the Soviet Union will join with us in our effort to achieve major arms reduction, we will have succeeded in stabilizing the nuclear balance. Nevertheless, it will still be necessary to rely on the specter of retaliation, on mutual threat. And that’s a sad commentary on the human condition. Wouldn’t it be better to save lives than to avenge them? Are we not capable of demonstrating our peaceful intentions by applying all our abilities and our ingenuity to achieving a truly lasting stability? I think we are. Indeed, we must.

After careful consultation with my advisers, including the Joint Chiefs of Staff, I believe there is a way. Let me share with you a vision of the future which offers hope. It is that we embark on a program to counter the awesome Soviet missile threat with measures that are defensive. Let us turn to the very strengths in technology that spawned our great industrial base and that have given us the quality of life we enjoy today.

What if free people could live secure in the knowledge that their security did not rest upon the threat of instant U.S. retaliation to deter a Soviet attack, that we could intercept and destroy strategic ballistic missiles before they reached our own soil or that of our allies?

I know this is a formidable, technical task, one that may not be accomplished before the end of this century.

Yet, current technology has attained a level of sophistication where it’s reasonable for us to begin this effort. It will take years, probably decades of effort on many fronts. There will be failures and setbacks, just as there will be successes and breakthroughs. And as we proceed, we must remain constant in preserving the nuclear deterrent and maintaining a solid capability for flexible response. But isn’t it worth every investment necessary to free the world from the threat of nuclear war? We know it is.

In the meantime, we will continue to pursue real reductions in nuclear arms, negotiating from a position of strength that can be ensured only by modernizing our strategic forces. At the same time, we must take steps to reduce the risk of a conventional military conflict escalating to nuclear war by improving our nonnuclear capabilities.

America does possess – now – the technologies to attain very significant improvements in the effectiveness of our conventional, nonnuclear forces. Proceeding boldly with these new technologies, we can significantly reduce any incentive that the Soviet Union may have to threaten attack against the United States or its allies.

As we pursue our goal of defensive technologies, we recognize that our allies rely upon our strategic offensive power to deter attacks against them. Their vital interests and ours are inextricably linked. Their safety and ours are one. And no change in technology can or will alter that reality. We must and shall continue to honor our commitments.

I clearly recognize that defensive systems have limitations and raise certain problems and ambiguities. If paired with offensive systems, they can be viewed as fostering an aggressive policy, and no one wants that. But with these considerations firmly in mind, I call upon the scientific community in our country, those who gave us nuclear weapons, to turn their great talents now to the cause of mankind and world peace, to give us the means of rendering these nuclear weapons impotent and obsolete.

Tonight, consistent with our obligations of the ABM treaty and recognizing the need for closer consultation with our allies, I’m taking an important first step. I am directing a comprehensive and intensive effort to define a long-term research and development program to begin to achieve our ultimate goal of eliminating the threat posed by strategic nuclear missiles. This could pave the way for arms control measures to eliminate the weapons themselves. We seek neither military superiority nor political advantage. Our only purpose – one all people share – is to search for ways to reduce the danger of nuclear war.

My fellow Americans, tonight we’re launching an effort which holds the promise of changing the course of human history. There will be risks, and results take time.

But I believe we can do it. As we cross this threshold, I ask for your prayers and your support.

Thank you, good night, and God bless you.


Die Tyrannei der Weltverbesserer

March 28, 2008

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Es gibt Besserwisser,
die niemals begreifen,
dass man Recht haben
und ein Idiot sein kann.
Martin Kessel

Im Aufmacher der Süddeutschen Zeitung am Wochenende ruft Hilmar Klute zum Widerstand gegen “Rauchverbote, Sexratgeber und Ernährungshinweise” auf.

“Ständig Schläge zu bekommen ist grausam, aber ständig Ratschläge zu bekommen ist sogar die Hölle. [...] Helmut Schmidt sagte im Zeit-Interview auf die Frage, ob er wenigstens jungen Leuten vom Rauchen abraten würde: ‘Ich würde niemandem unerbetene Ratschläge geben.’

Der alte Schmidt ist ein Held unserer Tage. Und es wäre wünschenswert, wenn auch die Hausmeister und Weltverbesserer für eine Weile Enthaltsamkeit üben und bitte so lange die Luft anhalten, bis man seinen Schweinebraten aufgegessen, seine 60 Milligramm Alkohol runtergeschluckt, die Mousse au chocolat samt Sahnehäubchen ausgelöffelt und vier Zigaretten fertig geraucht hat. Wäre das alles nicht – liberal?”

Zum Artikel.


«Babylon» zwischen Archäologie und Metapher – eine Ausstellung in dem Musée du Louvre

March 28, 2008

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Die Neue Zürcher Zeitung bespricht die große “Babylon”-Ausstellung im Pariser Louvre, die bis zum 2. Juni 2008 stattfindet.

“Mit zahlreichen Beispielen illustriert die Schau, welche Faszination die Geschichte zum Beispiel auf die Maler des 16. bis 18. Jahrhunderts ausgeübt hat. Da gibt es etwa den schönen Babel-Turm (um 1563) von Peter Bruegel d. Ä., ein farbenfrohes Babel-Baustellen-Bild von Anton Mozart (um 1610) oder das utopische Babel-Fanal (1781-1793) von Etienne-Louis Boullée zu sehen. Die Ausstellung zeigt auch, dass der Turmbau zu Babel nicht immer nur eine Metapher für die menschliche Hybris und ihre Folgen war: Ab der Renaissance, spätestens mit der Aufklärung mutierte die Geschichte mehr und mehr zum Bild des menschlichen Strebens nach Erkenntnis, zur Metapher für Fortschritt und Forschung.”

Zum Artikel.


Iran’s Global Ambition

March 27, 2008

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by Michael Rubin

While the United States has focused its attention on Iranian activities in the greater Middle East, Iran has worked assiduously to expand its influence in Latin America and Africa. Iranian president Mahmoud Ahmadinejad’s outreach in both areas has been deliberate and generously funded. He has made significant strides in Latin America, helping to embolden the anti-American bloc of Venezuela, Bolivia, and Nicaragua. In Africa, he is forging strong ties as well. The United States ignores these developments at its peril, and efforts need to be undertaken to reverse Iran’s recent gains.

Both before and after the Islamic Revolution, Iran has aspired to be a regional power. Prior to 1979, Washington supported Tehran’s ambitions – after all, the shah provided a bulwark against both communist and radical Arab nationalism. Following the Islamic Revolution, however, U.S. officials viewed Iranian visions of grandeur warily.

This wariness has grown as the Islamic Republic pursues nuclear technology in contravention to the Nuclear Non-Proliferation Treaty safeguards agreement and multiple United Nations (UN) Security Council resolutions.

In addition, the Islamic Revolutionary Guards Corps (IRGC) has played an increasingly destabilizing role in Iran’s immediate neighborhood. But while U.S. officials scramble to devise a strategy to contain, deter, and perhaps roll back Iranian influence in the greater Middle East, Ahmadinejad’s government and the IRGC, flush with cash and overconfident with recent success, now aspire to be worldwide players.

Compartmentalized U.S. State Department and Defense Department officers focus on Iranian influence in Iraq, Lebanon, Afghanistan, the Persian Gulf states, and the Palestinian Authority, but a broader perspective that spans country desks suggests that the Islamic Republic now seeks to become a global power. Under Ahmadinejad, Iranian officials have pursued a coordinated diplomatic, economic, and military strategy to expand their influence in Latin America and Africa. They have found success not only in Venezuela, Nicaragua, and Bolivia, but also in Senegal, Zimbabwe, and South Africa. These new alliances will together challenge U.S. interests in these states and in the wider region, especially if Tehran pursues an inkblot strategy to expand its influence to other regional states.

Latin America: Challenging the Monroe Doctrine

There has long been an Iranian presence in Latin America. Some time ago, Hezbollah established itself at the point where Paraguay, Brazil, and Argentina meet. Terrorists linked to Iran bombed the Israeli embassy in Buenos Aires in 1992 and a Jewish community center in the same city in 1994. In 2006, Argentine prosecutors issued warrants for former Iranian president Ali Akbar Hashemi Rafsanjani and seven others on charges of ordering and masterminding the 1994 attack. The Hezbollah presence in the region has remained a source of concern for policymakers to the present.

Only under Ahmadinejad, though, has the Iranian government pursued a sustained effort to reach out to Latin American countries. Using hundreds of millions – if not billions – of dollars in aid and assistance, Ahmadinejad has worked to create an anti-American bloc with Venezuela, Bolivia, and Nicaragua. While Ahmadinejad’s first priority may be to solidify diplomatic support among third-world countries, his baitin – and the subsequent baiting by his allies – of Washington and his efforts to further destabilize the neighborhood suggest that he now seeks a permanent Iranian presence on the U.S. doorstep.

The cornerstone of Ahmadinejad’s Latin America policy is the formation of an anti-American axis with Venezuela, a goal driven as much by Venezuelan president Hugo Chávez as it is by the Iranian leader. During a July 2006 visit to Tehran, Chávez told a Tehran University crowd, “We have to save humankind and put an end to the U.S. empire.” The two met again just two months later during the Non-Aligned Movement conference in Havana. When Chávez again visited Tehran – just a year after his first visit – supreme leader Ayatollah Ali Khamenei granted him an audience, an honor bestowed only upon political figures the Iranian leadership deems its closest partners.

At the time, Iranian foreign minister Manouchehr Mottaki quipped that “Hugo Chávez is becoming – or rather has already become – a household name in Iran and perhaps the region, thanks to his frequent trips to the Islamic Republic.” Ahmadinejad and Chávez used the visit to declare an “Axis of Unity” against the United States.

Shuttle diplomacy has gone both ways. Just two months after fêting Chávez in Tehran, Ahmadinejad visited him in Caracas. “Together we are surely growing stronger, and in truth no one can defeat us,” he told the Venezuelan press. Standing beside Chávez during a trip to Tehran just four months later – Chávez’s fourth visit to the Iranian capital in just two years – Ahmadinejad declared, “The peoples of Iran and Venezuela will stand shoulder to shoulder with the disadvantaged nations of the world in spite of the opposition of World Imperialism,” which is Ahmadinejad’s moniker for the United States.

Whereas Iran plies poorer countries with aid on condition that they alter their stances toward the United States, both Iran and Venezuela are oil rich, and so the relationship is more cooperative. Certainly, Tehran appreciates Chávez’s diplomatic interventions. Indeed, had Venezuela been victorious in its efforts to win a UN Security Council seat in 2006, it is doubtful that Washington or its European allies would have achieved the symbolic victory of unanimous Security Council resolutions sanctioning Iran’s nuclear program.

Both leaders use their mutual embrace to overcome international isolation and sanctions. During his July 2007 visit to Tehran, Chávez presented Ahmadinejad with an Airbus A340-200 as a sign of friendship at a time when many Western countries looked askance at exporting modern aircraft to the Islamic Republic for fear that a plane might be cannibalized for spare parts in support of Iran’s aging military fleet. Such cooperation has made moot the efforts of U.S. secretary of state Condoleezza Rice to offer such concessions in order to entice greater Iranian compliance toward its international commitments. For example, just months after she agreed that U.S. companies could export spare aircraft parts to Iran, Ahmadinejad announced the commencement of scheduled passenger flights between Tehran and Caracas.

Both leaders have also used their solidarity to support the other against domestic criticism. On opening two Iranian factories in Caracas, Chávez lauded the “achievements made after the Islamic Revolution,” contrasting them sharply with life under the shah – comments that meant little to the Venezuelan audience but helped Ahmadinejad deflect domestic criticism of his management of Iran’s failing economy. Ahmadinejad, for his part, parroted Chávez’s anti-American rhetoric to the Venezuelan audience, supporting the populist president’s contention that Venezuelan ills derive from U.S. plots rather than economic mismanagement. More bizarre have been reports – clearly false – that “entire native tribes” in Venezuela have converted to Shia Islam. Such propaganda, however, plays well to clerical constituencies in Iran that may feel that their president’s adventurism runs contrary to more immediate Iranian regional interests.

Increased trade has augmented the diplomatic embrace. As Chávez moved to nationalize Western oil facilities in Venezuela, the Venezuelan state oil firm PDVSA announced a $4 billion joint Iran-Venezuela oil production project in east-central Venezuela. In April 2007, Mottaki bragged that bilateral trade between Venezuela and the Islamic Republic would soon total $18 billion, which, even if an exaggeration, is nevertheless a sign of Iranian strategy to pursue soft power influence. Several recent visitors to Caracas have commented on the number of Iranians in the city’s hotels.

Cuba, of course, has been part of the Iranian-Venezuelan embrace, although Cuban leader Fidel Castro’s illness and the communist island nation’s poverty may have dampened its utility as a primary player. Besides hosting the Non-Aligned Movement meeting in 2006, however, Havana has joined Tehran and Caracas in efforts to form a joint shipping line – an asset that, given the disorganization of U.S. and European sanctions enforcement, might help each country bypass certain sanctions. Not every shipping company, for example, may be as compliant with Tehran’s sensitivities as one operated by Cubans and Venezuelans. There have already been reports – refuted by the Venezuelan ambassador in Tehran – that Venezuela has enabled Iranian scientists to conduct some nuclear work in the South American state, out of the view of international inspectors.

Both Tehran and Caracas have used their petrodollar windfall to encourage states in Latin America and Africa to embark upon confrontational policies toward the United States. Perhaps the primary beneficiaries in Latin America have been Nicaragua and Bolivia. Just days after Nicaraguan president Daniel Ortega’s inauguration, Ahmadinejad reveled in the former socialist revolutionary’s return to power. “The two nations share identical ideals” and a common enemy in the United States, Ahmadinejad said. Ortega endorsed “strong bonds” between the “two nations and [their] revolutions.” Iran’s embassy in Managua is now the largest diplomatic mission in the city. Ortega returned Ahmadinejad’s visit within months of taking office, traveling to Tehran on a jet lent by Libyan leader Muammar Qadhafi. In Tehran, Ahmadinejad spoke of growing Iranian-Nicaraguan ties as the cornerstones of “an order based on justice, peace and brotherhood.” In a subsequent session with Ortega, Khamenei spoke of their mutual antipathy toward the United States.

Venezuela might be able to stand on its own, but Nicaragua cannot. The Islamic Republic’s embrace of Nicaragua came with strings attached. Storm-ravaged and unfriendly to investors, Nicaragua gained a needed cash infusion. In the months after Ortega’s visit to the Islamic Republic, the two countries signed a number of trade accords, and Tehran agreed to finance a $350 million Nicaraguan port. After the announcement of these deals, Ortega called the United States “a terrorist nation” and later endorsed the Islamic Republic’s nuclear program. Alluding to this program, Ahmadinejad even offered to transfer “up-to-date experiences and knowledge to Nicaragua.” One seasoned Nicaraguan ambassador, slightly embarrassed by Ortega’s pro-Iranian rhetoric, told an interlocutor that not only Tehran but also Caracas had made aid to Nicaragua contingent upon Managua’s frequent statements of support for Tehran. Regardless of whether Nicaragua is motivated by Venezuelan cash or ideological antipathy toward the United States, an isolated Tehran gains an ally with “identical and common political views.”

Bolivia, too, has become an important Iranian ally. Under the leadership of Juan Evo Morales, La Paz has welcomed alliance with Tehran. As with Nicaragua, Bolivia gets aid – upwards of $1.1 billion in “industrial cooperation” – and Iran gets a diplomatic ally. On September 4, 2007, amid international efforts to augment sanctions against the Islamic Republic, Bolivian foreign minister David Choquehuanca Céspedes endorsed “Iran’s nuclear rights” and called for international support for the Islamic Republic’s position. Tehran rewarded Bolivia with the opening of an embassy in La Paz, certainly a sign that Tehran no longer saw the landlocked South American country as peripheral to its interests.

There is nothing wrong with countries engaging with other countries. Tehran could argue that they have as much interest in strong relations with Latin America as Washington has with the Persian Gulf emirates or newly independent Central Asian or Caucasian republics. But it would be dangerous to dismiss Iranian outreach as altruistic and irrelevant to U.S. national security concerns.

The Islamic Republic’s state broadcasting authority has in recent months established partnerships with its Bolivian and Nicaraguan counterparts, not only to help these countries expand their own messaging, but also to have a platform for Iranian-sponsored broadcasts “for all of Latin America.” The idea that Ahmadinejad might see Latin America as a beachhead from which to conduct an aggressive strategy against the United States and its allies gained further credence when, earlier this month, Colombian forces raided a Revolutionary Armed Forces of Colombia (FARC) encampment and seized a computer whose files referenced FARC plans to purchase fifty kilograms of uranium, raising concern among some U.S. officials that the purchase may have been facilitated with Iranian money and offices.

Africa: Iran’s Next Frontier

With successive U.S. administrations and European governments effectively ignoring Africa, Tehran sees its fifty-two countries as diplomatic easy picking. On January 29, 2008, Mottaki declared that this year would mark a “milestone in Iran-Africa ties.” Three days later, while attending the Africa Union summit in Addis Ababa, Mottaki announced that Iran would soon host a summit of African foreign ministers in Tehran.

The traditional pattern in which Iranian actions fail to live up to diplomatic rhetoric also appears to be changing in Africa, with Tehran developing strong partnerships with a number of states. The Islamic Republic has forged particularly strong ties with Senegal, once a Cold War ally of the United States but now quietly turning into West Africa’s Venezuela. President Abdoulaye Wade has traveled twice to Tehran to meet with Khamenei and Ahmadinejad, first in 2006 and again in 2008. During his most recent visit, he provided a backdrop for Khamenei to declare that developing unity between Islamic countries like Senegal and Iran can weaken “the great powers” like the United States. It would be a mistake to dismiss this as a rhetorical flourish: on January 27, 2008, a week after Senegalese foreign minister Cheikh Tidiane Gadio announced that he, too, would visit Tehran, Minister of Armed Forces Becaye Diop met with his Iranian counterpart to discuss expanding bilateral defense ties between the two states.

Senior Iranian officials have returned the visits. On July 22, 2007, judiciary chief Ayatollah Mahmoud Hashemi Shahroudi and government spokesman Gholam-Hossein Elham – among the closest confidantes of Khamenei and Ahmadinejad, respectively – departed for Dakar, where they met Wade and Senegalese prime minister Cheikh Hadjibou Soumaré. Shahroudi declared, “We believe it is our duty to expand ties with Islamic countries and use the capabilities and potentials [sic] of Muslim states to help the growth and spread of Islam.” On March 12, 2008, Ahmadinejad left for a visit to the West African state.

While the Iranian leadership might be most interested in expanding a Muslim bloc – especially one that might supplant the influence of Sunni Arab states – the Senegalese leadership seems most interested in immediate economic benefits. “Energy, Oil Prospecting, Industry: Senegal Benefits from Iranian Solutions,” a headline in the official government newspaper declared after Wade’s first visit to Tehran. After the reciprocal Iranian visit, Wade announced that Iran would build an oil refinery, a chemical plant, and an $80 million car assembly plant in the West African nation. Within weeks, Samuel Sarr, Senegal’s energy minister, visited Tehran and returned with a pledge that Iran would supply Senegal with oil for a year and purchase a 34 percent stake in Senegal’s oil refinery. Such aid probably came with strings attached. On November 25, 2007, during the third meeting of the Iran-Senegal joint economic commission, Wade endorsed Iran’s nuclear program.

Senegal is not alone among those countries Tehran is cultivating. While Iranian officials trumpet Islam during meetings with Muslim officials, the Islamic Republic is willing to embrace any African state – Muslim or not – that finds itself estranged from the West in general and the United States in particular. Here, Sudan and Zimbabwe especially have been beneficiaries. Both European governments and Washington have sought to isolate Sudan for what many international human rights groups deem genocide in Darfur. As the international community sought to tighten diplomatic sanctions on Khartoum, Ahmadinejad moved to embrace Sudanese president Omar al-Bashir. Ahmadinejad was forthright: Iranian-Sudanese ties should be built around the understanding that both governments would defend each other in international settings. Just this month, Iran’s defense minister visited Khartoum and called the African state “the cornerstone” of the Islamic Republic’s Africa policies.

Robert Mugabe, Zimbabwe‘s longtime president, has been as poisonous for his country as Bashir has been for Sudan. Mugabe’s government demonizes racial and ethnic minorities, and his economic policies have forced the breadbasket of southern Africa to face famine. But as the international community has isolated Mugabe’s regime in Zimbabwe, Tehran has reached out to fill the gap. Iranian politicians may speak of their commitment to social justice, but their crass indifference to social issues and public health and well-being are on display as they work to transform Africa’s most brutal dictatorship into a pillar of Iranian influence in Africa. Mottaki initiated outreach to Zimbabwe on the sidelines of the UN General Assembly in 2006. The two countries pledged uniformity of policy. At a Tehran press conference in November of that year, Mugabe said, “Iran and Zimbabwe think alike and have been described [as belonging to] the ‘Axis of Evil.’ . . . Those countries that think alike should come together.” In subsequent days, the two countries signed deals to boost energy cooperation, restart Zimbabwe’s defunct oil refinery, and underwrite agricultural policies that have left the southern African nation on the brink of famine. The Iranian ambassador in Harare pledged to help Mugabe repel sanctions.

South Africa has become another Iranian regional ally. Grateful for the Islamic Republic’s opposition to apartheid, the two countries formally reestablished relations in 1994. While subsequent bilateral rhetoric was always warm, in recent years, Tehran has used oil and trade to develop its ties with Pretoria. The Iranian strategy is deliberate. “South Africa is a key member of the Non-Aligned Movement, a bloc of developing countries that has resisted the efforts to force Tehran to halt uranium enrichment,” explained a commentary in Iran’s official English-language newspaper.

Having failed to get Venezuela onto the UN Security Council, the Iranian government has been anxious to exploit South Africa’s rotating membership and its presence on the International Atomic Energy Agency’s (IAEA) board of governors. In February 2007, for example, Ali Larijani, then the nuclear negotiator for Iran, traveled to South Africa to meet with President Thabo Mbeki. The strategy has paid dividends. Despite the February 2008 IAEA report that found that the Islamic Republic continued to enrich uranium in violation of the Nuclear Non-Proliferation Treaty safeguards agreement and two UN Security Council resolutions, the South African government has used its rotating membership on the UN Security Council to advocate against any further sanctions.

Iranian officials have been just as energetic in cultivating smaller African states. In September 2007, interim Iranian oil minister Gholam-Hossein Nozari pledged cooperation to exploit Uganda’s newfound oil field, and two months later, the Export Development Bank of Iran pledged $1 million to underwrite microfinance in Uganda. In November, Mottaki also announced an initiative to expand relations with Malawi after that country’s president endorsed Iran’s right to pursue nuclear technology. The same month, Mottaki welcomed the Côte d’Ivoire foreign minister to Tehran – again, after the West African nation’s ambassador threw his country’s support behind Iran in the dispute with the UN Security Council over Iran’s nuclear program. Indeed, while the Iranian government spreads millions of dollars around Africa, its aid appears conditional upon support. In recent weeks, the Iranian government has used declarations by the leaders of Lesotho, Mauritania, Mali, and Namibia to bolster support for its nuclear program.

Conclusion

Iran will remain at the forefront of U.S. concern well into the next administration. The 2007 National Intelligence Estimate, a joint product of the sixteen organizations comprising the U.S. intelligence community, undercut both a diplomatic solution to Iran’s nuclear defiance and the ability of the Bush administration to constrain Iran’s program through unilateral action. The January 6, 2008, confrontation in the Strait of Hormuz between U.S. warships and IRGC speedboats only underscored the tension.

Absent a diplomatic solution or the prospect of a viable military option, many in Washington embrace containment and deterrence as plan B. For example, General John Abizaid, commander of U.S. Central Command until March 2007, said, “I believe we have the power to deter Iran, should it become nuclear. . . . There are ways to live with a nuclear Iran.” Containing Iran, however, is easier said than done.

Throughout his administration’s second term, Bush has struggled to convince regional allies that his commitments to them are solid. As a result, regional U.S. allies like Egypt, Kuwait, Azerbaijan, and Turkey now seek separate accommodation with Iran.

But even as dozens of diplomats, intelligence analysts, and military officers focus on how to counter Iranian strategy in the region and enhance U.S. public diplomacy, the Iranian challenge has grown far broader. The United States has a compartmentalized strategy; Iran has a global strategy that Washington has been unable to counter: for every three trips Ahmadinejad takes to Latin America, Bush takes one.

The chances for long-term Iranian success may be doubtful – Latin American and African countries may welcome Iranian aid and take advantage of Tehran’s soft power with the same enthusiasm with which they sometimes divert U.S. Agency for International Development and World Bank assistance, but any ideological solidarity will be far more limited to each country’s immediate leadership. Still, Ahmadinejad’s outreach to Latin America and Africa can do damage. The Islamic Republic is not an altruistic power. Its aid is conditional, and sometimes these conditions run counter to U.S. interests. At the very least, Tehran’s newfound allies in Latin America and Africa provide needed diplomatic solace and enable Iranian authorities to launder dual use goods and, in theory, outsource suspect weapons research. More worrisome, the Islamic Republic might use its new havens to destabilize neighboring states – indeed, Tehran may be cooperating with Caracas to undermine Álvaro Uribe’s administration in Colombia – or as launching pads for terrorism against U.S. interests. The Pentagon may have strengthened its facilities in the Persian Gulf, but Iran and its proxies may find U.S. interests in places like Cancun and the Caribbean more vulnerable. Just as in 1972 the Popular Front for the Liberation of Palestine outsourced a terrorist attack on Israel’s main airport to the Japanese Red Army, IRGC planners may find their African and Latin American allies compliant in their desire to lash out at U.S. interests, especially if cooperation comes with further financial reward. The 1994 Buenos Aires bombing already demonstrates Tehran’s willingness to attack soft targets half a world away.

If the Bush administration and its successor continue to ignore Iran’s growing global ambitions and do not implement a strategy to reverse Ahmadinejad’s recent gains, Washington may find that Iran, not the United States, holds the upper hand in a high-stakes game of deterrence.

About the author: Michael Rubin is a resident scholar in foreign and defense policy studies at The American Enterprise Institute (AEI). His major research area is the Middle East, with special focus on Iran, Iraq, Turkey, and Kurdish society. He also writes frequently on transformative diplomacy and governance issues. In addition to his work at AEI, several times each month, Rubin travels to military bases across the United States and Europe to instruct senior U.S. Army and Marine officers deploying to Iraq and Kuwait on issues relating to regional state history and politics, Shiism, the theological basis of extremism, and strategy.

Reprinted with kindly permission of The American Institute.


China und der Westen: Wie man Feindbilder erzeugt

March 27, 2008

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Der Westen kritisiert China wegen Tibet – China kritisiert die einseitige Berichterstattung der westlichen Medien. Mark Siemons, Kulturkorrespondent der Frankfurter Allgemeinen Zeitung in Peking,  erkennt darin ein Kommunikationsproblem, das auf ein (absichtliches?) gegenseitiges Mißverständnis beruht und insgeheim einen neuen Kampf der Kulturen hervoruffen will.

“Im Verlangen nach einem Olympiaboykott steckt ja der kaum verhüllte Wunsch nach einer Isolierung des Landes, nach der Konstruktion eines klar umrissenen Gegners. Im chinesischen Internet mehren sich zurzeit die Stimmen, die das begrüßen: Wenn ihr nicht kommen wollt, dann bleibt doch weg! … Durch die Pekinger Medienabschottung ist die Lage nun verfahrener denn je. Wem es mit der Beachtung universeller Prinzipien in der grausam zerrütteten tibetischen Region ernst ist und [wer] mit seiner Kritik gehört werden will, sollte bestrebt sein, das kommunikative Desaster zwischen China und dem Westen aufzulösen, statt es noch weiter zu verschärfen.”

Zum Essay.


The New French-British Brotherhood

March 27, 2008

NPR surveys press reaction on either side of the English Channel to French President Nicolas Sarkozy’s visit to Britain.

German broadcaster Deutsche Welle questions whether the meetings signify a marginalization of Berlin.


Demons On Wall Street

March 27, 2008

Top columnist and macroeconomics expert Sebastian Mallaby writes in  the Washington Post that modern financial engineering has become harder to defend in the wake of Bear Stearns.

March 24, 2008
Washington Post

“One year ago, with spectacular timing, a Wall Streeter named Richard Bookstaber published a book on financial engineering. He called it A Demon of Our Own Design, and his argument was that a new breed of ‘quants’-or ‘quantitative’ number-crunchers like him-had created a system too complex to be manageable. The risks embedded in swaps and options were understood by only a handful of math geeks, and a miscalculation in one corner of the markets could send shock waves globally. Until a week ago, Bookstaber seemed unduly glum. But in the wake of Bear Stearns, modern financial engineering has become harder to defend.

Bookstaber seemed too pessimistic because he understated the ability of Wall Street players to check and balance one another. Yes, modern finance had an alarming tendency to load debt upon debt, so the effect of a mistake was magnified. But the financial engineers who created these tottering cash towers had an incentive to stop building before the whole thing keeled over. If a bank borrowed too much, lenders would shut off the taps and clients would refuse to buy its swaps, options and synthetic bonds: Nobody wants to do business with a bank that is one shock away from bankruptcy. So financial engineers would certainly take risks. But scrutiny from fellow engineers at other firms would prevent them from overdoing it.

Even a year ago, reasonable people disagreed about whether these checks and balances were sufficient.”

Read full story.


UN Human Rights Council’s pathological campaign against Israel

March 26, 2008

The Jerusalem Post published an op-ed by UN Watch Executive Director Hillel Neuer warning of the UN Human Rights Council’s upcoming resolutions singling out Israel and the appointment of two biased officials.

“The council is expected to elect Jean Ziegler, a radical Geneva politician, to its 18-member advisory committee. As the UN expert on the right to food for the past seven years, Ziegler ignored many of the world’s most starving populations, instead launching polemics against the West, the US and Israel.

In 2005, Ziegler compared Israeli soldiers to concentration camp guards. During a 2006 interview, he said, ‘I refuse to describe Hizbullah as a terrorist organization. It is a national resistance movement. I can understand Hizbullah when they kidnap soldiers.’

As documented by a new UN Watch documentary available on YouTube, Ziegler also has an odd affinity for dictators. In 1989, shortly after Libyan agents blew up Pan Am 103 over Lockerbie, Scotland, he went to Libya to co-found the ‘Moammar Khaddafi Human Rights Prize,’ and served as its spokesman.”

Read full story.

Banned UN Speech (by Hillel Neuer)

“Council President Luis Alfonso de Alba ruled the remarks inadmissible. . . in the depths of the U.N., this was of course logical: Mr. Neuer’s commentary had been accurate…” (The Wall Street Journal)


The Iranian threat, Israel’s struggle for existence and European reactions

March 26, 2008
International Conference in Wien, Austria, May 3rd/4th 2008
Camp of the University of Vienna
Conference languages: English / German
Please plan for possible checking at the entrance.
Patronage: Dr. Brigitte Bailer-Galanda, Actress Elisabeth Orth

Program:

Saturday, May 3rd 2008

19.30 Introduction and greetings
Dr. Ruth Contreras (Scholars for Peace in the Middle East)
Simone Dinah Hartmann (STOP THE BOMB)
Dr. Joanna Nittenberg (Newspaper Neue Welt)

20.00 – 22.00 Round table: The Impact of the Iranian threat: Islamism, Antisemitism and the nuclear program

Paolo Casaca (MdEP, Socialist Party, Portugal)
Dr. Patrick Clawson (Deputy Director for Research at the Washington Institute for Near East Policy, USA)
Yossi Melman (Journalist Haaretz, Israel)
Prof. Benny Morris (Historian, Ben-Gurion University Israel)
Chair: Simone Dinah Hartmann (spokeswoman STOP THE BOMB – Coalition against the Iranian extermination program)

Sunday, May 4th 2008

10.30 – 12.15 The rule of political Islam in Iran and global jihadism

Menashe Amir (Former director of the Persian programme of “Voice of Israel”, Israel): Religious and ideological motivation in Iranian domestic and international policies

Niloofar Beyzaie (Stage director from Teheran, since 1985 in exile in Germany, women’s rights activist): Oppression of women and minorities in Iran

Florian Markl (Political analyst, Humboldt University Berlin): Global Jihadism and it’s Iranian supporters

Chair: Alex Gruber (Lecturer Institute for political science Vienna)

12.30 – 14.15 Critique of appeasement: Iran and islamic Antisemitism as a challenge for Israel and Europe

Dr. Matthias Küntzel (Political scientist, board member Scholars for Peace in the Middle East, Hamburg): Is Europe failing to act?

Dr. Michael Oren (Historian, senior fellow at the Shalem Center, Jerusalem): Israel’s Worst Nightmare – The threat of the Iranian Nuclear Weapons Program

Bruno Schirra (Journalist, Berlin): European Illusions about Iran and Islam

Chair: Dr. Elisabeth Pittermann (former member of the Vienna City Council)

15.15 – 17.00 Austrian-Iranian relations against the background of the National-socialist past

Hiwa Bahrami (Democratic Party of Iranian Kurdistan): Austria’s politics of appeasement

Dr. Stephan Grigat (Café Critique, Lecturer Institute for political science Vienna): The Austrian-Iranian friendship – Foreign Policy in post-nazism

Robert Schindel (Author, Vienna): The Austrian memory

Chair: Michaela Sivich (Journalist)

17.15 – 19.00 Round table: The need for a new antifascism

Simone Dinah Hartmann (Spokeswoman STOP THE BOMB)
Prof. Jeffrey Herf (Historian, University of Maryland, College Park, USA)
Kayvan Kabouli (Green Party of Iran, USA)
Thomas von der Osten-Sacken (Political Analyst and Director of Wadi e. V. Germany)
Chair: Dr. Stephan Grigat (Café Critique, Lecturer Institute for political science Vienna)

Inquiries: Simone Dinah Hartmann
Phone: +43 650 344 88 58
Email: info@stopthebomb.net
http://www.stopthebomb.net


Die iranische Bedrohung, Israels Existenzkampf und die europäischen Reaktionen

March 26, 2008
Internationale Konferenz in Wien am 3. und 4 Mai 2008
Campus der Universität Wien
Konferenzsprachen: Deutsch/Englisch
Bitte planen Sie Zeit für Einlasskontrollen ein.
Ehrenschutz: Dr. Brigitte Bailer-Galanda, Kammerschauspielerin Elisabeth Orth

Programm:

Samstag, 3. Mai 2008

19.30 Einleitung und Grußworte

Simone Dinah Hartmann (STOP THE BOMB – Bündnis gegen das iranische Vernichtungsprogramm)

Dr. Ruth Contreras (Scholars for Peace in the Middle East)

Dr. Joanna Nittenberg (Illustrierte Neue Welt)

20.00 – 22.00 Round table: Die iranische Bedrohung: Islamismus, Antisemitismus, Atomprogramm

Paolo Casaca (MdEP, Sozialdemokratische Fraktion, Portugal)

Dr. Patrick Clawson (Stellv. Direktor des Washington Institute for Near East Policy, USA)

Yossi Melman (Journalist Haaretz, Israel)

Prof. Benny Morris (Historiker, Ben-Gurion Universität Israel)

Moderation: Simone Dinah Hartmann (Sprecherin STOP THE BOMB)

Sonntag, 4. Mai 2008

10.30 – 12.15 Der politische Islam im Iran und der globale Djihadismus

Menashe Amir (Ehem. Direktor des persischen Radios bei “Kol Israel”): Ideologische und religiöse Motivationen der iranischen Innen- und Außenpolitik

Niloofar Beyzaie (Theaterregisseurin aus Teheran, seit 1985 im Exil in Deutschland): Frauen und Minderheiten im Iran

Florian Markl (Politikwissenschaftler, Humboldt Universität Berlin): Der globale Djihadismus und seine iranischen Unterstützer

Moderation: Alex Gruber (Lektor Institut für Politikwissenschaft Wien)

12.30 – 14.15 Kritik des Appeasement: Der Iran und der islamische Antisemitismus als Herausforderung für Israel und Europa

Dr. Matthias Küntzel (Politikwissenschaftler, Vorstand Scholars for Peace in the Middle East, Hamburg): Verpasst Europa den Zeitpunkt zum Handeln?

Dr. Michael Oren (Historiker am Shalem Center in Jerusalem): Israels schlimmster Albtraum – Die Bedrohung durch das iranische Nuklearwaffenprogramm

Bruno Schirra (Journalist und Buchautor, Berlin): Die europäischen Illusionen über Iran und Islam

Moderation: Dr. Elisabeth Pittermann (Ehem. Stadträtin in Wien)

15.15 – 17.00 Die österreichisch-iranischen Beziehungen und die nationalsozialistische Vergangenheit

Hiwa Bahrami (Demokratische Partei Kurdistan Iran): Die österreichische Appeasement-Politik

Dr. Stephan Grigat (Café Critique, Lektor Institut für Politikwissenschaft Wien): Die österreichisch-iranische Freundschaft – Außenpolitik im Postnazismus

Robert Schindel (Schriftsteller, Wien): Das österreichische Gedächtnis

Moderation: Michaela Sivich (Journalistin)

17.15 – 19.00 Round table: Die Notwendigkeit eines neuen Antifaschismus

Simone Dinah Hartmann (Sprecherin STOP THE BOMB)
Prof. Jeffrey Herf (Historiker, Universität Maryland, College Park, USA)
Kayvan Kabouli (Green Party of Iran, Los Angeles, USA)
Thomas von der Osten-Sacken (Politischer Analyst und Direktor von Wadi e. V. Deutschland)
Moderation: Dr. Stephan Grigat (Lektor Institut für Politikwissenschaft Wien)

Rückfragen: Simone Dinah Hartmann
Tel. +43 650 344 88 58
Email: info@stopthebomb.net
http://www.stopthebomb.net


China concern over U.S. nuclear parts mistake in Taiwan

March 26, 2008

The Pentagon has revealed that U.S. defense officials mistakenly shipped nuclear weapons parts to Taiwan in 2006. Taiwan returned the parts last week and U.S. officials advised China of the error but Beijing has expressed “serious concern” over the incident.

The Financial Times says it is the second major recent failing of U.S. nuclear safeguards, following an incident last year in which a bomber carried nuclear weapons across the United States.

Read full story.


Latin American Drugs: Losing the Fight

March 25, 2008

A report from the International Crisis Group says cocaine production in the Andes region appears to have set new records in 2007 and questions how policymakers can improve counternarcotics policy in a way that doesn’t jeopardize regional stability.

“Coca leaf and cocaine production in the Andean region appear to have set new records in 2007. Cocaine trafficking and use are expanding across the Americas and Europe. Despite the expenditure of great effort and resources, the counter-drug policies of the U.S., the European Union (EU) and its member states and Latin American governments have proved ineffective and, in part, counterproductive, severely jeopardising democracy and stability in Latin America.

The international community must rigorously assess its errors and adopt new approaches, starting with reduced reliance on the measures of aerial spraying and military-type forced eradication on the supply side and greater priority for alternative development and effective law enforcement that expands the positive presence of the state. On the demand reduction side, it should aim to incarcerate traffickers and use best treatment and harm reduction methods to avoid revolving and costly jail sentences for chronic users.

Well-armed, well-financed transnational trafficking and criminal networks are flourishing on both sides of the Atlantic and extending their tentacles into West Africa, now an important way station on the cocaine route to Europe. They undermine state institutions, threaten democratic processes, fuel armed and social conflicts in the countryside and foment insecurity and violence in the large cities across the Americas and Europe. In Colombia, armed groups derive large incomes from drug trafficking, enabling them to keep up the decades-long civil conflict. Across South and Central America, Mexico and the Caribbean, traffickers partner with political instability.”

Read full story.


China-U.S. Relations: Current Issues and Implications for U.S. Policy

March 25, 2008

A new report from the Congressional Research Service gives an overview of China-U.S. relations and questions the implications of developments in Tibet and Taiwan on U.S. policy toward China.

“U.S.-China relations were remarkably smooth for much of the George W. Bush Administration, although there are signs that U.S. China policy now is subject to competing reassessments. State Department officials in 2005 unveiled what they said was a new framework for the relationship – with the United States willing to work cooperatively with China while encouraging Beijing to become a ‘responsible stakeholder’ in the global system.

U.S. Treasury Secretary Henry Paulson in December 2006 established a U.S.-China Strategic Economic Dialogue with Beijing, the most senior regular dialogue yet held with China.

But other U.S. policymakers have adopted tougher stances on issues involving China and U.S.-China relations. They are concerned about the impact of the PRC’s strong economic growth and a more assertive PRC diplomacy in the international arena; about procedures to assure the quality of Chinese pharmaceuticals, food, and other products being imported into the United States; and about trade practices and policies in China that contribute to a strong U.S.-China trade imbalance in the latter’s favor.”

Read full story.


Re-Thinking Iran Policy: How the West Should Approach Iran

March 25, 2008

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by Joshua D. Goodman

The January 31, 2008 cover of The Economist asked an ominous question, “Has Iran Won?” The question certainly has merit. The release of Nation Intelligence Estimate (NIE), which declared that “Iran halted its military program to develop nuclear weapons in 2003,” delivered an unconscionable blow to the United States’ case against Iran. However, there may be a silver lining. The NIE report now gives the US and Europe a chance to re-think how they define and combat the Iranian challenge, which to date has been shortsighted in both scope and reach.

The Iran debate should not merely about the Islamic Republic’s pursuit of nuclear sophistication, but extend to its support of global terrorism, its egregious human rights record, the threat it poses to the sovereignty of other nations, and its hegemonic ambitions.

Likewise, Western policy towards Iran must extend beyond negotiations and economic sanctions if it is to generate the necessary pressure to change Iran’s strategy. The Iranian regime will only alter its policies if it feels the survival of the regime is threatened. Generating that level of concern will require the type of external and internal pressure that economic sanctions alone can not deliver. Thus, the West’s policies must look beyond the framework of the current strategy and engage the agents of change that exist within Iran – if it wants to succeed.

Pressure Works

One of the important lessons from the NIE report is that pressure, or the threat thereof, can bring about a change – whether nominal or significant – in Iranian policy. The report concludes that Iran altered its nuclear strategy “in response to increasing international scrutiny and pressure resulting from exposure of Iran’s previously undeclared nuclear work.” Analogously, Ray Takeyh argues, in his important work Hidden Iran, that in the wake of the attacks of September 11, Iranian conservatives began to question the “utility in continuing the conflict” with America.

Behzad Nabavi, a stalwart of the revolution and prominent MP, argued that “Normalizing ties with the U.S. does not contradict our values – the conditions today require different policies.” Thus, the right amount of pressure can generate a change in strategy.

Unfortunately, economic sanctions in the current climate will not engender the necessary pressure to convince Iran to alter its policies. The greatest obstacle to effective economic action is the lack on international consensus on the issue. As the most recent UNSC sanctions package indicates, achieving general agreement requires watered-down action. The European Union has experienced similar difficulties reach universal accord on even minor economic measures.

For its part, Iran has been somewhat successful in circumventing the sanctions through a combination of direct bilateral trade (Iran conducted over $2 billion in trade with Iraq last year) and trade in non-USD or Euro currencies (Iran-Japan energy trade is conducted through the Yen). Such action limits the effect of Western sanctions.

Skepticism within Europe towards the utility of economic sanctions was evident in the February 2007 leaked memo from the office of Javier Solana, the EU’s High Representative for the Common Foreign and Security Policy: “The problems with Iran will not be resolved through economic sanctions alone.”

Tough economic efforts should continue – including the recent proposal by Democratic members of the US Senate to sanction Iran’s central bank, Bank Markazi. However, more will need to be done to meet the requisite level of pressure.

Taking firm political action by downgrading diplomatic representation and Iran’s positions in international organizations would send a strong message to the government, and the Iranian people.

According to Nobel Peace Prize Laureate Shirin Ebadi, political sanctions “make sense” to Iranians and can have a significant effect: “European countries and the Security Council can downgrade their political ‎relations with Iran to a level below ambassadors. This will be more effective in forcing ‎Iran into observe its international obligations.” While Ebadi slightly overstates the effect of political sanctions, the threat of international isolation will likely generate a certain degree of dissent amongst Iranians, who firmly believes that the energy-rich Iran should be amongst the global leaders.

Refresh Public Diplomacy

In an effort to reach Iran’s population Western public diplomacy has generally been run through traditional broadcasting medias like the radio and television. The preference for this antiquated Cold War strategy, which includes Voice of America’s Persian Service (VOA) and Radio Free Europe’s Radio Farda, has proven ineffective. A 2006 report for the United States’ Iran Steering Committee (ISC) found that “neither station is a primary source of news for Iranians.” Additionally, the content being presented to Iranians is often contradictory to the stated purpose of building common ground with the West and promoting democratic transformation. The same ISC report noted that an April 18, 2006 VOA program on Iran’s nuclear program featured a “Mr. Nakhai,” an advisor to the regime and an ardent supporter of Iran’s nuclear program – both points that the VOA failed to note. While arguing that Iran met every possible standard established by the IAEA, Nakhai asserted that “five countries [i.e. the P5] who have broken every rule of the NPT is sitting upon judgment of one country who has obeyed every rule.” His assertions went unchallenged.

Controversial content aside, the current public diplomacy strategy is not reaching the appropriate audience. Iran’s population is bottom heavy and growing exponentially; the median age in 2007 was 25.8, while the birthrate exceeded the mortality rate by almost 4 fold. Most analysts believe that the under-30 generation, which is attracted to Western society, offers the best chance for fundamental change within the Islamic Republic. But to build bridges with this generation, Western public diplomacy must take place through the Internet and telecommunications protocols: medias that will attract this technologically savvy generation.

Azadeh Moaveni, a Tehran-based Time Magazine reporter, noted in her 2005 memoir how the emergence of the blogosphere in Iran became a forum where “intellectuals were writing innovative, sparkling satire, graphic designers were creating websites for the west. Their interest was turning intensely outward, to the world of ideas outside.” Today, Persian is the third-most commonly used language in the global blogosphere.

Iran has cracked down heavily on blogs, even authoring a number of laws to regulate them, and the government recently announced it was shutting down the Internet before the March 14 elections. However, text messaging (or SMS, Short Messaging System) has largely evaded censorship. The latter is a preferred method of communication, with a reported 20 million text messages sent everyday within Iran. And in the absence of censorship, Iranians have used text messaging to challenge the establishment. During the 2005 presidential elections, Iranians used text messaging to call for the boycott of some candidates. According to Radio Free Europe, one such message warned, in reference to Mahmoud Ahmadinejad’s candidacy, that “The Taliban is coming.”

Western public diplomacy needs to reflect the realities of Iranian society and engage those who seek to challenge the regime though their preferred vehicles.

Address Iran’s Human Rights Violations

Engaging the voice of dissent Not sure what you mean in Iran will be perfunctory if there is not a platform through which to defend their rights. For the most part, civil disobedience in the Islamic Republic is “swept under the rug.” One of the primary consequences of the focused debate over Iran’s nuclear program is that the Islamic Republic’s egregious human rights violations have essentially been ignored. In the absence of any real scrutiny, the human rights situation has drastically worsened. According to the 2007 Country Report on Human Rights Practices, released by the US Department of State on March 11, 2008, “The Iranian regime violated freedom of speech and assembly, intensifying its crackdown against dissidents, journalists, women’s rights activists, labor activists, and those who disagreed with it through arbitrary arrests and detentions, torture, abductions, the use of excessive force, and the widespread denial of fair public trials.” Human Rights Watch and Amnesty International have both labeled Iran the world leader in child executions. Thus, for the past five years, human rights in Iran have been the subject of a UN General Assembly resolution expressing “deep concern” over its record.

Pressuring Iran on its human rights record should not be difficult. Iran is party to all international human rights treaties, including the United Nations Convention on the Rights of the Child. Additionally, the US and Europe already have active partners in Canada and Norway on this front. Canada has led the annual rebuke of Iran in the General Assembly since the horrific torture and murder of Canadian-Iranian journalist Zahra Kazemi. The Norwegian government has similarly taken the lead on holding Iran accountable for its execution of children. The problem is that there is no forum through which to effectively bring attention to and deal with these issues.

The United Nations Human Rights Council has continuously failed to address the most pressing issues. As such, the West needs to establish its own commission to tackle Iran’s blatant human rights violations. Leading human rights activists like Natan Sharansky were most effective because they had a platform from which to be heard. Moreover, Shirin Ebadi is offered a degree of protection on account of her international celebrity. Drawing international attention to Iran’s oppressive human rights record and the internal voices of dissent will embolden Iranians to stand-up to the regime and fight for change. Without that platform, the Iranian regime will continue to stifle the voice for change.

Keep the Pressure Going

The primary lesson of the last few years is that there is no one policy option that will stop Iran in its pursuit of nuclear weapons. Even the military option has been questioned, not simply on its legitimacy but also on its effectiveness. Thus, the EU and the US need to expand their actions and begin adopting a “policy cocktail” to generate the necessary combination of pressure to stop Iran. The Islamic Republic thinks its has won: as evidenced by their recent statements and abrupt decision to end nuclear negotiations. Their declaration may well be premature, but it should come as a stern warning that they are confident and currently hold an advantageous position.

Pursuing these policies will also serve long-term strategic interests. While the West should certainly not accept the idea of Iran gaining a nuclear weapon, it must still develop a strategic plan for that eventuality. Stopping Iran’s pursuit of nuclear weapons will not eliminate the challenge it poses to international peace and security; its support of terror and aggression towards its neighbors will persist, if not amplify. As a result of the demographic shift, the face of Iran will be changing. Western policy must acknowledge and reflect the changing face of Iran in order to combat its’ myriad challenges. Otherwise, Iran will most certainly win.

About the author: Joshua D. Goodman works at the Foundation for Defense of Democracies, a Washington D.C.-based think tank devoted to defending democratic values and fighting the ideologies that drive terrorism.


The U.S. Federal Reserve New Alphabet Soup

March 24, 2008

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by Vincent R. Reinhart, former director of the Federal Reserve Board’s Division of Monetary Affairs (2001-2007)

Over the past few weeks, the Federal Reserve added to its alphabet soup of new facilities to deal with ongoing strains in financial markets. Taken together, these programs represent a clever gamble to provide large institutions some time to get their financial houses in order. Fed officials have effectively rewritten the rules on the role of a central bank in a market economy.

First, the mnemonics. On March 14, 2008, the Federal Reserve extended access to its discount window to a non-depository, Bear Stearns, for the first time since the 1930s. (The discount window is the Fed’s lending facility, where loans are made at a rate above the federal funds rates and can be secured with a wide variety of collateral.) According to the Federal Reserve Act, lending to such an individual, partnership, or corporation (an IPC) requires the affirmative vote of five of the governors of the Federal Reserve Board.

Moreover, the Federal Reserve must attest that there are “unusual and exigent” circumstances and that failure to lend would impair the economy. On March 16, 2008, the Federal Reserve granted other investment banks access to its lending facility.

On the prior Tuesday, the Fed had introduced a new program called the Term Securities Lending Facility (TSLF), under which it will loan some of the Treasury securities currently on its balance sheet to key financial market participants in return for other securities as collateral. The term of these transactions is 28 days, and the fee paid for the loan of Treasury securities will be set in an auction.

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For the past few months, the Fed has been holding regular auctions for depositories of its discount window credit, also for a term of 28 days. This is referred to as the Term Auction Facility (TAF), in which depositories bid for credit. Earlier this month, these auctions were bumped up to total $100 billion per month. To put that sum in perspective, the amount of discount window loans outstanding this month will likely be nine times the previous monthly record from 1919 to the inception of the TAF (see the nearby chart). And if the TAF continues at its recent pace through June of this year, the Federal Reserve will have extended a greater volume of loans over the first eight months of the program than it had cumulatively lent over the prior 90 years.

Last but not least, the Fed also announced that it will loan another $100 billion in the form of 28-day term repurchase (RP) agreements. RPs are the bread-and-butter of a central bank’s open market operations. In the typical RP, the Fed lends money to its dealer counterparties for a fixed term, taking collateral in the form of Treasury securities or the debt and mortgage-backed securities of the government-sponsored lenders, Freddie Mac and Fannie Mae.

If we tally up all these new programs, the Federal Reserve appears willing to commit almost one-half of its balance sheet, around $400 billion, to promote the renewed health of financial markets.. Given its open-ended invitation for investment banks to follow the Bear Stearns route and tap the Fed’s discount window, it may wind up committing even more.

Why do Fed officials think these programs will work? To households, mortgages are the obligations that make home purchases possible. But to financiers, mortgages are collateral. Those loans are pooled together so that their combined payments provide a steady stream of income in a variety of mortgage-related securities. The problem is that mortgage defaults of the magnitude we are now experiencing even dry up payments to “safe” securities. Some of those securities are quite complex and difficult to price. Even worse, they are held in part on balance sheets of financial institutions that are opaque and difficult to understand.

Investors have withdrawn from the entities they fear are tainted by these losses. But because they cannot pin down precisely who bears the brunt of the losses, the retreat from risk taking has been spread across a broad front. As a result, there is no effective market price for some of these securities-because the market has disappeared.

Losses across large financial firms could mount considerably beyond what has already been announced. If so, those firms will have to retrench to conserve their capital. Credit will be more expensive and harder to get.

Ultimately, the industry needs more capital. That infusion may come from elsewhere in the private sector: possibly from hedge funds and long-term investors, or from official sources abroad. (Here another mnemonic comes to mind-SWF, or sovereign wealth funds.) But if it does not come from those sources, it will likely require government intervention, which is the way banking crises around the world are often resolved.

The Federal Reserve is using its balance sheet as a safe harbor for the financial industry until that capital arrives. It is doing so by transforming mortgage – related securities – for which there is currently no effective market-into something useful. Financial institutions can now pledge them with the Federal Reserve in open market operations (via RPs) or at the discount window (via the TAF and IPC lending). Or, they can swap those securities for Treasury securities via the TSLF. For 28 days, those firms get better assets on their balance sheets, which allow them to postpone the unloading of their mortgage-related holdings.

Let’s be clear: the Federal Reserve is accepting an unprecedented degree of credit risk.

If one of its counterparties fails in the 28-day window of an outstanding transaction, the Fed will potentially be left holding illiquid mortgage paper. Such unusual policies cannot be extended indefinitely. Financial institutions have to come to grips with their losses, and their management has to swallow hard and find more capital, which is likely to be very costly. They should not use the Fed’s largesse as an excuse to delay.

Reprinted with kindly permission of The American Enterprise Institute.


United States presidential election, 2008: The U.S. Democrats’ Super Disaster

March 24, 2008

In an op-ed in The Wall Street Journal, columnist John Yoo says superdelegates wield too much control over the Democratic contest.

“Until recent weeks, one of the least understood aspects of the Democrats’ primary contest was the role of superdelegates. These are Democratic Party insiders, members of Congress, and other officials who can cast ballots at the party’s national convention this summer. But now these unelected delegates are coming in for a close inspection, because neither Hillary Clinton nor Barack Obama can win their party’s nomination without superdelegate support.”

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Iraq: The Way Ahead

March 24, 2008

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by Frederick W. Kagan

The United States of America now has the opportunity to achieve its fundamental objectives in Iraq through the establishment of a peaceful, stable, secular, democratic state and a reliable ally in the struggle against both Sunni and Shiite terrorism.

Such an accomplishment would allow the United States to begin to reorient its position in the Middle East from one that relies on antidemocratic states like Egypt and Saudi Arabia to one based on a strong democratic partner whose citizens have explicitly rejected al Qaeda and terrorism in general.

The growth of anti-Iranian sentiment in both Sunni and Shiite Arab communities in Iraq holds out the possibility that Iraq can become a bulwark against Iranian aims in the region, and that Iraq can, with American support, return to its role of balancing Iranian power without being the regional threat it had become under Saddam Hussein.

Coalition operations in 2007 have already dealt a devastating blow to al Qaeda, and that success – and the reaction of Iraqis to it – has opened the door to achieving positive and important objectives in Iraq and throughout the region.

Seizing this opportunity requires:

Winning the fight against terrorists and insurgents:

- Continuing to protect the Iraqi population and helping the Iraqi Security Forces (ISF) control both ethnosectarian and terrorist violence
- Defeating al Qaeda in Iraq and the Sunni insurgency in their last strongholds and preventing them from reestablishing themselves in areas that have been cleared
- Continuing to attack Iranian-backed Special Groups throughout Iraq, targeting their leaders and support bases and interdicting their lines of communication with Iran
- Continuing to fragment the Jaysh al Mahdi and prevent its reconstitution as an organized, cohesive fighting force

Mediating between hostile and disconnected groups:

- Sustaining local volunteers and working with them and the Iraqi government to reintegrate them into Iraqi society and political life
- Supporting the United Nations (UN) special envoy in negotiating a resolution of the Article 140 dispute between the Kurds and the Arabs
- Helping connect local, provincial, and national governments through Provincial Reconstruction Teams (PRTs), embedded PRTs, and the U.S. military command structure as the Iraqis develop their own governmental links
- Overseeing the release of detainees, particularly Sunni Arab detainees, and their reintegration into Iraqi society

Encouraging the growth of representative and inclusive democracy that is already underway:

- Supporting and helping to secure provincial elections in 2008 and Council of Representatives elections in 2009
- Assisting burgeoning grassroots movements in both the Sunni and Shiite Arab communities to develop representative political parties and compete in elections
- Deterring and containing efforts by malign actors to intimidate or kill candidates or otherwise distort the democratic process in the months leading up to elections

Continuing to build the capacity of the ISF to fight and sustain themselves in a nonpartisan and nonsectarian way:

- Supporting the increase in the ISF already underway
- Accelerating the provision of equipment to the ISF under the U.S. Foreign Military Sales program or in other ways
- Continuing to partner coalition units with Iraqi units in combat as the best way to improve the fighting proficiency of those units
- Continuing to track sectarian activities by ISF units, particularly the National Police and the Iraqi Police, and pressing the government of Iraq to take appropriate actions to end such activities

Providing the resources necessary to accomplish these goals:

- Keeping at least fifteen brigades in Iraq through January 2009, with the possibility of brief surges in the fall and winter of 2008
- Extending and expanding the Commander’s Emergency Response Program funding
- Expanding the amount of reconstruction assistance money designated for Iraq, essential for generating leverage in areas where American force presence will be limited
- Addressing legal restrictions on the use of State Department funds to support local volunteers and establishing other meaningful demobilization, disarmament, and reintegration programs
- Continuing to identify and rapidly deploy civilian experts to assist the Iraqi government and its security forces in building the necessary capacity to function well and independently

The way ahead is clear.

We must help the Iraqis defeat Sunni and Shia extremists, terrorists, and insurgents. This task is well underway.

We must mediate disputes between Iraqi communities at the local, provincial, and national levels, in conjunction with the UN presence in Iraq and with Iraqi mechanisms to resolve disputes.

We must support those elements of Iraqi society and government whose interests most closely align with ours, particularly the Iraqi Army and grassroots movements in both Sunni and Shiite communities.

We must commit to the defense of Iraq against the interference or attack of its neighbors to encourage the rise of Iraqi nationalism and of anti-Iranian sentiment already growing in Iraq. We must help guide Iraq through the forthcoming elections, which will be a formative period of the nascent Iraqi state.

If current trends continue and if the United States plays its proper role, the elections of 2008 and 2009 can capture and capitalize on social, political, and economic attitudes that may drive Iraq toward a close relationship with the U.S. based on common interests, threats, and objectives.

Click here to read the full report.

About the author: A military historian who has taught at West Point, American Enterprise Institute (AEI) resident scholar Frederick Kagan specializes in defense issues and the American military. In particular he studies defense transformation, the defense budget, and defense strategy and warfare. He has also written about Russian and European military history.

Reprinted with kindly permission of The American Enterprise Institute.


France and UK to press banks over more transparency

March 24, 2008

French President Nicolas Sarkozy and British Prime Minister Gordon Brown made a joint push for greater regulation of European banks, calling for “full and immediate disclosure” of potentially bad debts.

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