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CORRUPTION UPDATES 12

September 14 to September 27, 2006

The CORRUPTION UPDATES posts corruption news stories from California, the Nation and the World, and gives you the straight story.

 


CORRUPTION UPDATE 12

Previous Corruption Update: Corruption Update 11

Next Corruption Update: Corruption Update 13

1) THE ARTICLE SAYS:

Interior Dept. blasted for ethics breaches
Agency officials accused of ignoring cover-ups, cronyism

Edmund L. Andrews, New York Times

Thursday, September 14, 2006

http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2006/09/14/MNG31L58Q21.DTL

(09-14) 04:00 PDT Washington -- The Interior Department's chief official responsible for investigating abuses and overseeing operations accused the top officials at the agency on Wednesday of tolerating widespread ethical failures, from cronyism to cover-ups of incompetence.”

"Simply stated, short of a crime, anything goes at the highest levels of the Department of the Interior," charged Earl Devaney, the Interior Department's inspector general, at a hearing of the House Government Reform subcommittee on energy.”

He expressed particular fury at the willingness to dismiss two dozen potential ethical lapses by J. Steven Griles, a former industry lobbyist who served as deputy secretary of the interior during President Bush's first term. “

Griles resigned after allegations surfaced that he pushed policy decisions that favored some of his former oil and gas industry clients and that he tried to steer a $2 million contract to a technology firm that had also been one of his clients.”

In a 145-page report in 2004, the inspector general described Griles as a "train wreck waiting to happen." But on Wednesday, Devaney said he was appalled that the Interior Department's office of ethics dismissed 23 out of 25 potential ethical breaches against Griles and that Gale Norton, then secretary of the interior, decided not to act on the two remaining allegations.

Devaney's broadside against the Interior Department's culture dovetailed with his tentative conclusions in his most recent investigation: how the department had managed to sign 1,100 leases for offshore drilling that inadvertently let energy companies escape billions of dollars in royalties on gas and oil produced in the Gulf of Mexico”

government officials now estimate that the mistake could cost the Treasury as much as $10 billion over the next decade.”

THE COMMITTEE SAYS:

POLITICAL CORRUPTION INFILTRATES INTERIOR DEPARTMENT

POLITICAL APPOINTEES ARE LOBBYISTS AND INCOMPENTENTS, AND GIVE AWAY BILLIONS TO THEIR BUDDIES:

The path to political Success, to becoming one of our “Leaders”, assures we will not have ethical, or even competent leadership. Incompetent leaders will appoint incompetent, and corrupt, underlings. Our corrupted politicians appoint their special interest sponsors to lead of our political and regulatory institutions.

The most important qualification for political leadership in America is fund raising skills, rather than leadership skills. The politicians and special interests squeeze as much money from each other as they can. Politicians and Candidates parade themselves like cheap meat on auction before the Money Interests, the Real Estate group, the Manufacturers, and so on. This assures that our politicians are tools of special interests,, and not dependent on their voters. This political indebtedness is paid back with corrupt legislation, laws, and POLITICAL APPOINTMENTS.

Our terms of political success assures that our regulatory institutions will be run by the very people they are supposed to regulate. And the magnitude of their thievery dwarfs the size of the bribes that got them into office.

The next qualification for political leadership is subservience to party. Ethics, honesty, and democratic values are irrelevant to party loyalty.

Neither party is able to pull themselves out of their foolish and criminal Iraq War positions. They are unable to break ranks, even as their failed policies drown in their own lies and incompetence. The parties continue to blindly stumble on, destroying Iraq, damaging America's world standing, smashing our Army, and draining our treasury. Party loyalty has blinded us to our own values.

Political Survival, let alone rising to the top of the shark filled cesspool of party politics, requires a special kind of spirit. An evil spirit. The creature that climbs out of that mess of corruption and deception is to be pitied, not elected. But these damaged creatures of corruption are appointing the leadership of the Interior, and every other department in our government.

The politician who excels at fund raising, and masters party loyalty, then sells what's left of their soul to Madison Avenue,

If they had any personal principals and ethics to begin with, they are soon throw aside and replaced with the fruits of professional polling and focus groups. Their “beliefs” and “positions” are faked, tailored to please the ears of the minority of the public that still votes. The successful politician then hides themselves behind a carefully crafted public image that has nothing to do with the real person.

We end up with “leaders” who are only barely qualified to cheat you selling used cars. And they end up running the Interior Department, The EPA, the FDA, the FBI and the CIA. This system produces “leaders” that could care less about Our democracy, or the Welfare of our country. They are narrow, partisan players.

We shouldn't be surprised that the optimistic, rosy metaphors and uplifting campaigns by our politicians is a thin cover over a deep scam.

Read more about Griles fate

 


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2) THE ARTICLE SAYS:

3 Changes Ordered in Oversight of Nevada Judges

“The state's chief justice announces immediate actions to curb conflicts of interest and other improprieties raised in reports by The Times.”

By Scott Gold, Times Staff Writer
September 20, 2006

http://www.latimes.com/news/politics/la-na-nevada20sep20,1,982169,full.story?coll=la-headlines-politics

The chief justice of the Nevada Supreme Court has ordered three steps to heighten scrutiny and supervision of the state's judges, who have become the target of a reform effort amid allegations of impropriety and cronyism in the courtroom and on the campaign trail.”

They come in the wake of a Times investigation into the state's judiciary, especially the Las Vegas bench. The investigation determined, among other things, that Nevada judges have awarded millions of dollars in judgments in recent years without disclosing that the money was awarded to friends, business partners and former clients — even people to whom the judges owed money.”

According to federal and state judicial canons, judges should withdraw from cases when their impartiality might reasonably be questioned. But the state does not require judges to disclose when their campaign contributors appear before them. And court observers say some judges have been reticent in volunteering information that might call their impartiality into question.”

...it was the Supreme Court that determined that Nevada judges are not required to disclose when a party in a case has contributed to their election campaign. He said the Supreme Court could have a more lasting effect on the judiciary by revisiting that "terrible decision." “

THE COMMITTEE SAYS:

LA TIMES ARTICLE SHAMES NEVADA INTO FAKE JUDICIAL REFORM, ARTICLE III ON JUDICIAL CORUPTION IN NEVADA.

Nevada addresses publicity, not corruption, with fake reforms:

 

I'm not going to recount these worthless “changes” (?) in judicial oversight in Nevada. There is no real oversight, and these so-called “changes” are not trying to address the bad judges or judicial corruption as much as they are attempting to address the bad press. These “changes” are leaving the judges free to collect bribes, and pay off the bribers with favorable treatment in their courtrooms.

The main gist of these changes was to remind the judges they have “ethical,” but no legal requirements, to disclose or recuse themselves in cases that present a conflict of interest.

The solution is simple, and the same one we are advancing here: Let none but voters contribute to elections. Let the contributions be fairly balanced, so the voters are politically equal, if not equal in wealth.

Read abstracts of the two previous articles that Exposed the judicial corruption in Nevada

 

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3) THE ARTICLE SAYS:

L.A. to End Faster Permits for the Favored

Building officials are drafting standards to clamp down on a practice of expediting approvals for the politically connected.

By Patrick McGreevy, Times Staff Writer
September 20, 2006

http://www.latimes.com/news/politics/la-me-bldng20sep20,1,5714367.story?coll=la-headlines-politics

Facing criticism that city building permit officials gave special treatment to politically connected applicants, the Los Angeles Building and Safety Department announced Tuesday that it is drafting new standards to ensure that all members of the public are treated the same.”

...dozens of construction projects sought by political insiders had been assigned to a little-known "case management unit." The unit is designed to speed the permit process, saving applicants time, bureaucratic frustration and money.”

The Times last month reported that the department had given special treatment to projects sought over the last year by dozens of insiders, including nine current and former city commissioners and donors to the mayor and City Council.”

Tracy Westen, chief executive of the Los Angeles-based Center for Governmental Studies, said it is not fair that the average resident has to navigate red tape to get a permit, while the politically connected are assigned a case manager who calls a meeting of representatives from all involved departments to expedite approval of projects.”

THE COMMITTEE SAYS:

INSIDER” PERMIT OFFICE TO REMAIN OPEN, AND SERVING HIGH ROLLERS

WHILE REST OF US WAIT IN LINE:

 

The “insider” permit office was set up for politically connected high-rollers. All the bull the Building Department is spewing about informing the public about this office will not make it work for the public. It was designed, and set up for, high-rollers. The rest of us will continue to wait in line.

The only real, and fair, solution is to make the big players get in line with the rest of us. Close the “insider” permit office. Think that's going to happen? Not in a million years, or for as long as our politicians are dependent on the big players, and their big bribes, to get elected.

To get the big players in line with the rest of us, closing the “insider” office will not help. We have to stop the Big Players from buying politicians like they were building permits from the “insider” office. Then the voters will be on a level playing field, and in the same lines, with the Big Players.

No more special interest contributions, no more special treatment for the contributors. Makes me wonder what our politicians would do if we had a democracy.


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4) THE ARTICLE SAYS: THIS IS A MUST READ ARTICLE.

Insurers Liking the Coverage of Schwarzenegger's Policies

By Peter Nicholas, Times Staff Writer
September 24, 2006

http://www.latimes.com/news/politics/la-me-insurance24sep24,1,6052698,full.story?coll=la-headlines-politics

SACRAMENTO — With a onetime State Farm official and a former insurance lobbyist in top staff jobs, Gov. Arnold Schwarzenegger is repeatedly siding with insurers in legislative battles as they maneuver to fend off fees, fines and concessions to policyholders.”
“A veteran insurance lobbyist, Dan Dunmoyer, is now the governor's deputy chief of staff, helping to craft his entire policy portfolio. Former State Farm official Kathleen Webb is Schwarzenegger's insurance advisor, vetting insurance-related bills that reach his desk and recommending which he should sign into law.”

Webb, in particular, has met continually with industry trade groups and attended private meetings where insurance lobbyists plot strategy and discuss ways to push their agenda, her calendar shows. She has not recorded a single meeting with a consumer representative.”


"People expected of Arnold Schwarzenegger independent advisors who would bring a fresh perspective," said Doug Heller, executive director of the Foundation for Taxpayer and Consumer Rights. "Instead, the governor has brought in State Farm and its cronies."

Meanwhile, insurance money has poured into Schwarzenegger's campaign accounts. Since he jumped into the recall campaign in 2003, he has collected about $4.4 million in donations from insurance interests, state records show.”

Insurance industry political strategy “...calls for putting more people from the insurance industry into elective office. It also says the industry should support pro-business candidates by paying for political mailings signed by groups with a better public image”.”

THE COMMITTEE SAYS: THIS IS A MUST READ ARTICLE.

HOW TO CORRUPT DEMOCRACY: THE INSURANCE INDUSTRY AND THE GOVERNOR:

This lengthy article tracks the rise of the political power of the insurance industry in California. This could be the story of any industry in California. As this article demonstrates, their reward is the political power to prevent responsible regulation of the insurance industry. Less responsibility means higher profits. Political Power defends these irresponsible profits into the future.. This is exactly why political contributions must be strictly limited to voters.

Between the combined forces of the Oil industry, the telecom industry, real estate developers and the insurance industry, Californians have absolutely no chance that legislation or regulation coming from Sacramento will benefit the public. It is more likely to damage the public.

This article mentions that the governor's staff is a who's who of California business interests. The Governor's spokesman is quoted saying, "No industry or organization gets a more sympathetic ear from this administration to the exclusion of another industry or organization." The special interests not only have purchased our politicians and parties, but they have manned the key staff positions at all levels of our government.

From the State House to the White House, across all the State Legislatures and in Congress, the paid tools of the special interests have bought their way into political power and are stealing as much as they can. The first victim was our democracy. Our freedom, security, and treasury are being drained away as you read this.

It's not that we don't have excellent, non-partisan political professionals to draw on. We do. The problem is that non-partisan professionals do not bring multi-million dollar “contributions” to the boss when they get hired. Ex-lobbyists do. These lobbyists must be stripped of the power to buy influence, power, politicians, and government office.

Related Stories

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5) THE ARTICLE SAYS:

An Insurance Veteran Put the Industry's Image at a Premium

By Peter Nicholas, Times Staff Writer
September 24, 2006

http://www.latimes.com/news/politics/la-me-report24sep24,1,7702374.story?coll=la-headlines-politics

SACRAMENTO — Before he became a top aide to Gov. Arnold Schwarzenegger, Dan Dunmoyer, then an insurance lobbyist, wrote a report laying out a "strategic plan" for the industry through 2010.”
“The document, written for his employers and obtained by The Times, is a revealing look at how Dunmoyer — who now helps shape the governor's overall policy agenda — sized up the political terrain.”

Dunmoyer also worried that insurers were not giving enough campaign money to politicians and recommended that his colleagues ratchet up their contributions.”
“He advised the industry to make "much more aggressive" use of independent expenditures — money spent in support of candidates or causes without being donated directly to them. Unlike other campaign donations, independent expenditures are not subject to limits.”

"If the insurance industry, in combination with other key business groups, were to put together a substantial independent expenditure campaign, they would be better positioned to ensure the election of pro-business candidates," Dunmoyer wrote.”

The state Department of Insurance is filled with "hostile and unmanageable staff," Dunmoyer wrote, "who are not regulators but self-promoting consumer advocates who relish notoriety over solvency and gladly assert trial lawyers as allies."”

THE COMMITTEE SAYS:

INSURANCE INDUSTRY BATTLE PLAN: COMBINED BUSINESS ASSUALT ON DEMOCRACY

Plot to corrupt democratic process and institutions successful. Plot uncovered, and yet it goes on:

When politics devolve to the power of money, the richest will be king”

So here we are. The leaders of the special interest sectors have apparently found a way to pool their money and assure their political supremacy over our country, and across changes of party and administration. Besides buying the politicians, they have put their representatives-lobbyists-into key jobs at every level of our state and national government.

This article shows us there are three major problems in California politics:

  1. Special interest money is corrupting elections, politicians, and policy. Special interest money is the mother's milk of corruption. Buying political influence is the first step towards the complete destruction of our democracy.

  2. Special interest representatives use bribes to achieve influence, and positions of power in State offices. After buying influence, the next step is to control political information and power by replacing government staffers with industry insiders.

  3. Special interests tools drive honest State employees out of important regulatory positions. With politicians and staffers in the pocket, the special interests then use the government to loot our economy.

  4. The payoff. They steal everything that's not bolted down.

There's no half-way measures we can use to stop this. To fight, we need a full measure of reform. We can attack the symptoms, prosecute those who are stupid enough to break our weak laws, but then we would not even scratch the surface of corruption, let alone fight its source. We need total reform of candidate funding to restore democratic principals to our polity.


The solution is right in front of us: democracy. Not the fake democracy we use to fool each other and the world. No, we need to really become a democracy. No more special interest contributions. None. All political power must come from the local voters for us to be able to legitimately call ourselves a democracy. That means preventing the rich and powerful from subverting our politicians, and stealing our right to regulate ourselves. The only way to assure that “your” representatives represent you, is to be sure your representative was elected by the voters, and not the special interests.

Related Article

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6) THE ARTICLE SAYS:

Taking Aim at California Election Funding

Among other changes, Prop. 89 would limit corporate spending -- but not that of tribes and trial lawyers -- on ballot measures.

By Dan Morain, Times Staff Writer
September 26, 2006

http://www.latimes.com/news/politics/la-me-money26sep26,1,7757683,full.story?coll=la-headlines-politics


SACRAMENTO — A November initiative could dramatically transform California politics, raising taxes to pay for publicly financed campaigns, strictly limiting private giving and taking particular aim at ballot measure spending.”

An unlikely coalition has formed to beat the measure. Led by the California Chamber of Commerce, the foes include the California Republican Party, Gov. Arnold Schwarzenegger and groups that in other instances are their fierce rivals: some of the state's most influential unions, including the 300,000-member California Teachers Assn.”

Dubbed the Clean Money and Fair Elections Act of 2006, Proposition 89 is a highly complex measure of more than 50 pages. It would raise corporate and banking taxes by $200 million a year to create public financing for candidates for state office.”

In one of its most far-reaching provisions, Proposition 89 would rein in spending on ballot measures, a dramatic step that even its backers say could be unconstitutional. “

Proposition 89 would limit direct corporate donations to $10,000 per ballot measure. The limit would extend from public companies such as Chevron to family farms and large private developers such as the Irvine Co. Chevron has spent more than $16.5 million to defeat the oil tax initiative, Proposition 87, on the November ballot.”

Chamber President Allan Zaremberg denounced Proposition 89 as a "virtual ban on corporate participation in the political process." “

 

THE COMMITTEE SAYS:

PROP 89: A BRIEF ANALYSIS: Is “good” relative? It is, in 89's case

Proposition 89 is a step in a direction. What direction? Nobody seems to know. Let's start with where we are now.

Politics are monopolized by two parties, who are primarily funded by corporations. Overwhelmingly funded by corporations. Simply put, we are within a circle of political corruption. Any steps we take are steps away from the center of this circle of corruption. Moving away from the center of corruption is good. But where are we going? What are we leaving behind?

We are leaving behind, intact, the center of political corruption. Prop. 89 will not stop or slow special interest contributions at all. 89 creates a second category of candidates: those who are state funded. Since 89 does not completely ban non-voting contributions, it is left with the task of providing funding sufficient to give publicly funded candidates a running chance. This has made 89 quite complex. And interesting.

89 is ticking off the corporations, their paid media tools, and their paid politicians. They ironically complain that it is not fair to tax the corporations to fund everyones' elections. Funny, they have funded politicians to the exclusion of the voters' interests for decades, if not centuries. The 89 funding scheme does smack of revenge.

But the funding and contributions limits don't go far enough: All corporate funding of politicians must end. Then We, as Politically Equal Voters, can fight out our political differences fairly. In that case, I believe that publicly funded candidates should be supported by all taxpayers. As it is today, publicly funded candidates will be up against the privately, special interest funded candidates. The Committee endorses the Corporate Funding of 89, as the Corporations will still be funding the rest of the candidates The problem we have with 89 is that it doesn't go far enough, and it goes too far.

VOTE FOR PROP. 89!

The solution for these problems is simple: Ban all non-voting sources of political cash. Make candidates raise money, and support, from their own voters. If they raise enough money and support, they win. If they can't raise money from their own people, they shouldn't be running. No matter how much the special interests give them.

89 is too complicated because it does not have the MOXIE to address the sources of our corruption problem: the loss of our democracy to corporate, and other special interests. 89 also seems to cast funding shadows that protect certain special interests from bearing its costs.

Our initiative is simple: two pages of preamble, two pages of law. Four and a half pages that simply restore the balance of our democracy: The voters control the electoral process, while the corporations, the special interests, and everyone else that cannot vote, may assemble, speak, and petition. But they may not interfere with the local voters' right to select and elect their own representatives. This simplicity is based on the simplicity of democracy, and the genius of our Constitution.

Our politicians and special interests need to comport themselves as if they lived in, and respected, our democratic republic. Prop. 89 does not reestablish our democratic principals in government. Prop. 89 only offers a life preserver to democracy. Our initiative is simple because it simply restores democratic principals to our elections and politicians.

Our initiative will help rebalanced the competing forces of democracy and tyranny, and defines the proper relationship between, and limits of, the interplay of wealth and democracy that produce our political reality. In four and a half easy to read pages.

The Committee endorses Prop. 89 as a first, faltering, weak, step away from the center of corruption. Prop. 89 fails to address the central problem leading to our corruption: we have lost our democracy to the special interests.

Links to more articles on Public Financing


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7) THE ARTICLE SAYS:

Donations from out of state fuel races
Businesses across nation try to sway California voters

John Wildermuth, Chronicle Political Writer

Tuesday, September 26, 2006

http://www.sfgate.com/cgi-bin/article.cgi?file=/chronicle/archive/2006/09/26/MNGUGLCOQI1.DTL

Out-of-state interests have poured more than $280 million into California political campaigns since 2001, and the November election will send that figure soaring. “

While that number is dwarfed by the $1.4 billion California residents, unions and businesses have spent on candidates and ballot measures, it shows just how much state politicians depend on big contributions from beyond the borders, said Michael Lighty, a spokesman for the Proposition 89 campaign financing initiative.”

"The contributions from Middlesex County, New Jersey, are larger than those from Kern County,'' Lighty said. "You have national and international interests funding California Assembly races.'' “

The Yes on 89 campaign put together a list of the 20 largest campaign contributions made in California between 2001 and May of this year. They ranged from the $14.2 million donation the Pharmaceutical Research and Manufacturers group put into the fight against discount prescription drugs last year down to the $5 million that state Controller Steve Westly put into his own campaign for governor during this year's Democratic primary.”

That list is already dramatically outdated. Since the June election, there have been at least nine new contributions of more than $5 million, led by a $13.8 million donation from Philip Morris and $10 million from R.J. Reynolds, “

THE COMMITTEE SAYS:

89 PROPONENTS COMPLAIN ABOUT OUTSIDE MONEY, AND DO NOTHING ABOUT IT:

Again; 89 is better than what we have, but does not reform the corruptions:

How does 89 stop outside interests from bribing our politicians? It does not. How does 89 stop a publicly funded candidate from immediately selling themselves to the special interest once they get elected? It does not. Our initiative completely ends these corruptions. Simply, easily, and cheaply.

The list that 89 supporters put together of big money supporters supports our point: the list illustrates that the majority of big money comes from special interests within the state, which 89 does not even address. How can you fix a problem when you can't even directly identify it?

We don't want a small space for democracy in our polity, we want democracy.

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8) THE ARTICLE SAYS:

Chinese Officials Vow to Press Political Shake-Up, Saying Corruption Is Focus

By JOSEPH KAHN

Published: September 27, 2006

http://www.nytimes.com/2006/09/27/world/asia/27china.html

BEIJING, Sept. 26 — The Chinese authorities vowed Tuesday to press forward with a corruption crackdown that has already ensnared one of the country’s most powerful officials, raising the possibility that President Hu Jintao may continue to remove people he considers disloyal.”

On Sunday, security forces detained Chen Liangyu, the Shanghai Communist Party chief and a Politburo member, in what had already become the biggest political shake-up in at least a decade.”

Most officials singled out in those inquiries were viewed as linked to Jiang Zemin, Mr. Hu’s predecessor as China’s top leader, or to other senior officials whom Mr. Jiang had promoted to ensure his legacy.

As such, the investigation is widely seen as an effort by Mr. Hu to consolidate his own power, rather than an open-ended campaign against corruption, which even many Communist Party members acknowledge is common among supporters of Mr. Hu as well.”

 

THE COMMITTEE SAYS:

CHINESE ELITE HOLDING CHINESE-STYLE “ELECTIONS” FOR LEADERSHIP UNDER THINLY DISGUISED “CORRUPTION” PURGE

Chinese mafias fighting for supremacy under guise of “corruption” sweep:

Our political leaders, in both parties, have been salivating for 100 years over getting “access” to China's markets. For the past 30 years they have been deepening our “relationship” with China.

China has, with our help, absorbed vast amounts of the world's manufacturing capacity, which has damaged our working classes, and spread American-Style industrial corruption to China. China then loans us back part of the profits, with which we buy more Chinese manufacturers, and go further into debt.

Rather than paying decent wages to American workers, who would earn and spend in our country, our leaders would rather earn more profits by depending on Cheap Chinese Labor. The political purge that is now happening in China shows us there may be hidden dangers in this strategy.

China is unstable. It is ruled by a mafia that is neither Communist nor Capitalist. Authority and Law are arbitrary, and subject to political manipulation. China's regional and global goals are unclear, but are definitely moving towards positioning China as a global counter-weight to US power and authority, and supplanting our power is South East Asia.

Our politicians are so blinded by their greed, their desire for wealth and power, they are incapable of considering the long term dangers of our dependence on China because of their immediate profits.

The mafia-like struggle for political power now occurring in China covers deeper problems: China is in a race to keep 700 million peasants from rejecting their Brutal American-Style Industrial Development that is, as I said, neither Communistic nor Capitalistic. If the Chinese peasants get ticked off, China's political direction could change in a second. And we will be in a world of hurt.

China has an deep, dangerous identity problem sitting beneath the rest of its problems.

If China cannot slow its development enough to spread the benefits of its industrialization, and commonly decide just what political principals its sovereignty is based on, they are going to have big problems. The last time they decided on common values, it was through the Cultural Revolution. And we may be headed that way again. If China destabilizes, we will have big problems, because the short term greed of our policymakers and their corporate sponsors has made us Dependant on, and vulnerable to, China.

SEE PREVIOUS ARTICLE ON CHINA'S PURGE:

Corruption Updates 7, “Struggle for the Corrupt Fruit of Political Victory in China”

Read more Articles about China

 

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