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Showing posts with label Barack Obama. Show all posts
Showing posts with label Barack Obama. Show all posts

Friday, April 23, 2010

Is more Government Control good or bad?

With demise of Soviet style Socialism in the 1980s most people believed that Government control of affairs of the society will become less and less and Laissez-faire Capitalism will rule the World.But it did not happen.Governments in most of the Western World is trying to control their economies more than before. Is more Government control good or bad?

Let me try to define Laissez-faire Capitalism.
Ayn Rand the Russian-American writer,a staunch supporter of Capitalism said

When I say “capitalism,” I mean a full, pure, uncontrolled, unregulated laissez-faire capitalism—with a separation of state and economics, in the same way and for the same reasons as the separation of state and church.


Actually no country followed Laissez-faire economic system. But most of the Western European countries and USA had a relatively free market economy though with varying degree of Government control.
But after the  economic crisis of 2008-09 the Governments are thinking about controlling their economies more and more.
 In USA, President Barack Obama's Democratic Party is trying to pass an economy regulation legislation which will increase the control of Government on the financial system.
In a speech today in New York Obama said:

I believe in the power of the free market. I believe in a strong financial sector that helps people to raise capital and get loans and invest their savings. But a free market was never meant to be a free license to take whatever you can get, however you can get it. That is what happened too often in the years leading up to the crisis. Some on Wall Street forgot that behind every dollar traded or leveraged, there is a family looking to buy a house, pay for an education, open a business, or save for retirement.

I have also spoken before about the need to build a new foundation for economic growth in the 21st century. And, given the importance of the financial sector, Wall Street reform is an absolutely essential part of that foundation. Without it, our house will continue to sit on shifting sands, leaving our families, businesses and the global economy vulnerable to future crises. That is why I feel so strongly that we need to enact a set of updated, common-sense rules to ensure accountability on Wall Street and to protect consumers in our financial system.


It is widely agreed that the economic recession of 2008 could have been avoided if the Government had intervened to control unbridled sub prime lending and Mortgage frauds. It is also now clear that it was the bailout by Government using tax payers money that helped to prevent bankruptcy of many Companies.

Recent revelations that Goldman Sachs duped its own customers and made big profits raises the need for more Government regulation in Banking sector.
“The simultaneous selling of securities to customers and shorting them because they believed they were going to default is the most cynical use of credit information that I have ever seen,” said Sylvain R. Raynes, an expert in structured finance at R & R Consulting in New York. “When you buy protection against an event that you have a hand in causing, you are buying fire insurance on someone else’s house and then committing arson.”

Let me quote Obama again:

"It is for this reason that we need a system to shut these firms down with the least amount of collateral damage to innocent people and businesses. And from the start, I've insisted that the financial industry -- and not taxpayers -- shoulder the costs in the event that a large financial company should falter. The goal is to make certain that taxpayers are never again on the hook because a firm is deemed "too big to fail.

"In the end, our system only works -- our markets are only free -- when there are basic safeguards that prevent abuse, that check excess, that ensure that it is more profitable to play by the rules than to game the system. And that is what these reforms are designed to achieve: no more, no less. Because that is how we will ensure that our economy works for consumers, that it works for investors, that it works for financial institutions -- that it works for all of us.

I agree with Obama here. More Government controls,safeguards and regulation will only help the economy.

As the Nobel Prize winning economist and a strong supporter of economic regulations by the State, Paul Krugman said:

For the fact is that much of the financial industry has become a racket — a game in which a handful of people are lavishly paid to mislead and exploit consumers and investors. And if we don’t lower the boom on these practices, the racket will just go on.

Sunday, July 12, 2009

USA's troubled Health Care System

The Health Care System in the World's richest Country,the United States of America is in a mess. The American health-care system, which costs about 16% of the country’s economic output, is by far the most expensive in the world. Even after spending so much money about 50 million people are un-insured and another 25 million are under-insured. Most West European Countries spend half the amount to provide universal Health coverage.



Is such costly health care in USA of high standard?



Comparisons with other rich countries show that America’s health-care system is not only growing at an unsustainable pace, but also provides questionable value for money and dubious medical care. It is characterised by uneven quality of care, inadequate coverage and soaring costs.



Barack Obama has promised far reaching health care reforms so that no US citizen will remain un-insured like this Type1 Diabetes Patient who is dependent on Insulin Pump. The Congress is drafting a new reform legislation but the Health Industry and the Insurance Industry are up in arms against the reforms.



Last month an Insurance Industry insider,Mr Wendell Potter who had quit his job in disgust at the way the Insurance Companies exploit patients, testified before a Congress Committee about how 'the insurance companies confuse the customers and dump the sick so that they can satisfy the Wall Street investors.



Later he also described the reasons for quitting his highly paid job in the Insurance Industry to become a whistle-blower in a TV interview and also wrote about it in his blog.

Here are some excerpts:



While visiting my folks in northeast Tennessee where I grew up, I read in the local paper about a health "expedition" being held that weekend a few miles up U.S. 23 in Wise, Va. Doctors, nurses and other medical professionals were volunteering their time to provide free medical care to people who lived in the area. What intrigued me most was that a non-profit group whose original mission was to provide free care to people in remote villages in South America, was organizing the expedition. I decided to check it out.



I borrowed my dad's car and drove up 50 miles up the road to Wise, Virginia. It was being held at a Wise County Fairground. I took my camera. I took some pictures. It was a very cloudy, misty day, it was raining that day, and I walked through the fairground gates. And I didn't know what to expect. I just assumed that it would be, you know, like a health-- booths set up and people just getting their blood pressure checked and things like that.



Nothing could have prepared me for what I saw when I reached the Wise County Fairgrounds, where the expedition was being held. Hundreds of people had camped out all night in the parking lot to be assured of seeing a doctor or dentist when the gates opened. By the time I got there, long lines of people stretched from every animal stall and tent where the volunteers were treating patients.

But what I saw were doctors who were set up to provide care in animal stalls. Or they'd erected tents, to care for people. I mean, there was no privacy. In some cases-- and I've got some pictures of people being treated on gurneys, on rain-soaked pavement.

And I saw people lined up, standing in line or sitting in these long, long lines, waiting to get care. People drove from South Carolina and Georgia and Kentucky, Tennessee-- all over the region, because they knew that this was being done. A lot of them heard about it from word of mouth.


That scene was so visually and emotionally stunning it was all I could do to hold back tears.

How could it be that citizens of the richest nation in the world were being treated this way?


A couple of weeks later I was boarding a corporate jet to fly from Philadelphia to a meeting in Connecticut. When the flight attendant served my lunch on gold-rimmed china and gave me a gold-plated knife and fork to eat it with, I realized for the first time that someone's insurance premiums were paying for me to travel in such luxury. I also realized that one of the reasons those people in Wise County had to wait in long lines to be treated in animal stalls was because our Wall Street-driven health care system has created one of the most inequitable health care systems on the planet.





The industry has always tried to make Americans think that government-run systems are the worst thing that could possibly happen to them, that if you even consider that, you're heading down on the slippery slope towards socialism. So they have used scare tactics for years and years and years, to keep that from happening. If there were a broader program like our Medicare program, it could potentially reduce the profits of these big companies. So that is their biggest concern.



It's the way the American system has evolved, the political system,that the vested special interests, who are so profitable and so powerful, are able to influence public policy in the way that they have, and the way that they've done over the years. And the insurance industry has been one of the most successful, in beating back any kinds of legislation that would hinder or affect the profitability of the companies.



The industry doesn't want to have any competitor. In fact, over the course of the last few years, has been shrinking the number of competitors through a lot of acquisitions and mergers. So first of all, they don't want any more competition period. They certainly don't want it from a government plan that might be operating more efficiently than they are, that they operate. The Medicare program that we have here is a government-run program that has administrative expenses that are like three percent or so compared to the industry's twenty percent.



You know, I've been around a long time. And I have to say, I just don't get this. I just don't understand how the corporations can oppose a plan that gives the unhealthy people a chance to be covered. And they don't want to do it themselves.



Let us hope that with the help of whistleblowers like Mr Potter, Barack Obama and the 'Democratic' Congress will be able to really reform the American Health Care System so that no one is denied high quality health care.



Tuesday, January 13, 2009

An open letter to Obama about Gaza massacre

This is an open letter to President elect Barack Obama regarding the Gaza massacre written by US academic David Lloyd and signed by thousands of teachers and other academics of USA and many all over the World.To endorse this send a mail to teachers.against.occupation@gmail.com
To see the names of the signatories click here

Dear President-Elect Obama
By David Lloyd
Once, in what was perhaps an unguarded moment, you stated that: "Nobody's suffering more than the Palestinian people". After days of relentless Israeli bombing in the Gaza strip that has already killed over seven hundred people, most of them civilians or policemen, and injured over three thousand, many of whom may yet die for lack of medical supplies and facilities, your words have never rung more true. And yet, so far, your signal response to this latest assault on the Palestinians, that the UN Secretary General diplomatically calls “disproportionate”, has been to defend Israel’s right to respond to rocket attacks that, while rightly condemned, are mere pinpricks in comparison to the horrific consequences of Israeli bombardment and of the ongoing blockade on Gaza.

Does this mean that on the long way to the White House you have trimmed your sails and, for the sake of securing the power you will soon assume, fear now to speak truth to power? Does this mean that, unlike Dr. King, your sense of justice is adjustable for the sake of political expedience? Those who supported you from the early days of your primary campaign did so not on account of your response to economic crisis, but because they believed in your sense of justice and your commitment to put an end to business-as-usual in Washington, and because they believed in your genuine desire to shape a new and different world order.

In 1981, while you were an undergraduate at Occidental College, you were among the first of a courageous group of students and faculty who, while the cause was still unpopular or unheard of, spoke out for divestment from the apartheid regime in South Africa. You knew then that it was imperative to place pressure on a racist regime which shamefully oppressed a black and coloured population that was discriminated against, subject to pass laws and control of its every movement, parceled into Bantustans, and subject to detention, torture and extra-judicial execution. When the black population protested, like the school children of Soweto, they could be summarily shot down by police or army. The ANC, under Nelson Mandela, was proscribed as a terrorist movement, its leaders were imprisoned, tortured or killed, its guerrillas faced the overwhelming power of the South African army, equipped and trained in part by the United States and its European allies. A regime that was so unafraid to use violence in the defense of its discriminatory and racist regime, and so unashamed to do so in the face of international condemnation, could only understand the language of force. The divestment movement in which you so actively participated understood that the euphemistically and cynically named policy of “constructive engagement” was a moral and practical failure and that only the non-violent force of a financial boycott on the South African regime had any hope of bringing an end to apartheid without an horrific bloodbath.

Public figures as diverse as Bishop Desmond Tutu and President Jimmy Carter have recognized that Israel too maintains an apartheid regime, in practice if not in name. South Africa, now a functioning multi-racial democracy, was a white state for a white people. Israel is a Jewish state for a Jewish people. Its non-Jewish, mostly Palestinian Arab citizens are discriminated against in numerous ways, economically and civilly. The dispossessed and ethnically cleansed Palestinian populations, dispersed in the diaspora and in the refugee camps of Gaza, the West Bank and Lebanon, are denied the internationally recognized right of return. They have had their lands and homes taken from them by armed and “legal” force, are subject to collective punishment, prolonged states of siege, the absolute and deliberately destructive control of their daily movements. Where South Africa instituted the pass laws, the checkpoints that have proliferated all over the West Bank and at the exits from Gaza prevent students from reaching their schools and hospitals, workers from reaching their places or work, keep farmers from their fields, the sick from the few hospitals that survive to serve them. The illegal settlements, that in contravention of all international laws regarding occupation have proliferated across the West Bank, are designed to be permanent “facts on the ground” and have divided recognized Palestinian territory into segmented islets, into besieged Bantustans, with the intent of preventing a contiguous Palestinian state. A so-called security wall, illegally built, as even the Israeli Supreme Court recognized, on Palestinian territory, has cut farmers from their lands and turned formerly prosperous villages into isolated prisons. Regular Israeli military incursions into Palestinian cities and refugee camps, and bombings from the air, have killed innumerable civilians, many of them children. Since the election of Hamas, in fair and open elections, Israel has subjected the civilian population of Gaza to a prolonged state of siege, designed to suffocate them into submission, depriving them at will of water and power, medical supplies and food, and of access to the outside world. The most recent, all-out assault on Gaza, the disproportionate and bloody use of excessive force, is no act of self-defense, but the dramatic extension of an insidious policy of extermination of a people that refuses to disappear.

Every one of these acts is a crime against humanity. In their ensemble, they constitute one of the most massive, ethnocidal atrocities of modern times. Almost alone among nations, Israel acts in flagrant violation of international law and UN resolutions and does so with impunity. That it can do so is in large part the consequence of the uncritical support offered to Israel by a succession of American administrations. Without the military and economic aid of the United States, which amounts to more than a third of all US foreign aid, Israel could not have mounted its violent offensives against the Palestinians or Lebanon, could not maintain its security apparatus, could not afford the illegal settlements that seek to expand Israel into what remains of Palestinian territory. The United States has supplied the F-16s that are bombarding the Palestinians, their schools, police stations and mosques, and the cluster bombs that continue to kill and maim children and farmers in southern Lebanon. America continues to support Israel to the tune of billions every year at the expense of US taxpayers and at the expense of its moral standing in the world.

You will continue to do so, according to your own web page, because “our first and incontrovertible commitment in the Middle East must be to the security of Israel, America's strongest ally in the region.” You and your Vice-President, Joe Biden, not only “defend and support the annual foreign aid package that involves both military and economic assistance to Israel”, but moreover “have advocated increased foreign aid budgets to ensure that these funding priorities are met.” In doing so, you lend your support, in the name of the United States, to a regime no less criminal in its acts and in its policies towards its own minority population and its dispossessed Palestinian neighbors than South Africa was in the 1980s. Then, it was argued, South Africa was our strongest ally in the region, a bulwark in the war against communism, a crucial supplier of uranium and other minerals, a prosperous Western-style democracy, if not the only democracy on the continent. To bring down the South African apartheid regime, it was argued, would be to create chaos in southern Africa, unleash a bloodbath in which whites and blacks alike would suffer, and pave the way for a communist or dictatorial post colonial regime. The divestment movement, a non-violent coalition of students and academics, union members and churches, came together in the spirit of the Civil Rights movement to challenge those self-serving assumptions. It changed the direction of US foreign policy, disgracing its support of a racist regime, and placed effective pressure on the apartheid regime to begin serious negotiations with the ANC. Through a combination of diplomacy and divestment, we did end apartheid, making way for a functioning multi-racial democracy that confronts its challenges, indeed, but has not dissolved into chaos or tyranny.

It is time for the United States to place a similar pressure on Israel. That Israel has been America’s beneficiary, unchallenged in its war crimes and in its acts of terror, uncontested for its racist civil constitution and illegal occupations, has not been to the United States’ advantage. On the contrary, such unquestioning support of Israel has fuelled the legitimate anger of the Islamic world, supplied the justification for terrorism, and continually tarnished the United States’ reputation among the democracies of the world. That the United States has stood so often alone in defending Israel before the court of world opinion in the United Nations is not a sign of its virtue, but of the obstinacy and arrogance of its stance.

But it is not for the sake of the reputation or advantage of the United States that you should take a new path in relation to Israel. It is in the name of justice. It is not just to support the territorial ambitions, realized settlement by settlement, of a Zionist minority in the region. It is not just to continue to supply Israel with the most advanced weapons and the most deadly arms in order that it may murder civilians, children and policemen. It is not just that we should support Israel with all our diplomatic force and financial aid, while leaving Israel’s victims to die slowly for lack of food, medicine, water and power. It is not just that we should sacrifice a dispossessed people for the security of a state that discriminates and expropriates, continually and violently ignores UN resolutions and international appeals, collectively punishes those whose right to resist occupation is recognized in international law. There is no road to peace through such injustice.

It may be that the compromise in the end will be the establishment and security of two separate states. Almost certainly, the only hope of a lasting solution is a single state in Israel/Palestine, committed to the civil and human rights of all peoples within its boundaries, irrespective of religion or ethnicity. That is, after all, the standard to which we hold all other states in the world, Israel alone excepted. But no solution at all will be possible until we hold Israel accountable for its criminal violence and its illegal acts, until we cease to supply it with the means to pursue a course of domination and expansion, with arms and warplanes, with finance and diplomatic support. In wake of the humanitarian catastrophe in Gaza, your recent expression of "deep concern" is not enough. It is time for constructive disengagement from Israel, financial, diplomatic, military. What worked in the case of South Africa, divestment and pressure, may finally work in the Middle East.

Without such justice, there will be no peace.

David Lloyd
University of Southern California
Los Angeles, January 1, 2009