Daily Digest 10/8 - Iran Inflation Continues, What The Future Holds For U.S. Energy Policy
What Deferred Prosecution Agreements really mean: Deferred Prosecution means non-prosecution and everyone knows that it means non-prosecution. The Justice Department does not prosecute large corporations anymore. This is all about removing deterrence and allowing bankers to commit crimes with impunity.
The inflation, estimated at 29 percent last week, is causing food prices to soar. Milk rose by 9 percent yesterday, and Behrouz Madani, a butcher from northwest Tehran, said that chicken, once a staple of Iranian meals, has doubled in price since last year.
In fact meat has become so expensive that it is generally considered a luxury good now.
But lending would be inhibited even if the banks were healthier. After all, small enterprises rely on collateral-based lending, and the value of real estate—the main form of collateral—is still down one-third from its pre-crisis level. Moreover, given the magnitude of excess capacity in real estate, lower interest rates will do little to revive real-estate prices, much less inflate another consumption bubble.
As euro zone finance ministers gather for their monthly meeting on Monday in Luxembourg, there is still considerable disagreement over how the fund — known officially as the European Stability Mechanism — will work and how effective it will be at raising money. There is no certainty, in other words, that the bazooka can be ready to fire in time to help countries like Spain that are already in the throes of crisis.
A Violent Prone, Poor People Zone (jdargis)
This calculus between the awful and the ordinary is always at work in Nairobi, so that one of the most dangerous things about the city is how deceptively functional it can seem. Carjackings, muggings, kidnappings, murder—Nairobi was so crime-ridden that the locals dubbed it "Nairobbery." As the matatu jerked and revved over potholes, that calculus was engineering both a traffic jam and a riot, both of which I'd get trapped in later that afternoon: for if you got caught in the traffic jam, you got caught in the riot—a riot in part sparked off by tensions between Somalis and Kenyans, their not so willing hosts.
“I was here on Tuesday night and it was $3.99,” said Paul Tek, 42, an employee at an Arco gas station in Long Beach that was selling regular gas for $4.65 a gallon on Sunday. “The next morning I get up and drive around and it was like, ‘What’s going on here?’ The prices keep going up,” he said by telephone.
What the Future Holds for U.S. Energy Policy (James S.)
Obama during the initial salvo highlighted his administration's track-record on domestic oil and gas production. The Energy Department had said drilling offshore during the first six months of the year increased 50 percent when compared to the same period in 2011. Higher domestic crude oil production, meanwhile, meant the United States should rely on foreign suppliers to meet less than 40 percent of its energy needs in 2013 for the first time since 1991.
Local politicians have also been assured that Ellison has no plans to continue with a controversial wind farm project on the island, which would have delivered power to nearby Oahu using an undersea cable.
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