There is Some Hope for America's Rail System After All!

I was just reading a Yahoo! News article on the U.S. fiscal stimulus and spending package when I stumbled across something that genuinely surprised me in the most pleasant of ways:

"In late-stage talks, Obama and Senate Majority Leader Harry Reid, D-Nev., pressed for $8 billion to construct high-speed rail lines, quadrupling the amount in the bill that passed the Senate on Tuesday. Reid's office issued a statement noting that a proposed Los Angeles-to-Las Vegas rail might get a big chunk of the money."

If it passes, perhaps this will be one of the better parts of a bill that has been lambasted by many Republicans and a surprising number of Democrats alike, although chiefly in private by the latter.

Read one of my earlier blog posts--posted on the previous page on January 30--on the wealth of benefits such rail development would have. It is truly surprising that the bigwigs on Capitol Hill have finally realized this; I will be even more surprised, however, if such a big spending increase actually passes, despite all the rhetoric.

A Banal Sign of Economic Hardship...

Three weeks ago I went to my local library and found its electronic book catalog. After searching for a "Start Your Own EBay Business" book, I wrote down four books' call numbers and went to find them.

Much to my surprise, three out of the four books have already been checked out.

And what was left was not a good book, at least that's what I gleaned after skimming its pages.

Yes, signs of mass unemployment and a protracted economic crisis.

And I don't expect to see these books back on the shelf anytime soon.

President Obama's Pitfalls

Remember the times before Barack Obama’s inauguration when pundits and typical everyday folks alike were all wondering—and vociferously debating—how long the 44th U.S. President’s honeymoon would last? Yesterday, it seems, everyone found out the answer.

Opinion polls have shown Mr. Obama’s approval rating, while still high, has fallen from 66% to 61% on February 4—a day after two more resignations were announced from Mr. Obama’s cabinet: first by Tom Daschle, later by Nancy Killefer. The former couldn’t have hurt Mr. Obama more, as Mr. Daschle, the Health and Human Services Secretary-designate, was an ostensibly indispensible part of the President’s key staff. The departure of Ms. Killefer, while considered for a lower-tier role as a “spring cleaner” of sorts (designated with overseeing government programs for waste and other minutiae), only added to the consternation felt at the White House on Tuesday. The reason for both resignations is tax evasion, although whether such actions were accidental or intentional is still a moot point. All this is in addition to the resignation of Bill Richardson before Mr. Obama’s inauguration a fortnight ago, sparked by an ongoing investigation dating back to purported behavior during his days as former governor of New Mexico.

Even more unfortunate is that these resignations could not have come at a worse time, when Congress is mulling a nearly $1 trillion stimulus package while the economy is deteriorating by the day. Such distractions—while Democrats are embarrassed just as the Republicans are furtively celebrating—do not augur well for constructive debates, to be sure. Neither does the new joke that is making rounds around Capitol Hill: “Why are Democrats always for raising taxes? Because they don’t pay any!”

But most ominous of all, perhaps, is that Mr. Obama’s rating is now just about the same as George W. Bush’s was at the same stage of his first term. He must surely be hoping for a quick reversal of this trajectory—and wishing that the blip made while initially uttering the presidential oath does not portend precisely such rueful stumbles ahead.

The Latent Cold War

Well, how quaint.

Days after meeting Russian President Dmitriy Medvedev, it became official that Kyrgyzstan's lame duck President Kurmanbek Bakiev has decided to close the U.S. Air Base near Kyrgyzstan's capital Bishkek. According to the Los Angeles Times, Russia promised Kyrgyzstan a package consisting of a $150 million aid grant, a $2 billion loan on highly favorable terms, as well as cancellation of the Central Asian state's $180 million debt. Oh, and on top of that is assistance in building a hydroelectric power plant, which will partly help Kyrgyzstan wean off its reliance on neighboring Uzbekistan for energy.

So, after the recent flurry of rumors swirling around the imminent closure of the U.S. Manas Air Base in Kyrgyzstan, it appears that closure is the name of the game after all. This is a key development in international affairs, for Moscow's, er, Bishkek’s successful shutting down of the U.S. base in this strategic Central Asian country--indeed, one very close to Afghanistan--means that the U.S. will lose its only base in all of Central Asia.

Russia already has a base in Kyrgyzstan. It is located in Kant—not too far from the site of the U.S. Manas base. In six months, Russia's base will be the only one left in this Central Asian state.

The U.S. was paying Kyrgyzstan millions of dollars per annum for using the base, but apparently Russia's terms were too sweet to pass up.

With the next presidential elections in Kyrgyzstan due sometime next year, a lot can change until then. But don't expect Moscow's support to result in a significant improvement in the standard of living in one of the world’s most corrupt countries.

Hitherto, Kyrgyzstan was considered a relative paragon of freedom, though relative is the key word here: Central Asia has authoritarian regimes in all of its former Soviet republics. By those standards, Kyrgyzstan was, as the region's best political reformer, an exemplar, but in recent year's President Bakiev has reversed many of those gains. Indeed, since coming to power in the spring of 2005 during the country's so-called Tulip Revolution, locals seem to think that things are now getting worse, not better, and not only as it concerns freedom of speech, but first and foremost in the economy.

Thus, it isn't so surprising that Mr. Bakiev is cuddling up to Moscow. Perhaps he is thinking that if it isn't possible to secure a clear majority in free and fair elections, boasted by Moscow's dollops of aid in the interim, than Moscow will at least be duly willing to recognize the elections as democratic regardless of what the Organization for Cooperation and Security in Europe (OSCE) election watchdog group says. On that note he is certainly correct.

However, winning such an election will not make him any more popular among his own people, who may well prove again that the ultimate result of elections rests with them, irrespective of the likely machinations by the government elite.

Alas, as is all too common in post-Soviet politics, authorities seem too nearsighted to recognize this threat until it is too late.

Déjà vu

I finally had a chance to watch “Milk,” a highly acclaimed movie that has generally been given an “A” rating by pundits. It is a touching story of California’s first openly gay elected official, Harvey Milk, and the gay rights movement in San Francisco’s infamous Castro district, the state of California, and the greater U.S. in the 1970s. Though the movie is a bit long, I didn’t look at my watch once—it was that good. Very interesting, touching, and, best of all, it’s a true story. Highly recommended.

Interestingly enough, while Harvey Milk was California’s first openly gay official, Iceland has been making news again in a similar sort of way. Indeed, Prime Minister Johanna Sigurdardottir (pictured right), having replaced the outgoing Geir Haarde, last week became the world’s first openly homosexual head of state.

China's Economic Malaise

Wow, what a drastic turn of events.

Just last summer, prominent economists were saying that it is quite plausible that China's economy would decouple from that of the U.S. and Europe, thereby not simply surviving the global financial crisis, but walking away unscathed.

What a different six months make.

In fact, what a difference a day makes.

Reading the comments of Chinese Prime Minister Wen Jiabao (caricatured) in a special Financial Times interview yesterday, he emphasized economic growth, noting that some 12 million Chinese have returned back to their rustic life, having recently been made redundant.

Well, today's issue of the Financial Times notes that the newest figures from Beijing, released yesterday, portend a much gloomier picture: some 20 million have lost their jobs, and more jobs are likely to be shed in future months.

Quite understandably, Beijing is wary of public dissatisfaction, especially from its millions of restive, young graduates who may have problems finding jobs this year. China's giant stimulus package will try to counter their unhappiness, but will it be enough?

Time will tell, but it doesn't seem that time is on China's side, at least not at the moment. By having to achieve annual growth of at least 8 percent this year so that enough jobs are kept or created for its expanding population, China faces a tough road ahead.

FREE Denny's Grand Slam Breakfast until 2 p.m. TODAY!

That's right, for those of you who haven't heard, Denny's is giving away its famous Grand Slam Breakfast for free. Unfortunately, and not surprisingly, this offer is only valid today (Tuesday, February 3), and from 6 a.m. until 2 p.m. at that. Still, what a delicious bargain! Hurry up, only two hours left!...