Showing posts with label Solar Flare. Show all posts
Showing posts with label Solar Flare. Show all posts

Monday, June 1, 2009

Eeyore's News and view

Profound shift in kind of families who are home schooling their children
Parents who home-school children increasingly are white, wealthy and well-educated — and their numbers have nearly doubled in a decade, a new federal government report says.
What else has nearly doubled? The percentage of girls who are home-schooled. They now outnumber home-schooled boys by a wide margin.
As of spring 2007, an estimated 1.5 million, or 2.9% of all school-age children in the USA, were home-schooled, up from 1.7% in 1999.
The new figures come from the U.S. Department of Education, which found that 36% of parents said their most important reason for home schooling was to provide "religious or moral instruction"; 21% cited concerns about school environment. Only 17% cited "dissatisfaction with academic instruction."
Perhaps most significant: The ratio of home-schooled boys to girls has shifted significantly. In 1999, it was 49% boys, 51% girls. Now boys account for only 42%; 58% are girls.
That may well be a result of parents who are fed up with mean-girl behavior in schools, says Henry Cate, who along with his wife home-schools their three daughters in Santa Clara, Calif. "It's just pushing some parents over the edge," says Cate, who writes the blog Why Homeschool.
Home schooling has grown most sharply for higher-income families. In 1999, 63.6% of home-schooling families earned less than $50,000. Now 60.0% earn more than $50,000.
Cate says many highly educated, high-income parents are "probably people who are a little bit more comfortable in taking risks" in choosing a college or line of work. "The attributes that facilitate that might also facilitate them being more comfortable with home-schooling."
Among the other findings:
• 3.9% of white families home-school, up from 2% in 1999.
• 6.8% of college-educated parents home-school, up from 4.9% in 1999.
Michelle Blimes home-schools her three daughters in Orem, Utah. Initially it was for academics, and now she sees social benefits. "They should be able to enjoy playing and being kids before being thrown into the teen culture," Blimes says.
http://www.usatoday.com/news/education/2009-05-28-homeschooling-report_N.htm

WHO chief says world should prepare for severe flu
By Laura MacInnis and Stephanie Nebehay Laura Macinnis And Stephanie Nebehay
Sun May 24, 1:26 am ET
GENEVA (Reuters) – Countries should be ready for more serious H1N1 flu
infections and more deaths from the newly discovered virus, World Health
Organization chief Margaret Chan said on Friday.
The highly contagious strain must be closely monitored in parts of Asia,
Africa and South America where the winter season is beginning in case it
mixes with seasonal flu and mutates in "unpredictable ways," Chan told the
closing session of her United Nations agency's annual congress.
"In cases where the H1N1 virus is widespread and circulating within the
general community, countries must expect to see more cases of severe and
fatal infections," she said. "We do not at present expect this to be a
sudden and dramatic jump in severe illness and deaths."
In the WHO's latest tally, the strain has infected more than 11,000 people
in 42 countries and killed 86.
Chan told the end of the week-long World Health Assembly that poorer
countries need to quickly improve their monitoring for the new flu, which
has caused mainly mild symptoms in most patients but could become more
serious as it spreads.
"This is a subtle, sneaky virus," she said. "We have clues, many clues,
but very few firm conclusions."
Another senior WHO official, Keiji Fukuda, later told a news conference
the United Nations agency was rethinking its criteria for declaring a full
H1N1 pandemic is underway to factor in its severity as well as its
geographical spread.
"What we are looking for and what we will be looking for is something,
events, which signify a really significant increase in risk of harm to
people," said Fukuda, acting WHO assistant director-general.
The WHO's global flu alert is currently at level 5 out of 6, meaning that
a pandemic is "imminent."
Officials from the WHO's 193 member states have been pushing this week for
an altered definition of a Phase 6 pandemic to reduce the risk of
unnecessary public panic.
"The bottom line here is we are trying to walk a very fine line between
not raising panic but also not becoming complacent," Fukuda said, adding
that criteria would be reviewed now that the assembly had ended.
The WHO's current rulebook requires a full pandemic to be declared once
the air-borne virus is spreading in a sustained way in two regions of the
world. The H1N1 strain has been most prevalent in North America and has
also caused growing pockets of infection in Japan, Spain and Britain.
Chan said there was little real difference between the WHO's current
pandemic alert level of 5 and the highest of 6 in terms of preparedness
measures taken, and she would consult experts before opting to raise it
again.
"The decision to declare an influenza pandemic is a responsibility and a
duty that I take very, very seriously," she said. "I will consider all the
scientific information available. I will be advised by the emergency
committee."
The WHO expects that by the end of May, laboratories will be able to send
candidate viruses to drug companies to be tested as vaccine viruses,
according to Fukuda.
"We are hopeful that by the end of June, by the beginning of July, this
will be the time when commercial companies will be in the position of
beginning to, or being able to make H1N1 vaccine," he said.
While the new flu virus dominated their meeting, officials also passed
resolutions on the need to improve treatment of multi-drug-resistant
tuberculosis and prepare for a surge in diseases including mosquito-borne
malaria due to global warming.
http://frc4u.org/phpbb/index.php?topic=1280.msg3266#new

Zoellick Warns Stimulus ‘Sugar High’ Won’t Stem Unemployment
May 30 (Bloomberg) -- World Bank President Robert Zoellick warned policy makers that fiscal-stimulus plans are insufficient to turn around the “real economy” and rising joblessness threatens to set off political unrest across the globe.
“While the stimulus has given an impulse, it’s like a sugar high unless you eventually get the credit system working,” Zoellick said in an interview yesterday with Bloomberg Television’s “Political Capital with Al Hunt.” “When unemployment increases, that’s probably the most political combustible issue.”
Zoellick’s caution is a contrast with private economists, who are raising their outlooks for growth from India to China as stimulus measures take effect. The biggest developed and emerging nations have committed spending increases and tax cuts totaling 2 percent of their combined economies, a level the International Monetary Fund recommended to end the recession.
The World Bank is monitoring private companies’ abilities to roll over “a lot” of debt in the developing world, Zoellick said. At the same time, he played down risks to the global recovery posed by rising U.S. Treasury yields, saying that “in terms of absolute levels, rates are still pretty low for most players.”
Zoellick also said that the dollar will remain the world’s main currency “for a long time,” and noted that investors flocked to the dollar as a haven during the worst parts of the financial crisis.
Reagan, Bush Terms
Zoellick, 55, took the helm of the World Bank in 2007, and served as U.S. deputy secretary of state and chief trade negotiator in the Bush administration, and in positions at the Treasury Department under President Ronald Reagan. At State, he played a central role in formulating policy toward China, before departing government for a stint at Goldman Sachs Group Inc.
Chinese officials’ comments calling for a new international currency have been “over-read” and may be more of an indication of the nation’s desire to free up its capital flows, Zoellick said. He added that China’s stimulus has helped stoke growth In the nation that “may even beat expectations a little bit.”
China this year approved a $585 billion (4 trillion yuan) stimulus plan, and the U.S. is now implementing a $787 billion package of tax cuts and spending that President Barack Obama signed in February.
“Right now, the international system appears to have a sufficient amount of stimulus,” Zoellick said. “The danger is if you spend too much government money, you create a different problem.”
Yields Climb
Benchmark 10-year U.S. Treasury yields have climbed about 1.25 percentage point so far this year to 3.46 percent, reflecting in part some investors’ concerns at faster inflation and record budget deficits. Rates on 30-year fixed mortgages exceeded 5 percent. Still, Zoellick noted that in recent days there’s been “unwinding” of some of investors’ concerns.
“In terms of financial markets, I think people have broken the fall,” Zoellick said. What’s needed now is to “focus on how to recapitalize banks and deal with the bad assets -- that’s a story that’s still going forward.”
In the U.S., Treasury Secretary Timothy Geithner aims to use money from the $700 billion financial-rescue fund to help kick-start a $1 trillion effort to remove devalued loans and securities from banks’ balance sheets. The first transactions for mortgage securities aren’t expected to start for months.
Eastern Europe is one region in particular danger of a further economic decline, the World Bank president said.
Eastern Europe
“The nature of integration over the past 20 years has been unwound somewhat,” Zoellick said. He warned about “the danger of unemployment leading to protectionism as politicians sort of feel they run out of different levers.”
Eastern European nations have received more than $90 billion in international aid since September to prevent the countries shaken by the financial crisis from defaulting. Nations that have received bailouts include Romania, Hungary, Belarus, Serbia, Latvia and Ukraine.
Credit ratings companies have downgraded the outlooks for banks in the Czech Republic, Ukraine and Kazakhstan.
Foreign lenders in Romania and Hungary pledged this month to keep doing business there to help the economies weather the economic turbulence. Romanian banks, about 90 percent foreign- owned, agreed to boost their capital by a total of 1 billion euros ($1.4 billion) by March 2010 as overdue debt rises, the IMF said on May 22.
Protectionist Threat
Another threat is trade protectionism, which nations may resort to in order to protect their industries from the global slump, Zoellick said.
“The real danger is that you get into a cycle of retaliation,” he said. He estimated that 17 of the Group of 20 emerging and developing nations are considering or imposing restrictions on trade, breaking a pledge they made during an April 2 summit in London.
The World Trade Organization in March predicted a 9 percent drop in global commerce this year.
China and Brazil are researching how they can conduct trade in the yuan and real, in a signal they’re seeking to reduce their reliance on the dollar.
“You could -- and you’ve already seen this over the past 20 years -- have multiple currencies” used in the global system, Zoellick said. “You will see China and India playing a larger role, including in financial markets.”
Still, he added that “I just don’t believe it’s going to supplant the U.S. as a reserve currency.”
http://www.bloomberg.com/apps/news?pid=20601087&sid=aZMsPVTXn9I8&refer=worldwide

New Solar Cycle Prediction
May 29, 2009: An international panel of experts led by NOAA and sponsored by NASA has released a new prediction for the next solar cycle. Solar Cycle 24 will peak, they say, in May 2013 with a below-average number of sunspots.
"If our prediction is correct, Solar Cycle 24 will have a peak sunspot number of 90, the lowest of any cycle since 1928 when Solar Cycle 16 peaked at 78," says panel chairman Doug Biesecker of the NOAA Space Weather Prediction Center.
Right: A solar flare observed in Dec. 2006 by NOAA's GOES-13 satellite.
It is tempting to describe such a cycle as "weak" or "mild," but that could give the wrong impression.
"Even a below-average cycle is capable of producing severe space weather," points out Biesecker. "The great geomagnetic storm of 1859, for instance, occurred during a solar cycle of about the same size we’re predicting for 2013."
The 1859 storm--known as the "Carrington Event" after astronomer Richard Carrington who witnessed the instigating solar flare--electrified transmission cables, set fires in telegraph offices, and produced Northern Lights so bright that people could read newspapers by their red and green glow. A recent report by the National Academy of Sciences found that if a similar storm occurred today, it could cause $1 to 2 trillion in damages to society's high-tech infrastructure and require four to ten years for complete recovery. For comparison, Hurricane Katrina caused "only" $80 to 125 billion in damage.
The latest forecast revises an earlier prediction issued in 2007. At that time, a sharply divided panel believed solar minimum would come in March 2008 followed by either a strong solar maximum in 2011 or a weak solar maximum in 2012. Competing models gave different answers, and researchers were eager for the sun to reveal which was correct.
"It turns out that none of our models were totally correct," says Dean Pesnell of the Goddard Space Flight Center, NASA's lead representative on the panel. "The sun is behaving in an unexpected and very interesting way."
Researchers have known about the solar cycle since the mid-1800s. Graphs of sunspot numbers resemble a roller coaster, going up and down with an approximately 11-year period. At first glance, it looks like a regular pattern, but predicting the peaks and valleys has proven troublesome. Cycles vary in length from about 9 to 14 years. Some peaks are high, others low. The valleys are usually brief, lasting only a couple of years, but sometimes they stretch out much longer. In the 17th century the sun plunged into a 70-year period of spotlessness known as the Maunder Minimum that still baffles scientists.
Right now, the solar cycle is in a valley--the deepest of the past century. In 2008 and 2009, the sun set Space Age records for low sunspot counts, weak solar wind, and low solar irradiance. The sun has gone more than two years without a significant solar flare.
"In our professional careers, we've never seen anything quite like it," says Pesnell. "Solar minimum has lasted far beyond the date we predicted in 2007."
In recent months, however, the sun has begun to show timorous signs of life. Small sunspots and "proto-sunspots" are popping up with increasing frequency. Enormous currents of plasma on the sun’s surface ("zonal flows") are gaining strength and slowly drifting toward the sun’s equator. Radio astronomers have detected a tiny but significant uptick in solar radio emissions. All these things are precursors of an awakening Solar Cycle 24 and form the basis for the panel's new, almost unanimous forecast.
According to the forecast, the sun should remain generally calm for at least another year. From a research point of view, that's good news because solar minimum has proven to be more interesting than anyone imagined. Low solar activity has a profound effect on Earth’s atmosphere, allowing it to cool and contract. Space junk accumulates in Earth orbit because there is less aerodynamic drag. The becalmed solar wind whips up fewer magnetic storms around Earth's poles. Cosmic rays that are normally pushed back by solar wind instead intrude on the near-Earth environment. There are other side-effects, too, that can be studied only so long as the sun remains quiet.
Meanwhile, the sun pays little heed to human committees. There could be more surprises, panelists acknowledge, and more revisions to the forecast.
"Go ahead and mark your calendar for May 2013," says Pesnell. "But use a pencil."
http://science.nasa.gov/headlines/y2009/29may_noaaprediction.htm

Obama Lifts Ban on Lobbyists! Back to Business as Usual
By Warner Todd Huston Saturday, May 30, 2009
Roll Call is reporting that during the typical Friday afternoon document dump — a practice used to hide actions that might prove somewhat embarrassing to the White House — the administration quietly announced that some of the former restrictions on lobbying ballyhooed about during the late campaign have been lifted.
Let special interests ring!
Roll Call (see here, but subscription is required) says that the administration lifted bans on lobbyists that have some part of spending “stimulus” funds. So now getting hooks into bloated federal spending is open season for the very lobbyists that Obama pretended to disdain only months ago.
So much for hopinchange.
The ban on oral communication now applies only to competitively bid applications on the stimulus package and it applies equally to lobbyists as well as non-lobbyists, according to a White House blog post written by ethics official Norm Eisen.
Additionally, the administration is still also pretending at “transparency” because one of the new rules is that there be “immediate internet disclosure” of this renewed contact that lobbyists are to have with federal agencies. Not that such a thing is anywhere near de rigueur at this point… but, um, you know how hard The One is working, right?
So why the reverse? According to Roll Call:
The decision to change the policy follows the 60-day review period that the Obama administration set for the Office of Management and Budget to review the new lobbying rules. Several watchdog groups and lobbying entities, including the U.S. Chamber of Commerce, the American League of Lobbyists and the AFL-CIO, raised concern over the recently imposed rules.
So, I guess the hopinchangieness wasn’t as hopey and changie as it was once imagined?
http://frc4u.org/phpbb/index.php?topic=1531.msg3286#new

Tuesday, January 13, 2009

Eeyore's News and View

Fed predicts economy will get worse
In the minutes from its last meeting, the central bank said it expects GDP to decline in 2009 and unemployment to rise into 2010.
By Chris Isidore, CNNMoney.com senior writer
Last Updated: January 6, 2009: 7:12 PM ET
NEW YORK (CNNMoney.com) -- The U.S. economy is likely to deteriorate further this year and unemployment will rise into 2010, according to the latest forecasts from the staff of the Federal Reserve.
This bleak forecast was presented to Fed policymakers when they met last month and lowered interest rates to near zero. Low interest rates are one key tool the central bank uses to try to spur economic activity.
According to the minutes from that meeting, the central bank is now predicting that gross domestic product, the broadest measure of economic activity, will fall in 2009.
"I think that the Fed is really very scared right now -- like everybody else -- and they want to pull out all the stops," said David Wyss, chief economist for Standard & Poor's.
The Fed indicated that most members at its meeting expected a slow recovery to begin in the second half of the year, but that unemployment would still rise "significantly" into 2010.
Employers cut 1.9 million jobs over the first 11 months of 2008, which took the unemployment rate up to 6.7%. The December report will be released by the Labor Department Friday and economists surveyed by Briefing.com expect a loss of 475,000 jobs and that the unemployment rate will rise to 7%, which would mark a 15-year high.
The Fed cited a multitude of problems dragging down the economy besides rising unemployment, including stock market declines, low consumer confidence, weakened household balance sheets and tight credit conditions. It said business spending is also likely to fall due to weak retail sales and the credit crunch.
In addition, some members of the Fed expressed concerns that the economy could worsen even more than currently expected.
"Meeting participants generally agreed that the uncertainty surrounding the outlook was considerable and that downside risks to even this weak trajectory for economic activity were a serious concern," the Fed said in the minutes.
If the current recession, which began in December 2007, lasts throughout 2009, that would make it the longest U.S. economic downturn since the Great Depression.
Wyss said he thinks there is now little debate among policymakers about the problems in the economy and the need to take unprecedented action.
"They're already jumping, they're just asking how high," said Wyss.
The minutes also showed that some Fed members are now more worried about the threat posed by deflation, or falling prices, than they are about inflation. Deflation can slow economic activity dramatically since it could lead to businesses to cut their production plans in the wake of lower prices.
The Fed also revealed more details about other moves it plans to make to boost the economy now that it has lowered rates as far as it can.
According to the minutes, the Fed anticipates completing previously announced purchases of $600 billion in debt and mortgage backed securities from firms such as Fannie Mae and Freddie Mac by the end of June 2009. The plan to buy back these securities has already helped to lower mortgage rates in recent weeks.
First Published: January 6, 2009: 2:24 PM ET
http://money.cnn.com/2009/01/06/news/ec ... /index.htm

Was this economic crisis planned?
Posted: January 07, 2009
1:00 am Eastern
Barack Obama's White House chief of staff, Rahm Emanuel, told business leaders assembled by the Wall Street Journal in November that the economic crisis facing the country is "an opportunity to do things you could not do before."
That has to be one of the most chilling statements I have ever heard uttered by an American political official in my lifetime.
It ranks right up there with the transparent arrogance of Clinton administration hotshot Paul Begala's July 1998 explanation of the use of executive orders by the president to go over the heads of Congress: "Stroke of the pen. Law of the land. Kinda cool."
But there was even more to this quote from Emanuel. He followed up that scary and yet candid statement with this: "You never want a serious crisis to go to waste."
Every so often, an insider among the power brokers in our establishment elite let's slip an extremely telling remark. I suspect Emanuel meant exactly what he said – though he probably wishes he could take it back.
Why is it that Emanuel and other members of the Obama administration seem downright giddy about the collapse of our economy? Could it be more than the fact that it led them to power? Do they believe they can use this crisis to push through unconstitutional, immoral and draconian anti-freedom measures that will help them maintain control and power under the cover of crisis?
And, if so, is it possible this dire economic calamity was at least partly engineered by insiders from the beginning – for the purpose of enriching the elite and turning the rest of us into serfs?
I'm beginning to open my mind to just such a possibility.
It is certainly not without precedent. Way back in 1928, Edward Bernays wrote in his work, "Propaganda," the following: "The conscious and intelligent manipulation of the organized habits and opinions of the masses is an important element in democratic society. Those who manipulate this unseen mechanism of society constitute an invisible government, which is the true ruling power in our country. We are governed, our minds are molded, our tastes formed, our ideas suggested, largely by men we have never heard of."
Is there any doubt in your mind there is at least some truth to that statement? Is there any doubt in your mind that we can see at least some truth in that statement in American society today?
Could we have been manipulated into this financial crisis for economic gain and political power for the few? Just do some serious reading about the Great Depression if you have any doubts.
Treasury Secretary Henry Paulson, who works so well with Republicans and Democrats alike, worked with Goldman Sachs for more than two decades before ascending to his government position – and taking a huge pay cut in the process. If anyone was in a position to be one of the architects of this disaster, it was he.
He earned some $800 million during his years with Goldman Sachs. Why does someone give up that kind of wealth to become a federal government bureaucrat? Is he, in fact, still doing the bidding of his former cronies at the expense of U.S. taxpayers today?
By the end of last month, Paulson and Fed Chairman Ben Bernanke had engineered loans, pledges and guarantees of more than $7.4 trillion to the financial elite that was responsible for creating the economic crisis in which we find ourselves today:
March 11: $200 billion in loans to financial institutions
March 16: $29 billion in loans to J.P. Morgan Chase
July 30: $300 billion housing bill
Sept. 7: $200 billion for the U.S. Treasury to assume Fannie Mae and Freddie Mac's debt
Sept. 16: $85 billion to AIG and $70 billion injected into the financial system
Sept. 19: $50 billion pledged to support Money Market funds
Sept. 29: $150 billion made available to U.S. banks and $330 billion made available to foreign banks
Oct. 3: $700 billion in Paulson's bailout package
Oct. 7: $1.3 trillion in purchase debt from companies
Oct. 8: $38 billion in additional loans to AIG
Oct. 14: $1.4 trillion in FDIC guarantees of interbank loans
Nov. 24: $20 billion loaned to Citigroup with the Treasury Department assuming responsibility for 90 percent of Citigroup's $306 billion in debt
Nov. 25: $600 billion in loans for mortgage-backed assets and $200 billion in loans for consumer-backed assets
There's likely a lot more of this on the way.
Is any of it working? Is the economy better off today than it was before this spending spree? If you want an answer, just try getting a loan.
I don't like conspiracy theories, but we sure have a lot of people in positions of power who see crises as opportunities.
They don't mean opportunities for you.
They mean opportunities for them.
http://worldnetdaily.com/index.php?fa=P ... geId=85438

Powerful Solar Storm Could Shut Down U.S. for Months
Damage to power grids and other communications systems could be catastrophic, the scientists conclude, with effects leading to a potential loss of governmental control of the situation.
The prediction is based in part on a major solar storm in 1859 that caused telegraph wires to short out in the United States and Europe, igniting widespread fires.
It was perhaps the worst in the past 200 years, according to the new study, and with the advent of modern power grids and satellites, much more is at risk.
"A contemporary repetition of the [1859] event would cause significantly more extensive (and possibly catastrophic) social and economic disruptions," the researchers conclude.
When the sun is in the active phase of its 11-year cycle, it can unleash powerful magnetic storms that disable satellites, threaten astronaut safety, and even disrupt communication systems on Earth.
The worst storms can knock out power grids by inducing currents that melt transformers.
Modern power grids are so interconnected that a big space storm — the type expected to occur about once a century — could cause a cascade of failures that would sweep across the United States, cutting power to 130 million people or more in this country alone, the new report concludes.
Such widespread power outages, though expected to be a rare possibility, would affect other vital systems.
"Impacts would be felt on interdependent infrastructures with, for example, potable water distribution affected within several hours; perishable foods and medications lost in 12-24 hours; immediate or eventual loss of heating/air conditioning, sewage disposal, phone service, transportation, fuel resupply and so on," the report states.
Outages could take months to fix, the researchers say. Banks might close, and trade with other countries might halt.
"Emergency services would be strained, and command and control might be lost," write the researchers, led by Daniel Baker, director of the Laboratory for Atmospheric and Space Physics at the University of Colorado in Boulder.
"Whether it is terrestrial catastrophes or extreme space weather incidents, the results can be devastating to modern societies that depend in a myriad of ways on advanced technological systems," Baker said in a statement released with the report.
Stormy past
Solar storms have had significant effects in modern time:
— In 1989, the sun unleashed a tempest that knocked out power to all of Quebec, Canada.
— A remarkable 2003 rampage included 10 major solar flares over a two-week period, knocking out two Earth-orbiting satellites and crippling an instrument aboard a Mars orbiter.
"Obviously, the sun is Earth's life blood," said Richard Fisher, director of the Heliophysics division at NASA. "To mitigate possible public safety issues, it is vital that we better understand extreme space weather events caused by the sun's activity."
"Space weather can produce solar storm electromagnetic fields that induce extreme currents in wires, disrupting power lines, causing wide-spread blackouts and affecting communication cables that support the Internet," the report states. "Severe space weather also produces solar energetic particles and the dislocation of the Earth's radiation belts, which can damage satellites used for commercial communications, global positioning and weather forecasting."
Rush to prepare
The race is on for better forecasting abilities, as the next peak in solar activity is expected to come around 2012.
While the sun is in a lull now, activity can flare up at any moment, and severe space weather — how severe, nobody knows — will ramp up a year or two before the peak.
Some scientists expect the next peak to bring more severe events than other recent peaks.
"A catastrophic failure of commercial and government infrastructure in space and on the ground can be mitigated through raising public awareness, improving vulnerable infrastructure and developing advanced forecasting capabilities," the report states. "Without preventive actions or plans, the trend of increased dependency on modern space-weather sensitive assets could make society more vulnerable in the future."
The report was commissioned and funded by NASA. Experts from around the world in industry, government and academia participated. It was released this week.
http://www.foxnews.com/story/0,2933,478024,00.html

That cheap gasoline? Don’t get used to it

Analysts see scene being set for another set of oil price shocks next year
updated 8:32 a.m. ET, Wed., Jan. 7, 2009
HOUSTON - All that money you're saving these days at the gas pump? You might want to put it in the bank.
The same cheap oil that's providing relief to drivers and businesses in an awful economy is setting the stage for another price spike, perhaps as soon as next year, that will bring back painful memories of last summer's $4-a-gallon gas.
The oil industry is scaling back on exploration and production because some projects don't make economic sense when energy prices are low. And crude is already harder to find because more nations that own oil companies are blocking outside access to their oil fields.
When the world emerges from the recession and starts to burn more fuel again, and higher demand meets lower supply, prices will almost certainly shoot higher.
Some analysts say oil could eventually eclipse $150 a barrel, maybe even on its way to $200. In such a scenario, gasoline would easily cost more than the record high of $4.11 a gallon set last summer. Oil trades at about $50 today.
No one knows for sure, but some analysts say the spike could happen as soon as next year, perhaps in 2011 or 2012.
"I think those supply limits will come back to bite with a vengeance," said Sean Brodrick, a natural resources analyst at Weiss Research Inc.
High prices at the pump last summer — more than $4 per gallon for gas on average — helped slash demand for oil. From November 2007 to October 2008, Americans drove 100 billion fewer miles than the year before, according to government figures. The nation's biggest automakers lurched toward bankruptcy as sales of sport utility vehicles and trucks plummeted.
"We wouldn't be bailing out the automobile industry today ... had we not had this crazy situation with oil prices," said Daniel Yergin, chairman of Cambridge Energy Research Associates, a consulting firm, and author of "The Prize," the Pulitzer Prize-winning history of the oil industry.
Oil giants like Exxon Mobil, Chevron and ConocoPhillips have yet to announce their 2009 capital spending plans, but analysts say even the cash-rich companies are likely to shelve some projects.
Already, Royal Dutch Shell has postponed a near-doubling of production in Canada's oil sands — an operation that analysts say only makes economic sense when oil is about $20 a barrel more expensive than it is now. Marathon Oil says it expects to cut capital spending by 15 percent in 2009.
Brodrick said canceled or postponed oil and gas projects could contribute to a drop of 7 percent or more in global oil production this year.
Smaller oil producers could cut spending by 30 percent, said Oppenheimer & Co. analyst Fadel Gheit. The majority of U.S. crude and natural gas is supplied by smaller, independent companies, not the Exxons and Chevrons, and smaller producers have been forced to pull back because of frozen credit markets.
All this comes as the Organization of Petroleum Exporting Countries, which controls about 40 percent of world crude supplies, embarks on its biggest single production cut ever.
It adds up to another round of price shocks for consumers that's probably inevitable, said Bruce Vincent, president of Houston-based Swift Energy Co., an independent producer.
"Demand will start growing, supply will start coming down, and you'll have that intersect again where prices will take off dramatically," Vincent said. "(But) it's not healthy for the economy. It's not healthy for the industry."
Already, the futures markets are pricing in more expensive oil. While a barrel of light, sweet crude for February delivery costs about $50, the market for September oil is already over $60.
Big Western oil companies like Exxon and ConocoPhillips have also been cut off from crude reserves under the control of nationalized oil companies from Saudi Arabia to Venezuela.
Late last year, the International Energy Agency said it will take more than a trillion dollars in annual investments to find new fossil fuels over the next two decades in order to avoid shortages that could choke the global economy.
When the world economy recovers from the current malaise, "Are we going to get another one of these violent cycles where prices overshoot and you get back in the same spiral?" asked Yergin. "Some volatility is inevitable in global commodity markets, but this kind of extreme volatility is bad for everyone. It creates deep wounds."
Another part of the problem, said Judy Dugan, research director for the nonprofit Consumer Watchdog, is that oil companies didn't invest enough in new exploration over the past several years, as they raked in billions in profits.
"They're screaming, 'Drill, baby, drill,' but they didn't invest anywhere near where they should have been investing when prices were high," she said. "Now that prices have crashed, they say prices are too low, knowing full well prices are going to go back up."
http://www.msnbc.msn.com/id/28527108/

Waiter arrested for playing Arabic recording at Jewish wedding
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A waiter was charged with felony harassment after he played a recording of people chanting in Arabic at a Jewish wedding on Long Island, Newsday reports.
Stephen "Buttafuoco has said he didn't know that his cell-phone recording of a pro-Palestinian rally, which he was playing for a friend, was also being broadcast over the reception hall's sound system for hundreds of guests at the Woodbury Jewish Center on early on the morning of Jan. 4," the paper says. "Police say those who heard it became alarmed that a terrorist attack was imminent."
Buttafuoco, 23, pleaded not guilty to the hate-crime charge.
"The actions that I took were not very well thought through, but they were definitely not intended to be malicious in any way, shape or form," he tells the Daily News. "I feel horrible."
http://blogs.usatoday.com/ondeadline/2009/01/waiter-arrested.html

City Folk Flock To Raise Small Livestock At Home
All Things Considered, January 10, 2009 · If you picked up a carton of eggs at the store this week, they probably set you back about $1 or $1.50. The organic, cage-free kind costs more like $3. But some urban and suburbanites are skipping the store entirely when it comes to things like eggs and honey and turning instead to their own backyards.
Whether from tighter food budgets or local-eating ideals, more and more people are petitioning their cities to allow small animal husbandry.
City dwellers are accustomed to being awakened at night by the occasional siren or the roar of a low-flying jet. But the nocturnal disturbances in a Denver neighborhood have a slightly more agrarian feel.
Cutting-Edge 'Locavores'
A rooster belts out a cry from one of the yards, where the homeowners also keep a pair of geese in a converted sun porch. What they don't have, however, are any permits for their minor menagerie. Denver does allow chickens for an annual fee. Roosters, though, are entirely outlawed.
So it's understandable that the homeowner, Brad, doesn't want his last name used.
Many of the folks pushing for urban livestock ordinances do so because of trendy modern ideas about sustainability and local food. They're known as "locavores."
Brad says he simply loves chickens.
He says he had them as a boy in the countryside and just kept on raising them even after moving to Los Angeles as a teenager.
"So I was walking around L.A. streets with a Rhode Island Red and people would say, 'Whoa, my god that's a beautiful bird! What is it?' 'Oh, it's a chicken.' 'A chicken?!' You know, city folks, never seen 'em before," Brad says.
That seems to be changing. Forget growing your own vegetables — cutting-edge locavores are now pushing backyard honey, eggs and milk. Researchers with the American Planning Association say that in the past six months they've fielded more questions about livestock ordinances than almost any other topic.
Chickens As Rock Stars
Colorado zoning consultant Christopher Duerksen is trying to simplify some of the answers. He's putting together a model sustainability code for cities trying to green up their rules.
Asked how city planners tend to react when they hear the word "chicken," Duerksen quips: "They tend to squawk. I think most planners, like most people, don't think of urban areas as food producing areas, but that's changing with the cost of food and questions about the health of food. And so we're seeing a real change in mindset among urban planners."
This means residents can now keep bees in Denver or raise a mini-goat in Seattle. But the real rock stars of this movement are chickens.
Urban livestock researcher Jennifer Blecha says that in recent years a dozen or more cities annually have joined the pro-chicken flock. And she says chicken advocates are starting to get more organized.
"When I over the last year or two have done presentations at various conferences on urban agriculture," Blecha says,"a swarm of people comes afterward and says, 'I'm from Cleveland and we need to get our regulations changed, can you please help?' 'Oh, we're from here and we're trying to get our regulations changed, could you give me some advice?'"
Some municipalities have bucked the agrarian trend. Just north of Denver, the planning board for the city of Longmont, Colo., recently gave the thumbs-down to a chicken ordinance. According to Jon Van Bentham, the board chairman, concerns ranged from unsightly chicken-coop construction to noise and smell, to slightly more dire topics.
"Avian flu came up," Van Bentham says. "Again, that's maybe kind of a nightmare scenario, but that's one of the places where folks are concerned that it comes from."
But backyard farmers seem to have one ace in the hole for answering any local objections: bribery. Plenty of Brad's eggs, for example, end up on his neighbors' breakfast plates.
"I ask them every now and then if it's bothering them and they say, 'Oh no, it doesn't bother us at all and besides, you wouldn't mess with the one that feeds ya," Brad says.
For the record, no eggs — goose, chicken or otherwise — changed hands in the reporting of this story.
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