Monthly Archives: April 2011

Of Arab Revolutions

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Last quarter, I wrote a paper detailing the winter’s Arab revolutions from a mass communication perspective. It’s hard to miss their role as none of it would have been possible without the young people of Tunisia and Egypt and their use of mobile phones and internet social networks.

Next week, I’ve been asked to lead a panel discussion based around the role that information and communication technologies played in these revolutions. So after a month and a half off, I am back swimming with Syrian protesters as well as those triumphant in Yemen.

I plan on posting some of the paper as well as the accompanying Powerpoint soon. In the meantime, witness Iran’s problem now as their meddling has come home to roost in Syria, their only real ally in the region.


The Great Recession, a Breakdown

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There were a lot of things that came together at one time to cause the Great Recession. Among them…

After Sept 11, to keep the economy going, interest rates were cut to the bone where they have remained for nearly a decade.

Funds looking for “safe” returns that used to be able to grow from that interest were forced to look elsewhere.

Meanwhile, small banks were realizing that they could make loans, then sell those loans to bigger banks thereby making easy money.

Midsized banks realized they could buy loans from small banks, sell them to large banks and make a tidy profit.

Large banks began to learn that they could buy loans from medium sized banks, sell them to funds and make a tidy profit.

Large banks realized that funds are risk adverse, to they used the ratings agencies that they fund to have the loans vetted as solid, secure investments.

At the SEC, Bush appointees couldn’t be bothered to keep an eye out because they were attending children’s birthday parties (re: This American Life).

TV shows began running on TV promoting house flipping as a viable money-making strategy.

The Republican-controlled Congress passes laws making it harder to file for bankruptcy.

Interested but underfunded, people started rereremortgaging their homes to buy others to fix up and flip.

Builders began building more and more homes to feed the flipping market.

Meanwhile, a lack of wage increases since the 1960s (hidden by women entering the workforce creating dual income households), started becoming apparent.

Funds looking for profits instead of safe investments saw construction booms and fuel prices as a reason to jump into oil since interest rates were never going to go up again.

Because of large investors, the price of oil goes up. This spikes prices all across America in every sector as decisions were made long ago to shift from rail to highway for distribution of goods.

Higher costs finally cause the scale to break. Debt funding comes home to roost. People begin to default on loans.

These foreclosures go right to the top like a carnival game as conservative retirement funds are left holding the hot potato.

Large banks are shocked, SHOCKED to find that mid sized banks sold them bogus loans.

Mid sized banks are shocked, SHOCKED that small banks sold them bogus loans.

Small banks are shocked, SHOCKED that their process of not requiring background checks, income verification or any other sort of vetting process has led people without enough money to pay to not be able to pay their mortgages.

The oil bubble pops. Funds turn to gold.

Funds are left without enough money to pay pensions.

Pensioners are left without funds.

Republicans decide it’s time to cut back on the social safety net since they feel too many people are currently using it.

Democrats are sitting in the corner gnawing on stripped carcass of good governance while they wait for a new president to be elected.

The old president’s financial team that came from Goldman Sachs (which sold loans to funds as a large bank) leave and the new president with his financial team from Goldman Sachs comes in.

Nothing changes.


Rules for Education

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Everyone needs to understand a few things:

First, education cannot be treated like a business. Kids all learn differently and teachers need the flexibility to work extra with kids that don’t understand. You cannot force a time-based curriculum onto them, nor should parents get bent when teachers tell them their kids need help.

Second, a good teacher is a gift from god. They should be rewarded and treasured. They should not be pawns on the chessboards of politics. They deserve to have their performance rewarded above that of their nonperforming peers. They should not be punished by having more work assigned to them. They should simply be left to educate.

Third, bad teachers need to go. A bad teacher is quite likely worse than no teacher because they can reinforce a student’s idea that he is just stupid, teach things incorrectly and generally turn kids away from learning. You do not protect them or force good teachers to share their rewards with them.

Fourth, spending more money when you don’t understand the problem is a waste. While every kid today should learn to use a computer, MS Office and a few other key programs, not every classroom needs a computer. Familiarity breeds contempt. You shouldn’t invest in an electronic whiteboard when a regular blackboard will do.

Fifth, well, that’s enough manifest writing for one morning…