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Zerohedge

Welcome To The Executive Presidency

February 8, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

Welcome To The Executive Presidency

Authored by John Waters & Adam Ellwanger via RealClearPolitics,

“I would support you to be spokesperson for the Pentagon,” Connecticut Sen. Richard Blumenthal acidly told Pete Hegseth during his hearing before the Senate Armed Services Committee.

The insult was a poke in Pete’s eye for his career at Fox News. Blumenthal, who once fibbed that he had served in Vietnam as a Marine (he never left the States), thought Hegseth lacked the record of “leadership” to head an organization as large and complex as the Department of Defense. Evidently, it never crossed Blumenthal’s mind that this appointment was a first step toward making the department less large and complex.

On paper, former Defense Secretary Lloyd Austin had such “leadership” experience, as did Jim Mattis, Bob Gates, Leon Panetta, Donald Rumsfeld, and most other department secretaries over the last 25 years.

Pete, on the other hand, led a platoon in Iraq before smiling his way through Saturday morning news shows. Once, during a bit on “Fox and Friends,” Hegseth tossed an ax that sailed over its target and struck a man standing nearby. Pete grimaced, the man was unhurt, and the show went on.

Despite Blumenthal’s putdown, Hegseth’s nomination passed out of committee and cleared a floor vote on his way to becoming the youngest secretary of defense since Donald Rumsfeld was first confirmed 50 years ago.

Hegseth wasn’t the traditional nominee, and that’s the point. Blumenthal and others like him looked at Hegseth through distorted, outdated glasses. They fail to understand that Donald Trump is remaking the executive branch of the federal government, and it starts with choosing communicators.

Any effective network of strategic communication must be organized as a hierarchy – if there is no one “at the top” who determines the messaging, there will be as many messages as there are nodes in the network. The executive’s ability to achieve his goals is fundamentally dependent on high-fidelity, rapid information transferal, where the message is relayed broadly, quickly, and without significant distortion. That’s what effective communication is – and it explains why Trump’s first term was less effective than it could have been.

When Trump took office eight years ago, the left resisted him through the mainstream media, Hollywood, and corporate America, but the spearhead of “The Resistance” was his own government.

The bureaucrats of the vast “administrative state” did not see Trump as a legitimate occupant of his office. Thus, they didn’t merely distort the communication that came from the top. They tried to subordinate his agenda by refusing to transfer the information. More than that, they actively disseminated information that ran counter to the president’s stated aims. Accomplished people like Jim Mattis and Rex Tillerson were seasoned executives with deep managerial experience, but their priorities were misplaced: Rather than advance the president’s initiatives, they focused on protecting themselves and their legacies.

In his 1938 classic “The Functions of the Executive,” author Chester Barnard explains that an executive’s first task is to create a “definite system of communication.” Barnard wasn’t talking about the technical means of communication – whether that be telephone, memo, or computer – but the communicators themselves. These new modes of transferring information sometimes obscure the human interaction that remains the most effective form of information transfer.

“Communication,” Barnard writes, “will be accomplished only through the agency of persons,” meaning the appointment of the right people. Controlling an enterprise, he tells us, hinges on the executive’s choice of who will repeat and amplify the executive’s message. During the Biden interregnum, it seems that Trump absorbed these insights, almost as if by osmosis.

Consider the inauguration. There were Elon Musk, Jeff Bezos, and Mark Zuckerberg front and center. Yes, they are among the world’s wealthiest men, but they also happen to be the owners of national and global media organizations.

Trump spent the entire first day of his second term on camera, narrating his executive actions.

“Here, David, that’s for you,” Trump said, passing his trademark, Trump-embossed marker to an aide, then holding up an executive order before the cameras like a newborn baby.

Never before had a president so merrily occupied the stage of the Oval Office, hosting audiences of millions online and on television, as he signed documents, bantered with reporters and staff, and generally went about his business. Trump knew his daylong, unscripted availability would contrast sharply with his predecessor’s behavior. Joe Biden’s increasing withdrawal from the public and his inability to deliver spontaneous remarks hid his declining mental health, and the fact that he really wasn’t in charge.

All forms of communication either demand or simulate presence – and Biden hadn’t really been present for some time. This is so out of keeping with the long-established precedents for how to inhabit the Oval Office that it invites serious reconsideration of comments that former president Barack Obama made to Stephen Colbert, allegedly in jest:

People would ask me, “Knowing what you know now, do you wish you had a third term?” And I used to say, “You know what? If I could make an arrangement where I had a stand-in, a front man or front woman, and they had an earpiece in and I was just in my basement in my sweats looking through the stuff, and then I could sort of deliver the lines, but somebody else was doing all the talking and ceremony, I’d be fine with that.”

By the time Trump deposed Obama’s frontman and took the oath of office, he was activating many of the key nodes in his system of communication. Kash Patel, a charismatic attorney of ambiguous political origins, has a Truth Social following of 1.5 million people. Until recently, he sold children’s books, scarves, and other goods through his online merchandising site. Since leaving Congress in 2021, Tulsi Gabbard has been a successful talk show host, news commentator, and author. Her followers on X approach 3.5 million. 

Before the election, nobody anticipated Hegseth, Patel, or Gabbard would be selected to lead government bureaucracies. They lacked experience and pedigree, among other intangibles required under the Bush-Obama-Biden paradigm for leadership. The theme that binds them and others in Trump’s administration is their ability to think and speak on their feet, and to connect with large audiences. Via television and the Internet, they are able to go beyond rehearsed speech to win “followers,” in the parlance of social media.

In the attention economy, smart phones and computers continue to claim more and more of our time. And Trump’s nominees are some of that economy’s brightest entrepreneurs.

This matters because the old “leadership by committee” paradigm is dissolving before our eyes. The era of believing the group is the source of creativity – that leadership by committee is preferable to a strong, winning executive – is ending.

That idea unraveled under Biden, who depended entirely on a group of self-interested aides and advisors who concealed his infirmities and nudged along his decision-making according to their plans. He couldn’t hold a meeting on national security with the speaker of the House. He didn’t remember an executive order he’d signed on a matter of international security and commerce. He tried, meekly, to assert himself as his party’s nominee for president, only to be brushed aside by George Clooney and Nancy Pelosi.

The leadership-by-committee approach didn’t begin with Biden.

Obama was young and inexperienced when he assumed office, which was one reason he selected the much older (and supposedly wiser) Biden as his running mate. Obama assembled the “team of rivals” with people like James Jones as national security advisor, Bob Gates as defense secretary, and Hillary Clinton as secretary of state. All had decades of managerial experience and credentials from elite institutions. Like their governing principles, their style of dress, manner of behavior, modes of speech, and private lives seemed to be in lockstep.

The press applauded Obama’s humility and judgment in selecting this cast of people, commending his willingness to work “collaboratively” in locating the solution and meeting in the middle when necessary to get a deal done. Obama saw this as a new approach – part of the “change” that his election brought to global diplomacy. Speaking in London three months into his first term, he announced that in a complex world, “it is very important for us to be able to forge partnerships as opposed to simply dictating solutions. … [I]f there’s just Roosevelt and Churchill sitting in a room with a brandy, that’s an easier negotiation. But that’s not the world we live in, and it shouldn’t be the world that we live in.”

Despite Obama’s conviction in the novelty of this approach, Bush did it, too.

Memorably, he claimed that he was “the decider,” but the running joke during his presidency was that everybody but Bush was in charge – people like Rumsfeld at Defense, Colin Powell at State, Paul O’Neill at Treasury, and, of course, Vice President Dick Cheney. All were older, supposedly wiser, and more experienced in government and business. The public accepted what the media served up, that all these “executive” personalities provided depth and expertise to President Bush’s ultimate decision-making, ensuring Americans received the best, most sophisticated solutions to all problems, domestic and international.

The results, however, were disastrous.

Rather than win the war on terror, Bush’s advisers and executives used war as a pretext to expand the size and scope of government. In the process of fighting Islamic extremism, he naively built a network of information-gathering and surveillance that would eventually be unleashed upon “domestic extremists” – the Obama-era epithet for Americans who resist the left-wing, top-down model of administrative government.

Rather than stop illegal border crossings and legislate a solution to our demographic challenges, multiple administrations used illegal immigration to engineer society toward multiculturalism, creating along the way a social credit system based on race and sexuality that divides the country and demeans our humanity.

These “expert” managers from Bush through Biden were proper figureheads of an unconstitutional counter-state comprising some 78 government agencies and 35,000 lawyers who seek to govern the full span of human existence through rules and regulations. And although the governance-by-committee approach presented it as a more “inclusive” and ethical form of leadership, the truth was that, in practice, administrative managerialism pushed the powers of the American people first to the margin of politics, then out of government completely.

Trump repudiates that paradigm.

There will be no administrative committee that jointly deliberates a course of action and then finds a “compromise” that always amounts to a half-measure with little buy-in. Trump knows exactly what he wants to do and to whom he is obligated. For ten years, Trump has put forward his beliefs and accepted the public’s judgment again and again, modifying some positions but holding firm on most. His election marks the end of an era that put the group over the individual, administration over execution.

Trump’s second term will be fundamentally different from his first. Through the appointments of Hegseth, Patel, Gabbard, and others, Trump is establishing a system of communication that will facilitate his command of the executive branch and the country. By replacing resistors with transistors – highly capable communicators of his energy, ideas, goals, and politics – Trump will project his vision and his achievements to the world. It’s what the American people voted for on November 5.

John Waters is a lawyer. He served as a deputy assistant secretary of Homeland Security from 2020-21.

Adam Ellwanger is a professor at University of Houston – Downtown, where he teaches rhetoric and writing. He is a Higher Education Fellow at The Leadership Institute’s Campus Reform and a 2023 Lincoln Fellow at the Claremont Institute for Statesmanship and Political Philosophy. Follow him at @1HereticalTruth on X.

Tyler Durden
Sat, 02/08/2025 – 09:20

“Believe In AI, Believe In Copper, Believe In Glencore”

February 8, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

“Believe In AI, Believe In Copper, Believe In Glencore”

Goldman Sachs analyst James McGeoch published a note on Friday, informing clients that commodity mining and trading giant Glencore could be one of the most straightforward plays on rising copper prices, driven by AI-related demand and tightening commodity markets. He noted that Glencore’s upside potential extends beyond being undervalued, with a potential catalyst for a stock buyback program announcement.

“Why I like Glencore and think the bottom could be in – Mkt has hammered Glencore for poor prodn profile, margin compression, pessimistic commodity outlook, high beta, tariffs proxy and has become a value trap,” McGeoch said. 

He continued, “To change the direction of travel they need to: Start buying back own stock. Take prodn offline to show “value” over “volume”. Improve the margin per unit by tightening the mkt (balances are tight enough for small changes to allow it). Reduce capex, spin that into higher long term capital returns.”

Glencore shares in London 

McGeoch provided more color on what Glencore management could do to reverse the multi-year sinking ship.  

  1. Announce a buyback. I am more bullish than most, basis the fact you gotta draw a line in the sand and at these prices that line is a ravine. Consensus is $3bn of returns – $1.5bn DPS (basis the formula) and $1.5bn Buyback. Important the Buyback has long been hinged by the Viterra sale and $1bn cash received. Note last night they got the second last approval Link(EU approval of Louis Dreyfus purchases, BG.US said they expect it to close soon, China is last standing and they are back form holiday).  Cons is $1.5bn, thats a meagre $500m of own cashflow top up. I know the CFO and his style, hes a CFO through and through, so lets see if the CEO can twist his arm and look at a 18month facility thats double that amount, alternatively they guide to a top up in August.
  2. They will in my opinion cut a decent amount of prodn. See Passar closure yesterday , they have prev cut hard in Zinc, they will to my mind take off NEWC high CV tonnes, Ferrochrome in SA, could trim Nickel prodn and Cobalt is just terrible with African Copper and Chile lkely to guide lower. 3) reduce the capex and recylce that. Anyone following SSAB knows what a change of strategy and reduction in capex can do for your equity.

The analyst also highlighted rising copper prices, driven by factors such as AI-related demand (recall: ‘Next AI Trade’ theme), low global stocks, and inventory build in China, as key tailwinds for the miner: 

  1. Whilst the numbers are debated, listen to the likes of Amazon “ambition constrained only by capacity” or META/Microsoft upgrading capex into the channel. None of it works without Copper. Note yday UAE to fund $30-50bn AI DC inv in France. 
  2. Look to China post the Holiday. All the action out there is in this AI channel (GSXACAIT +4%) and the Buyer of Copper is China. Open Interest was +7%  today (+30k lots) on back of +6% yday (+24kt lots).
  3. Global stocks are low, inventory build in China ahead of CNY were below the 5yr avg, supply disruptions are elevated post latest prodn guides for 2025. Demand line may be a question for construction, however in the green channel its strong.

McGeoch concluded: “Believe in AI, believe in Copper, believe in GLEN.” 

Tyler Durden
Sat, 02/08/2025 – 08:45

Apple Ordered To Provide UK Gov’t Access To All User Data On The Cloud

February 8, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

Apple Ordered To Provide UK Gov’t Access To All User Data On The Cloud

Authored by Ken Silva via Headline USA,

The Washington Post reported Friday that the United Kingdom’s deep state has demanded that Apple create a back door for them to retrieve all the content any Apple user worldwide has uploaded to the cloud—what would be an unprecedented erosion of online privacy and civil liberties.

The Apple logo / PHOTO: AP

Citing anonymous sources, the Post reported that the British government’s undisclosed order was issued last month. It reportedly requires Apple to give officials blanket capability to view fully encrypted material.

Typically, Apple has assisted authorities on a case-by-case basis—such as helping the FBI access a terrorist’s phone, for example. The Post noted that the access sought by the UK “has no known precedent in major democracies.”

🚨WaPo published an EXTREMELY important story today about a secret UK order for Apple to provide it w/ total access to all user data on the cloud — an order that would implicate Americans and the entire world.
The Post rightly notes that the UK’s order “has no known precedent in… pic.twitter.com/pA3uvpnekc

— Ken Silva (@JD_Cashless) February 7, 2025

According to the Post, the UK’s order was made pursuant to the sweeping U.K. Investigatory Powers Act of 2016, which authorizes law enforcement to compel assistance from companies to access user data.

“The law, known by critics as the Snoopers’ Charter, makes it a criminal offense to reveal that the government has even made such a demand,” the Post reported.

“Apple can appeal the U.K. capability notice to a secret technical panel, which would consider arguments about the expense of the requirement, and to a judge who would weigh whether the request was in proportion to the government’s needs. But the law does not permit Apple to delay complying during an appeal.”

An Apple spokesman reportedly declined to comment. The Post reported that Apple is likely to stop offering encrypted storage in the UK.

“Yet that concession would not fulfill the U.K. demand for backdoor access to the service in other countries, including the United States,” the newspaper added.

Western countries, including the U.S., have been pushing for total access to online user data for years.

In March 2021, for example, former FBI Director Chris Wray told the Senate Judiciary Committee that encryption was stifling his agents from investigating domestic extremism.

According to Wray and other law enforcers, tech companies should be able to build “backdoors” into their encryption that preserves privacy, while allowing for access when necessary. That, they say, strikes the proper balance between data security and national security.

However, numerous tech experts, civil libertarians, and others say that it’s impossible to build a backdoor that can’t be exploited by hackers. They also say that by banning encryption, the United States would be following in the footsteps of authoritarian countries such as China, which blocked the encrypted messaging app Signal.

“It is important to understand that any kind of back door (or front door) access for the ‘good guys’ can also be exploited by the ’bad guys,’” the pro-industry Information Technology & Innovation Foundation stated in a July 2020 report.

“For example, key escrow systems would introduce new attack vectors that could allow attackers to gain access to encrypted information, such as by compromising the system that maintains copies of the keys.”

Ken Silva is a staff writer at Headline USA. Follow him at x.com/jd_cashless.

Tyler Durden
Sat, 02/08/2025 – 08:10

Another Key Donbass Town Captured By Russia As Pressure Grows On Zelensky

February 8, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

Another Key Donbass Town Captured By Russia As Pressure Grows On Zelensky

Russia’s Defense Ministry announced Friday that its forces had captured the coal mining town of Toretsk amid the slow but steady advance of its forces in Donetsk region. Russia calls the same town by the name of Dzerzhinsk, and state media is declaring its ‘liberation’ after Ukraine forces had long held it.

Journalist Guy Elster also wrote on X, “Russia said its forces had seized the key mining town of Toretsk in east Ukraine after months of fighting.”

Illustrative file image via CNN

Ukraine’s military had used Toretsk primarily as a staging ground from which to launch almost daily artillery, missile, and drone strikes on Russian front line positions in Donbass.

The Associated Press on Friday additionally detailed the ground situation as follows:

Alkhimov, the 28th Brigade officer, told AP his unit continued to hold its ground on Friday afternoon. He added: “Intense (Russian) assault operations are ongoing.”

DeepState, an open-source Ukrainian map widely used by the military and analysts, showed late Thursday that Ukrainian troops were on the northwest edge of Toretsk and still had some soldiers inside the town itself.

“The Russia’s claimed fall of Toretsk, if confirmed, would advance its sweep across the Donetsk, which has cost Moscow heavily in troops and armor but has paid dividends for the Kremlin,” AP continues.

“In the offensive, Russian forces crush settlements with the brute force of 3,000-pound (1,300-kilo) glide bombs, artillery, missiles and drones, then send in infantry units to attack the exposed defenders.”

Last year saw the area towns and cities of Avdiivka and Vuhledar fall to the Russian onslaught, with last month Velyka Novosilka as well as Kurakhove falling.

The Russian Defense Ministry has also announced that the two small villages of Druzhba and Krymskoye, which lie to the northeast of Toretsk, have been taken this week.

Aftermath video showing war-ravaged Toretsk:

Toretsk was once a typical European town, brimming with homes, parks, stores, and schools. Until russian turned it into ruins. pic.twitter.com/7tUhoOtiK6

— Kate from Kharkiv (@BohuslavskaKate) February 7, 2025

All of these had long generally formed a strategic belt of Ukrainian defenses in the east, which are fast crumbling, also as the key town of Pokrovsk is increasingly under threat. Military analysts say that once Pokrovsk falls, Russia will quickly be able to complete its hold over all of Donetsk.

Meanwhile, this week has seen a new offensive into Kursk by Ukraine forces, in a desperate effort to maintain some level of leverage before likely negotiations with Moscow commence.

Tyler Durden
Sat, 02/08/2025 – 07:35

Turkey Is Mulling Permanent Military Bases In Syria

February 8, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

Turkey Is Mulling Permanent Military Bases In Syria

Authored by Jason Ditz via AntiWar.com,

With Turkey focused on long-term goals in Syria that involve continuing to oppose Kurdish autonomy in the northeast, there are growing numbers of reports from Turkish officials that plans are being considered to establish new military bases inside Syrian territory.

Details are still emerging on what this might look like, and thousands of Turkish soldiers are already reported to be operating on Syrian soil, mostly targeting the Kurdish SDF.

Via Associated Press

Turkey has recently threatened invasion if the new Islamist government of Syria doesn’t eliminate the SDF.

The Islamists, the al-Qaeda-linked Hayat Tahrir al-Sham (HTS), has given multiple statements rejecting the idea of Kurdish autonomy. Turkish FM Hakan Fidan says the new HTS ruler of Syria is taking a firm stance against Kurdish “terrorists.”

That the HTS is largely giving Turkey whatever they want with respect to Kurdish territory doesn’t necessarily mean Turkey won’t seek to increase its presence in the country.

The Turkish Defense Ministry, however, has denied any specific plans for bases at this time, suggesting talk of new bases may be premature.

In the meantime, the Turkish-backed Syrian National Army (SNA) continues to attack SDF territory, and Turkish warplanes and drones are attacking Kurdish towns and cities.

In the Raqqa Governorate, almost exclusively SDF territory, activists are increasingly critical of Turkish aggression.

Fighting on the ground with the SNA is still mostly further west than Raqqa, in the Aleppo Governorate. In recent weeks, the focus has been on trying to take the Tishreen Dam, and Kurdish protesters have been rally at the dam calling for international intervention to prevent the Turkish destruction of it. Tishreen Dam is a key source of fresh water and electricity for northeastern Syria.

Map of Syrian situation via Southfront.press:

Turkey has carried out multiple airstrikes against Tishreen Dam and targeted the protesters rallying there. It targeted those protesters again on Thursday, injuring an unknown number of them.

Tyler Durden
Sat, 02/08/2025 – 07:00

How USAID And Its $50 Billion Budget Became A Target For Reform

February 7, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

How USAID And Its $50 Billion Budget Became A Target For Reform

Authored by Lawrence Wilson via The Epoch Times (emphasis ours),

The U.S. Agency for International Development (USAID) was a little-noticed federal agency until it suddenly became the object of a fierce political battle over the limits of presidential power and the accountability of government bureaucracies.

A sign of the U.S. government’s humanitarian agency, USAID, is seen on a cargo container in Manila, Philippines, on Feb. 4, 2025. Jam Sta Rosa/AFP via Getty Images

When the Trump administration closed the agency’s offices on Feb. 3 and later placed most employees on administrative leave, USAID took center stage in a drama unfolding at both ends of Pennsylvania Avenue.

On one side is the Trump administration’s ongoing effort to make all parts of the executive branch comply with the president’s agenda. On the other side are congressional Democrats, who are warning that the action is a dangerous abuse of executive power and are vowing to fight it.

Meanwhile, many observers fear that USAID’s true purpose—to advance U.S. interests through the use of soft power—may be overlooked.

On Feb. 3, President Donald Trump appointed Secretary of State Marco Rubio as acting director of USAID. The next day, the president indicated that the agency may be shuttered and its functions permanently transferred to the State Department.

Here is why critics want to abolish or reform the agency, supporters want to save it, and what may happen next.

Influence as Power

USAID was established by an executive order of President John F. Kennedy in 1961 to advance U.S. foreign policy by offering developing nations technical assistance, help with education and health care, and disaster relief.

The idea was that turning poor countries into stable world citizens would benefit U.S. citizens, too. A stable, prosperous nation makes a good ally, the theory went.

Champions of USAID continue to see it as both an essential tool for foreign policy and a tangible expression of the goodness and generosity of the U.S. people.

Most observers agree that the agency does some good. Relatively small by Washington’s standards, USAID employs about 10,000 people and controls an annual budget of about $50 billion.

In 2023, USAID poured $10.5 billion into humanitarian aid and $10.5 billion into health programs in countries around the world, according to the Congressional Research Service.

One program that is often touted as a shining success story is the U.S. President’s Emergency Plan for AIDS Relief, a USAID program that has provided more than $110 billion for controlling the spread of HIV/AIDS in more than 50 countries.

Workers unload medical supplies to fight the Ebola epidemic from a USAID cargo flight in Harbel, Liberia, on Aug. 24, 2014. John Moore/Getty Images

“Most estimates are that somewhere in the vicinity of 27 million people are alive today because President Bush initiated and Congress supported that program,” Scott Pegg, acting director of the Global and International Studies program and chair of political science at Indiana University–Indianapolis, told The Epoch Times.

President Donald Trump said in remarks to reporters on Feb. 4 that “some of the money is well spent.”

Yet the agency’s halo dims on closer inspection. Critics tell the story of an agency gone rogue, wasting millions of taxpayer dollars on inane programs, refusing to answer basic questions from congressional committees, and actively undermining the foreign policy goals of the United States.

Lost Purpose

The White House on Feb. 3. produced a list of projects funded by USAID that it characterized as examples of waste and abuse.

The projects include $1.5 million to “advance diversity equity and inclusion in Serbia’s workplaces and business communities,” another $47,000 for a “transgender opera” in Colombia, and $2.5 million for electric vehicles in Vietnam.

Rep. Wesley Hunt (R-Texas) listed further examples on social media platform X on Feb. 3, including $56 million to boost tourism in Egypt and Tunisia and $27 million for “reintegration gift bags” for deported Central Americans.

Hunt said the agency was behaving “like a child with YOUR credit card.”

Some USAID grant recipients include terrorist-controlled organizations, according to a study by the Middle East Forum released on Feb. 1.

The study found that $122 million has gone to groups aligned with designated terrorist organizations, including millions of dollars for organizations directly controlled by the Hamas terrorist group.

A July 2024 report from the U.S. Office of Inspector General noted deficiencies and vulnerabilities in USAID’s vetting process, which is supposed to prevent the diversion of U.S. funds to terrorist organizations.

In one case of apparent abuse, USAID partnered with Chemonics, an international consulting firm, to spend $9.5 billion to improve health supply chains. Chemonics allegedly overbilled the agency by up to $270 million and failed to meet its objectives, and the project led to 31 indictments for the illegal resale of USAID-funded materials, according to Sen. Joni Ernst (R-Iowa), who has called for an independent analysis of USAID grant recipients.

A USAID-funded project to rehabilitate the Tubas Sports Club is closed, in Tubas, West Bank, on Feb. 4, 2025. Jaafar Ashtiyeh/AFP via Getty Images

Ernst said USAID also provided nearly $1 million in funding to China’s Wuhan Institute of Virology, which the CIA has said was the most likely source of the virus that causes COVID-19.

USAID has resisted congressional oversight for decades, some lawmakers say, resulting in a culture of defiance.

“The agency has engaged in a demonstrated pattern of obstructionism,” Ernst wrote in a letter to Rubio on Feb. 4.

False claims were made that certain documents were classified to delay review by congressional staffers and to mislead Congress on the indirect cost of programs, Ernst wrote, adding that in some cases, this amounted to more than 25 percent of the grant total.

The agency refused to provide data on administrative costs, Ernst said. The agency later said that providing the data to Congress would violate federal law and that it had no obligation to respond because Ernst did not present a formal request from a “committee of jurisdiction.”

Read the rest here…

Tyler Durden
Fri, 02/07/2025 – 23:25

The Chinese Trust Their Institutions The Most, Japanese Not So Much…

February 7, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

The Chinese Trust Their Institutions The Most, Japanese Not So Much…

Now in its 25th edition, the 2025 Edelman Trust Barometer, a global survey on trust, reveals a world increasingly divided by grievance, institutional distrust, and a zero-sum mindset.

This graphic, via Visual Capitalist’s Kayla Zhu, visualizes the 2025 Edelman Trust Index by country, and their change from 2024.

The Trust Index is the average percent trust in NGOs, businesses, government, and media based on a survey of over 33,000 respondents from 28 different countries conducted by Edelman Trust Institute.

Which Countries Trust Gov’t, NGOs, and Business the Most?

Below, we show each of the 28 countries’ Trust Index score for 2025 and their change from 2024.

Country Election/change in government leadership in past year Trust Index 2025 Change in percentage points from 2024
🇨🇳 China N 77 -2
🇮🇩 Indonesia Y 76 3
🇮🇳 India Y 75 0
🇦🇪 United Arab Emirates N 72 -2
🇸🇦 Saudi Arabia N 71 -1
🇹🇭 Thailand Y 66 -4
🇲🇾 Malaysia N 66 -2
🇸🇬 Singapore N 65 -1
🇳🇬 Nigeria N 65 4
🇰🇪 Kenya N 63 -1
🇲🇽 Mexico Y 57 -2
🇳🇱 Netherlands Y 57 1
🇿🇦 South Africa Y 53 4
🇨🇦 Canada N 52 -1
🇧🇷 Brazil N 51 -2
🇮🇹 Italy N 50 0
🇸🇪 Sweden N 50 1
🇦🇺 Australia N 49 -2
🇨🇴 Colombia N 49 2
🇦🇷 Argentina Y 48 9
🇫🇷 France Y 48 1
🇮🇪 Ireland N 48 1
🇺🇸 U.S. Y 47 1
🇪🇸 Spain N 44 -2
🇬🇧 UK Y 43 4
🇩🇪 Germany Y 41 -4
🇰🇷 South Korea Y 41 -2
🇯🇵 Japan Y 37 -2

The global average saw no change from 2024, remaining steady at 56. However, a slight majority (54%) of the countries saw a drop in their trust index compared to last year.

Among the world’s 10 largest economies, five rank among the least trusting nations on the Trust Index: Japan (the lowest at 37), Germany (41), the UK (43), the U.S. (47), and France (48).

Argentina saw the largest increase in trust from 2024 at +9, following the election of Javier Milei, who campaigned on radical economic reforms amid the country’s ongoing financial crisis.

Only 4 of the 13 countries that had a national election or leadership change in the past year saw an increase in trust (Indonesia, Nigeria, South Africa, and Argentina)

The Edelman Trust Barometer also found that 61% of respondents had a moderate or high sense of grievance, which is defined by a belief that government and business make their lives harder and serve narrow interests, and wealthy people benefit unfairly from the system.

The survey highlights a rising willingness to justify extreme actions, such as violence and disinformation, as economic fears, deepening grievance, and institutional distrust continue to escalate.

To learn about global trust in various institutions, check out this graphic that visualizes the level of trust the public in 28 countries have in the United Nations.

Tyler Durden
Fri, 02/07/2025 – 23:00

Netanyahu Suggests Palestinians Can Have A State In Saudi Arabia

February 7, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

Netanyahu Suggests Palestinians Can Have A State In Saudi Arabia

Via Middle East Eye

Israeli Prime Minister Benjamin Netanyahu suggested on Thursday that Palestinians should establish a state in Saudi Arabia, rather than in their homeland, in his latest dismissal of Palestinians’ right to self-determination.

“The Saudis can create a Palestinian state in Saudi Arabia; they have a lot of land over there,” Netanyahu said in an interview with Israel’s Channel 14.

Getty Images via AFP

The remarks come as Saudi Arabia and Israel seem even further away from normalizing relations, over a year after officials in the US said an agreement was close.

Riyadh repeatedly said over the past year that only a clear pathway towards Palestinian statehood would lead it to establish formal ties with Israel, but Netanyahu rejected the idea outright on Thursday, calling it a “security threat to Israel”.

“Especially not a Palestinian state,” he said. “After October 7? Do you know what that is? There was a Palestinian state, it was called Gaza. Gaza, led by Hamas, was a Palestinian state and look what we got.”

The interview took place while Netanyahu was on an official visit to the United States. 

It followed a joint press conference with Donald Trump, in which the US president announced his plan for the expulsion of Palestinians from Gaza to make the Palestinian enclave the “Riviera of the Mediterranean”, with the US taking over the territory.

Normalization with Saudi Arabia was discussed between the two leaders and, in addition to his strong dismissal of the key Saudi condition of the establishment of a Palestinian state, Netanyahu insisted that peace between Israel and the kingdom was a reality to come.

“It is not only feasible, I think it’s going to happen,” he said.

The press conference was quickly followed by a statement from Saudi Arabia’s foreign ministry, which said that the kingdom’s stance on Palestinian statehood was “firm and unwavering”.

Source: Getty Images/iStockphoto

“His Royal Highness emphasized that Saudi Arabia will continue its relentless efforts to establish an independent Palestinian state with East Jerusalem as its capital, and will not establish diplomatic relations with Israel without that,” the statement read.

Tyler Durden
Fri, 02/07/2025 – 21:45

‘Worse Than World War II’ – Visualizing US National Debt (As A Percent Of GDP) Since 1900

February 7, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

‘Worse Than World War II’ – Visualizing US National Debt (As A Percent Of GDP) Since 1900

This year, U.S. national debt is set to approach 100% of GDP, up from 36% in 2005.

By 2035, the tab is projected to reach 118.5% of GDP as higher debt costs steepen the deficit, fueling further government borrowing. Today, the deficit stands at $1.9 trillion with net interest and mandatory spending outpacing revenues.

This graphic, via Visual Capitalist’s Dorothy Neufeld, shows U.S. federal debt projections to 2035, based on data from the Congressional Budget Office.

Swimming in Debt

Below, we show how national debt held by the public is set to mushroom over the next decade:

Year U.S. Federal Debt as a % of GDP
2035P 118.5
2034P 117.1
2033P 115.3
2032P 113.0
2031P 111.1
2030P 109.2
2029P 107.2
2028P 105.4
2027P 103.4
2026P 101.7
2025P 99.9
2024 97.8
2023 96.0
2022 95.0
2021 96.9
2020 98.6
2019 78.9
2018 77.1
2017 75.7
2016 76.0
2015 72.2
2014 73.3
2013 71.8
2012 70.0
2011 65.5
2010 60.6
2009 52.2
2008 39.2
2007 35.2
2006 35.4
2005 35.8
2004 35.7
2003 34.7
2002 32.7
2001 31.5
2000 33.7
1999 38.3
1998 41.7
1997 44.6
1996 47.0
1995 47.7
1994 47.8
1993 47.9
1992 46.8
1991 44.1
1990 40.9
1989 39.4
1988 39.9
1987 39.6
1986 38.5
1985 35.3
1984 33.1
1983 32.2
1982 27.9
1981 25.2
1980 25.5
1979 25.0
1978 26.7
1977 27.1
1976 26.7
1975 24.6
1974 23.2
1973 25.2
1972 26.5
1971 27.1
1970 27.1
1969 28.4
1968 32.3
1967 31.9
1966 33.8
1965 36.8
1964 38.8
1963 41.1
1962 42.3
1961 43.6
1960 44.3
1959 46.5
1958 47.8
1957 47.3
1956 50.7
1955 55.8
1954 58.0
1953 57.2
1952 60.1
1951 65.5
1950 78.6
1949 77.4
1948 82.4
1947 93.9
1946 106.1
1945 103.9
1944 86.4
1943 69.2
1942 45.9
1941 41.5
1940 43.6
1939 42.4
1938 42.2
1937 39.6
1936 42.5
1935 42.4
1934 43.5
1933 38.6
1932 34.0
1931 22.0
1930 16.3
1929 14.8
1928 17.0
1927 18.0
1926 19.0
1925 21.6
1924 23.5
1923 25.2
1922 31.1
1921 31.6
1920 27.3
1919 33.4
1918 30.2
1917 13.3
1916 2.7
1915 3.3
1914 3.5
1913 3.2
1912 3.4
1911 3.6
1910 3.7
1909 3.8
1908 4.3
1907 4.0
1906 4.0
1905 4.3
1904 4.7
1903 5
1902 5.4
1901 5.7
1900 6.6

By 2029, federal debt is forecast to exceed the post-WWII record based on an outlook that doesn’t factor in recessions.

This comes amid a widening deficit during a period of low unemployment and a growing U.S. economy. In many ways, this counters the theory of shrinking the deficit during economic expansion and increasing the deficit during downturns.

Looking ahead, net interest on the federal debt is expected to nearly double from 2024 levels, reaching $1.8 trillion by 2035. To put it in perspective, interest costs will be 1.7 times higher than defense spending that year.

While Modern Monetary Theory suggests that countries that have control over their currencies will never face default since they can print more money, evidence from history suggests a different outcome.

From the British Empire and Habsburg Spain to the Ottoman Empire, historian Niall Ferguson finds that superpowers that have spent more on debt servicing costs than defense have not held onto power for very long.

To learn more about this topic amid swelling debt, check out this graphic on the top holders of U.S. debt.

Tyler Durden
Fri, 02/07/2025 – 21:20

“Recycling” Makes Plastic Pollution Worse

February 7, 2025 Ogghy Filed Under: THE NEWS, Zerohedge

“Recycling” Makes Plastic Pollution Worse

Via Brian McGlinchey at Stark Realities

If you’re like many people, you’ve always thought a numbered-triangle symbol on the bottom of a plastic container tells you it’s recyclable — giving you peace of mind that when you toss it into a blue bin, it will be turned into something else.

That’s not true. Those symbols are Resin Identification Codes (RICs). Numbered 1 through 7, they only identify the kind of plastic an item is made of. Far from giving a sweeping assurance that RIC-stamped items are recyclable, the symbol frequently indicates a particular item absolutely cannot be recycled.

Reluctant to burden citizens with figuring out which plastics are recyclable — a chore that could dampen participation and cause confusion as recyclability of various plastics changes over time — many municipal recycling programs simply encourage people to toss all their RIC-stamped plastics in the bin and let the recyclers sort it out.

Which ones do recyclers actually want? The most-recycled plastic in America is stamped with a “1,” identifying the item as polyethylene terephthalate (PET). You’ll find it on beverage bottles, cooking oil containers, and many other liquid-containing bottles. A “2” tells you it’s high-density polyethylene (HDPE). Another generally recycling-suitable plastic, it’s used for milk jugs and laundry detergent jugs, and spray-cleaner bottles.

It’s all downhill from there. Chances are your bin has plenty of #5 — polypropylene (PP) — which is frequently used for single-serve coffee-maker pods; yogurt, butter, prescription pill and soft tofu containers; and the lids on paperboard raisin cartons. Unfortunately, while there’s been a modest recent uptick in recyclers’ interest, polypropylene generally isn’t being recycled in the United States.

As for the rest of the RIC spectrum, feel free to make pointed inquiries with your city government, but chances are extremely slim that any #3, #4, #6 or #7 items you throw in your curbside blue bin will be made into anything else. That heap includes lots of packaging, such as non-cardboard egg cartons, fast-food clamshells, styrofoam cups and to-go containers, flexible 6-pack rings and bread bags.

Feeling a little demoralized? Brace yourself: This blue-bin buzzkill is just getting started.

Let’s circle back to recyclers’ favorite: #1 PET. Even for this most-favored plastic, much of what’s placed in blue bins isn’t recycled. It’s a question of configuration: Recyclers love clear PET bottles, but most of them don’t want PET when it’s in the form of clamshell containers, cups and tubs. In these formats, PET reacts differently to the heat of recycling. For example, if they’re combined with bottles, those PET tubs used to package your blueberries and strawberries create ash that contaminates the whole batch.

“This is a perfect example of why we don’t go by plastic numbers,” explains Millenium Recycling. “A #1 clamshell container is NOT the same as a #1 bottle and they cannot be recycled the same way.”

Size matters too. No matter the type of plastic, if it’s smaller than three inches, most recycling processors don’t want it cluttering up their works. Given that, the Washington Post recently advised simply throwing away any plastic that doesn’t fit in the palm of your hand. Thinness is another liability — which means your plastic forks, spoons and straws are also a no-go.

Then there’s color discrimination — any kind of black plastic is pretty much guaranteed not to be recycled, because infrared scanners in automated sorting machines aren’t able to “see” most black plastic. And while clear #1 PET bottles are at the top of the recyclability list, colored PET bottles are less favored.

These black plastic to-go containers have very little chance of being recycled

The public’s falsely favorable perception of plastic recycling has been deliberately cultivated. Knowing consumers are increasingly concerned about the environmental impact of their purchase decisions, plastic manufacturers and product-packagers are quick to say a package is recyclable — failing to differentiate between plastics that are technically recyclable and those that are actually being recycled in practice.

Three plastics — #1 PET, #2 HDPE and #5 PP —have been granted the designation of “widely recyclable” by How2Recycle, a consortium founded by Exxon Mobil and other plastics producers. However, only about 2.7% of #5 PP is being recycled today. Regardless, you may see “widely recyclable” printed on a yogurt tub that has a slim chance of being recycled. Environmentalists have cried foul, urging the EPA to take control of such designations to prevent consumers from being misled.

However, governments get in on the deception too. Many cities, states and countries calculate their recycling rate based merely on what’s diverted from landfills — even if that plastic is incinerated or shipped off to another country where its fate is far from certain. More on that in a moment.

Mythology surrounding plastic recycling is also reinforced by a decades-long stream of public service ads. While they ostensibly encourage recycling, critics say their real purpose is divert the public from challenging plastic’s domination of packaging, by cultivating a falsely rosy view of what recycling is accomplishing.

The most famous such ad was the “crying Indian” commercial that debuted in 1971. More recently, you’ve surely seen the ad that shows a plastic bottle — personified with a vulnerable yet determined female voice — blowing down streets, roads and highways before finally being placed in a recycling bin by a passer-by, and then happily turned into a park bench overlooking the sea.

Neither the crying Indian nor the talking bottle are brought to you by environmentalists. They were underwritten by chemical and consumer product companies. While the ads are attributed to Keep America Beautiful, that entity is itself the creation of major packaging and beverage companies.

“The marketing of it, for decades, has been ‘You’re saving the Earth. That’s all you need to do, public. Keep consuming. You can do all this disposability and all you have to do is simply put it in that blue bin — your job as a citizen is done’,” the Burbank Recycling Center’s Amy Hammes told NPR. “So it led to more disposability, really, because we had that Get Out Of Jail Free card to ease our guilt.”

To a great extent, America’s entire recycling regime is the creation of the companies that profit from plastics. Staring down the barrel of proposed plastic bans in the late 1980s, big oil and chemical companies created The Council for Solid Waste Solutions, which funded municipal-recycling pilot programs.

“The industry attitude was, we’ll set this up and get it going, but if the public wants it, they are going to have to pay for it,” Ronald Liesemer, who was tasked with setting the wheels in motion told PBS. “Making recycling work was a way to keep their products in the marketplace.”

Today, it’s increasingly clear that plastic recycling isn’t working, and the most emphatic criticism is coming from environmentalists. “Plastic recycling is a dead-end street,” Greenpeace bluntly declared in a 2022 report that concisely summed up plastic recycling’s empty environmental promise:

“Mechanical and chemical recycling of plastic waste has largely failed and will always fail because plastic waste is: extremely difficult to collect, virtually impossible to sort for recycling, environmentally harmful to reprocess, often made of and contaminated by toxic materials, and not economical to recycle.”

It’s important to note that, unlike infinitely-recyclable aluminum, plastic can only be recycled two or three times before it degrades beyond usefulness. And unlike the aluminum, recycled plastic costs a lot more than new plastic.

Despite more than a generation of effort, only 8.7% of plastic waste is being recycled in the United States, according to the EPA’s most recent data, compared to 68.2% of paper and cardboard and 50.4% of aluminum — materials you can put in your blue bin with relative contentment.

What happens to all the plastic that’s rejected by recyclers? It may be incinerated or sent to a landfill. That’s the good news. Believe it or not, some of plastic that Americans diligently “recycle” is dumped into rivers, fields or oceans halfway around the Earth.

Acres of trash in the Malaysian city of Jenjarom (Lai Seng Sin/Reuters via Business Insider)

America has long shipped much of its unwanted plastic overseas. For years, China was the largest importer by far, using cheap labor to pick by hand through millions of tons of plastic. Irresponsible handling of all that material — from toxic open-air burn-piles to illegal dumping of undesirable plastic— meant China was also importing pollution on an enormous scale.

In 2018, China effectively slammed the door shut on the import of plastic trash. However, other developing countries stepped up; among them, Malaysia, Vietnam and Indonesia. Predictably, the same terrible practices that caused China to change course are being observed in these countries too, with processors extracting the “good stuff” from piles of unsorted plastic and putting the rest wherever they feel like it.

Just as the road to Hell is paved with good intentions, it turns out the plastic “recycling” stream may ultimately deposit your #5 yogurt tub or #1 blueberry carton into an Asian river, and then the Pacific Ocean.

Delusions about plastic recycling contribute to collateral harms at home too. “If you rinse a plastic bottle in hot water, the net result is more carbon dioxide in the atmosphere than if you threw it in the garbage,” former New York Times science writer John Tierney told John Stossel.

That’s tough enough to hear in the context of a bottle that actually gets recycled. Now imagine the incalculable volume of hot water that’s been pointlessly poured on plastics that never had a prayer of being recycled — because local governments didn’t want to burden citizens with the truth about recycling’s viability.

Even at its best moments, plastic recycling is itself a source of waste and pollution. In processing a batch of those relatively-prized #1 PET bottles, about 30% of the material is typically wasted and must be disposed of. Meanwhile, the processing of plastic trash consumes energy, with much of the energy consumed by processing plastic that won’t be recycled. All that processing also generates microplastics, and the release of toxins associated with the thousands of chemicals that are added to plastics in the original manufacturing process.

“Americans support recycling. We do too,” wrote former EPA administrator Judith Enck and Last Beach Cleanup founder Jan Dell at The Atlantic. “But although some materials can be effectively recycled and safely made from recycled content, plastics cannot. Plastic recycling does not work and will never work.”

PBS Frontline journalists found heaps “recycled” American trash dumped in a field in Indonesia (via PBS)

Since the 1970s, environmentalists have used the slogan “Reduce, Reuse, Recycle.” To some, the biggest collateral harm of plastic recycling is that it shifts attention away from the “Reduce” component — reducing the production of plastic in the first place, by replacing it with an alternative.

While it’s universally resented, plastic dominates packaging because of its many beneficial attributes — which include being lightweight, inexpensive and durable. Amid broad yearning for plastic to be replaced — perhaps via government dictates — we should all keep in mind economist Thomas Sowell’s invaluable caution about any policy question: “There are no solutions, only trade-offs.”

  • If you replace plastic with something heavier, transporting it will consume more energy. More weight on truck tires means they wear faster — and tires are themselves a major generator of microplastics.

  • If you replace plastic with something more expensive, you make food and other products less affordable — especially for poor people.

  • If you replace plastic with something less durable and sealable, you’ll increase contamination, spoilage, and maybe even sickness.

One potential replacement is bioplastic made from corn or sugar beets. Such a “natural” solution has instinctive appeal, but critics say bioplastics can have an even worse environmental impact, thanks to emissions associated with agriculture. Similarly, researchers last year concluded that alternatives like glass, paper and metals have worse greenhouse gas emission profiles than plastic.

That’s not to say we should throw in the towel on seeking viable plastic alternatives that have a better end-to-end environmental profile. In the meantime, however, a case can be made that the best way to handle our plastic trash is to send it straight to landfills, rather than continuing to embrace a fiction plastered over the hard truth of plastic recycling. After all, much of your “recycled” plastic is going to landfills already.

Instinct may tell you that putting an empty blueberry carton in a landfill is nearly as bad as throwing it in a river. If so, it may be because your vision of a landfill doesn’t match the reality of today’s modern, regulated facilities. As civil engineer and hydrologist BJ Campbell explains:

[Modern landfills] are sealed on the bottom with geotechnical fabric to prevent leachate from entering the groundwater. They burn off, or sometimes even harvest, the methane produced from decomposition. Landfill cells are capped off with clay or bentonite to protect the environment. And then often they’re turned into parks or golf courses at the end.

What about decomposition and seepage into the soil? Modern landfills have an ongoing mechanism for collecting that liquid waste — or “leachate” — the collects at the bottom. Researchers from the University of Illinois who scoured the leachate flowing from four landfills were pleasantly surprised by the low volume of microplastics they found. In a 2024 study published in Science of the Total Environment, they reported that landfills “retain most of the plastic waste that is dumped there, and wastewater treatment plants remove 99% of the microplastics…from the wastewater and leachate” that comes from the landfills.

Lest this sound like a landfill PR piece, note that researchers found higher levels of a different type of contaminant — PFAS, aka “forever chemicals” — than they expected. We should also acknowledge that, despite the promising findings regarding plastic retention in the examined landfills, no man-made system is immune to failures.

It’s often said that we’re going to run out of space for all our trash. In turns out that widely-held assumption is, well, rubbish. “If you think of the United States as a football field, all the garbage that we will generate in the next one thousand years would fit inside a tiny fraction of the one-inch line,” notes science writer Tierney.

Eliminating largely fictional plastic “recycling” and sending plastic straight to landfills isn’t an appealing choice, but it bears repeating: There are no solutions, only trade-offs.

Where environmental issues are concerned, the sheer volume of trade-offs is dizzying. Amid that daunting cloud of variables, one thing is certain: From the question of what to do with today’s plastic to the pursuit of viable plastic alternatives, rational evaluation of trade-offs is impeded by mythology that masks the stark realities of plastic-recycling.

Stark Realities undermines official narratives, demolishes conventional wisdom and exposes fundamental myths across the political spectrum. Read more and subscribe for free at starkrealities.substack.com  

Views expressed in this article are opinions of the author and do not necessarily reflect the views of ZeroHedge.

Tyler Durden
Fri, 02/07/2025 – 20:55

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