Daily Archives: June 2, 2011

Uncertain Future for Rapidly Growing India

Horse cart, IndiaBy Vivek H. Dehejia – Economic development in a weak or collusive state like India’s often generates, and is fed by, corruption. This process creates inequalities of wealth, income, and power. However, it’s also possible that these very forces, by evoking public discontent, pose a danger to the legitimacy of the capitalist system itself. This danger necessitates a policy response from the state, regardless of its political system or ideological bent.

A number of developing states today, and in the past, have faced the problem of fighting the corruption that is often endemic to rapid economic growth. But the way they have addressed that problem has varied widely.

In the United States, the government responded by instituting regulatory reform and creating a welfare state. Post-unification, Bismarck-era Germany took a similar path around the same time, and later so did the United Kingdom as well as other Western democracies. more> http://tinyurl.com/3p6nqbg



For-Profit Colleges: First and Last Victims of Higher Education ‘Bubble’?

BubblesBy Derek Thompson – The parallels between the housing bubble and education have their limits. The Great Recession started with a domino of broken promises and failed expectations. Families stopped paying back mortgages, banks wrote down mortgage-backed assets, contagion spread. In education, the domino line is shorter. If students don’t pay back their loans to the federal government, the government just pays itself the difference. The only way for the market to change is for Washington to change the market.

The 2000s saw an electrifying rise in for-profit college attendance. Bachelors degrees at for-profits grew by 418 percent since 2000, according to a new study from the National Center for Education Statistics. An astounding one in four college students enrolled in for-profit colleges last decade, Yahoo! reported. Most of these corporations make 80 to 90 percent of their revenue from federal loans and grants. more> http://tinyurl.com/4y9y9mw

How much longer can photographic film hold on?

By Ben Dobbin – At the turn of the 21st century, American shutterbugs were buying close to a billion rolls of film per year. This year, they might buy a mere 20 million, plus 31 million single-use cameras — the beach-resort staple vacationers turn to in a pinch, according to the Photo Marketing Association.

Eastman Kodak Co. marketed the world’s first flexible roll film in 1888. By 1999, more than 800 million rolls were sold in the United States alone. The next year marked the apex for combined U.S. sales of rolls of film (upward of 786 million) and single-use cameras (162 million).

Equally startling has been the plunge in film camera sales over the last decade. Domestic purchases have tumbled from 19.7 million cameras in 2000 to 280,000 in 2009 and might dip below 100,000 this year, says Yukihiko Matsumoto, the Jackson, Mich.-based association’s chief researcher. more> http://tinyurl.com/3b6wdgt

Horror for US Economy as Data Falls off Cliff

illustrationBy Patrick Allen – “US house prices have fallen by more than 5 percent year on year, pending home sales have collapsed and existing home sales disappointed, the trend of improving jobless claims has arrested, first quarter GDP wasn’t revised upwards by the 0.4 percent forecast, durables goods orders shrank, manufacturing surveys from Philadelphia Fed, Richmond Fed and Chicago Fed were all very disappointing,” said Riddell, in a note sent to CNBC.

“QE3 anybody?” asks Riddell. more> http://tinyurl.com/3dszlvs



US Congress – House Hearing Subcommittee on Commerce, Manufacturing, and Trade Sony and Epsilon: Lessons for Data Security Legislation Thursday, June 2, 2011 Background Memo (pdf) Witness List Jeanette Fitzgerald (pdf) General Counsel, Epsilon Data Management, LLC Tim Schaaff (pdf) … Continue reading