As the global economic recession is believed to have finally met its end, the United States economy has grown at its fastest pace in the fourth quarter of 2009 as most businesses aggressively boosted their spending and held on to their inventories longer. This growth in the country’s Gross Domestic Product or GDP has pleasantly surprised many economists.

The growth was also seen as a positive sign that the economy is headed in the right direction and is moving towards sustainable growth before the government stimulus budget dry out. On Friday, January 29, 2010, the US Commerce Department revealed that the GDP expanded at a 5.7% annual rate. It was a good and strong ending for 2009, which saw the US economy shrink by 2.4%, its worst recession since after the Second World War.

According to Stuart Hoffman of the PNC Financial Services Group based in Pittsburgh, the information shows that the change from government stimulus to private sector is important for the country’s economic expansion.

The growth is primarily a result of many companies significantly lowering their inventory turnover, which is still not the way that many observers would have wanted the growth to occur. Many analysts wanted an upsurge in demand, but several of them still think that the news is very good for the country.

Getting the economy stable again after being rocked by the worst recession since the Great Depression has been one of the main agenda points for the Obama administration since he took over the White House in January of 2009. In his first State of the Union Address, President Obama again stressed the administration’s efforts in creating jobs and further nurturing the US economy.

As a result of this positive news, US stocks rallied in the opening of the stock markets, but dwindled and struggled at the end with the news of credit troubles in Europe greatly affecting the market surge. Despite this, the US dollar rose against other major currencies upon closing on Friday.

The government released its job report for January on Friday, February 5th 2010.

Ben Bernanke, the US Federal Reserve Chairman, has been voted by the US Senate to serve his second term as Chairman of the Federal Reserve, the United States’ Central Bank. The Senate voted 70-30 in favor of Bernanke, giving him his second term in one of the closest margin of victory in the history of the Senate.

Mainly criticized because of his alleged lack of effort in avoiding the economic recession and for supporting the bank bailouts, many supporters of Bernanke have claimed that without the steady hand of Bernanke in guiding the world’s most powerful Central Bank, the situation would have been much worse.

“Chairman Bernanke will continue to play a vitally important role in guiding the nation’s economy,” comments Timothy Geithner, the United States Secretary of Treasury. Democratic Senator Sheldon Whitehouse commented that this is the time that the Fed should use its “enormous powers” to help people and the nation in recovering after the recession. He further adds that if the Fed had helped the major US financial institutions the last time, it is now time for them to turn their heads towards the American families who are still in dire need of help.

President Obama, who has been lobbying for Bernanke’s reelection, was very pleased with the Senate’s decision. He was all praises for the Fed chairman’s wisdom and steady leadership throughout the economic recession.

Though there are still some skeptics, especially with regard to the way Bernanke directed the Fed during the recession, many supporters agree that without Bernanke, the United States would have been in much worse condition during this economic crash. They credit him for avoiding another Great Depression.

Ben Bernanke replaced Alan Greenspan as the Fed chairman in 2006 under the Bush administration. Before heading the Fed, Bernanke was a scholar of the Great Depression and spent most of his career as an economic professor at Princeton University.

The number of people in the United States who lost their jobs in October fell in October from September.

According to an article on Reuters, “the Labor Department said the 2,127 mass layoff actions reported in October — defined as job cuts involving at least 50 people from a single employer — was down 434 from September. The layoffs affected 217,182 workers, down from 248,006 in September. Mass layoff events were down by 77 from October 2008.”

Experts say the labor market is showing signs of hitting bottom and could begin re-stabilizing in the first or second quarter of 2010.

The U.S. unemployment rate rose to 10.2 percent in October, the highest it has been in 26 years.
The Department of Labor reports that there has been a total of 49,357 layoffs reported since December 2007.

Retired U.S. Sen. Al D’Amato got candid with Howard Stern earlier this year, revealing his thoughts on a wide-range of issues including the wars in Iraq and Afghanistan and legalizing pot.

The founder of Park Strategies, a leading public policy and business development firm, Al D’Amato had a distinguished 18-year career in the U.S. Senate.

He served as chairman of the Senate Banking Committee, was a member of the Senate Appropriations Committee – specializing in defense and transportation issues – and served on the Senate Finance Committee.

In the articleon www.examiner.com, Al D’Amato told Stern that the U.S. would do good to get out of both wars, calling them “unwinnable.”

Al D’Amato keeps close relationships with members of Congress, on both sides of the aisle He is also a noted commentator on the Fox News Channel, NY1, and Bloomberg Radio. You can follow Sen. D’Amato on Facebook and Twitter.

According to a Miami Herald article, the former chief of the U.S. Drug Enforcement Administration was indicted by a federal grand jury for shredding records belonging to banker Allen Stanford. Tom Raffanello is charged with ordering workers to shred up thousands of documents after the government shut down Stanford’s bank for a fraud investigation. Representing Raffanello is this sensational case is none other than Miami legal legend Kendall Coffey, who is no stranger to high profile cases. Kendall Coffey has represented the American relatives of the Elias Gonzalez, exposed massive vote fraud during a contested Miami mayoral race, and represented Al Gore during the 2000 presidential election crisis.

This latest legal brouhaha erupted when the government discovered a $7 billion Ponzi scheme, which diverted most of the money to failing businesses and Stanford’s personal account. For five years, Tom Raffanello, who is not accused in the Ponzi scheme, worked on Stanford’s security team, at first overseeing the company’s fledgling Caribbean airline and later taking over the entire security force in 2006. Shortly after the government takeover of Stanford’s banks, federal agents seized thousands of records from company offices.

Prosecuters accuse Tom Raffanello of destroying bank records, saying he told his employee to call a shredding company on Feb. 23, six days after a court order to keep all records intact. Prosecutors say the records — including secret background reports on employees and potential investors — were hauled away from the company’s security bunker in Fort Lauderdale. The 61-year-old former DEA chief said he was prepared to turn himself over to federal agents Friday on charges of conspiracy, obstruction and destruction of records in a federal investigation.

Tom Raffanello has denied any wrongdoing. “No one is sorrier than me that it came to this — after spending 32.5 years working for the government,” he told The Miami Herald. “But I’m prepared to fight this. I still believe in the system.”

“We kept everything on electronic files,” Tom Raffanello explained. “I told them that I ordered [Bruce Perraud] to destroy the paper records because we had duplicates.”

Raffanello’s lawyer, Kendall Coffey, a former Miami U.S. attorney who once worked with Raffanello, said the indictment was “a serious mistake.” “It’s not like they have any theory that anybody was trying to conceal anything or even trying to keep their jobs,” said Kendall Coffey. “They were just cleaning out the offices to close down their company.”

Joe Biden, 47th and current U.S. Vice President, made an unannounced visit to Iraq, his second this year, and his first since being elected to office. In Baghdad, he met with Iraqi leaders and U.S. military commanders following the pullout of American troops from the country’s urban centers.

Despite the still-elusive political reconciliation of three ethnic factions – Sunni, Shi’ite and Kurds – over regional boundaries and oil profits, Biden said that the country has relatively moved beyond intense sectarian conflict that prevailed before.

For this, Biden expressed optimism about Iraq’s future while recognizing that much remained to be done.

“I am optimistic because I do think that the Iraqis have become interested in their nationhood. They’ve become interested in the idea that they run their own lives,” the former Senator from Delaware told reporters.

Biden was appointed by President Barack Obama to assist in coordinating Iraq policy with U.S. efforts to secure a full withdrawal of forces by 2012.

Although there have still been skirmishes and pockets of resistance in the country, the level of violence has ebbed over the U.S.’ six-year stay.

In addition to meetings and consultations with President Jalal Talabani and Prime Minister Nuri al-Maliki, Biden also paid a visit to thousands of U.S. troops to mark the July 4 celebration.

Biden opined that Washington considers the sentiment of Iraqis about security and violence, but claimed the country is moving beyond the danger of widespread ethnic or sectarian conflict.

As the head of the Senate Foreign Relations Committee, he had been an outspoken critic of U.S. involvement in Iraq, which he described on the Today Show, as having “no end in sight.” Criticizing the prolonged war, he had said, “The costs of staying are immense. It’s killing us.”

Now, Biden’s new role is to foster cooperation among the Iraqi factions to achieve “a stable, functioning government where there is neither sectarian violence nor ethnic violence.”

Despite repeated calls from the international community to reinstate ousted Honduras President Manuel Zelaya, coup leaders have remained defiant, even announcing its withdrawal from the Organization of American States (OAS).

The June 28 Honduras coup which ousted President Manual Zelaya triggered international condemnation. The United Nations have called upon the OAS to “take a leadership role to find the peaceful solution to that issue whereby the constitutional order can be restored.”

In the United States, there are mixed reactions from observers and political analysts, some insisting that the U.S. support the coup while some hinting that the U.S. is playing neutral and has no serious intention of resolving the impasse.

Honduras military officials responsible for the coup claims it based its actions on a Supreme Court ruling nullifying Zelaya’s plans for an extended term through constitutional change.

Roberto Micheletti, the speaker of Congress, replaced him as interim President.

John Thomson of the National Review Online insists that the U.S. should support the coup, arguing that Zelaya’s comeback would only be a victory for Hugo Chavez, whom the deposed leader supports. Thomson views the Honduran crisis as “a battle between democracy and leftist autocrats who have manipulated themselves into permanent power in their countries and want to add Honduras to the list.”

Barry Grey and Rafael Azul of Global Research claim that the U.S. is taking a neutral position on Honduras despite its public condemnation of the coup. They opined that after an unsuccessful attempt to back attempts to unseat Chavez several years back, the U.S. could not publicly support the coup, but it was well aware of it. It also observed that the official US line post the coup was that “it attempted unsuccessfully to convince the Honduran military not to proceed with the coup, amounting to a tacit acknowledgment that Washington was well aware of the coup plans.”

Presently, the Honduras crisis is at a stalemate.

New Hampshire businessman and economic political activist Fred Tausch continues to go forward with his “STEWARD of Prosperity” movement, which seeks to reign in government spending and shrink the national deficit.

STEWARD stands for “Save the Economy Without Accumulating Record Debt.” Fred Tausch, who actually voted for Barack Obama for President, is now disappointed with what he perceives as President Obama’s fiscal recklessness. Economists, of course, are engaged in a heated debate over the government’s role in the current economic crisis, but Fred Tausch has made his position very clear. Fred Tausch believes the government is spending way too much money, and leaving our descendants with a massive debt they could never hope to repay.

The combination of two massive bank bailouts, the auto bailout, and comprehensive health care reform has contributed to a record government deficit of $12 trillion. Fred Tausch, shocked by this ballooning deficit, formed the STEWARD of Prosperity movement during a prospective Senatorial run. Fred Tausch decided not to run for the US Senate, but he continues to be an advocate for cutting government spending through the STEWARD of Prosperity. This grassroots organization agitates for more government transparency, stopping government bailouts, and more accountability on the part of politicians who vote on spending bills.

Of course, there are economists who would disagree with Fred Tausch. Paul Krugman, for instance, has supported President Obama’s economic stimulus package, though he has issues on the way the program has been conducted. Many other economists believe the bailouts were necessary to salvage failing industries and restore badly needed credit. But Fred Tausch believes that these massive government programs have only led to waste and mismanagement.

The debate about the best way to deal with the economic crisis will likely continue to rage. For Americans yearning for a movement that advocates fiscal conservatism, Fred Tausch’s STEWARD of Prosperity may be a good movement to join. But Americans who support a stronger government intervention in the economy will likely have a lively debate with Fred Tausch and members of the STEWARD of Prosperity movement.

A February 18, 2009 article from Reuters reported President Barack Obama’s plan to solve America’s housing crisis as a part of his serious initiative to revive the nation’s economy. The President pledged up to $275 billion as assistance to at least nine million American families. These families will be given the chance to restructure or refinance their mortgages to avert foreclosures.

The home mortgage crisis is a major factor in the economic meltdown. Numerous American homeowners are burdened with home mortgages they are unable to pay, subjecting their homes to foreclosure. In fact, according to the Mortgage Bankers Association, just over 9% of all home loans in the United States were in arrears or in foreclosure at the end of 2008. Moreover, Credit Suisse reported that 16% of all households with mortgages could end up facing foreclosure by 2012 – that is equivalent to a total of 8.1 million homes in the United States.

In a speech addressed to an attentive audience in Mesa, Arizona, President Barack Obama articulated the interconnection of the housing crisis, the financial crisis, and the even broader economic crisis.

Another article, this one from The New York Times, revealed that the housing plan comprises three parts. The first component seeks to aid homeowners who are up-to-date on their payments but are paying high interest rates and have no way of refinancing due to insufficient equity in their homes.

The second part would provide incentives to lenders who would change the loan terms to make them affordable for the straining borrowers, thus helping around four million people who are at risk of foreclosure. To make this possible, a $75 billion program will be created to subsidize loan modifications that allow a reduction of the household’s monthly payment to as low as 31% of the family’s gross monthly income.

The last part would consist of $200 billion worth of additional financial backing to government-sponsored enterprises (GSEs) Fannie Mae and Freddie Mac. Fannie Mae was created to buy mortgages from approved mortgage sellers, securitize them, and sell the resulting mortgage-backed security to investors in the secondary mortgage market with a guarantee that principal and interest payments are appropriately passed over to the investor. Freddie Mac was established to expand the secondary market for mortgages in the United States. Freddie Mac purchases mortgages on the secondary market, pools them, and sells them as mortgage-backed securities to investors on the open market. By buying mortgages, both GSEs provide banking and other institutions ensure that funds are constantly available so buyers can make new loans.

With this plan, as much as five million homeowners who are still making payments but cannot qualify for conventional refinancing will be able to refinance through Fannie Mae and Freddie Mac.

According to the BBC News, Nobel Peace laureate Archbishop Desmond Tutu expressed his positions on Barack Obama’s presidential victory, the risk of wasting the goodwill Obama’s election has generated, his call for the United States to reach out to other nations, and Britain’s role in the “war on terror.”

Archbishop emeritus Desmond Tutu recounted his jubilance over the presidential victory of Barack Obama, referring to Obama’s election as an “epoch making event” that gave the world hope that change may be at hand. The archbishop said that he wanted to “dance and jump and shout” after watching the U.S. election results that came in. Nevertheless, he cautioned the new president of possibly dissipating the goodwill the presidential election has brought forth. Additionally, Archbishop Desmond Tutu encouraged Obama to be tough on African dictators and urged the U.S. president, as well as the U.S. Secretary of State Hillary Clinton, to renew ties with other countries and listen to them.

Moreover, Archbishop Desmond Tutu said it would be wonderful if President Barack Obama apologized, on behalf of the American people, for the invasion of Iraq led by the United States. The South African activist further noted that Britain’s cooperation with the United States in the “war on terror” has definitely injured Britain’s status in the world. Even so, he commended the British Council’s endeavor of helping Nelson Mandela’s government with the reformation of the post-apartheid diplomatic service and the training of black teachers.

About Desmond Tutu
Desmond Tutu is an Anglican Archbishop emeritus who gained worldwide attention for his remarkable efforts in opposing the apartheid during the 1980s, which led to his being awarded the Nobel Peace Prize in 1984.

He was born in Klerksdorp, Transvaal, South Africa in 1931. In 1960, he was ordained as an Anglican priest. Following his theological studies, his teaching stint and his theological work in South Africa, Desmond Tutu became Bishop of Lesotho and then went on to become the General Secretary of the South African Council of Churches (SACC) from 1978 to 1985. He soon became Bishop of Johannesburg and then Archbishop of Cape Town from 1986 to 1996.

As a peace advocate, Desmond Tutu has served as chairman of the Truth and Reconciliation Commission; patron of the World Campaign Against Military and Nuclear Collaboration with South Africa Beacon Millennium and Action from Ireland; and patron of American Harmony Child Foundation, among others. He currently serves as Chairman of The Elders. In addition, Desmond Tutu founded the Desmond Tutu Peace Foundation with an aim to seek funding for the Desmond Tutu Peace Centre located in Cape Town; and the Desmond Tutu Foundation USA, to collaborate with universities nationwide in creating leadership academies.

More news on Desmond Tutu:

• The Desmond Tutu Peace Foundation and the Desmond Tutu Peace Centre.
• Archbishop Desmond Tutu condemning the Guantanamo Bay prison camp.
• Nobelprize.org features an interview of Desmond Tutu.

Results of a presidential survey released over the President’s Day weekend that came out on CNN last February 16, 2009, revealed that Abraham Lincoln was ranked first among all the other former United States presidents.

The poll asked 65 historians to rank each U.S. president on 10 leadership characteristics: economic management, moral authority, public persuasion, international relations, crisis leadership, administrative skills, vision/setting an agenda, relations with Congress, performance within context of times, and how they pursued equal justice for all. The survey was conducted for the cable television network C-SPAN; and this was the network’s second survey since 2000, where Abraham Lincoln led the survey as well.

The survey listed George Washington as second in rank, while Franklin D. Roosevelt placed 3rd, Theodore Roosevelt 4th, and then followed by Harry Truman in the 5th spot. Ulysses S. Grant had the largest leap from 33rd to 23rd. Bill Clinton climbed the chart from 21st to 15th; Ronald Reagan moved from 11th to 10th; and George H.W. Bush jumped from 20th to 18th. George W. Bush placed 36th in the new poll while James Buchanan held the last spot.

Abraham Lincoln has indeed left a grand legacy of freedom to our people today, having led the nation through the American Civil War, from which he saved the Union and eradicated slavery. Abraham Lincoln was born in Hardin County, Kentucky on February 12, 1809. Prior to becoming president, Abraham Lincoln served as captain in the Black Hawk War. He was also a lawyer, an Illinois state legislator for eight years, and a member of the U.S. House of Representatives from 1847 to 1849. As president, Abraham Lincoln issued the Emancipation Proclamation that took effect on January 1, 1863, ordering the freeing of slaves in territories not under Union control. He also promoted the passage of the Thirteenth Amendment to the United States Constitution that was later ratified by the states in 1865. The amendment officially abolished slavery and involuntary servitude, and it remains to prohibit the said acts until this day.

About C-SPAN
C-SPAN (Cable-Satellite Public Affairs Network) is a private, non-profit American company that was created in 1979 carrying a mission to “provide public access to the political process.” In this regard, the network broadcasts nonstop coverage of public affairs programming as well as government proceedings such as the Senate and the House of Representatives. C-SPAN is operated by the National Cable Satellite Corporation, whose board of directors is composed mainly of representatives from major cable companies. The network does not accept funding from government sources nor does it accept any advertising from outside entities. Instead, C-SPAN receives its funding from fees charged to cable and satellite operators that carry the network’s programming.

Related Sources:

C-SPAN outlines the summary of 2009 Historians Survey of Presidential Leadership.

A view the overall ranking of C-NET’s presidential survey for 2009 in comparison with results in 2000.

List of historians who participated in the 2009 presidential leadership survey.

Former New York Senator and First Lady Hillary Clinton was in Japan last February 16 as part of her four-nation Asian tour. Her trip marks her first overseas since becoming US Secretary of State.

Leading to her visit, there had been cresting Japanese fear that America was poised to swap its alliance with Japan for China. Hillary Clinton’s husband, former President Bill Clinton, skipped a visit to Japan in 1998 after a weeklong stay in China.

On her arrival Monday night, Secretary of State Hillary Clinton expressed her reassurance and consoled Japanese sensibilities, even touting the country as a “cornerstone” in diplomatic efforts.

Hillary Clinton used the trip, among others, to personally deliver an invitation from her onetime presidential rival Barack Obama, to Japanese Prime Minister Taro Aso. The US President wants his Japanese counterpart to visit Washington D.C. on February 24th.

That would make Aso the first world leader to visit the White House under Obama’s administration.

On the second day of her visit, Hillary Clinton had dinner with the Prime Minister and afterwards, managed to meet with Ichiro Ozawa, the PM’s rival. Head of Japan’s Democratic Party, Ozawa reportedly told Clinton he wanted a more visible role for Tokyo, even if it meant sidestepping American ties.

Her meeting with Ozawa demonstrated a visit marked by “balance” and “harmony,” words she used to describe a Shinto shrine in relation to Barack Obama’s foreign policy. That morning, she came to the shrine for a welcoming and purification ritual.

Some 200 US Embassy workers accompanied her to the shrine, dedicated to Emperor Meiji. Later she distributed gifts and drank tea.

Hillary Clinton had more teatime that afternoon, this time with Empress Michiko at the Imperial Palace.

Japanese Foreign Minister Hirofumi Nakasone interpreted Hillary Clinton’s state visit as Obama attaching importance to Japan-U.S. relations.

Together, Nakasone and Hillary Clinton signed a Bush-negotiated agreement that would relocate 8,000 of 50,000 US marines in Okinawa, Japan to Guam, a US territory. The move is largely funded by Japan.

For the rest of her visit, the Secretary of State moved under the shadows of the threat of nuclear aggression by North Korea. America’s top diplomat tackled the North Korea problem when she presided over a town hall meeting. Families of Japanese abductees trooped to Tokyo University for the rare engagement.

Since the 1970s, some Japanese citizens have been reported missing and were presumably held against their will by North Korean agents.

For half an hour, Clinton listened to relatives’ plights and vowed to help look for answers regarding the abductees. Beyond that, Hillary Clinton committed to nothing.

Secretary of State Hillary Clinton departed for Jakarta, Indonesia on Wednesday. Her next trips are scheduled for Seoul, South Korea and Beijing, China.

Related Sources:

Washington Post report on the State Secretary of State Hillary Clinton’s Japan visit.

The BBC reported on Hillary Clinton’s first visit abroad as state Secretary.

NBC News interviewed State Secretary Hillary Clinton in Tokyo.

In a piece published on his site Park Strategies, former New York Senator Alphonse D’Amato gave his two cents worth (or $800 billion’s worth, for that matter) on the latest series of bailouts for the nation’s struggling banks. Citing President Barack Obama’s quote that the economic troubles were caused by a “legacy of mismanagement and misplace priorities and “an era of profound irresponsibility,” Alphonse D’Amato went further, saying that it was “outright corruption” that should be blamed as well.

Alphonse D’Amato expressed grave concerns that the government was only throwing money at the problem without a cohesive strategy. He also shows little sympathy for the struggling banks. “When I analyze this country’s bailout history thus far, I wonder why we continue to be so concerned with saving the rich guy,” Alphonse D’Amato writes, “Enough is enough. Let them go into bankruptcy! For the little guy, the “moms and pops” of America who run your local deli, or dry cleaner, or hardware store, there is no bailout for them.”

Alphonse D’Amato is fairly harsh in his criticism for bailout recipients Citigroup and AGI. “Make no mistake about it,” Alphonse D’Amato writes, “The Citigroups and AIG’s of the world sold worthless mortgages and financial products … They are the greediest of the greedy. Their pompous executive teams, supposed great financial wizards, have made hundreds of millions in compensation.” Alphonse D’Amato goes on to say the actions of these companies “bordered on criminality” and expressed his disappointment that so many financial institutions did not protect the free market system and the small American investor.

But Alphonse D’Amato didn’t just put the blame solely on greedy financiers. He is also angry at how rating agencies such as Moody’s, Standard & Poor’s, Fitch, and others dropped the ball in the failure to see the sub-prime mortgage crisis. “This travesty could not have taken place without the total complicity of America’s rating agencies,” he writes. “To date, I have not read or heard about any comprehensive investigation relating to how these services … could have survived when they were stamping junk with a triple-A rating.”

Alphonse D’Amato is surprised there is no public outcry over the abject failure of these rating agencies. “This deception of the American people happened because the agencies did not insist on elementary standards for those who bought homes,” he says.

Lastly, he wants the government to stop using the American taxpayer as an “ATM machine” every time large institutions face failure due to incompetence, corruption, and greed. “Why save the banks and corporate America when small business owners, the mom and pop stores, the centerpiece of our communities, are going under? Who is bailing them out?” Alphonse D’Amato writes.

Alphonse D’Amato urges a comprehensive investigation of the rating system and its agencies, so that dishonest business practices will never again get a stamp of approval from trusted sources. He feels any bailout money should be going to small business and investors, not the large institutions. “If we are not helping and bailing out the average homeowner, the little guy on Main Street, why should we be bailing out the muggers of Wall Street?”

That’s a good question, indeed!

Article Source: Park Strategies

Additional Resources on Alphonse D’Amato:

• Alphonse D’Amato: If we raise taxes, we will lose jobs and talent.
• Alphonse D’Amato is a proud Republican, but he respects his Democratic colleagues. In this piece, he refutes the “Republicrat” label.
• Poker Players Alliance Chairman Alphonse D’Amato speaks about the future of online poker.
  

Los Angeles’ Mayor Antonio Villaraigosa turned down the invitation of President-elect Barack Obama to become one of his secretaries. Obama wooed the mayor when he phoned him to offer support after November’s wildfires in California.

Villaraigosa expressed love for his job and stressed that he is bent on staying in Los Angeles to resolve the city’s financial crisis and to work on his reelection campaign.

Obama’s move is seen as deference to mounting pressure by the vast Latino community for greater representation in his administration. Villaraigosa, born of a Mexican immigrant father and a Mexican-American mother, seemed a likely pick for the Cabinet. Initially, Villaraigosa was considered for the position of Secretary of Housing and Urban Development, then for the position of Secretary of Labor.

Villaraigosa is the first Latino mayor of Los Angeles since 1872. He came to power after beating incumbent James Hahn in the 2005 race, although only 24% of registered voters turned out. On July 2005, he was sworn into office as the 41st Mayor of Los Angeles.

Hahn defeated Villaraigosa during the latter’s first bid for Mayor in 2001, after which Villaraigosa accepted a fellowship at UCLA and USC. There, he jointly wrote a policy blueprint for urban sprawl.

Villaraigosa rebounded in 2003 by being elected to the 14th District Los Angeles City Council. When John Kerry ran for president the next year, Villaraigosa became his campaign’s national co-chairman.

Mayor Villaraigosa was born Antonio Villar in Boyle Heights, East Los Angeles on January 23, 1953. Eldest among four children, he grew up without a father. In 1987, he wed Corine Raigosa and has since adopted “Villaraigosa” for surname.

During his troubled youth, Villaraigosa actually dropped out of high school. He only resumed after his mother sent him a missive urging him to do so. Eventually he graduated from Theodore Roosevelt High School and secured a history degree from UCLA. In 1985, he earned a doctorate in jurisprudence from the Peoples’ College of Law.

At the young age of 15, Villaraigosa was already affiliated with the labor movement. He later became the organizer of the United Teachers of Los Angeles (UTLA). In 1990, he served in the Los Angeles Metropolitan Transportation Authority and stayed until 1994, when he was elected to the California State Assembly.

Article Source: Los Angeles Times.

Profile of Antonio Villaraigosa on About.com.

Antonio Villaraigosa recently appeared on Mayor TV.

Amid news of the U.S. economic downturn and the post-election events, a Newsweek Web Exclusive article described Ben Bernanke as “the most powerful economic policymaker in Washington.” As Chairman of the Federal Reserve, Dr. Bernanke is always one of the top subjects of financial news along with the bankruptcy of several of the biggest American financial companies (Lehman Brothers in September 2008) and the bailout packages extended by the Federal Reserve (to AIG and Citigroup).

Ben S. Bernanke was born in Augusta, Georgia in December 13, 1953. He studied economics in Harvard University and graduated summa cum laude in 1975. He earned his doctorate in economics in Massachusetts Institute of Technology in 1979. His teaching career started in Stanford University and in New York University. In 1985, he was a professor at Princeton University.

Bernanke worked with the Federal Reserve beginning 1987. His public service highlight was his appointment as chairman to the president’s Council of Economic Advisers in June 2005. In October 2005, he was nominated by President George Bush to replace outgoing Federal Reserve Chairman Alan Greenspan. He was appointed Chairman of the Federal Reserve System in February 2006. His term will end in 2010.

The Federal Reserve System is an independent government institution created by the Federal Reserve Act in 1913. It functions as a central bank for the United States, monetary policy-making body and as fiscal agents for the Treasury. Its main purposes are supervision over banking institutions, protection of credit rights of consumers, management of money supply and provision of financial services to domestic and foreign government institutions. Its policies and regulatory actions do not require presidential or congressional approval. However, it reports to Congress and only Congress can control its regulatory powers.

The term of the members of the Board of Governors is not coterminous with the U.S. president who appoints them to the Federal Reserve. Each of them will serve 14 years as member of the Board of Governors.

Article Source: Newsweek

Ever since his election as the 64th Attorney General of New York State on Nov. 7, 2006, Andrew Cuomo has proven himself a forward-thinking man of integrity; one with a well-conceived strategy for addressing systemic problems prevalent in the state. To achieve the vision he has set for himself and his good office, Cuomo paid attention to the “voice of the people.”

In the first year of his term, he took on individual cases with the mindset of using what he learned to solve the bigger problems. His most lauded efforts were in industry-wide investigations which exposed malpractices in mortgage, healthcare and even the student loan sectors.

In line with this drive for integrity in the government, he is following up on the institutions who have requested for bailouts in order to tide the crisis. Upon reports of some companies wasting corporate expenditures, Cuomo made it his own crusade to set things right.

Citigroup, Goldman Sachs, AIG, all other Wall Street firms have been under the scrutiny of the office of the Attorney General. All the major institutions who have received federal financial aid were requested by Cuomo to disclose compensation information. Non-collaboration would be taken to mean that the company has no concern for the affected investors, taxpayers and other stakeholders.

Last December 8, he sent a firm letter to the board of directors of Merrill Lynch to discuss the justification for the executive corporate compensations, specifically the issue regarding Merrill Lynch CEO John Thain’s declaration that he ought to be paid $10 million for his outstanding performance. Cuomo places this in contrast to Goldman and Sachs, whose Board has agreed to forego bonuses in order for the rest of the employees to get their pay, and to reduce having to let go of people.

Andrew Mark Cuomo, son of former New York Governor Mario M. Cuomo, graduated from Fordham University and accomplished his Juris Doctor at Albany Law School. His most prominent assignment prior to his current position was as the Secretary of Housing and Urban Development under President Bill Clinton from 1997-2001. A true-blue Democrat, Cuomo’s take on his office reflects an emphasis on the policymaking aspect first. He views the law as a tool to resolve systemic issues.

Article Sources: Money.cnn.com, Bnet.com

Mario Cuomo’s famous speech at the 1984 Democratic National Convention.

Quotes by Mario Cuomo on Brainy Quote.

Mario Cuomo compares Barack Obama to Abraham Lincoln.

On Jan. 24, 2009, the politics section of FoxNews.com released a report that outlined several pieces of the plan laid down by U.S. President Barack Obama in his commitment to revive the nation’s struggling economy.

Taking a look into the current U.S. economic situation, 1 in 10 homeowners are at risk of foreclosure; manufacturing is at a 28-year low; and the value of the dollar is on a downward slope. Another devastating fact is that the nation lost 2.6 million jobs in 2008, the highest amount in any single year since World War II. President Barack Obama’s economists also speculate that unemployment could reach 10% before the recession stops.

In the hope of helping President Barack Obama reverse the economic slide and fulfill his campaign pledges, the Democratic leaders in the House of Representatives earlier proposed an $825 billion economic stimulus package that includes spending and tax cuts. On Friday, January 23, 2009, President Barack Obama met with lawmakers, Republican and Democratic alike, urging them to support the stimulus package. Citing details from an article by the Associated Press, the pending economic stimulus package will combine approximately $550 billion in federal spending and $275 billion in tax cuts. Energy-related proposals would include over $20 billion in tax cuts and $32 billion to upgrade the electrical distribution system.

President Barack Obama also made sure that voters would comprehend the rationale behind his economic plan, thus early on Saturday, January 24, 2009, the White House released President Barack Obama’s 5-minute address over the radio and Internet. According to President Barack Obama, his economic plan will double the nation’s renewable energy capacity within three years, increase security at 90 ports, and add 3,000 miles of electrical lines. President Barack Obama stressed that “a bad situation could become dramatically worse” if actions would not be taken boldly and swiftly. Additionally, in his manner of setting realistic expectations, President Barack Obama reminded the audience that results would not happen instantly.

In addition, President Barack Obama’s economic team released a report that sketched out the benefits of the plan and thus bolster support. Some pieces of the plan will include:

* Shifting to electronic medical records and investing in preventive health
care by providing health care coverage for 8.5 million Americans.
* Increasing the federal portion of Medicaid and children’s health insurance so
that state would no longer need to turn away any of the 20 million children.
* Creating 3 to 4 million jobs over the next years.
* Upgrading 10,000 schools and advancing learning among 5 million students.
* Tripling the number of undergraduate and graduate fellowships in science.
* Saving $2 billion each year through making federal buildings energy-
efficient.
* Doubling the amount of energy generated from renewable resources within three years.

Based on the plan, at least 75% or over $600 billion will be used up within the first 18 months, injecting a huge amount of money to support either infrastructure projects as proposed by Democrats or tax cuts preferred by Republicans.

On June 21, 2009, the Senate confirmed Hillary Rodham Clinton as the 67th United States Secretary of State. It was the first day in office for President Barack Obama and while he was busy engaging himself in several affairs, Hillary Clinton’s nomination for the post as Secretary of State was finally confirmed in the full Senate by a vote of 94-2.

The two senators who opposed the confirmation were Republicans David Vitter of Louisiana and Jim DeMint of South Carolina. Prior to the confirmation, hearings before the Senate Foreign Relations Committee commenced on January 13, 2009. By January 15, the said body voted 16-1 to approve Hillary Clinton.

Both Republicans and Democrats in general share the same sentiment that such prompt confirmation was essential for the new president to be able to start with his work in dealing with the current major and critical foreign policy issues such as Iran’s nuclear threats and the increasing violence in the Middle East, particularly the wars in Gaza and Iraq.

As a result of the confirmation from the Senate, Hillary Clinton was sworn in as the 67th U.S. Secretary of State in her office, which is located in the Russell Senate Office Building. Present at the private ceremony was her husband, former President Bill Clinton, and her Senate staff. On the same day, Hillary Clinton resigned from the Senate, submitting her resignation letters to Vice President Joe Biden, president of the Senate; and New York Governor David Paterson.

A few Republicans expressed their concerns over conflicts of interest that may arise considering that the fundraising efforts for Bill Clinton’s foundation included donations overseas. Nevertheless, both parties in Congress greatly supported Hillary Clinton for the post.

Hillary Rodham Clinton was born on October 26, 1947 in Chicago, Illinois. She attended Maine East High School and then entered Wellesley College from where she graduated in 1969 with a B.A. degree in political science with departmental honors. Hillary Clinton then obtained her Juris Doctor degree from Yale Law School in 1973. Back in Yale, she served on the editorial board of the Yale Law Review and Social Action, worked for the Yale Child Study Center, interned with Marian Wright Edelman, and met Bill Clinton, whom she married in 1975.

Following graduation, Hillary Clinton practiced law, working as a staff attorney for the Children’s Defense Fund in Cambridge, Massachusetts and as Consultant to the Carnegie Council on Children. She also joined in the impeachment inquiry staff advising the House Committee on the Judiciary during the Watergate scandal. In 1975, she taught at the University of Arkansas Law School and then joined the Rose Law Firm in 1976. In 1978, President Jimmy Carter appointed her to the board of the Legal Services Corporation. She held the title “First Lady of Arkansas” for twelve years (1979–1981, 1983–1992) when her husband Bill Clinton became governor of the said state twice. Hillary Clinton was First Lady of the United States from 1993 to 2001; she then served as a U.S. Senator from 2001 to 2009. Hillary Clinton was a leading candidate for the Democratic presidential nomination in the 2008 election but lost to Obama.

• Official State Department biography of Secretary Hillary Rodham Clinton.
• Secretrary Hillary Clinton faces a tough job in securing Mideast peace process.
• Hillary Clinton criticizes George W. Bush on North Korea policy.

An article from USA Today presented a full account of Barack Obama’s first day as the 44th President of the United States of America.

In the face of an ongoing recession, wars in Iraq and Gaza, the threat of terrorism, and at this desperate time when America has duly entrusted its fate to this man, Barack Obama is sending a clear message that there is certainly no time to waste. Barack Obama’s first day as president was indeed a chock-full of must-dos reflecting his commitment of bringing change to America.

*January 21, 2009, Wednesday, 8:35 a.m. – Newly inaugurated President Barack Obama walked into the Oval Office and spent 10 minutes alone to contemplate. He read a personal note left behind by his predecessor, George W. Bush. The note was placed inside an envelope inscribed with “To: #44, From: #43.” White House staff, however, did not disclose its content. The note was a presidential tradition that started when Ronald Reagan left a note for George H.W. Bush.

After a quiet moment alone, President Barack Obama was ready for a full day of carrying out his presidential duties.

*Morning Service and Open House. The President, along with his wife Michelle, attended the National Prayer Service, a tradition following the Inauguration Day that started when George Washington took office. The couple was seated in front, joined by Vice President Joe Biden and his wife, Jill, as well as former President Bill Clinton and Hillary Clinton. In the afternoon, the first couple greeted 200 selected guests, in their effort of making White House accessible to the public.

*Executive Orders. President Barack Obama signed several executive orders in his first day of office. One was to freeze the salaries of around 100 White House staff members who make $100,000 a year or more, for the duration of the financial crisis. The President also imposed strict ethics rules such as banning lobbyists from giving gifts to any member of his administration, and staff members being barred from becoming lobbyists for two years after leaving his administration. President Barack Obama also issued another executive order to promote transparency by limiting the ability of past presidents to obstruct the release of records of their administrations. He also had his aides disseminate a draft executive order that would close the Guantanamo Bay detention center in Cuba within a year as well as suspend military trials of terror suspects who have been held in the said facility, pending a review of the military tribunals. On January 22, 2009, President Barack Obama signed the executive order that would close the said prison.

*Middle East Diplomacy. President Barack Obama called four Middle East leaders from Israel, Jordan, Egypt, and the Palestinian Authority, and informed them that his administration will address serious peace issues among Israelis, Palestinians, and Arabs. President Barack Obama also expressed his commitment to prevent arms smuggling to Hamas fighters and to help in the reconstruction effort for Palestinians in Gaza. The President then met with his military advisors over the issue of Iraq, reiterating his intention to withdraw combat troops from Iraq in 16 months.

• Official White House biography of President Barack Obama
• Article about Barack Obama’s years at the Harvard Law Review.
• A current anaylsis of the President’s economic stimulus package.

A Feb. 18, 2009 article from Reuters reveals President Barack Obama’s plan to solve America’s housing crisis as a part of his serious initiative to revive the nation’s economy. The President pledged up to $275 billion as assistance to at least nine million American families. These families will be given the chance to restructure or refinance their mortgages to avert foreclosures.

The home mortgage crisis is a major factor in the economic meltdown. Numerous American homeowners are burdened with home mortgages they are unable to pay, subjecting their homes to foreclosure. In fact, according to the Mortgage Bankers Association, just over 9% of all home loans in the United States were in arrears or in foreclosure at the end of 2008. Moreover, Credit Suisse reported that 16% of all households with mortgages could end up facing foreclosure by 2012 – that is equivalent to a total of 8.1 million homes in the United States.

In a speech addressed to an attentive audience in Mesa, Arizona, President Barack Obama articulated the interconnection of the housing crisis, the financial crisis, and the even broader economic crisis.

Another article, this one from The New York Times, revealed that the housing plan comprises three parts. The first component seeks to aid homeowners who are up-to-date on their payments but are paying high interest rates and have no way of refinancing due to insufficient equity in their homes.

The second part would provide incentives to lenders who would change the loan terms to make them affordable for the straining borrowers, thus helping around four million people who are at risk of foreclosure. To make this possible, a $75 billion program will be created to subsidize loan modifications that allow a reduction of the household’s monthly payment to as low as 31% of the family’s gross monthly income.

The last part would consist of $200 billion worth of additional financial backing to government-sponsored enterprises (GSEs) Fannie Mae and Freddie Mac. Fannie Mae was created to buy mortgages from approved mortgage sellers, securitize them, and sell the resulting mortgage-backed security to investors in the secondary mortgage market with a guarantee that principal and interest payments are appropriately passed over to the investor. Freddie Mac was established to expand the secondary market for mortgages in the United States. Freddie Mac purchases mortgages on the secondary market, pools them, and sells them as mortgage-backed securities to investors on the open market. By buying mortgages, both GSEs provide banking and other institutions ensure that funds are constantly available so buyers can make new loans.

With this plan, as much as five million homeowners who are still making payments but cannot qualify for conventional refinancing will be able to refinance through Fannie Mae and Freddie Mac.

Related Sources:

The Wall Street Journal features an article on the housing bailout plan.
An article from MSNBC features a consumer’s guide to the president’s housing plan.
An article from Reuters features FDIC talking about Obama’s housing plan to have impact in March.