Corn crop estimated drop ‘by the hour’

Now remember, many of our foods are dependent on corn. The bulk of corn grown in the U.S. is consumed by livestock, poultry, and fish production. Approximately 12% of the U.S. corn crop ends up in foods that are either consumed directly or indirectly, and has many industrial uses including ethanol. So this is not good news at all – and will most likely translate into much higher food costs.

Good thing the administration has taken such bold moves to prevent further global warming, huh?

CHICAGO, July 17 (Reuters) – U.S. corn production has shrunk 7 percent versus the government’s downgraded estimate a week ago, a Reuters poll found on Tuesday, with a worsening drought likely to cause more damage before the month is out.

As the worst drought since 1956 begins to expand to the northern and western Midwest, areas that had previously been spared, analysts are slashing corn yield estimates by the hour. Some analysts are also starting to cut their forecasts on the number of acres that will be harvested as farmers opt to plough under their fields to claim insurance.

What began the season as a potentially record corn crop as farmers planted the biggest area since 1937, may now be the smallest in at least five years. Soybeans, which enter their key pod-setting phase later then corn, are increasingly at risk. The poll of 13 analysts pegged the average estimated corn yield at 137.2 bushels per acre, down 6 percent from USDA’s current forecast of 146 bushels.

The USDA dropped its yield estimate by an unprecedented 20 bushels per acre in its report on July 11. Corn production was pegged at 12.077 billion bushels, the smallest in 5 years, down 6.9 percent from USDA’s outlook. “We’re losing more yield with the additional stress now in the northern areas which up until now had been pretty good,” said Shawn McCambridge, analyst for Jefferies Bache.

PA, land of giants: The fix is always in

Will Bunch has a long memory for Pennsylvania politics, and in his latest post, he points out that the FBI finally had to come in to investigate the finances of a politically-connected cyber schools operator — whose activities were pretty much ignored in an investigation by then-Attorney General Tom Corbett (who’s now our Scott Walker clone of a wingnut governor). He’s also famous for taking three years before the state prosecutors finally brought charges against Jerry Sandusky.

If you’re a political junkie, you’ve probably heard of the Pennsylvania Cyber Charter School. It figured prominently in a scandal that helped end the Senate career of Pennsylvania’s Rick Santorum. It was the thriving online learning center — launched in a foundering ex-steel town on the Ohio border called Midland, Pa. — that was taking $38,000 a year from taxpayers in the blue-collar Pittsburgh suburb of Penn Hills for the home-schooling of five of Santorum’s kids, who lived two states away in an affluent Virginia suburb.The arrangement made Santorum look bad (for one thing, he’d been elected to Congress in 1990 by attacking an incumbent… for moving to Virginia) but it also gave some folks pause about the millions of dollars that Pennsylvania was beginning to hurl into cyber-charter schools — schools that are getting the same public dollars as bricks-and-mortar charter schools, even through their cost of educating each child is much lower. But the flow of public cash to the Pennsylvania Cyber Charter empire founded by entreprenuer Nicholas Trombetta surged despite the bad publicity in the Santorum case, and despite news in 2007 that a state grand jury was probing the convoluted financial dealings of Trombetta, a GOP donor.Nothing ever came of that 2007 probe. You may have heard of the state’s attorney general back then, a chap by the name of Tom Corbett.By 2010, the massive flow of money to the Trombetta cyber-empire — which now included a baffling array of for-profit entities — began to draw notice. According to a report in Sunday’s Pittsburgh Post-Gazette, the state….…. pays tens of millions of dollars a year to a network of nonprofit and for-profit companies run by former executives of the state’s largest online public school.The relationships between the Beaver County-based school and those businesses were a concern to former Gov. Ed Rendell’s administration, which late in its tenure asked PA Cyber for better accounting of its payments to spin-off entities. Gov. Corbett’s Department of Education, though, opted early on to let the relationships continue without heightened accountability.There’s that Corbett guy again! Anyway, someone has finally stepped in. Not the state of Pennsylvania, of course. The job fell instead to the feds:On Thursday agents from the FBI, the criminal investigations division of the IRS, and the U.S. Department of Education searched the school’s headquarters in Midland, its accountants’ office in Koppel, and properties rented by its spin-offs in Ohio.The investigation appears to be aimed at current or former executives of the school. PA Cyber “as an entity, is not a current target,” U.S. Attorney David J. Hickton’s office said. Regardless of the direction of the investigation, PA Cyber demonstrates a consequence of the state’s charter school revolution: the emergence from schools of profit-seeking spin-offs.This news come as a) evidence mounts that cyber-charters, in spite of — or maybe because of — their ability to generate profits, do a poor job of actually educating children (PDF) and b) the state of Pennsylvania is thus racing to apporve more cyber-charters.

Meanwhile, here’s another example of Corbett’s kid-glove handling of the politically connected, via CasablancaPA:

Here’s how tough and relentless Jonelle Eshbach was in getting to the truth:

“[The] state investigator was a fan: If that was the culture that permeated Penn State, could it have affected the investigation by state attorney general’s office? Jonelle Eshbach, the senior deputy attorney general who interviewed Paterno, several of Sandusky’s victims and Penn State officials when they appeared before the grand jury, has not been shy about her loyalty to the late coach. After Paterno’s divisive firing, her Facebook page showed she took a survey about the board’s decision. Her page says she answered that she would have let Paterno finish the 2011 season, then retire as he planned. Freeh’s team concluded that Paterno’s firing was warranted. Eshbach didn’t return a message at her office. Attorney general spokesman Nils Frederiksen declined to comment on it…When she interviewed Paterno, Eshbach specifically told him to explain what he knew about the McQueary incident, ‘without getting into any graphic detail.’ She also never followed up when Paterno hinted that something about an earlier claim might have been discussed in his presence prior to that. ‘You did mention — I think you said something about a rumor. It may have been discussed in my presence, something else about somebody,’ Paterno said at the grand jury. ‘I don’t know. I don’t remember. I could not honestly say I heard a rumor.’” (Patriot News 7/12/2012)

ESPN:

“While the current Sandusky investigation was in its second year, Corbett spent much of his time focusing on the sweeping public corruption inquiry of Democrats and Republicans in Harrisburg nicknamed “Bonusgate.” He also crisscrossed Pennsylvania campaigning for governor, pledging to cut runaway spending and ‘restore trust in Harrisburg.’ State campaign records show he accepted contributions of nearly $650,000 from current and past board members of Second Mile and their businesses.”

Behind the scenes

As Digby points out, everything you see happening right now is about the Grand Bargain.

Someone sent me this today, and it involves the usual Third Way/neocon suspects:

Dear Friends,
Tomorrow at 2:00 PM at the National Press Club we will be launching The Campaign to Fix the Debt.  This unprecedented coalition will mobilize business, civic and thought leaders from both parties, and people across America, in support of a comprehensive debt deal.  The campaign will make clear the consequences of not enacting such a plan, and educate the country about the benefits of dealing with these challenges responsibly and thoughtfully.

 

The launch of The Campaign to Fix the Debt will include remarks by Co-Founder Erskine Bowles, as well as from our Co-Chairmen, Judd Gregg and Edward Rendell, among several other supporters and allies.  See below for a full list of participants in tomorrow’s event.

 

We hope you can join us at the event.  If not, we encourage you to go towww.fixthedebt.org to find out more about the campaign or tune into C-SPAN 3 to watch the launch live at 2:00 PM.
EVENT DETAILS: 

 

WHO:         Erskine Bowles, Co-Founder, The Campaign to Fix the Debt
Dave Cote, Chairman & CEO, Honeywell
Senator Judd Gregg, Co-Chair, The Campaign to Fix the Debt
Maya MacGuineas, President, The Committee for a Responsible Federal Budget
Senator Sam Nunn, Co-Chairman, The Concord Coalition; Co-Chairman and Chief Executive Officer, The Nuclear Threat Initiative
Pete Peterson, Founder and Chairman, The Peter G. Peterson Foundation

 

Steven Rattner, Chairman, Willett Advisors
Governor Ed Rendell, Co-Chair, The Campaign to Fix the Debt
Alice Rivlin, Former Director, OMB; Founding Director, CBO
Paul Stebbins, Executive Chairman, World Fuel Services
Ambassador Bob Zoellick, former President of the World Bank
WHEN:       Tuesday, July 17th, 2:00 – 3:00 PM ET

 

WHERE:      Zenger Room, The National Press Club, 529 14th St. NW, 13th
                    Floor, Washington, DC 20045

Political Animals

I watched the new USA series this morning and by God, is it fun. It’s a blatant takeoff on “Primary Colors”, starring Sigourney Weaver as Elaine Barrish Hammond, divorced former first lady, defeated presidential primary candidate, and current secretary of state. (And by the way, it’s one hell of a valentine to the woman on whom they claim it isn’t based. They make Hammond into a hard-as-nails but sympathetic superwoman, juggling problems with her grown kids and an Iranian hostage crisis. By the way, she’s also manipulated and set up by the president who defeated her for the nomination.)

The mini-series is pure political crack. The story lines are straight out of the (recent) history books, and the dialogue is sharp and witty. Ellen Burstyn is a particular delight as Margaret, Barrish’s boozy old mother. Oh yeah, and there’s a Maureen Dowd-ish reporter.

I’ll be sorry when it ends.

Bargaining

Hard to say how hard Obama is going to push for his Grand Bargain before the election, because he’s having a hard time getting the base as motivated as they were the last time he ran and it would piss working people off in a major way. Remember, the sequester is framed in terms of getting the Republicans to make sacrifices (i.e. tax increases) in exchange for something similar to the Simpson-Bowles chairman’s report (cuts to Medicare and Social Security).

Senate Democrats see no political downside to leaving the issue of $1.2 trillion in automatic spending until after the November elections, as they try to use the cuts as leverage with Republicans to negotiate on tax increases on the wealthy.


“We structured the sequester in a way that would be more comfortable for us than for Republicans,” a senior Senate Democratic aide said, referring to the cuts by their technical name. The cuts, which are set to begin next year, are nearly evenly split between defense and domestic spending but do not affect Democratic priorities, such as Social Security and Medicaid.


“We don’t see the heightened sense of concern as a problem; it could help get Republicans to the negotiating table,” another Senate Democratic aide said. “The sequester could yet fulfill the purpose it was meant to serve.”


Indeed, the sequester, which was part of last August’s debt limit deal, was triggered by the failure of last year’s super committee to reach agreement on a $1.2 trillion deficit-reduction plan. The threat of such harsh cuts was intended to provide an incentive for House and Senate lawmakers to come up with their own comprehensive plan.


But that didn’t happen, and Republicans have been warning that defense contractors are expected to give layoff notices as a result of the sequester sometime before the elections, a scenario that will be ripe for political saber-rattling.


Republicans disagree that there will be no political fallout for Democrats, noting that President Barack Obama’s re-election strategy includes victories in Virginia, North Carolina and Ohio — all of which have military bases that could be affected by the sequester.


“Waiting us out is bad governing,” a Senate GOP aide added. “This is why everyone in America is ready to try someone new” as president.


A senior House GOP aide said, “Playing chicken with America’s national security and the economy is phenomenally irresponsible.”

Imagine. The same gang who had no problem with using the debt ceiling to hold us hostage are calling the Democrats “phenomenally irresponsible.” Excuse me while I spew iced tea all over the keyboard.

Free stuff

Taibbi on Romney’s NAACP speech:

So Romney did that, and then the next night he went to Montana and he discussed the experience in front of a friendlier audience. And this is what he said:

When I mentioned I am going to get rid of Obamacare they weren’t happy, I didn’t get the same response. That’s O.K, I want people to know what I stand for and if I don’t stand for what they want, go vote for someone else, that’s just fine…

But I hope people understand this, your friends who like Obamacare, you remind them of this, if they want more stuff from government tell them to go vote for the other guy — more free stuff.


So now this is the message: I tried to reason with the blacks, I really did, but it turns out they just want a free lunch.


How’s that for bridging the racial divide? Time to wake up the Nobel committee in Oslo!


As far as free lunches go, we of course just witnessed the biggest government handout in history, one that Romney himself endorsed. Four and a half trillion dollars in bailout money already disbursed, trillions more still at risk in guarantees and loans, sixteen trillion dollars in emergency lending from the Federal Reserve, two trillion in quantitative easing, etc. etc. All of this money went to Romney’s pals in the Wall Street banks that for years helped Romney take over companies with mountains of borrowed cash. Now, after these banks crashed, executives at those same firms used those public funds to pay themselves massive salaries, which is exactly the opposite of “helping those who need help,” if you’re keeping score.

That set of facts alone made the “free stuff” speech shockingly offensive. But the problem isn’t just that Romney’s wrong, and a hypocrite, and cynically furthering dangerous and irresponsible stereotypes in order to advance some harebrained electoral ploy involving white conservative voters. What makes it gross is the way he did it.


Romney can’t even be mean with any honesty. Even when he’s pandering to viciousness, ignorance and racism, it comes across like a scaly calculation. A guy who feels like he has to take a dump on the N.A.A.C.P. in Houston in order to connect with frustrated white yahoos everywhere else is a guy who has absolutely no social instincts at all. Someone like Jesse Helms at least had a genuine emotional connection with his crazy-mean-stupid audiences. But Mitt Romney has to think his way to the lowest common denominator, which is somehow so much worse.


Most presidents have something under the hood – wit, warmth, approachability, something. Even the most liberal football fan could enjoy watching an NFL game with George Bush. And even a Klansman probably would have found some of LBJ’s jokes funny. The biggest office in the world requires someone who buzzes with enough personality to fill the job, and most of them have it.

But Romney doesn’t buzz with anything. His vision of humanity is just a million tons of meat floating around in a sea of base calculations. He’s like a teenager who stays up all night thinking of a way to improbably what made him a great leveraged buyout specialist, but in a public figure? Man, is he a disaster. It’s really incredible theater, watching the Republicans talk themselves into this guy.

Taibbi really nails the guy – and the Republicans who support him, because there simply is no “there” there. He’s just a money-making hologram.

See, it’s never been difficult to get rich in America if you’re lacking in scruples and willing to break rules. If there’s one thing the 1% has in common, it’s their willingness to make their own rules – because they’re special, you see. (Including, of course, the ones who inherited their wealth and simply have to maintain it.)

Those of us who are hampered by middle-class values like honesty and integrity may not be rich, but we’re usually smarter – and a lot more fun.