New World Order

In recent weeks, the world has been politely standing by and watching how things play out with the fiscal stimulus and latest bank-bailout plans in Washington. Yes, there's been some grumbling overseas about "buy American" provisions in the stimulus bill, but for the most part, officials elsewhere don't want to step on the toes of a new President to whom they are favorably disposed. They also don't want to endanger legislation that they hope will help jump-start the global economy.

Just wait a couple of months, though. Politicians from Beijing to Berlin to Brasília see the current crisis as the product of a messed-up global financial infrastructure dominated by the U.S., and they will soon be pushing for big changes--whether Americans like them or not.

All this will begin to gel on April 2, when the newish international organization known as the G-20--the leaders of 19 of the world's biggest national economies, plus the European Union--meets in London. An unofficial meeting has already taken place, at the World Economic Forum in Davos, Switzerland, where G-20 officials (with the conspicuous exception of those from the U.S.) made speeches, conversed in the halls and gave a sense of the direction in which the world outside the U.S. wants to head. (Read TIME's special report on Davos 2009.)

The global discussion of the financial crisis is strikingly different from the one in the U.S. Here there's still something of a debate over whether the mess is the result of too much government interference in the housing market or too little government regulation of financial markets. In the rest of the world, that's no debate: inadequate and inconsistent financial regulation is uniformly blamed. What's more, a consensus seems to have emerged among the world's finance ministers and central-bank bosses that the chief underlying cause of the crisis was an unbalanced and out-of-control system of global capital flows in which some big-spender countries (namely the U.S.) ran up huge debts while big savers (China and India, for example) hoarded surpluses.

On the regulatory front, the path to a new global approach is pretty clear. Last spring the leaders of the G-7, a club of wealthy nations, agreed to create a "college of supervisors" to more closely coordinate regulation of multinational banks. The Group of Thirty, an influential organization of current and former central bankers and financial regulators, recommended in January that "systematically significant" financial institutions (those that are too big to fail) be identified in advance and subjected to higher capital requirements and tougher regulation. (See who's to blame for the financial crisis.)

Yet regulators around the world were already jointly setting bank-capital standards before the current crisis hit. A lot of good that did us. So there is also much talk about the need for a new architecture--"a new Bretton Woods" was a phrase that echoed around Davos--to rein in global financial flows.

http://www.time.com/time/magazine/article/0,9171,1877388,00.html

'We Could Destroy All European Capitals'

Israeli Professor: 'We Could Destroy All European Capitals'

Occupied Jerusalem: 1 February, 2003 (IAP News)

An Israeli professor and military historian hinted that Israel could avenge the holocaust by annihilating millions of Germans and other Europeans.

Speaking during an interview which was published in Jerusalem Friday, Professor Martin Van Crevel said Israel had the capability of hitting most European capitals with nuclear weapons.

"We possess several hundred atomic warheads and rockets and can launch them at targets in all directions, perhaps even at Rome. Most European capitals are targets of our air force."

Creveld, a professor of military history at the Hebrew University in Jerusalem, pointed out that "collective deportation" was Israel's only meaningful strategy towards the Palestinian people.

"The Palestinians should all be deported. The people who strive for this (the Israeli government) are waiting only for the right man and the right time. Two years ago, only 7 or 8 per cent of Israelis were of the opinion that this would be the best solution, two months ago it was 33 per cent, and now, according to a Gallup poll, the figure is 44 percent."

Creveld said he was sure that Israeli Prime Minister Ariel Sharon wanted to deport the Palestinians.

"I think it's quite possible that he wants to do that. He wants to escalate the conflict. He knows that nothing else we do will succeed."

Asked if he was worried about Israel becoming a rogue state if it carried out a genocidal deportation against Palestinians, Creveld quoted former Israeli Defense Minister Moshe Dayan who said "Israel must be like a mad dog, too dangerous to bother."

Creveld argued that Israel wouldn't care much about becoming a rogue state.

"Our armed forces are not the thirtieth strongest in the world, but rather the second or third. We have the capability to take the world down with us. And I can assure you that this will happen before Israel goes under."

http://www.iap.org