Top U.S. Official Admits – Government Will Use “Internet of Things” to Spy on the Public

Screen Shot 2016-02-10 at 9.56.57 AM

You can’t say you weren’t warned. The writing on the wall that “smart devices” would prove to be manna from heaven for spy agencies and hackers around the word has been obvious for a very long time.

A year ago, I published two articles on this topic. The first highlighted the revelation that Samsung’s Smart TV can and will listen to your conversations, and will share the details with a third party. The second had to do with the release of a high-tech Barbie that will listen to your child, record its words, send them over the internet for processing. If you missed these posts the first time around, I suggest you get up to speed:

A Very Slippery Slope – Yes, Your Samsung Smart TV Can Listen to Your Private Conversations

Big Barbie is Watching You – Meet the WiFi Connected Barbie Doll that Talks to Your Children and Records Them

Moving along to today’s article, we learn that the Director of National Intelligence, James Clapper, admitted that the government intends to use the “Internet of Things” for spying on the public. As Trevor Timm of the Guardian notes:

continue reading

from Liberty Blitzkrieg http://ift.tt/1nYYMFn
via IFTTT

Former Bush Attorney General Alberto Gonzales Calls for Criminal Justice Reform

The push for criminal justice reform in mainstream politics continues. Former Attorney General Alberto Gonzales, who served from 2005 to 2007 under President Bush after being his White House counsel since 2001, penned an op-ed calling for criminal justice reform in today’s USA Today.

He began with an anecdote from his time as general counsel to George Bush when Bush was governor of Texas in the 1990s, and how he had to tell a young rape victim DNA evidence has revealed she identified the wrong man as her accuser. That man had been convicted and spent 12 years in jail before being exonerated.

“That story is not rare,” Gonzales wrote, pointing to statistics from the National Registry of Exoneration that identified 149 convicted defendants who were exonerated in 2015. “Even one mistake is one too many and a miscarriage of justice for the individual wrongly incarcerated,” Gonzales wrote. “At the same time, it is also a miscarriage of justice for victims like the one who sat in my office in 1997. For them, the guilty have gone free.”

Gonzales insisted he supports “tough justice,” but that any formulation of justice has to involve only the guilty being punished. He is no longer convinced “forensic science” is as solid as the law enforcement community has claimed:

Subjective, pattern-based forensic techniques such as bite mark, hair comparison and even fingerprint analysis might not have sufficient scientific foundation. Even certain types of DNA analysis are now open to reasonable questions about their capacity to connect a specific individual to a crime.

Former Reason editor Radley Balko, now of the Washington Post, has written extensively about flimflam forensics. The case of Cory Maye, an innocent man put on death row over the killing of a cop, involved forensics that was presented in a “downright misleading” way, as Balko reported.

Gonzales also pointed out the problem with public defenders and their role in contributing to bad prosecutions. Often, those accused and without resources cannot wait for a court-appointed lawyer because spending time in jail can cost their job,” Gonzales wrote. “They are forced to plead guilty though they have not committed a crime.”

Gonzales also brought up Guantanamo Bay and what he saw as the public’s misprioritization of constitutional rights. “There appears to be more public outrage over the perceived lack of constitutional protections for foreign terrorists held in the military facility at Guantanamo Bay, Cuba, for acts committed overseas than there is for U.S. citizens wrongly convicted in this country,” wrote Gonzales. “That is a sad commentary.”

The evolving opinions of leading law enforcement figures like Gonzales matter, because they make it more difficult to relegate criminal justice reform to the fringes. Conversely, the devolving opinions of people like Sen. Ted Cruz, a Republican presidential candidate who attached himself to criminal justice reform before worrying, dishonestly, that such reforms would lead to violent felons returning to the streets. Such political posturing is dangerous because it feeds into the ill-informed fears of a gullible public. It’s certainly anathema to liberty, even as Cruz pushes hard to win the “liberty vote,” such as it may be.

from Hit & Run http://ift.tt/20LFAfZ
via IFTTT

“It’s Worse Than 2008”: CEO Of World’s Largest Shipping Company Delivers Dire Assessment Of Global Economy

Earlier today, we highlighted the rather abysmal results reported by Maersk, the world’s largest shipping company.

To the extent the conglomerate is a bellwether for global growth and trade, things are looking pretty grim. Maersk Line – the company’s golden goose and the world’s largest container operator – racked up $182 million in red ink last quarter and the outlook for 2016 isn’t pretty either. The company now sees demand for seaborne container transportation rising a meager 1-3% for the year.

The demand for transportation of goods was significantly lower than expected, especially in the emerging markets as well as the Group’s key Europe trades, where the impact was further accelerated by de-stocking of the high inventory levels,” the company said, in its annual report.

Just how bad have things gotten amid the global deflationary supply glut you ask?

Worse than 2008 according to CEO Nils Andersen who last November warned that “the world’s economy is growing at a slower pace than the International Monetary Fund and other large forecasters are predicting.” Here’s what Andersen told FT:

It is worse than in 2008. The oil price is as low as its lowest point in 2008-09 and has stayed there for a long time and doesn’t look like going up soon. Freight rates are lower. The external conditions are much worse but we are better prepared.”

As FT goes on to note, “capacity in the container shipping industry increased 8 per cent in 2015” despite the fact that Maersk only sees global trade growing at between 1% and 3% in 2016.  

Imports to Brazil, Europe, Russia, and Africa are all falling, Andersen warned. The company’s business, Andersen says, is suffering from a “massive deterioration.” That, you can bet, will likely lead to a “massive deterioration” in Maersk’s shares, which took a substantial hit on Wednesday in the wake of the quarterly and annual results.

Through it all, Andersen is attempting to strike an upbeat tone: “We are very strongly placed not only to get through this period but benefit from it. We are quite enthusiastic about it,” he said.

Check back in six months to see how “enthusiastic” Andersen is once he realizes the slump in global growth and trade is no longer cyclical but has in fact become structural and endemic.


via Zero Hedge http://ift.tt/1QVS5xz Tyler Durden

How Systems Break: First They Slow Down

Submitted by Charles Hugh-Smith of OfTwoMinds blog,

Alternatively, we can cling to a state of denial, and the dominant system will be replaced by archetypal systems that are not necessarily positive.

Understanding our current socio-economy as a system of sub-systems enables us to project how and when unsustainable sub-systems will finally unravel.

The reality that cannot be spoken within the conventional media is that all the primary financial systems we believe are permanent and indestructible are actually on borrowed time.

One way to assess this decline of resilience is to look at how long it takes systems to recover when they are stressed, and to what degree they bounce back to previous levels.

A compelling article on this topic was recently published by The Atlantic: Nature's Warning Signal: Complex systems like ecological food webs, the brain, and the climate all give off a characteristic signal when disaster is around the corner.

"The signal, a phenomenon called “critical slowing down,” is a lengthening of the time that a system takes to recover from small disturbances, such as a disease that reduces the minnow population, in the vicinity of a critical transition. It occurs because a system’s internal stabilizing forces—whatever they might be—become weaker near the point at which they suddenly propel the system toward a different state."

Recent email exchanges with correspondent Bart D. (Australia) clued me into the Darwinian structure of this critical slowing down and loss of snapback (what we might characterize as a loss of resilience).

Beneath the surface dominance of one system are many other systems that are suppressed by the dominant system.

As the dominant system weakens / destabilizes / slows down, these largely invisible systems compete to occupy more of the ecosystem.

An example in the financial realm is barter: in a system dominated by central bank/state issued money and digital transactions, barter still exists but on a very modest scale.

When central bank/state money loses its value and utility (due to hyper-inflation, etc.), then barter expands rapidly to fill the vacuum left by the demise of the dominant system.

The ecosystem example illustrates how critical transitions occur: as the dominant system loses resiliency and slows down, other systems fill the ecosystem spaces that are opened up by the weakness of the dominant arrangement. At some point, the balance or equilibrium of the ecosystem experiences a phase transition and a new balance of other dynamics become dominant.

In human systems, this process can be at least partially conscious: we can see the dominant paradigm weakening, and start developing other systems that can compete for the resulting openings in the financial/social ecosystem.

Alternatively, we can cling to a state of denial, and the dominant system will be replaced by archetypal systems that are not necessarily positive. I opt for conscious development of alternatives that can compete transparently for dominance as the status quo dissolves and is replaced by more resilient, sustainable systems.

This is the core purpose of my new book A Radically Beneficial World: Automation, Technology and Creating Jobs for All.


via Zero Hedge http://ift.tt/1KbZ2LC Tyler Durden

After Giving Rubio a Swirlie, Chris Christie Moseys Toward the Exit

One last chance to stare into the cameras and sound sincere.New Jersey Gov. Chris Christie, who will apparently be known not for lying about his own past in the debates or constantly invoking Sept. 11, but for rattling Sen. Marco Rubio’s campaign by pointing out the senator’s canned speeches (which is in turns both hypocritical and hilarious, but also true), is likely calling it quits today. Despite the media attention over the weekend, he failed to perform in the New Hampshire primary, getting just 7.4 percent of the vote and no delegates. He still performed worse than Rubio, who got 10.5 percent.

Last night, Christie said he was retreating to New Jersey to figure out what his campaign would do, which was initially perceived as an end to the campaign. That was a premature declaration, but it doesn’t appear to have been wrong. From CNN:

New Jersey Gov. Chris Christie is huddling with top campaign aides on Wednesday and all indications are they expect him to formally suspend his bid for the Republican nomination, according to two sources. Details are still being worked out.

One source noted that the New Jersey governor is a “political realist” and understood that not qualifying to appear in Saturday’s debate and the lack of money made it impossible to go forward.

There was little love from Christie for the Republican Party’s libertarian wing and the feeling was pretty much mutual. He (much like Rubio, actually) supported letting the National Security Agency (NSA) snoop on Americans without warrants in order to allegedly track down terrorists. Despite his attempts to seem like the more personable candidate by playing directly into the camera whenever possible at the debates, he was absolutely terrible when asked to demonstrate actual empathy toward people trying to get access to medical marijuana for children in New Jersey.

On the other hand, he was one of the only candidates to actually wade into a discussion of actual reform of entitlements with an eye on reducing debt. But that all took back seat to his attempts to shut down actual policy discussions at debates by dismissing the senators in the race as just talking about stuff and not doing anything.

We’ll see who Christie throws his support to, if anybody. I personally hope it’s Jeb Bush, because it will make me laugh and laugh and laugh.

from Hit & Run http://ift.tt/1KbYXHM
via IFTTT

Don’t Put Right-to-Work in the Virginia Constitution: New at Reason

Republicans in the Virginia General Assembly are working to enshrine the state right-to-work law in the state constitution. A. Barton Hinkle explains why that’s a bad idea:

Not every good idea belongs in the Constitution. It’s a good idea to carry an umbrella if it looks like rain—but we don’t need a constitutional amendment for that, do we?

As Democrats in the state Senate quickly pointed out, Virginia’s right-to-work law has thrived, unmolested, for more than four decades now. It does not seem to be in even slight peril.

But it should not become part of the state Constitution even if it were in peril. After all, it is nothing but a response to federal legislation. Writing constitutional provisions to answer legislative mandates dilutes the purpose of having a constitution in the first place.

View this article.

from Hit & Run http://ift.tt/1KbYZzn
via IFTTT

Traders Are Throwing Up All Over This Market: “It Feels Like The Algos Are Hooked Up To Tinder”

We can’t stop laughing after reading this note from Bloomberg’s Richard Breslow for one simple reason: in under 350 words it summarizes everything we have said since our initial “big” article from April 2009, “The Incredibly Shrinking Market Liquidity, Or The Upcoming Black Swan Of Black Swans” in which we predicted how the onslaught of HFT would make a farce of trading at the micro level, and all our posts since then condemning central bank intervention, making a mockery of fundamental analysis at the macro level.

Good job Richard, and we are certainly happy that slowly but surely, everyone is finally getting it.

From Richard Breslow

Liquid (Dis)Courage

 

Back in 2008, markets would take a theme and race with it for two to three days before a new piece of news made traders pivot en masse in the other direction. Everyone searching desperately for an answer to the existential question of economic survival. Investors found out that their well-diversified portfolios were merely different expressions of being long global growth. In that context, it made a lot of sense that everything moved together.

 

Today we have a different dynamic. No one is trading unless they have to or have microwave circuits for brains. Pension funds and endowments have tried to insulate their holdings from demanding tinkering. There aren’t stock-picking debates around the investment committee tables.

 

Banks are less active, and even fat fingers just can’t keep up. It’s left the field open to computers who have no investment horizon. If that were all there was, it might be sustainable for short periods.

 

But, wait, there’s more.

 

Policy makers are visibly flailing. Yet the system’s foundation rests on a presumption of their expertise. It’s what allows the leaps of faith necessary for financial transmission functions to work. Grand experiments, like the insanity of negative rates, are seen merely as the latest in making it up as you go along.

 

All this adds up to a genuine liquidity crisis. Churn and burn is being mis-portrayed as solid volume. In fact, as Goldman’s President Cohn said yesterday on Bloomberg TV, “small amount of buying and selling in any market today had a dramatic impact.”

 

There was logic in the “Harry Met Sally” delicatessen scene when the woman said “I want what she’s having.” That’s how we used to trade. In this environment, it feels like the algos are hooked up to Tinder, which is actually highly combustible material and we are all getting burned.

 

My blessing for Fed Chair Yellen today, is to say something that both she and the markets can hold to. If her imperative is full employment and wages, where do we stand? If it is still merely equity prices, be candid. The truth will set you free.

Sorry Richard, it’s too late to change anything now. Just sit back and relax: a change, if any, can only come after the next, and biggest ever, market crash.


via Zero Hedge http://ift.tt/1Rq2F1L Tyler Durden

Market Angry About Yellen’s “Is NIRP Legal” Confusion

Just as we detailed last week, and it appears Rep. Hensarling has been reading, when pressed on The Fed’s legal authority to take interest rates negative, Janet Yellen gushed that “Fed authority for negative rates is still a question.” This appears to have been taken as bad news by the market (cutting off the potential easing paths of the future in a world of NIRP), and stocks, crude, USDJPY have all tumbled.

 

Furthermore, she sounded a little hawkish:

  • *YELLEN: I DON’T EXPECT THE FOMC WILL FACE RATE-CUT OPTION SOON
  • YELLEN: I DON’T THINK IT WILL BE NECESSARY TO CUT RATES

The reaction – more disappointment… as USDJPY crashes…


via Zero Hedge http://ift.tt/1XiEDpV Tyler Durden

Chris Christie To Suspend Presidential Campaign; Needs “Deep Breath”

And another one bites the dust.

On the heels of Tuesday night’s New Hampshire primaries that saw Donald Trump sweep to victory over a GOP field where no other candidate came close to challenging the brazen billionaire, New Jersey Governor Chris Christie is set to suspend his campaign. 

As CNN reports, Chrisitie’s sixth place finish in New Hampshire pretty much put the nail in the coffin for the governor. “Failure to qualify for next debate, lack of money make it impossible to continue,” Bloomberg writes

We’ve decided that we’re going to go home to New Jersey tomorrow and we’re going to take a deep breath and see what the final results are tonight because that matters,” Christie said last night. “By tomorrow morning and tomorrow afternoon we should know.”

As Bloomberg goes on to note, “Christie’s pitch as a proven governor and federal prosecutor didn’t catch on” among voters who are apparently infatuated with so-called “protest candidates” who are seen as offering real change and an opportunity to alter business as usual inside the Beltway. “[His] departure would make him the latest in the list of hopefuls to exit the crowded field. Following disappointing showings in Iowa, Kentucky Senator Rand Paul, Senator Lindsey Graham of South Carolina and former Pennsylvania Senator Rick Santorum left the field.”

At least Christie can say he went out with a bang. His attacks on Marco Rubio during the final GOP debate before the primary are credited with derailing the senator after he became the establishment’s preferred pick for the nomination following a strong showing in Iowa. 

After a town hall meeting on Sunday, Christie said the following about his ill-fated bid for the White House: “It depends on how you define losing and I haven’t defined it yet.” 

Allow us to help out: we define “losing” as not getting as many votes as other candidates. 

*  *  *


via Zero Hedge http://ift.tt/1os1xzj Tyler Durden