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Afghans fear infiltration from Iran

Every day, scores of refugees return to Afghanistan from Iran through a small, poorly supervised border town in Herat province. Most of them have been kicked out by Tehran, which, say helpless border police, is also sending across both Afghan and foreign fighters to join the Taliban-led insurgency. - Zia Ahmadi and Mustafa Saber (Nov 12, '09)

US air supply drop turns deadly
An American air supply drop that went horribly wrong is the latest incident to provoke Afghan anger. Up to 25 United States and Afghan personnel, plus several civilians, were reportedly killed or injured in insurgent-riddled Bala Murghab district, with everything going from bad to worse when two paratroopers went missing in a fast-flowing river. - Mustafa Saber (Nov 12, '09)

OBAMA ON THE ASIAN HIGHWAY
China's trade surplus looms large
China's still surging trade surplus and rising unemployment in the United States ensure that trade will be a key topic when US President Barack Obama visits Beijing next week. Preliminary talk of friendly competition and opposition to protectionism is unlikely to be a prelude to a change in hard political realities. - Olivia Chung (Nov 12, '09)

Myanmar up close
President Barack Obama's meeting with Southeast Asian leaders next week will likely focus on the new US policy of "constructive engagement" with Myanmar, one indication he intends to put a greater emphasis on engaging with allies in the region after seeing China expand its presence during the George W Bush years. (Nov 12, '09)

Complacency creeps back in Mumbai
Life is buzzing again in Mumbai, almost back to normal nearly a year after Pakistani-trained gunmen rampaged there, killing more than 200. But there are doubts the city has learnt from the violent attacks. Regular government pledges of vigilance and anti-terrorism conferences may help create some sense of urgency, but the sight of under-trained, dozing policemen does not. - Raja Murthy (Nov 12, '09)

'Advisor' Thaksin hits out at protests
Exiled former Thai prime minister Thaksin Shinawatra, taking up a controversial post as Cambodia's newest economic advisor, has accused the Thai government of "false patriotism" in its objection to his new role. While Cambodian Prime Minister Hun Sen stands firmly behind Thaksin, his purpose in signing him up is far from clear. - Jared Ferrie (Nov 12, '09)

Sri Lanka split over war honors
A widening rift between Sri Lanka's armed forces chief General Sarath Fonseka and President Mahinda Rajapaksa over who should take credit for the defeat of the separatist Liberation Tigers of Tamil Eelam is adding spice to competition ahead of a presidential election, and increasing concern for the country's democratic future. - Sudha Ramachandran (Nov 12, '09)



Drones: A slam-dunk weapons system
In Afghanistan and Pakistan, drones seem to be the only things that "work". They are not, however, the first wonder weapons so hailed. The atomic bomb, Vietnam's electronic battlefield, Star Wars, "smart bombs" and "netcentric warfare". All failed, just as drones will. But it made no difference, all "succeeded" at home; yet another mini-sector of the military-industrial complex was born. - Tom Engelhardt (Nov 11, '09)

The 'myth' of a counter-revolution in Iran
The crisis sparked by Iran's allegedly rigged presidential election has more than ever exposed the reformists as confused ideologues who for material, political and ideological reasons are unable to definitively break with the ruling establishment. But it is the street protesters who are killing off the reform movement. - Mahan Abedin (Nov 11, '09)

OBAMA ON THE ASIAN HIGHWAY
Space is suddenly on the China agenda
As United States President Barack Obama prepares for his first official trip to Asia, a Chinese army commander has called for China's "superiority in space". This could be taken as proof that China seeks military dominance in space, and that the US's planned cooperation in civilian space programs would in effect transfer technology to a potential adversary. - Peter J Brown (Nov 11, '09)

Clouds over Tokyo and Seoul
Disagreements over a United States army base in Japan and a free-trade agreement with South Korea are likely to figure prominently in President Barack Obama's visit to Northeast Asia. Nonetheless, Obama is expected to grasp this opportunity to reaffirm the US's longstanding relationship with its two closest allies in the region. (Nov 11, '09)

ASIA HAND
Plots seen in Thaksin's Cambodia gambit
Cambodia's welcome to exiled former Thai prime minister, Thaksin Shinawatra, has added a volatile regional dimension to Thailand's political impasse. Thai military planners now believe Cambodia's leader could be working with Thaksin to bring down the government in Bangkok. However, Thai Prime Minister Abhisit 'Vejjajiva may see no political point in easing tensions, given his surge in domestic opinion polls over the issue. - Shawn W Crispin (Nov 11, '09)

US finally wise to Pyongyang's ways
Through a canny mix of precipitous threats and conciliatory gestures, North Korea had continually succeeded in manipulating the United States into granting it vast amounts of food and energy aid - while giving away little in return. The US now appears to have cottoned onto this, recognizing that Pyongyang hasn't the slightest intention of surrendering its nuclear program. - Andrei Lankov (Nov 11, '09)

SINOGRAPH
A sacrificial lamb
Discussions between India and China on disputed border issues could be hastened by Washington's need to find a political solution for Afghanistan, something that could compromise the cause of the Dalai Lama, the exiled Tibetan spiritual leader who donated "his" Tawang to New Delhi. - Francesco Sisci (Nov 11, '09)

JP Morgan's $80m bill spills into court
JP Morgan's US$80 million bill for its failed defense of Australian miner Consolidated Minerals against a hostile takeover attests to the cost and profit of such battles - won or lost. The decision of the successful bidder, Ukrainian magnate Gennady Bogolyubov, to oppose the claim is opening the lid on how such sums add up - right down to the price of a burger. - John Helmer (Nov 11, '09)

Hezbollah back in the Lebanon fray
After five months of bickering, Hezbollah got its way in Lebanon on Monday with the formation of a cabinet to its liking. The end of the impasse has a lot to do with Syria and Saudi Arabia, which want peace in Lebanon while they concentrate on hotter areas, such as Iraq, Iran and Afghanistan. - Sami Moubayed (Nov 10, '09)

Dalai Lama calm in the eye of a storm
While the visit by the Dalai Lama to the disputed area of Arunachal Pradesh in India has not helped already frosty relations between India and China - some even talk of war - the exiled Tibetan spiritual leader is possibly closer to the reality when he points out "my visit here is non-political". - Saransh Sehgal (Nov 10, '09)

India probes Maoists' foreign links
Indian security forces poised to launch a major offensive against Maoist rebels say there is growing evidence of foreign support for the insurgency. It is emerging that remnants of Sri Lanka's Liberation Tigers of Tamil Eelam are training the Maoists, funds are arriving from Nepal and weapons from Myanmar, Bangladesh and possibly China. - Siddharth Srivastava (Nov 10, '09)

Pentagon starts an Afghan building boom
Salsa and karaoke nights for United States troops have been cut in Kandahar province, but elsewhere in Afghanistan the Pentagon is digging in with massive construction contracts to private companies that will make life all the more comfortable, and safer, for ever more troops. - Nick Turse (Nov 10, '09)

Maldives faces up to extremism
A puritanical version of Islam is taking root in the Maldives, driving the tropical paradise towards a path to religious extremism. Not only are cultural practices changing, but an increasing number of Maldivian youth are being drawn into global jihadi groups, with many now fighting in Pakistan and
Afghanistan. - Sudha Ramachandran (Nov 10, '09)

THE BEAR'S LAIR
Which big country will default first?
No leading economy has defaulted on its debt since the 1930s, yet conceivably that could be the fate of the United States, Britain and Japan, an indication of the wrong-headedness of policies taken to address the downturn. The world should hope that the urge for fiscal responsibility hits London, Washington and Tokyo pretty soon. - Martin Hutchinson (Nov 10, '09)

Oil floats high on easy money
Conspiracy theorists need only look at the number of tankers berthed over the horizon from Singapore to find support for the notion that speculators are helping to drive up the cost of oil. Media pundits favor the "China demand fits all" approach. Reality seekers in the United States should delve a bit deeper, and look a bit closer to
home. - Julian Delasantellis (Nov 10, '09)

Failure written into 'too big' policy
Even as Washington tries to ensure limited damage from any future collapse of "too big to fail" financial institutions, its own policies are helping the top US banks tighten their market dominance. Nor is Washington addressing the inherent risk from small entities failing in large
numbers. - Henry C K Liu (Nov 9, '09)

'Cronies and warlords' wait in the wings
British Prime Minister Gordon Brown has pulled no punches in saying that "cronies and warlords" should have no place in the future of a democratic Afghanistan. But the point is, cabinet and provincial governor appointments are a part of a complex political contract in Kabul and it is extremely doubtful that Karzai is in a position to oblige Britain, or any other country, even if he wanted to. - M K Bhadrakumar (Nov 9, '09)

It's payback time in Kabul
In return for their pledges to guarantee huge majorities for Hamid Karzai in the August 20 election, the Afghan president had to make promises to a number of power brokers and warlords in the provinces of key ministries in the next government. Now Karzai has to deliver. - Gareth Porter (Nov 9, '09)

Dalai Lama at apex of Sino-Indian tensions
Along with the tension created by the Dalai Lama's visit to the disputed Indian state of Arunachal Pradesh, shifts within the Tibetan movement, India's evolving geopolitical stature and the United States' growing economic ties with China are converging to create dangerous instability in Sino-Indian relations. - Peter Lee (Nov 9, '09)

'Undeployables' sent to the Afghan front
As the United States debates whether to send tens of thousands of extra troops to Afghanistan, an already overstretched military is struggling to meet its deployment numbers. One place it is targeting is military personnel who go absent without leave, and who then are caught or turn themselves in. Many of these soldiers are already "damaged or even broken". - Dahr Jamail and Sarah Lazare (Nov 9, '09)

When war comes home
The massive Fort Hood military base in Texas, where a major last week gunned down 13 people, is one of the most heavily deployed facilities for the wars in Iraq and Afghanistan. Fort Hood soldiers have also accounted for more suicides than any other army post since the invasion of Iraq in 2003; this year alone, the base is averaging over 10 suicides a month. - Dahr Jamail (Nov 9, '09)

Cambodia rattles Thailand's chain
Cambodian Prime Minister Hun Sen's appointment of former Thai premier Thaksin Shinawatra as an economic advisor has riled Bangkok. Hun Sen must have known that his cozying up to Thaksin, who lives in exile and has been convicted on corruption charges, would have this effect. But the long-serving Cambodian leader more likely has other reasons in mind. - Craig Guthrie (Nov 9, '09)

CHAN AKYA
Leverage not level
The picture is familiar - higher oil prices, a lower US dollar, and rising US stocks. Missing from the picture is the leverage taken in China and related to monetary expansion there - and what happens once that expansion is removed. (Nov 6, '09)

BOOK REVIEW
China according to the Chinese
The Origin, Process, and Outcome of China's Reforms in the Past One Hundred Years
by Enbao Wang
Much of the English-language discourse on China's unpredicted rise is divided between those who are fascinated and those who are frightened. The author makes a useful attempt to bridge a growing gap between what has happened in China in the past 30 years on the one hand, and persistent Western cultural-political solipsism on the other. - Yu Bin (Nov 6, '09)

<IT WORLD>
Apple not so sweet in China
Not quite the end of the world for Apple, but the introduction of the iPhone to China turned sour for the United States-based company and its mainland partner, China Unicom, with initial sales falling well short of forecasts. Doomsday, however, may be closer for the rest of the world, with the restart of Europe's Large Hadron Collider.
Martin J Young surveys the week's developments in computing, science, gaming and gizmos. (Nov 6, '09)

Passing the buck on North Korea
Bilateral talks scheduled between Stephen Bosworth, the United States point man on North Korea, and the leadership in Pyongyang - purportedly over coaxing the North back into six-party talks on its nuclear weapons program - may just be a smokescreen to force China back into action. Even if Bosworth's mission is fruitless, Beijing could no longer accuse the US of not showing its hand. - Donald Kirk (Nov 6, '09)

US puts its faith in Pakistan's military
A deal hatched between the Pakistani military and United States Secretary of State Hillary Clinton cleared the path for Hamid Karzai to be re-elected for a second term as Afghanistan's president. With Karzai's challenger, Abdullah Abdullah, now out of the picture, Pakistan's military will actively mediate between Washington and the Taliban. Along with Abdullah, the big loser is Pakistan's President Asif Ali Zardari. - Syed Saleem Shahzad (Nov 5, '09)
David P Goldman
(Nov 11, '09)
The Fed has effectively placed a giant wealth tax on America by devaluing the dollar.



The rise of Rimland?
Energy deals across Southwest Asia - such as between Iraqi Kurdistan and Turkey - are redrawing international relations for years to come, bringing full circle the region's post-Ottoman Empire history. On the periphery, and crucially, lie Iran, Pakistan, Afghanistan and Uzbekistan. - Robert M Cutler

Indian stocks face
power shortage

Strong gains in Indian equity markets have been helped by government stimulus spending, inflows of foreign cash, and improved company earnings. The driving power behind all three could soon be running on empty. - Kunal Kumar Kundu

Tug-of-war over
Pearl River Delta

Beijing wants to control the relatively free-wheeling and liberal Pearl River Delta by pushing for its economic and social integration into three mega metropolitan areas, including Macau and Hong Kong. Local authorities, accustomed to doing things their own way in an area that accounts for about a quarter of China's total trade value, are pushing back. - Cristian Segura and Wu Zhong

CHINA'S REVOLUTION, Part 2
Revolutionary lessons
The strength of China as the financial crisis recedes is testament to how its government has learnt from the successes and failures of past revolutions and continues to resist internal and external pressure to open its economy further to the outside world. - Henry C K Liu
This is the second article in a multi-part series.
Part 1: In the beginning, Tiananmen

FROM THE BLOG
US economy withers
With US unemployment at 17.5% of the workforce by comprehensive measure, American prices won't move at the rate at which the dollar is devalued. Labor will remain cheap. The grass roots of the US economy continue to dry up. - David Goldman




CREDIT BUBBLE BULLETIN
About a half paradigm
The shift in global financial power is increasingly evident, and when an unchanging US Federal Reserve loses its already waning power over global yields, the risks associated with its present course will manifest themselves in a very problematic financial and economic crisis. (Nov 9, '09)
Doug Noland looks at the previous week's events each Monday.

MARKET RAP
Appearances can be deceiving
A volatile week saw exchanges trimming their losses, but absent an upbeat Shanghai and a downbeat Tokyo the period is best described as nondescript, with no clear engine to drive markets stronger in the immediate future.
R M Cutler runs his eye over the ups and downs in the week's markets. (Nov 6, '09)





"[Re Uyghur activist seeks talks with Beijing, Nov 5] 'Urumqi is now 70% Han, resulting in a lot of resentment among the Uyghurs, especially in the capital city.' Just about every propaganda piece published on NYT and elsewhere tries as hard as they can to make similar lies ... all Uyghur in Urumqi are immigrants from south Xinjiang (500 miles away from Urumqi) or their descendants. Urumqi is a city created by Chinese emperors first as a military post." - quark

From Our Mailbox
Andrei Lankov has little faith in United States diplomacy. US finally wise to Pyongyang's ways [November 11] makes Washington out to be a slow learner. US President Barack Obama knows who and what he is dealing with in North Korea.
Nakamura Junzo
Guam
   Go to Letters to the Editor



1. US puts its faith in Pakistan's military

2. Russia, India and China go their ways

3. Welcome to Pashtunistan

4. Is Obama's Iran policy doomed?

5. Iran looks to Argentina for nuclear fuel

6. How Eurocentric is your day?

7. India on brink of Maoist offensive

8. Empty boasts of glory

9. China's sleepy Hengqin wakes up

10. Uyghur activist seeks talks with Beijing

(24 hours to 11:59pm ET, Nov 5, 2009)

Pick of the month Oct 2009
SPENGLER

Obama's permanent depression




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