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...best position to do so. The Federal Reserve System can play this role on a short-term basis - halting panics by lending dollars in exchange for momentarily hard-to-sell assets, as it did early Thursday morning. But while the exigencies of the moment have led it to make longer-term investments in Bear Stearns and now AIG, it's widely agreed that this is bad policy. "The Fed is the guardian of the currency," says William Silber, a professor of finance and economics at New York University. "That's its job. Its job is not to subsidize people...
...next week so its members could go home to campaign for re-election, could create such an entity on short notice. On Wednesday the answer from several key lawmakers was no, but on Thursday House Speaker Nancy Pelosi told President Bush she'd keep the chamber in session longer if needed. It's also possible that the Treasury and the Fed could come up with an improvised solution that doesn't need congressional approval. Paulson and Fed Chairman Ben Bernanke visited Capitol Hill Thursday night to talk over the possibilities, and Paulson said Friday that he would "spend the weekend...
...rebellious art, it is indicative of how Westerners take issues of conflict and rebellion in their art for granted. On top of a storied disinclination toward disestablishmentarianism, today’s China is a country in which social protests go unreported and family members routinely and quietly disappear. The longer I was there, the more the Fonz started to look like Sid Vicious.So how do the kids get their kicks on the mainland? Well, most of them listen to a style of music dominated by Jay Chou. With Korea-pop influenced songs such as “Romantic Cell Phone?...
...service. They account for only 13,202 of the 324,191 active duty personnel wearing Air Force blues, and the service is now buying more unmanned than manned aircraft. It's a trend that experts say will only accelerate. So this week the Air Force, acknowledging that it no longer makes sense to spend $1 million training a pilot to fly drones from a desk halfway around the world, declaring that future drone drivers will not have to be pilots able to fly manned aircraft. "This will certainly be a cultural change," Brigadier General Lyn Sherlock, a top air warfare...
...guided bombs, the Pakistani military has been forced to rely on ground operations against Taliban and al-Qaeda militants, which eliminates the element of surprise. And, says analyst Ayesha Siddiqa. "As far as the army's reaction is concerned, I haven't seen the Pakistan army say it no longer needs F-16s and military...