National / International News

Two Striking Photos From Today's APEC Meetings

NPR News - Mon, 2014-11-10 05:12

The forum's first day has already brought us interesting images. In one, the leaders of China and Japan reflect their countries' unease; in another, world leaders dress alike.

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Portugal Telecom shares spike on bid

BBC - Mon, 2014-11-10 05:08
A €1.2bn takeover bid by the Angolan president's daughter has sent shares in Portugal Telecom sharply higher in Lisbon.

VIDEO: May flustered by Today interview

BBC - Mon, 2014-11-10 05:03
The home secretary has downplayed the prime minister's previously stated target of reducing net migration to the tens of thousands by the end of this Parliament.

Adebayor criticises Tottenham fans

BBC - Mon, 2014-11-10 05:00
The negative atmosphere created by Tottenham's fans at their White Hart Lane home is damaging confidence, says Emmanuel Adebayor

VIDEO: Awards bring glamour to science

BBC - Mon, 2014-11-10 04:51
Some of the world's top scientists have won huge cash prizes at an awards show in Silicon Valley, in California.

Oscar commits to Chelsea until 2019

BBC - Mon, 2014-11-10 04:49
Brazil midfielder Oscar signs a new contract with Chelsea that will keep him at the Premier League club until 2019.

Science not 'the preserve of men'

BBC - Mon, 2014-11-10 04:49
Education Secretary Nicky Morgan says teenage girls should not be allowed to feel maths and science subjects are "the preserve of men".

Elbow and Ed Sheeran join Band Aid 30

BBC - Mon, 2014-11-10 04:48
Bob Geldof says a fourth incarnation of the Band Aid charity single will feature Elbow, One Direction, Ed Sheeran and many more.

MH17 victims remembered in Amsterdam

BBC - Mon, 2014-11-10 04:48
Hundreds of relatives and friends gather in Amsterdam to remember those who died on Malaysia Airlines MH17 over Ukraine.

Father jailed for Libya kidnap

BBC - Mon, 2014-11-10 04:26
A man who refuses to return his young daughter to Wales after kidnapping her and taking her to Libya two years ago is jailed for six-and-a-half years.

Doctor Who: How was Peter Capaldi's debut series?

BBC - Mon, 2014-11-10 04:22
Verdicts on Peter Capaldi's first series as The Doctor

In China, Obama Touts Visa Deal, Progress On Free-Trade Pact

NPR News - Mon, 2014-11-10 04:11

Under a new agreement, the U.S. and China will extend visas from the current one-year term to 5 and 10 years. President Obama is in China for the Asia-Pacific Economic Cooperation forum.

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Israeli soldier stabbed in Tel Aviv

BBC - Mon, 2014-11-10 04:09
A Palestinian has been arrested after an Israel soldier was stabbed in what police said was a 'terror attack' in Tel Aviv.

London's skyline 'worth £7.2bn'

BBC - Mon, 2014-11-10 04:07
How much is this view across London now worth?

'Paedophile' park ban blamed on mayor

BBC - Mon, 2014-11-10 04:06
A ban on lone adults entering an adventure park is blamed on a "sinister" ex-mayor - even though the offences he was jailed for have no connection with the park.

Is the European warrant worth it?

BBC - Mon, 2014-11-10 04:02
Theresa May says the European Arrest Warrant is about fighting crime - but opponents say it's just another cave-in to a growing Brussels superstate.

Day in pictures: 10 November 2014

BBC - Mon, 2014-11-10 04:02
24 hours of news images: 10 November

Electricity as utility. A model for the internet?

Marketplace - American Public Media - Mon, 2014-11-10 04:00

 

Update 11/10/2014: President Obama made a statement this morning calling for "free and open Internet," citing the 4 million comments sent to the FCC regarding net neutrality.  

For context, read on.

As Federal Communications Commission chair Tom Wheeler moves closer to releasing new rules on net neutrality and internet "fast lanes," many open internet advocates have been calling for the FCC to reclassify internet service providers as "common carriers."

Doing so would effectively turn them into public utilities like power, gas and water services, and thereby subject them to more strict regulation.

But some of those utilities themselves started out as products sold on the open market, just like internet service. So how did they get regulated as public utilities? For the best comparison with the internet's current situation, look at how another "new" technology went from market good to public good: electricity.

In the case of electricity, it starts with Edison.

With a patent for the first practical light bulb in 1879, Thomas Edison needed an actual market of people who could use his invention, meaning a way to get power to his customers. In 1882 his Edison Illuminating Company constructed the first central power plant in the United States, the Pearl Street Station in New York.

The catch with early direct current power plants, however, was that they couldn't generate power at very high voltages. The power couldn't travel that far along the copper wires without weakening the further it went. But as electricity gained popularity and more appliances were created to use it, numerous companies began building power plants to supply electricity to individual neighborhoods, each station selling power to customers within a small radius.

This is where goverment regulation entered the picture, in the form of municipal franchise agreements. Those agreements allowed the companies to dig up streets and build infrastructure. In exchange, they had to meet certain price caps and service standards. These controls, usually administered by city governments, were in fact very weak.

The large investment costs usually prohibited one company from owning all the power stations in a single city at first, but the different firms would often compete over customers in areas where their services overlapped. As companies were able to expand their reach, customers in large cities like New York and Chicago actually experienced a sort of golden age of price wars with many local companies competing against each other.

The competition was short lived, however, as single companies gained monopolies over large cities and increasingly advancing technology made for high barriers of investment in infrastructure needed for a new competitor to enter a market. The market for internet service providers is kind of at the same point right now in terms of barriers to entry, as telecom and cable companies have consolidated to a certain extent, buying up smaller regional ISPs. This has made it pretty much unfeasable for new competitors to get in the the game without considerable resources.

The old municipal franchises that governed electric companies also became prone to corruption from city politicians. In the early 1900s, an entrepreneur named Samuel Insull who had exploited the economies of scale to dominate the Chicago market argued along with other electric utilites that they were "natural monopolies," that resulted from the inherent barriers to competition in large markets.

State governments attempted to regulate these monopolies with legislation, but power barons like Insull were able to outmaneuver the efforts by restructuring their businesses with holding companies that were not covered by the reforms. By the late 1920s, the Federal Trade Commission was investigating the holding companies for market manipulations.

It wasn't until the onset of the Great Depression, and the strong reforms of the New Deal that power over electric utilites was taken away from the holding companies in the form of the Public Utility Holding Company Act and the Federal Power Act of 1935, transferring much of the regulatory power over eletricity over to the federal goverment.

This was significant not because power utility monopolies were split up, but that the "natural monopolies" were in fact legitimated; they could exist, but they had to be under government control. The federal legislation, along with other New Deal legislation, actually provided for the creation of a number of government monopolies over public goods.

As it stands now, internet service providers are sort of stuck in between being a wholly private good or a heavily-regulated public utility. Until recently, the FCC has successfully imposed on ISPs to treat all content the same in terms of speed of access, but they haven't set caps on how much they can charge or set standards for quality of service as are required of utilites like water and power.

The federal government has also subsidized ISPs to the tune of $200 billion to build a fiber broadband infrastructure for schools and low-income regions, which many activists contend they never completed. Following the model of electic utilites, further government investment could hypothetically result in internet infrastructure owned by the government itself.

It's unclear whether the internet will go along the same route to regulation as a utility, but with nearly a third of Americans having no choice for their internet service provider, the circumstances are starting to look very similar.

AUDIO: Single adult barred from park display

BBC - Mon, 2014-11-10 03:57
A grandfather who was refused entry to a family park because he was a lone adult says he felt "discriminated against".

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