National / International News
An NPR poll finds a clear majority of Americans are worried about Ebola. Fifty-six percent of people are either "very concerned" or "somewhat concerned" about the spread of the Ebola virus to the U.S.
Along the West Coast, in Oregon, Washington and Alaska, fishermen are hauling in their salmon catches before winter sets in. Wild-caught salmon—the premier varieties of Chinook, Sockeye and Coho—can sell for $15/pound to $25/pound.
This year, that wild salmon has been more abundant, and possibly a bit cheaper, than in recent years. And yet, Google "salmon" and ominous headlines also come up: about this year's severe drought, endangered salmon runs across the western U.S, as well as looming long-term threats from climate change.
“The abundance of salmon that we have is sort of a conundrum to consumers, because they also hear stories about ESA-listed (Endangered Species Act) runs of fish, and that can make it quite confusing." said Stuart Ellis, fish biologist at the Columbia River Inter-Tribal Fish Commission in Portland, Oregon. CRITFC represents several Native American tribes with treaty rights to catch fish and manage hatcheries throughout the Columbia River system, which stretches hundreds of miles from the Oregon-Washington coast, to British Columbia.
Native fisherman Ira Yallup, 45, knows both sides of this story from a lifetime of fishing for salmon in the tributaries of the Columbia River in Washington. In October, he was fishing with friends and family from the Yakama Nation at a traditional site above Lyle Falls on the Klickitat River. The method of fishing has been passed down for generations; the fishermen use dipnets to snag the fish as they make their way upriver, jumping the rapids.
“This is the most fish I've ever seen,” said Yallup, who uses the catch to feed his family, donate to other tribal members, as well as sell to supplement his income as a forester. “This year, with the significant amount of fish that have returned, the price has dropped, because there's an overabundance of fish.” Yallup said he’s been getting between $0.80/pound and $1.50/pound for fresh-caught fish. Prices were higher in the spring before there was as much oversupply.
Stuart Ellis said salmon returns this year to the Columbia River above Bonneville Dam (about 150 miles from the mouth of the river) are higher than at any time since the 1920s. “This year it's going to be a little over 2 million fish total,” he said. “So it's a modern-day record.” Fish returns are believed to have been in the 15-million-plus per year range in the mid-1800s, before dams, agriculture and over-fishing decimated the fish returning to the river.
Alaska has also seen some strong salmon runs so far this year, after a record harvest in 2013. Meanwhile, in California, which is home to another major river system that historically produced large numbers of fish, the situation has been grave this year.
“After this year's drought, millions of salmon would be migrating down the Sacramento River right now. But instead, the salmon are headed for the ocean in a convoy of tanker trucks,” was the headline on a news report in March 2014 on KCRA television in Sacramento. Fish biologists worried that low water levels and high temperatures caused by the multi-year drought were endangering salmon eggs and hatchlings.
Stuart Ellis explains the disconnect in the West Coast salmon’s health this way: favorable ocean conditions over the past few years helped salmon that are now coming back to Pacific Northwest rivers to spawn. The numbers have also been boosted by hatchery-released fish, improvements in fish-passage technology at dams, better water management and habitat restoration.
Meanwhile, disastrous river conditions for eggs and juvenile salmon, caused by the severe drought that has hit the West, and especially California, may kill off some of the fish that would be returning from the ocean in 2017 and beyond.
And long-term problems threaten salmon across the region: habitat loss, water shortages and conflicts with agriculture, dwindling snowpack, climate change.
“Regardless of a consumer's socioeconomic status or ability to buy, we're all concerned global warming could be an issue, we're all aware of these longer-terms problems,” said Kelly Goldsmith, assistant professor of marketing at the Kellogg School of Management at Northwestern University.
Goldsmith studies the interplay of environmental issues and consumer decision-making. She thinks at this point, it is hard for even well-informed foodies to sort through the news and science, as well as environmental labeling programs by groups like the Monterey Bay Aquarium’s Seafood Watch, that certify fish in grocery stores and restaurants as “sustainable.”
“Consumers develop this conditioned response where, ‘if I eat salmon, I'm doing something bad,’” said Goldsmith. “The salmon is delicious, but another element of my consumption experience is, ‘I feel bad, because I know there are only so many left in the river.’ It becomes nearly impossible to know how to do the right thing.”
So far, though, consumers aren’t abandoning wild salmon; quite the contrary. With health concerns increasing, and savvy marketing of wild salmon by fishing groups, consumption has risen over the past decade. So have the prices consumers are willing to pay for their prime salmon steaks and filets.
While there is no such thing as a free lunch, it seems that might hold true for free shipping, too.
Retailers are apt to promote free shipping around the holidays, but online shoppers using Amazon, Best Buy or the Gap will have to spend more money this year.
According to the Wall Street Journal, a customer must spend $82 on average to qualify for free shipping, based on data from July, up from $76 at the same time last year.
The companies claim the increased price is to cover the cost of the service in the first place.Last year, for instance, Amazon spent about $6.64 billion on shipping, but brought in only about $3.1 billion in payments for shipping.
The article also reports customers tend to change their shopping behavior in order to qualify for the free shipping, like adding an extra item to meet the minimum requirement.
Two entrepreneurs have developed new tricks to make food that's literally illuminating, using ingredients that are as natural and unprocessed as possible. It's just basic food chemistry, folks.
Nelson Bunker Hunt, the billionaire oil tycoon who once tried to corner the world's silver market, died yesterday in Dallas at the age of 88. He was an heir to the Hunt oil fortune and at one time, among the richest people on the planet. But a huge bet on the silver market in the late '70s led to a silver craze and a financial debacle.
Hunt's obituary in The Dallas Morning News describes him as an oilman, patriot, horseman, Christian and John Birch Society member, among other things. But in financial circles he and his brother were best known for owning a frighteningly big chunk of the world's silver. They wanted to hedge against raging inflation, they said.
"They bid up the price of silver from $9 an ounce to, at its peak, something like $50 an ounce in January 1980," said John Coffee, a professor at Columbia University.
But when worried regulators set new trading limits on silver, the Hunts couldn't meet a margin call. Silver prices collapsed, they lost over a billion dollars, their lenders were in trouble, and yes, a federal bailout of sorts ensued. Hunt declared bankruptcy – the largest personal bankruptcy in American history.
"It took me probably 30 days to get an organizational chart dealing with probably more than 250 companies that he owned or had an interest in all over the world," said Hunt's bankruptcy lawyer, Russell Munsch, of Munsch, Hardt, Kopf and Harr. The front page of the New York Times on March 28, 1980 with a headline about Silver Thursday and the Hunt brothers. It reads, Silver's Plunge Jolts Hunts' Empire And Brings Turmoil to Wall Street, Fears of Sell-Off of Metal Depress Stock Prices and Pose Threat to Broker.
The front page of the New York Times on March 28, 1980 with a headline about Silver Thursday and the Hunt brothers. It reads, Silver's Plunge Jolts Hunts' Empire And Brings Turmoil to Wall Street, Fears of Sell-Off of Metal Depress Stock Prices and Pose Threat to Broker.
Jeffrey Williams, who wrote "Manipulation on Trial: Economy Analysis and the Hunt Silver Case," says lots of people lost money. But reforms? Not so much.
"The more time has passed," says Williams, who is a professor of agricultural and resource economics at UC-Davis, "the more I'm forced to conclude that the case did not have much effect on the way we regulate commodity markets."
Jim Stone, who chaired the Commodity Futures Trading Commission at the time, today said the silver crisis "nearly torpedoed top financial institutions in much the same way mortgage derivatives did in 2008." The Hunts were highly leveraged, and that problem, Stone says, remains "unfixed" and "the lesson unlearned."
One of Latin America's poorest countries is building the world's longest urban cable car system. The aim is to transform the lives of commuters who battle chronic traffic problems.
Ottawa was in lockdown after a shooting at the Canadian Parliament building and a war memorial Wednesday morning. A soldier and one suspect were killed, the CBC reported. Details are scarce, but Vox has a summary of what's confirmed and unconfirmed as of late Wednesday morning. Another useful reference: the breaking news consumer's handbook from "On the Media."
As we wait to learn more, here are the stories we're reading — and some numbers we're watching — Wednesday.17
That's how many Pulitzers the Washington Post won under the leadership of Ben Bradlee, who served as editor for 26 years and died Tuesday at age 93. Bradlee lead the Washington Post during the Watergate scandal and the publication of the Pentagon papers, and he's credited with elevating the Post to one of the top newspapers in the country.11 out of 20
According to the Federal Reserve, that's how many banks totally failed to meet the last big chunk of Dodd-Frank rules, in part because they weren’t thorough enough or made mistakes in their reporting. It's why some are turning to a computer program called the Volcker Assistant. It is, for all intents and purposes, like a Turbo Tax for banks trying to comply with financial regulations.40 percent
Four in 10 people surveyed by Pew Research said they've experienced harassment online. A little less than half of those — 18 percent of all Internet users — said that harassment went on longer, or involved physical threats, sexual harassment or stalking.
The giant Russian oil company was bankrupted almost a decade ago after the oligarch owner – Mikhail Khodorkovsky — clashed politically with President Vladimir Putin. Khodorkovksy was stripped of his shares, jailed, and had his company carved up and taken under state control.
Could something similar be happening to Vladimir Yevtushenkov, billionaire owner of telecom, tourism and oil giant Sistema?
Another oligarch – who’s much closer to Putin and runs the state-energy company Rosneft — made Yevtushenkov an offer for his oil interests. Yevtushenkov deemed the offer derisory and refused and is now paying the price. Under house arrest, he’s facing prosecution for fraud and money laundering.
In one crucial respect, Yevtushenkov is very different from the Yukos boss.
“He is widely regarded as a figure who is loyal to the authorities in Russia, he’s never previously stepped out of line.” says John Lough of the Chatham House think tank. “ He’s never criticized the Putin administration to my knowledge. It’s very striking that a figure so loyal to the system, has been put in this situation.”
Lawyer and Kremlin watcher Jamison Firestone is not surprised that Yevtushenkov has fallen foul of President Putin and his close associates.
“He’s got something they want. And they want to take it. It’s pretty simple.” says Firestone. “ Like in the Soviet Union, there is no such thing as private property in Russia today. You own stuff while they allow you to own it.”
Firestone knows more than most about such shenanigans. He fled Moscow after his colleague Sergei Magnitsky died in custody after allegedly uncovering high level corruption.
The attempted asset grab against Yevtushenkov could be an encouraging sign for the West. It could suggest that the EU and U.S. sanctions levied against Russia over Ukraine are biting and the oligarchs are starting to fight over their dwindling assets.
“The pie is no longer growing and therefore the fights over particular portions can become more excessive.’ says Nick Redman of the International Institute for Strategic Studies.
But this may be more than a case of greedy oligarchs squabbling over their loot, with Putin backing a close associate. Lough says Putin many have singled out the unoffending Yevtushenkov for political reasons, and as a preemptive example.
“There are some Russian business people who interpret this as a sign to business from Mr Putin that says : ‘you may be unhappy about what’s happening at the moment with the sanctions, you may be feeling a degree of pain, but don’t think of stepping out of line.’ ”
It’s a risky tactic. It could backfire, claims Firestone, it could alienate all the oligarchs in the outer circle and eventually lead to the President’s toppling. This could be curtains for Putin.
“Most of Russian transitions in power happen the following way: you wake up and “Swan Lake” is playing on every single official channel. And then you know something has happened.” Firestone says. “A few hours later when they figure out the official story somebody gets on TV and tells us who the new leadership is .”
But –after the annexation of Crimea - the Russian leader’s public approval rating soared and now stands at around 80 percent. In contrast, all the oligarchs are universally loathed. So the humbling of Yevtushenkov is likely to be popular with ordinary Russians. It still could be some years before Putin has his “Swan Lake moment”.
Picture a mortgage, and you're likely imagining a down payment of 20 percent of the price of the house.
"I think the 20 percent down payment has become the default, no pun intended," says Jonathan Miller, president of Miller Samuel Real Estate Appraisers and Consultants. "To many homeowners, I think it symbolizes a commitment."
The requirements of Fannie Mae and Freddie Mac — the government-backed entities that support the vast majority of new mortgages — are the most obvious reasons the standard applies today.
"Under Fannie and Freddie's rules, you can get a lower down payment mortgage, but that then requires extra payment in the form of mortgage insurance," says Susan Wachter, professor of real estate and finance at the University of Pennsylvania's Wharton School.
The history of that requirement dates back to the Great Depression. According to Wachter, before the 1930s most mortgages were short-term and non-amortizing: a home buyer had to either pay off the whole house in a lump sum after a few years, or roll over the loan at a new interest rate. Down payments, on the other hand, were typically more than 30 percent.
After the resulting foreclosure crisis and construction halt — similar to what happened after the recent financial crisis — the government created the Federal Housing Administration, which backed mortgages, but required a 20 percent down payment. After World War II, the Department of Veterans Affairs and the FHA adopted a 30-year, fixed-rate standard. By the mid '50s, most mortgages fit that description.
But 30-year, fixed-rate, 20 percent-down loans weren't strictly the result of government-sponsored enterprises, or GSEs.
"When I bought my first home it was $22,000 and I had to put 20 percent down, and it was a conventional loan," says Chris Polychron, president-elect of the National Association of Realtors. "The conventional lenders mimicked what the GSEs did."
Since the 1950s, 20 percent has remained the average down payment — with the exception of the run-up to the financial crisis in 2008. But how did 20 percent become that dividing line in the first place, back in the 1930s? As with so much of our economic life, it’s anybody’s guess.
"I would speculate if you scored 80 percent, you’re a B-minus student, and I guess that means you’re above average," says Miller. "So maybe that has something to do with it."
Johnson & Johnson is the latest pharmaceutical firm to say it will join the race to find a vaccine for Ebola. The firm has even been talking with rival GlaxoSmithKline about ways to collaborate to speed up development.
That urgency speaks to the idea that while the epidemic is well under control in the U.S., it’s out of control in West Africa, where the World Health Organization reports nearly 1,000 people have been infected in just the past week.
“What you are seeing is a collaboration among industry, a collaboration with governments, a collaboration among charities to address what is becoming a horrific public health crisis,” says GSK’s Donna Altenpohl.
Until recently, developing a vaccine wasn’t viewed as lucrative in the industry. But Adel Mahmoud, former President of Merck Vaccines says the power of this virus is persuasive.
“What has changed today is failure of almost all control methods that we now exist,” he says.
Mahmoud says with public health efforts like quarantine and containment falling short it’s now obvious a vaccine is essential. With millions of Africans in need as well as medical workers worldwide, Mahmoud says it’s clear there’s a huge market.
It’s not clear how profitable that market will be. But believe it or not, that’s a secondary concern right now to drug makers, says USC economist Joel Hay.
“They hope if they develop good vaccines they can be compensated at some point. But I don’t think they are doing this out of a profit motive, they are doing it because they believe it’s the right thing to do,” he says.
Certainly down the road, the company that comes up with a vaccine first could score a major public relations win. But right now, Hay says, nobody – including the drug makers – stand to benefit if Ebola spreads beyond West Africa.
“Just think what would happen if people though that airplanes were not safe to fly in. the economy could be devastated very quickly,” he says.
Hay says for pharmaceutical companies in the business of making people better it’s gut check time.
The DNA in this ancient Siberian leg bone shows that the man had Neanderthal ancestors — yet more proof that humans and Neanderthals interbred. And he lived much farther north than expected.