Category: Government

“China Has Blindly Constructed So Many Homes and Wasted So Much Resources”

(p. C6) In November [2015], President Xi Jinping told a meeting of officials that China must resolve the housing inventory situation and ensure the health of the property sector.
Since then, Meishan, a city of 3.5 million people, has become a showcase for efforts to lure rural dwellers to cities to buy homes as part of so-called destocking efforts to reduce the glut.
. . .
. . ., some analysts and local government officials warn the rural strategy isn’t a cure-all. Banks typically hesitate to extend mortgages to rural migrants, whose homestead land doesn’t typically qualify as collateral.
“Now with bad loans growing in China, banks are reluctant to lend to farmers. Farmers don’t have assets and lending to them is risky,” said Wang Fei, an official at Hubei Province’s department of housing and urban-rural development.
. . .
Housing inventory in the city rose to 22.5 months last April, an alarmingly high level compared with a healthier rate of 12 months or lower. There were also cases where cash-strapped property firms defaulted on their loans, leaving behind unfinished apartments.
Buyers of Purple Cloud Golden World housing project are now stranded after Yang Jinhao, who controlled Sichuan Xinrui Property Development, got involved in a dispute with a shadow lender early last year.
“China has blindly constructed so many homes and wasted so much resources. I can’t stand it!” said Yu Jianmin, a 70-year-old caretaker of the stalled project who said the construction firm he works for is still awaiting payment from Mr. Yang. Mr. Yang couldn’t be reached.

For the full story, see:
ESTHER FUNG. “Discounts Help China Ease Home Glut.” The Wall Street Journal (Weds., March 2, 2016): C6.
(Note: ellipses, and bracketed year, added.)
(Note: the online version of the story has the date March 1, 2016, and has the title “China Sweetens Home-Ownership Deals for Rural Dwellers.”)

Electricity from Cow Manure Failing Despite Administration Support

(p. B1) Wisconsin dairy farmer Art Thelen was full of optimism a decade ago when he joined a growing group of U.S. farmers investing in technology that turns livestock manure into electricity.
The systems promised to curb air pollution from agriculture, generate extra revenue and–in no small feat–curtail odors that waft for miles in much of farm country.
“It was a great idea, and when it worked well, it was wonderful,” Mr. Thelen said.
Now the 61-year-old is among a group of farmers who recently have shut down their manure-to-energy systems–known as anaerobic digesters–or scrapped plans to build them because of the prolonged slump in natural-gas prices and higher-than-expected maintenance costs that made the systems less economical.

For the full story, see:
DAVID KESMODEL. “Energy Prices Steer Farmers Away From Manure Power.” The Wall Street Journal (Fri., Feb. 19, 2016): B1-B2.
(Note: the online version of the story has the date Feb. 18, 2016, and has the title “F.D.A. Regulator, Widowed by Cancer, Helps Speed Drug Approval.”)

Obama Says Stimulus Worked at Battery Plant Where CEO Remains “Frustrated” at Losses

(p. A12) JACKSONVILLE, Fla. — President Obama on Friday [February 26, 2016] used a visit to a high-technology battery plant in Florida to argue that the hundreds of billions of dollars in federal subsidies he signed into law during his first days in office had bolstered the economy, transformed the nation’s energy sector, and positioned the United States for a strong rebound.
But Mr. Obama’s trip to the Saft America factory here, opened in 2011 with a $95.5 million investment from the Department of Energy, also highlighted the challenges that have tempered the economic recovery and the difficulty that the president has had in claiming credit for it.
. . .
After touring the facility and watching a large robot named Wall-E assembling one of the batteries, the president called the factory “tangible evidence” that his stimulus package had worked and said that the economy was better off for it. “We took an empty swamp and turned it into an engine of innovation,” he said.
That engine, though, has sputtered as it has struggled to start here. Saft, based in Paris, announced last week that it was reducing the factory’s value because it had still not gained profitability in the competitive lithium-ion battery market. Saying he was “frustrated,” the company’s chief executive projected the plant might not be profitable for a few more years.

For the full story, see:
JULIE HIRSCHFELD DAVIS. “Obama Praises Stimulus at Battery Plant.” The New York Times (Sat., FEB. 27, 2016): A12.
(Note: ellipsis, and bracketed date, added.)
(Note: the online version of the story has the date FEB. 26, 2016, and has the title “Obama Points to Florida Factory as Evidence That Stimulus Worked.”)

After Wife’s Cancer, F.D.A. Regulator Cuts Decision Time from Six to Five Months (Beyond Years Spent Testing)

(p. 1) BETHESDA, Md. — Mary Pazdur had exhausted the usual drugs for ovarian cancer, and with her tumors growing and her condition deteriorating, her last hope seemed to be an experimental compound that had yet to be approved by federal regulators.
So she appealed to the Food and Drug Administration, whose oncology chief for the last 16 years, Dr. Richard Pazdur, has been a man denounced by many cancer patient advocates as a slow, obstructionist bureaucrat.
He was also Mary’s husband.
In her struggle with cancer and ultimately her death in November, Ms. Pazdur had a part, her husband and a number of cancer specialists now say, in a profound change at the F.D.A.: a speeding up of the drug approval process. Ms. Pazdur’s three-year battle with cancer was a factor, they say, in Dr. Pazdur’s willingness to swiftly approve risky new treatments and passion to fight the disease that patient advocates thought he lacked.
. . .
(p. 13) Certainly there has been a change at the powerful agency. Since Ms. Pazdur learned she had ovarian cancer in 2012, approvals for drugs have been faster than at any time in the F.D.A.’s modern history. Although companies go through a yearslong discovery and testing process with new drugs before filing a formal application with the F.D.A., the average decision time on drugs by Dr. Pazdur’s oncology group has come down to five months from six months. That is a major acceleration in a pharmaceutical industry where every month’s delay can mean thousands of lives lost and sometimes hundreds of millions of dollars in sales that, given limited patent times, can never be recovered.
When asked specifically how his wife’s illness had changed his work at the F.D.A., Dr. Pazdur said he was intent on making decisions more quickly.
“I have a much greater sense of urgency these days,” Dr. Pazdur, 63, said in an interview. “I have been on a jihad to streamline the review process and get things out the door faster. I have evolved from regulator to regulator-advocate.”

For the full story, see:
GARDINER HARRIS. “A Wife’s Cancer Prods the F.D.A.” The New York Times, First Section (Sun., JAN. 3, 2016): 1 & 13.
(Note: ellipsis added.)
(Note: the online version of the story has the date JAN. 2, 2016, and has the title “F.D.A. Regulator, Widowed by Cancer, Helps Speed Drug Approval.”)

Ethanol Adds Carbon Dioxide to Atmosphere

(p. A9) Before long, it may be politically safe to take a wise step and eliminate the Renewable Fuel Standard (RFS).
. . .
Today, ethanol’s downsides have become clear.
First, it increases the cost of driving. Current ethanol blends provide fewer miles per gallon, so drivers pay more to travel the same distance. According to the Institute for Energy Research, American drivers have paid an additional $83 billion since 2007 because of the RFS.
Second, ethanol adds more carbon dioxide to the atmosphere than it eliminates by replacing fossil fuels. The Environmental Working Group says that “corn ethanol is an environmental disaster.” The group explains: “The mandate to blend ethanol into gasoline has driven farmers to plow up land to plant corn–40 percent of the corn now grown in the U.S. is used to make ethanol. When farmers plow up grasslands and wetlands to grow corn, they release the carbon stored in the soil, contributing to climate-warming carbon emissions.” And then there is the carbon emitted in harvesting, transporting and processing the corn into ethanol.

For the full commentary, see:
MERRILL MATTHEWS. “The Corn-Fed Albatross Called Ethanol.” The Wall Street Journal (Weds., Jan. 6, 2016): A9.
(Note: ellipsis added.)
(Note: the online version of the commentary has the date Jan. 5, 2016.)

Greek Corruption, Fraud, Evasion and Public Worker Job Security

(p. A11) Mr. Angelos, a former Journal correspondent, travels through Greece as a journalist first, and a native son second, to conduct a mostly unpleasant archaeology. By way of background, however, he first tackles the pervasive issues of disability and pension fraud, rampant tax evasion, and public worker job protections. These are the very problems that Greece’s European lenders sought to remedy through a series of supposedly helpful but also punitive and ineptly administered reforms. Mr. Angelos dismantles the facile narrative accepted by many in the eurozone, in which hardworking Germans must clean up a mess made by their lazy and “Oriental” southern neighbors. But he is equally tenacious when it comes to exposing the misconduct of Greek politicians, not to mention the country’s corrupt system of career tenure and its, well, truly Byzantine bureaucracy.
Mr. Angelos’s book allows us to see how these problems play out, sometimes farcically, in the lives of actual people. There’s a cranky grandmother on the island of Zakynthos who receives generous blindness benefits even though she can see perfectly well. There’s the arrogant former prime minister who accepted millions of euros in bribes to buy useless submarines on behalf of the Greek government.
. . .
. . . the book’s single most flattering portrait is of Yiannis Boutaris, the tattooed, wine-making, freethinking mayor of Thessaloniki, who courts Turkish tourism, refuses to kowtow to the church and publicly acknowledges the crucial role of Jews in the city’s history.

For the full review, see:

CHRISTOPHER BAKKEN. “BOOKSHELF; How Greece Got to ‘No’; On the island of Zakynthos, a grandmother receives generous blindness benefits–even though she can see perfectly well.”The Wall Street Journal (Tues., July 7, 2015): A11.
(Note: ellipses added.)
(Note: the online version of the review has the date July 6, 2015.)

The book under review, is:
Angelos, James. The Full Catastrophe: Travels among the New Greek Ruins. New York: Crown Publishers, 2015.

Ugly, Invasive, Depressing Federal LEDs Disrupt Sleep and Increase Risk of Breast Cancer

(p. B1) In my repellently contented middle age, I don’t seek blue light. Like most sane people, I spurn restaurants whose lighting glares. I recoil from mirrors under fluorescent tubes. I switch on an overhead only to track down a water bug while wielding a flip-flop. Yet each evening from March onward, in the Brooklyn neighborhood where I live part of the year, it seems as if the overhead is always on.
Along with other parts of South Brooklyn, Windsor Terrace is an early recipient of the Department of Transportation’s new light-emitting diode streetlights. New Yorkers who have not yet been introduced to these lights: We are living in your future.
Our new street “lamps” — too cozy a word for the icy arrays now screaming through our windows — are meant to be installed across all five boroughs by 2017. Indeed, any resident of an American municipality that has money problems (and what city doesn’t?) should take heed.
In interviews with the media, my fellow experimental subjects have compared the nighttime environment under the new streetlights to a film set, a prison yard, “a strip mall in outer space” and “the mother ship coming in for a landing” in “Close Encounters of the Third Kind.” Although going half-blind at 58, I can read by the beam that the new lamp blasts into our front room without tapping our own Con Ed service. Once the LEDs went in, our next-door neighbor began walking her dog at night in sunglasses.
Medical research has firmly established that blue-spectrum LED light can disrupt sleep patterns. This is the same illumination that radiates in far smaller doses from smartphone and computer screens, to which we’re advised to avoid exposure for at least an hour before bed, because it can suppress the production of melatonin. . . .
While the same light has also been associated with increased risk of breast cancer and mood disorders, in all honesty my biggest beef with LEDs has nothing to do with health issues. These lights are ugly. They’re invasive. They’re depressing. New York deserves better.
. . .
Even fiscally and environmentally conscientious California has compromised on this point. Berkeley, Oakland and San Francisco have all opted for yellow-rich LEDs. These cities have willingly made the modest 10-15 percent sacrifice in efficiency for an ambience that more closely embodies what Germans call Gemütlichkeit and Danes call hygge: an atmosphere of hospitality, homeyness, intimacy and well-being.
. . .
As currently conceived, the D.O.T.’s streetlight plan amounts to mass civic vandalism. If my focus on aesthetics makes this issue sound trivial, the sensory experience of daily life is not a frivolous matter. Even in junior high school, I understood that lighting isn’t only about what you see, but how you feel.

For the full commentary, see:
LIONEL SHRIVER. “Ruining That Moody Urban Glow.” The New York Times, SundayReview Section (Sun., OCT. 18, 2015): 5.
(Note: ellipses added.)
(Note: the online version of the commentary has the date OCT. 17, 2015.)

Regulatory Costs Slow Development of Lifesaving Antibiotics

(p. A13) In the 1980s, 29 new antibiotics were approved; another 23 were approved during the 1990s. But only nine new drugs made it to market from 2000-10, and a study by the Pew Charitable Trusts shows few drugs in development for the most serious microbial threats such as multidrug resistant Acinetobacter and Pseudomonas aeruginosa.
. . .
To revitalize the search for lifesaving antibiotics, the Food and Drug Administration needs a new way to approve them. Legislation proposed in both the House and the Senate would create a new regulatory pathway that would enable the FDA to approve drugs specifically for patients whose serious infections can’t be treated with existing drugs, and for whom there are few or no other treatment options.
For these patients, the FDA would be empowered to approve new drugs based on fewer or smaller clinical studies than for antibiotics intended for broader use. The goal is to reduce the cost of development and accelerate the availability of new drugs for a targeted public health need.

For the full commentary, see:
JONATHAN LEFF And ALLAN COUKELL. “How to End the Regulatory Slowdown for New Antibiotics; With the threat from lethal drug-resistant bacteria growing, the FDA needs to speed up its approval process.” The Wall Street Journal (Fri., July 3, 2015): A13.
(Note: ellipsis added.)
(Note: the online version of the commentary has the date July 2, 2015.)

Americans Should Not Be Required to Join a Private Organization Against Their Will

(p. A15) I am one of 10 California teachers suing to end compulsory union dues in Friedrichs v. California Teachers Association, which will be heard by the Supreme Court Jan. 11. Our request is simple: Strike down laws in 23 states that require workers who decline to join a union to pay fees anyway. In our view, paying fees to a union should not be a prerequisite for teaching in a public school. No one in the U.S. should be forced to give money to a private organization he or she disagrees with fundamentally. Teachers deserve a choice.
. . .
I was a member of the union for years and even served as a union representative. But the union never played an important role in my school. When most teachers sought guidance, they wanted help in the classroom and on how to excel at teaching. The union never offered this pedagogic aid.
Instead, the union focused on politics. I remember a phone call I received before a major election from someone in the union. It was a “survey,” asking teachers whether they would vote for so-and-so if the election were held tomorrow. I disagreed with every issue and candidate the union was promoting. After that conversation, I thought about what the union represents. Eventually, I realized that my dues–about $1,000 a year–went toward ideas and issues that ran counter to my beliefs.
. . .
A Gallup poll last year found that 82% of the public agrees that “no American should be required to join any private organization, like a labor union, against his will.” That’s all we’re asking.

For the full commentary, see:
HARLAN ELRICH. “Why I’m Fighting My Teachers Union; I don’t want to be forced to pay for a political agenda I don’t support. Now the Supreme Court will rule.” The Wall Street Journal (Mon., Jan. 4, 2016): A15.
(Note: ellipses added, italics in original.)
(Note: the online version of the commentary has the date Jan. 3, 2016.)

More Evidence for Stigler’s Capture Theory

(p. A15) WASHINGTON — Marilyn B. Tavenner, the former Obama administration official in charge of the rollout of HealthCare.gov, was chosen on Wednesday to be the top lobbyist for the nation’s health insurance industry.
Ms. Tavenner, who stepped down from her federal job in February, will become president and chief executive of America’s Health Insurance Plans, the trade group whose members include Aetna, Anthem, Humana, Kaiser Permanente and many Blue Cross and Blue Shield companies.
As the new voice for insurers, Ms. Tavenner will lead the industry in a time of tumultuous changes and challenges, including delicate negotiations with Congress over the future of the Affordable Care Act.
. . .
The board of America’s Health Insurance Plans unanimously elected Ms. Tavenner at a meeting here on Wednesday, according to Mark B. Ganz, the board chairman, who is also the chief executive of Cambia Health Solutions, based in Portland, Ore.
. . .
Mr. Ganz said that Ms. Tavenner had “the trust and respect of members of Congress from both sides of the aisle.”
Senator John Barrasso, Republican of Wyoming, described the selection in more negative terms. “While millions of Americans are still being hurt by Obamacare’s soaring costs and fewer choices,” he said, “Ms. Tavenner’s appointment shows how the law has created a cozy and profitable relationship for some.”

For the full story, see:
ROBERT PEAR. “Head of Obama’s Health Care Rollout to Lobby for Insurers.” The New York Times (Thurs., JULY 16, 2015): A15.
(Note: ellipses added.)
(Note: the online version of the story has the date JULY 15, 2015.)