Story 1: President Trumps Declares A National Emergency — Unleashes Full Power of United States Government — $50 Billion in New Funding To Deal With COVID-19 Pandemic — Videos
BREAKING: Donald Trump declares a national emergency
Trump declares National Emergency over coronavirus
Trump declares national emergency over coronavirus pandemic
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Trump declares virus emergency; Pelosi announces aid deal
By LISA MASCARO, ZEKE MILLER, ANDREW TAYLOR and JILL COLVIN
President Donald Trump on Friday declared the coronavirus pandemic a national emergency in order to free up more money and resources. But he denied any responsibility for delays in making testing available for the new virus, whose spread has roiled markets and disrupted the lives of everyday Americans.
Speaking from the Rose Garden, Trump said, “I am officially declaring a national emergency,” unleashing as much as $50 billion for state and local governments to respond to the outbreak.
Trump also announced a range of executive actions, including a new public-private partnership to expand coronavirus testing capabilities with drive-through locations, as his administration has come under fire for being too slow in making the test available.
Trump said, “I don’t take responsibility at all” for the slow rollout of testing.
Late Friday, House Speaker Nancy Pelosi announced a deal with the Trump administration for an aid package from Congress that aims at direct relief to Americans — free testing, two weeks of sick pay for workers, enhanced unemployment benefits and bolstered food programs.
“We are proud to have reached an agreement with the Administration to resolve outstanding challenges, and now will soon pass the Families First Coronavirus Response Act,” Pelosi announced in a letter to colleagues. The House was poised to vote.
The crush of late-day activity capped a tumultuous week in Washington as the fast-moving virus shuttered the capital’s power centers, roiled financial markets and left ordinary Americans suddenly navigating through self-quarantines, school closures and a changed way of life.
The White House was under enormous pressure, dealing with the crisis on multiple fronts as it encroached ever closer on the president.
Trump has been known to flout public health advice — eagerly shaking hands during the more than hour-long afternoon event — but acknowledged he “most likely” will be tested now after having been in contact with several officials who have tested positive for the virus. “Fairly soon,” he said.
Still, Trump said officials don’t want people taking the test unless they have certain symptoms. “We don’t want people without symptoms to go and do that test,” Trump said, adding, “It’s totally unnecessary.”
Additionally, Trump took a number of other actions to bolster energy markets, ease the financial burden for Americans with student loans and give medical professionals additional “flexibility” in treating patients during the public health crisis.
“Through a very collective action and shared sacrifice, national determination, we will overcome the threat of the virus,” Trump said.
Central to the aid package from Congress, which builds on an emergency $8.3 billion measure approved last week, is the free testing and sick pay provisions.
Providing sick pay for workers is a crucial element of federal efforts to stop the rapid spread of the infection. Officials warn that the nation’s healthcare system could quickly become overwhelmed with gravely sick patients, as suddenly happened in Italy, one of the countries hardest hit by the virus.
The ability to ensure paychecks will keep flowing — for people who stay home as a preventative measure or because they’re feeling ill or caring for others — can help assure Americans they will not fall into financial hardship.
Hopes for swiftly passing the package seemed to be fading throughout the day as talks dragged on and Trump dismissed it during as “not doing enough.”
Ahead of Trump’s new conference, Pelosi delivered a statement from the speaker’s balcony at the Capitol imploring the Trump administration and congressional Republicans to “put families first” by backing the effort to provide Americans with relief.
“Our great nation has faced crisis before,” Pelosi said. “And every time, thanks to the courage and optimism of the American people, we have prevailed. Now, working together, we will once again prevail.”
Pelosi and Mnuchin engaged in days of around-the-clock negotiations with cross-town phone calls that continued even as Trump was speaking, both indicating earlier they were close to a deal.
They both promised a third coronavirus package will follow soon, with more aggressive steps to boost the U.S. economy, which economists fear has already slipped into recession.
The financial markets closed on an upswing after one of the worst nosedives since the 1987 downturn.
For most people, the new coronavirus causes only mild or moderate symptoms, such as fever and cough. For some, especially older adults and people with existing health problems, it can cause more severe illness, including pneumonia.
The vast majority of people recover. According to the World Health Organization, people with mild illness recover in about two weeks, while those with more severe illness may take three to six weeks to be over it.
Trump said he was gratified that Brazilian President Jair Bolsonaro tested negative for the virus, after the pair sat next to each other for an extended period of time last weekend at Trump’s Mar-a-Lago club. A senior aide to Bolsonaro tested positive.
Trump’s daugher, Ivanka Trump, worked from home Friday after meeting with Australian Home Affairs Minister Peter Dutton, now in isolation at a hospital after testing positive for the coronavirus. White House spokesman Judd Deere said she was evaluated by the White House Medical Unit and it was determined that because she was exhibiting no symptoms she does not need to self-quarantine.
Attorney General William Barr, who also met with the Australian official, was staying home Friday, though he “felt great and wasn’t showing any symptoms,” according to his spokeswoman Kerri Kupec.
Several lawmakers, including some close to Trump, have also been exposed to people who tested positive for the virus, and are self-isolating.
Among them are Republican Sens. Lindsey Graham and Rick Scott, who were at Trump’s club on the weekend. Graham announced Friday that he also met with the Australian official who has now tested positive. And GOP Sen. Ted Cruz of Texas, who had previously isolated himself after a potential exposure at a conservative conference in Washington, said Friday he met with a Spanish official and is now self-quarantining.
Hospitals welcomed Trump’s emergency declaration, which they and lawmakers in Congress had been requesting. It allows the Health and Human Services Department to temporarily waive certain federal rules that can make it harder for hospitals and other health care facilities to respond to an emergency.
The American Medical Association said the emergency declaration would help ensure America’s health care system has sufficient resources to properly respond to the ongoing outbreak.
Trump has struggled to show he’s on top of the crisis, after giving conflicting descriptions of what the U.S. is doing to combat the virus. On Wednesday he announced he would ban travel to the U.S. from Europe, and on Friday he suggested extending that to the U.K. because of a recent rise in cases.
Dr. Anthony Fauci, infectious disease chief at the National Institutes of Health, said more tests would be available over the next week, but warned, “We still have a long way to go.”
Fauci said Friday, “There will be many more cases. But we’ll take care of that, and ultimately, as the president said, this will end.”
___
Associated Press writers Aamer Madhani, Alan Fram, Lauran Neergaard, Martin Crutsinger, Laurie Kellman, Michael Balsamo and Kevin Freking in Washington and Bill Barrow in Atlanta contributed to this report.
Story 1: President Trump and Coronavirus Task Force Addresses The American People — Senior Citizens Over Age 60 With Serious Underlining Existing Medical Conditions Including High Blood Pressure, Heart Disease, Cancer, Decreased White Cells, Diabetes Are At Higher Risk For COVID -19– Overall Risk Is Still Low For All Others — Videos
WATCH LIVE: President Trump and coronavirus task force hold briefing as outbreak widens – 3/9/2020
Early information out of China, where COVID-19 first started, shows that some people are at higher risk of getting very sick from this illness. This includes:
Older adults
People who have serious chronic medical conditions like:
Heart disease
Diabetes
Lung disease
If a COVID-19 outbreak happens in your community, it could last for a long time. (An outbreak is when a large number of people suddenly get sick.) Depending on how severe the outbreak is, public health officials may recommend community actions to reduce people’s risk of being exposed to COVID-19. These actions can slow the spread and reduce the impact of disease.
If you are at higher risk for serious illness from COVID-19 because of your age or because you have a serious long-term health problem, it is extra important for you to take actions to reduce your risk of getting sick with the disease.
Get Ready for COVID-19 Now
Have supplies on hand
Contact your healthcare provider to ask about obtaining extra necessary medications to have on hand in case there is an outbreak of COVID-19 in your community and you need to stay home for a prolonged period of time.
If you cannot get extra medications, consider using mail-order for medications.
Be sure you have over-the-counter medicines and medical supplies (tissues, etc.) to treat fever and other symptoms. Most people will be able to recover from COVID-19 at home.
Have enough household items and groceries on hand so that you will be prepared to stay at home for a period of time.
Take everyday precautions
Avoid close contact with people who are sick
Take everyday preventive actions
Clean your hands often
Wash your hands often with soap and water for at least 20 seconds, especially after blowing your nose, coughing, or sneezing, or having been in a public place.
If soap and water are not available, use a hand sanitizer that contains at least 60% alcohol.
To the extent possible, avoid touching high-touch surfaces in public places – elevator buttons, door handles, handrails, handshaking with people, etc. Use a tissue or your sleeve to cover your hand or finger if you must touch something.
Wash your hands after touching surfaces in public places.
Avoid touching your face, nose, eyes, etc.
Clean and disinfect your home to remove germs: practice routine cleaning of frequently touched surfaces (for example: tables, doorknobs, light switches, handles, desks, toilets, faucets, sinks & cell phones)
Avoid crowds, especially in poorly ventilated spaces. Your risk of exposure to respiratory viruses like COVID-19 may increase in crowded, closed-in settings with little air circulation if there are people in the crowd who are sick.
Avoid all non-essential travel including plane trips, and especially avoid embarking on cruise ships.
If COVID-19 is spreading in your community, take extra measures to put distance between yourself and other people to further reduce your risk of being exposed to this new virus.
Stay home as much as possible.
Consider ways of getting food brought to your house through family, social, or commercial networks
Stay in touch with others by phone or email. You may need to ask for help from friends, family, neighbors, community health workers, etc. if you become sick.
Determine who can provide you with care if your caregiver gets sick
Watch for symptoms and emergency warning signs
Pay attention for potential COVID-19 symptoms including, fever, cough, and shortness of breath. If you feel like you are developing symptoms, call your doctor.
If you develop emergency warning signs for COVID-19 get medical attention immediately. In adults, emergency warning signs*:
Difficulty breathing or shortness of breath
Persistent pain or pressure in the chest
New confusion or inability to arouse
Bluish lips or face
*This list is not all inclusive. Please consult your medical provider for any other symptoms that are severe or concerning.
What to Do if You Get Sick
Stay home and call your doctor
Call your healthcare provider and let them know about your symptoms. Tell them that you have or may have COVID-19. This will help them take care of you and keep other people from getting infected or exposed.
Get medical attention immediately if you have any of the emergency warning signs listed above.
What Others can do to Support Older Adults
Community Support for Older Adults
Community preparedness planning for COVID-19 should include older adults and people with disabilities, and the organizations that support them in their communities, to ensure their needs are taken into consideration.
Many of these individuals live in the community, and many depend on services and supports provided in their homes or in the community to maintain their health and independence.
Know what medications your loved one is taking and see if you can help them have extra on hand.
Monitor food and other medical supplies (oxygen, incontinence, dialysis, wound care) needed and create a back-up plan.
Stock up on non-perishable food items to have on hand in your home to minimize trips to stores.
If you care for a loved one living in a care facility, monitor the situation, ask about the health of the other residents frequently and know the protocol if there is an outbreak.
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Coronavirus: Doctor says high blood pressure a major death risk
Of a group of 170 patients who died in January in Wuhan about 50% had hypertension
While there’s been no published research yet explaining why, Chinese doctors working in Wuhan, the central Chinese city where the virus first emerged, have noticed that infected patients with that underlying illness are more likely to slip into severe distress and die.
Of a group of 170 patients who died in January in Wuhan – the first wave of casualties caused by a pathogen that’s now raced around the world – nearly half had hypertension.
“That’s a very high ratio,” said Du Bin, director of the intensive care unit at Peking Union Medical College Hospital, in an interview with Bloomberg over the phone from Wuhan. He was among a team of top doctors sent to the devastated city two months ago to help treat patients there.
“From what I was told by other doctors and the data I can see myself, among all the underlying diseases, hypertension is a key dangerous factor,” said Du, one of the most respected critical care experts in China. “Though there is no research published on that yet, we believe hypertension could be an important factor in causing patients to deteriorate, leading to a bad prognosis.”
Understanding the course of the disease and identifying individuals at greatest risk are critical for optimizing care for a global contagion that’s killed more than 3,700 people since emerging in China in December.
Answers may lie in studying the large pool of patients in China, where more than 15,000 remain hospitalized although new infections have slowed dramatically. The disease turns critical in 6% of patients and deterioration can happen very quickly.
“We’ll keep an eye on old people and those with high blood pressure. They are the key focus,” said Du.
Besides the hypertension factor, Du’s other insights into treating the disease are:
Move aggressively to ventilate
Du said that doctors should not hesitate to escalate measures for patients facing respiratory distress, as organ failure can set in quickly after. That means doctors should intervene aggressively with invasive ventilation measures – inserting a tube into a patient’s throat or cutting the throat open to create an airway – when low blood oxygen levels can’t be improved by less invasive measures.
Almost half of the patients who require invasive mechanical ventilation end up dying, but most of those who recover are those who were put on invasive ventilation early, said Du.
“Patients need to use invasive ventilation as early as possible, there’s no point of doing it late,” he said.
Respiratory therapists – doctors that specialise in ventilation and oxygen treatment – are becoming all the more important in treating patients critically ill with Covid-19 as they are more knowledgeable and can fine-tune ventilators to suit patient conditions.
No ‘Magic Bullets’ in drugs
There is growing anticipation over drugs being developed to treat the virus, with investors adding billions to the market value of pharmaceutical companies testing treatments now. But Du said drugs alone cannot save patients, especially those in severe condition.
The experience of SARS, the epidemic 17 years ago that sickened almost 8,000 people, showed that most patients can be cured without a specific anti-viral drug, said Du. And the abundance of antibiotics has not prevented deaths by bacterial infections, he added.
“When there’s a virus infection, we hope there’s a drug that can kill the virus and change the clinical outcome. But there’s no magic bullet.”
Instead, teamwork among specialists and nurses in intensive care units can be more crucial in keeping patients alive, he said. “An ICU doctor should work like a conductor in an orchestra to provide life-sustaining treatment while taking into consideration different specialist views,” he said.
Threat of re-infection
Reports that people who have recovered and been discharged from hospital later test positive again – and even die from the disease – have ignited fears that the virus can somehow re-emerge.
Du said that patients becoming re-infected again within days of leaving the hospital makes no sense “theoretically” as the anti-bodies in their bloodstream generated from fighting the disease do not disappear so quickly, although they don’t necessarily stay forever.
“What we need to look at in terms of those who tested positive again is concerns over the authenticity of their negative results,” he said. For example, samples taken from different areas of the same patient could test differently depending on where the virus resides.
Test kits made by different manufacturers could also have inconsistencies that impact test results, he said.
Italy will expand the lockdown of the Lombardy region to the entire country, Prime Minister Giuseppe Conte said Monday.
People throughout the country should not leave their homes other than for work or emergencies, Conte said.
He added that all public gatherings will be banned and sporting events suspended.
A man wearing a protective mask passes by the Coliseum in Rome on March 7, 2020 amid fear of Covid-19 epidemic.
Alberto Pizzoli | AFP | Getty Images
Italy will expand the lockdown of the Lombardy region to the entire country, Prime Minister Giuseppe Conte said Monday as Italy’s case count surged, making it the country with the most COVID-19 cases outside of China.
People throughout the country of 60 million should not travel other than for work or emergencies, Conte said. He added that all public gatherings will be banned and sporting events suspended. The decision was made to protect the most vulnerable people in the country, he said, and the measures will take effect Tuesday and last until April 3.
“The right decision today is to stay at home,” Conte said. “Our future and the future of Italy is in our hands. These hands have to be more responsible today than ever before.”
The nationwide lockdown is an expansion of quarantine measures rolled out over the weekend that applied to an area of the country that encompassed about 16 million people.
Schools and universities all over the country will remain closed until April 3, he said, but public transit will remain operational. All schools in the country were previously closed until March 15. He also said all restaurants and bars across the country will have to close at 6 p.m.
The announcement marks the most extensive efforts taken by a government outside of China to curb the spread of COVID-19.
“We don’t have any time. The numbers are showing that there has been a significant growth in infections, people in intensive care and deaths,” he said. “Our habits have to change right now. We must give things up for Italy.”
Italy also reported a surge of 1,807 confirmed cases nationwide, bringing the total to at least 9,172 confirmed cases, which is the largest daily increase in Italy in terms of absolute numbers since the contagion first came to light on Feb. 21.
While the spread of the virus is slowing in China, where it originated in December, it’s picking up pace across other parts of the world, including Italy. World Health Organization officials said Monday it’s reassuring that the virus appears to have been controlled in China and other countries such as Singapore. However, the virus is now present in more than 100 countries around the world and global cases have surpassed 100,000.
“It is in our hands. … In many countries, it will get worse before it gets better,” said Dr. Maria Van Kerkhove, the technical lead of WHO’s emergencies program. Roughly 93% of the global cases are concentrated in four countries: China, Korea, Italy and Iran, WHO officials said. “Absolutely, we see a light at the end of the tunnel, but how quickly we get there depends on what countries do.”
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Story 1: President Trump Wins All 14 States and Over 740 Delegates On Super Tuesday and Has Total Delegates of 859 With 1,276 Delegates Needed To Win Republican Nomination for President — Americans Love A Winner — Videos
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President Donald Trump Sweeps Super Tuesday
The president picked up hundreds of delegates in an unsurprising victory in more than a dozen states.
By Alexa Lardieri, Staff WriterMarch 4, 2020, at 11:13 a.m.
AS DEMOCRATS BATTLED IT out in 14 states on Super Tuesday, President Donald Trump easily won the Republican primaries, defeating challengers in a much-expected outcome.
The president won all 14 states, picking up more than 740 delegates. Candidates need at least 1,276 delegates to win the Republican party’s nomination and Trump’s victory brings his count to 859. His opponent, former Massachusetts Gov. Bill Weld has picked up one delegate so far.
AS DEMOCRATS BATTLED IT out in 14 states on Super Tuesday, President Donald Trump easily won the Republican primaries, defeating challengers in a much-expected outcome.
While it was expected Trump would face no competition on the delegate-packed Election Day, Democrats saw varying, and some unexpected, results. Former Vice President Joe Biden won at least nine states, while Sen. Bernie Sanders of Vermont won at least four, with Maine still too close to call.
Former New York City Mayor Mike Bloomberg, who dropped out of the race Wednesday, won American Samoa. Sen. Elizabeth Warren of Massachusetts had a disappointing night, failing to win any state, including her home state of Massachusetts, which went to Biden.
Trump tweeted as the results came in, exclaiming that the “Democrat establishment came together and crushed Bernie Sanders, AGAIN!” He added that it was “selfish for Elizabeth Warren to stay in the race.”
The president’s campaign argued Super Tuesday only caused more chaos in the Democratic Party and that, while voters may be excited about Biden, he is a “terrible candidate.”
“The results only increase the likelihood that no candidate will have enough delegates for a first ballot victory at their convention, which only means more chaos! The media is hyperventilating about Joe Biden but everyone should remember that he is just as terrible a candidate right now as he was a few days ago,” the campaign said in a statement.
“President Trump will wipe the floor with whatever Democrat is unlucky enough to be the nominee,” the campaign added.
Story 2: Democrats Deeply Divided — Democratic Establishment Candidate Creepy Sleepy Dopey Joey Biden vs. Radical Extremist Democratic Socialist (REDS) Bernie Sanders — Lying Lunatic Leftist Losers vs. Trump The Winner — Americans Love A Winner — Videos
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Mike Bloomberg QUITS 2020 race after disastrous Super Tuesday saying winning is ‘impossible’ after spending $1 BILLION for just 44 delegates – and immediately endorses Joe Biden, while Elizabeth Warren ‘assesses her path forward’
Mike Bloomberg and Elizabeth Warren are the dramatic losers on Super Tuesday
Bloomberg quit at 10.11am having spent $1 billion to only win 44 delegates
Warren came in third in her own state of Massachusetts and came in third in nearby Maine too; aides said she was ‘assessing the path forward’
Dramatic count in Texas ends with Joe Biden winning the state – securing a sensational comeback from the political dead after he joked: ‘They don’t call it Super Tuesday for nothing.’
Bernie Sanders seized a victory in California in the last act of a dramatic Super Tuesday which saw Joe Biden win state after state in landslides across the nation – only for his rival to take the biggest prize of all
Biden started Super Tuesday off strong, sweeping a swath of the south after first winning Virginia then picking up North Carolina, Alabama, Oklahoma, Tennessee, Minnesota, Arkansas, Massachusetts and Texas
Sanders currently has four states under his belt: California, Vermont, Utah and Colorado
Both Sanders and Biden claimed victory, and both said they will take the nomination
The path to the nomination in Milwaukee now runs through a mini-Super Tuesday on March 10, when Missouri, Michigan, Washington and Mississippi vote
Mike Bloomberg dramatically quit the presidential race Wednesday morning after a disastrous Super Tuesday and immediately backed Joe Biden.
The billionaire gained just 44 delegates by 10.11am, the time he announced his departure – but ran up a bill of $1 billion.
He immediately and whole-heartedly backed Biden, the night’s big winner, hinting that his vast fortune is now at the former vice-president’s disposal.
‘I’ve always believed that defeating Donald Trump starts with uniting behind the candidate with the best shot to do it,’ he said.
‘After yesterday’s vote, it is clear that candidate is my friend and a great American, Joe Biden.
‘I’ve known Joe for a very long time. I know his decency, his honesty, and his commitment to the issues that are so important to our country – including gun safety, health care, climate change, and good jobs.
‘Today I am glad to endorse him – and I will work to make him the next President of the United States.’
Democrats are also urging Elizabeth Warren to drop out after further pulling votes from frontrunners Biden and Bernie Sanders without winning any states – including her home of Massachusetts.
She was reported by NBC News to he holding talks with aides about ‘the path forward,’ suggesting that she too is on the brink.
And in yet another blow to Warren early Wednesday morning, Biden was declared winner in Maine, the last of the 14 Super Tuesday states to declare – and Warren did not even get the 15 per cent threshold to pick up delegates there.
In the White House Donald Trump took time out of the coronavirus crisis to send a string of mocking tweets about his richer would-be rival and notably about Bloomberg’s campaign aide Tim O’Brien. Trump had tried and failed to sue O’Brien for libel for writing in 2006 that he was not a real billionaire.
Bloomberg had been a late bloomer to the race.
Seeing the relative weakness of frontrunner Biden, and after first saying he would not run for the White House in 2020 the billionaire decided to jump in after all around Thanksgiving.
Out: Mike Bloomberg quit the race hours after a drubbing, saying: ‘After yesterday’s results, the delegate math has become virtually impossible – and a viable path to the nomination no longer exists.’
Still not out: Elizabeth Warren – who lost her home state of Massachusetts to both Joe Biden and Bernie Sanders Tuesday night
I’M ALL IN FOR JOE – HOW BLOOMBERG QUIT
This is Bloomberg’s statement as he left the race
Three months ago, I entered the race for President to defeat Donald Trump.
Today, I am leaving the race for the same reason: to defeat Donald Trump – because it is clear to me that staying in would make achieving that goal more difficult.
I’m a believer in using data to inform decisions. After yesterday’s results, the delegate math has become virtually impossible – and a viable path to the nomination no longer exists.
But I remain clear-eyed about my overriding objective: victory in November.
Not for me, but for our country. And so while I will not be the nominee, I will not walk away from the most important political fight of my life.
I’ve always believed that defeating Donald Trump starts with uniting behind the candidate with the best shot to do it.
After yesterday’s vote, it is clear that candidate is my friend and a great American, Joe Biden.
I’ve known Joe for a very long time. I know his decency, his honesty, and his commitment to the issues that are so important to our country – including gun safety, health care, climate change, and good jobs.
I’ve had the chance to work with Joe on those issues over the years, and Joe has fought for working people his whole life.
Today I am glad to endorse him – and I will work to make him the next President of the United States.
Like another former New York City Mayor, Rudy Giuliani, who ran for the White House in 2008, Bloomberg decided to skip the first states that held primaries – Iowa, New Hampshire, Nevada and South Carolina.
But a change in the Democratic National Committee rules allowed for Bloomberg to still make the Las Vegas debate stage last month.
It was the first time for American voters to see Bloomberg the candidate outside the flurry of television ads his hundreds of millions had bought.
And while the expectation was for Sanders, a democratic socialist, to push back on Bloomberg being there, within the first 10 minutes Warren brought up some of the alleged sexist behavior from the ex-mayor’s past.
‘I’d like to talk about who we’re running against: A billionaire who calls women ‘fat broads’ and ‘horse-faced lesbians.’ And no, I’m not talking about Donald Trump. I’m talking about Mayor Bloomberg,’ Warren said. ‘Democrats are not going to win if we have a nominee who has a history of hiding his tax returns, of harassing women, and of supporting racist policies like redlining and stop and frisk.’
Warren’s debate performance was the beginning of the end.
The results of the single-biggest primary contest night essentially narrowed the field to a two-horse race with Biden edging Sanders.
On Super Tuesday, 14 states and the U.S. territory of American Samoa voted, and Bloomberg only walked away with a win in Samoa – where six delegates were up for grabs.
Every other state was won by either the former vice president or senator from Vermont.
The scale of Biden’s comeback is not in doubt – and neither is Sanders’ ability to keep going, possibly even to the convention in Milwaukee in July.
Biden began by winning state after state, and appeared to stumble when California went to Sanders just after the polls closed there at 8pm – 11pm Eastern.
For the two frontrunners, Sanders’ win in California initially threatened to upend the narrative of the night being a sensational comeback for Biden.
However, the state may yet deliver the kind of resounding win or delegate haul for Sanders that had been forecast.
Sanders had a strong lead, with 87 per cent of the vote in, Biden was running nearly 9 points ahead, and the Vermont senator had garnered over a million votes. In California, Bloomberg also slipped below the 15 per cent threshold he would need to hit in order to collect delegates.
There was a dramatic race playing out through the night in Texas, the night’s second biggest prize. Biden opened up a lead over Sanders early Wednesday morning.
By the time the race was called around 2 am, he was leading Sanders by 50,000 votes, with 89 per cent reporting. Biden was at 33 percent, Sanders was at 30 per cent, and Bloomberg was at 15 per cent – just enough to earn delegates.
As votes continued to come in Wednesday morning, Bloomberg had slipped below that 15 per cent.
There were long lines in Harris County, home to Houston, where Biden was running up strong margins. As in southern states, Biden was running up big margins with the state’s African American voters, but Sanders heavily targeted Latino voters in the state. Biden’s margin, however was bigger.
Some voters were online for six hours, in a state that had pared back polling locations. Biden cleaned up among those who decided who to back late – winning the group 49 to 20 per cent in the state.
Virginia Gov. Terry McAuliffe called it ‘astounding,’ noting that Biden didn’t spend ‘a penny’ there, speaking on CNN.
Biden staged a dramatic rally in Dallas Monday where he secured endorsements from former presidential rivals Amy Klobuchar and Beto O’Rourke. Earlier Monday, Pete Buttigieg had also endorsed the former vice president.
O’Rourke later took Biden out to a Whataburger, a regional chain, for a milkshake.
Across the map there were signs of Biden’s sudden revival.
Biden dealt a humiliating blow to Warren in her home state of Massachusetts – snagging at least 28 delegates out of the state and beating her in her backyard. She vowed to stay in the race all the way to the conventions even as more centrist candidates flocked to 77-year-old former vice president.
He also denied the prize to Sanders, who hails from a neighboring state.
Bloomberg was born there, and had actor Michael Douglas stumping for him in Boston.
But the region where he dominated was the south, with wins stretching from Virginia to Tennessee, Arkansas, Alabama, North Carolina, and Oklahoma. Biden scored a surprise win in Minnesota.
Warren, hosting a rally in downtown Detroit, called herself ‘the woman who’s going to beat Donald Trump.’
The final details of delegate distribution were yet to be determined as the night wore on. But Biden’s overwhelming performance, and the collapse of Bloomberg and Warren, immediately reset the race, with the prospect that Sanders and his political ‘revolution’ would be up against a long slog against the Demoratic establishment-backed candidate as he was against Hillary Clinton in 2016.
Biden rushed to win after win early in the night, with Virginia, North Carolina and Alabama falling in rapid succession.
He took Minnesota without spending a dime on advertising and despite being third in the polls until Amy Klobuchar dropped out on Sunday. She endorsed Biden on Monday.
‘Prediction has been a terrible business and pundits have gotten it wrong over and over,’ she said. ‘Here’s my advice. Cast a vote that will make you proud.’
Then Sanders took some western wins in Utah and Colorado and snared the biggest state of all.
Bernie Sanders seized a victory in California in the last act of a dramatic Super Tuesday which saw Joe Biden win state after state in landslides across the nation – only for his rival to take the biggest prize of all
ling in rapid succession. He took Minnesota without spending a dime on advertising and despite being third in the polls until Amy Klobuchar dropped out on Sunday
s Biden raced to a series of state victories, Mike Bloomberg’s campaign said he plans to ‘reassess’ whether he should stay in the race tomorrow. His aides said his campaign chiefs were considering their next move. Dropping out would hand a huge victory to Biden and also the potential for Bloomberg’s almost unlimited resources to be thrown behind him immediately
TRUMP ROASTS HIS RIVALS AND TOASTS HIS OWN SUCCESS
Donald Trump skewered his critics while toasting his own successes on Twitter as results rolled in from Super Tuesday ballots across the country.
The President reserved most of his ire for ‘Mini’ Mike Bloomberg and Elizabeth ‘Pocahontas’ Warren, who both had poor showings in the polls.
Hitting out at fellow New York billionaire Bloomberg, Trump branded him ‘the biggest loser of the night, by far’.
‘His ‘political’ consultants took him for a ride,’ Trump tweeted.
‘$700 million washed down the drain, and he got nothing for it but the nickname Mini Mike, and the complete destruction of his reputation. Way to go Mike!’
Trump also took aim at Warren after she failed to win her home state of Massachusetts, landing her a distant third in the delegate stakes.
‘Elizabeth ‘Pocahontas’ Warren, other than Mini Mike, was the loser of the night. She didn’t even come close to winning her home state of Massachusetts,’ he wrote.
While Trump made sure to put down his rivals, he donated most of his energy to cheering his own successes – albeit while facing token opposition.
As each win rolled in he tweeted out a message of thanks to his supporters, while vowing to retake the presidency in November.
In Los Angeles, before California was called for Sanders, Biden took to the stage and cast himself the victor, regardless if Sanders took both California and Texas.
First, he mixed up his wife Jill and sister Valerie, a characteristic gaffe which has clearly done nothing to put off Democratic voters.
Biden declared: ‘It’s a great night and it seems to be getting even better. They don’t call it Super Tuesday for nothing!’
The former vice president recalled how just days ago the suggestion was that Super Tuesday would mark the end of his campaign.
‘Well it may be over for the other guy,’ Biden said, a clear shot at Sanders.
Energized, coherent and not put off even by two militant vegan protesters who ran onto the stage to protest against the dairy industry, he painted himself as the one Democrat who can take on Trump.
‘A lifelong Democrat, an Obama-Biden Democrat,’ he said to cheers – a pointed way to contrast himself to Sanders, who is an independent senator.
Jill Biden was captured in a photograph grabbing the protester by the arm and grimacing. Symone Sanders, Sanders’ former press secretary who’s not a top Biden adviser, had rushed across the stage to pull a protester off.
It was a return in part to the early days of the race, when Biden held a strong polling lead before the first states voted and caucused. With Sanders on the rise days ago and party leaders warning the democratic socialist could seize the nomination Tuesday, forces coalesced around Biden in South Carolina.
A key factor was the endorsement there of James C. Clyburn, the state’s most senior African American elected official.
In Vermont, Sanders pinned his hopes on California, pivoting to a victory speech and a string of attacks on Biden.
‘Tonight I tell you with absolute confidence we are going to win the Democratic nomination,’ he said.
The path to the nomination in Milwaukee now runs through a mini-Super Tuesday on March 10, when Missouri, Michigan, Washington and Mississippi vote.
Sanders had appeared to be ahead in Michigan but Biden’s upset in Minnesota is likely to weigh heavily there, and the combined demographic of African-Americans and disaffected blue collar voters could play to Biden’s strengths.
The following Tuesday, March 17, offers another selection of massive delegate counts when Florida, Illinois and Ohio all vote, along with Arizona.
The following week, March 24, sees Georgia vote, which Biden’s southern firewall should make a surefire victory.
For Sanders, the loss of momentum from a rocky Super Tuesday could be critical.
In 2016 he stayed in by rallying his base and railing against an ‘establishment’ determined not to give him the nomination and to install an ‘inevitable’ candidate in Hillary Clinton.
That may be more difficult as he faces in Biden an opponent whose comeback narrative offers him some of the advantages of the underdog, and whose narrative of empathy and standing up for those who were left behind overlaps with Sanders’ more radical rhetoric.
The string of endorsements Biden has garnered in the last few days from centrist party figures, including three of his former rivals, have been crucial in driving momentum.
In Los Angeles, before California was called for Sanders’, Biden took to the stage and cast himself the victor, regardless if Sanders took California and Texas
Energized, coherent and not put off even by two militant vegan protesters (pictured) who ran onto the stage to protest against the dairy industry, Biden painted himself as the one Democrat who can take on Trump
Biden’s early lead caused a dramatic shift and left Sanders, until last week the frontrunner, clinging to the hope of doing well in California before polls closed in the nation’s most populous state. Shortly after polls in California closed, he was named the winner
Biden’s campaign had suggested that the key to Super Tuesday was to minimize Sanders’ lead and a Virginia victory appeared to put them on the path to that goal. The sign of momentum for the former vice president came as he saw a boost in last-minute opinion polls despite having trailed Sanders in recent weeks
WARREN LOSES HER HOME STATE
Elizabeth Warren’s campaign for president fell flat on Super Tuesday as she was unable to win even her home state of Massachusetts.
Warren lost to both Joe Biden – whose South Carolina win Saturday night restored his frontrunner status – and Bernie Sanders, who represents neighboring state Vermont. Warren was in third place with 22 per cent of the vote with 70 per cent of the votes counted.
But Warren’s persistance had her looking ahead, as she campaigned in Detroit, Michigan Tuesday as votes were trickling in – a state that doesn’t vote until next Tuesday – and telling supporters in an email that she needed their help ‘to keep up the momentum.’
‘Predictions are a terrible business. Pundits have gotten it wrong over and over,’ Warren told the Michigan crowd. ‘Cast a vote that will make you proud. Vote from your heart. And vote for the person who you think will make the best president of the United States.’
During her final rally in California Monday night, Warren dismissed the surging Biden as a same-old, same-old Washington politician.
Supporters of Democratic U.S. presidential candidate Senator Bernie Sanders cheer for early results at his Super Tuesday night rally in Essex Junction, Vermont
Sanders supporters cheer as they hear election results during a party held at Central Machine Works Brewery in Austin, Texas
Sanders supporters cheer as they hear election results during a watch party held at Central Machine Works Brewery in Austin, Texas – a state he eventually lost to Biden
Supporters of Bernie Sanders look over Super Tuesday election results at a campaign center in Denver, Colorado
Supporters of Democratic Presidential hopeful Massachusetts Senator Elizabeth Warren attend a rally in Detroit
Tulsi Gabbard, a congresswoman from Hawaii, remains in the race though has only campaigned sporadically. She did make a pitch to voters in American Samoa, where she was born, to vote for her Tuesday
People wait to vote during the presidential primary in Santa Monica, California on Super Tuesday
Voters cast their ballots in the Democratic presidential primary election at a polling place in Armstrong Elementary School o in Herndon, Virginia
Rochelle Marks, 77, votes at a polling station on Super Tuesday in Beverly Hills, California
People line up to vote at a polling station on Super Tuesday in Beverly Hills, California
Students at the University of Vermont Franklin fill out voter registration forms at a polling place on Super Tuesday in Burlington, Vermont. At the close of the polls on Tuesday night, Sanders won his home state
Voters cast their ballots at a polling location inside an elementary school in Minneapolis, Minnesota
Those included former Senate Democratic Leader Harry Reid, former Virginia Gov. Terry McAuliffe, Rep. Veronica Escobar of Texas, Sen. Tammy Duckworth of Illinois, Rep. Don Beyer of Virginia, Rep. Debbie Wasserman Schultz of Florida, former Sen. Barbara Boxer of California and Rep. Jennifer Wexton of Virginia, among others.
Now Biden will have Bloomberg out of his way in order to capture more moderate voters – and Bloomberg’s commitment to help him remove Trump from office.
President Trump, for his part, touted his string of Republican primary victories Tuesday night, tweeting his thanks after state after state was called in his favor.
The president only had token competition – former Massachusetts Gov. Bill Weld – in the Super Tuesday contests and one state, Virginia, canceled its GOP primary as Trump, like most incumbent presidents, is easily expected to win his party’s nomination.
Trump has played armchair pundit on Twitter as he’s watched the shake-up on the Democratic side.
‘Elizabeth “Pocahontas” Warren, other than Mini Mike, was the loser of the night. She didn’t even come close to winning her home state of Massachusetts. Well, now she can just sit back with her husband and have a nice cold beer!’ Trump tweeted early Wednesday.
The president relished the news that Bloomberg had bowed out.
‘Mini Mike Bloomberg just “quit” the race for President. I could have told him long ago that he didn’t have what it takes, and he would have saved himself a billion dollars, the real cost,’ Trump wrote. ‘Now he will pour money into Sleepy Joe’s campaign, hoping to save face.’
‘It won’t work!’ Trump said.
Biden talks with actor and comedian Keegan-Michael Key as he campaigns before his evening rally on Super Tuesday in LA
Meanwhile Bernie Sanders, who was earning frontrunner status, spoke to thousands at his rallies in Super Tuesday states including one Monday night in Minneapolis. With Amy Klobuchar out, her state is up for grabs
On Monday night at a really in Los Angeles Warren pitched herself as the candidate who could split the difference between Biden and Sanders. ‘Voters deserve a choice of someone with unshakeable values who can also get things done and bring all kinds of Democrats along with her,’ she argued
Voters from 14 states head to the polls on ‘Super Tuesday,’ with about a third of Democratic delegates at stake in a single day
WHO ARE THE 4 DEMOCRATS RUNNING FOR PRESIDENT IN 2020?
JOE BIDEN
Age on Inauguration Day 2021: 78
Entered race: April 25, 2019
Career: No current role. A University of Delaware and Syracuse Law graduate, he was first elected to Newcastle City Council in 1969, then won upset election to Senate in 1972, aged 29. Was talked out of quitting before being sworn in when his wife and daughter died in a car crash and served total of six terms. Chaired Judiciary Committee’s notorious Clarence Thomas confirmation hearings. Ran for president in 1988, pulled out after plagiarism scandal, ran again in 2008, withdrew after placing fifth in the Iowa Caucuses. Tapped by Obama as his running mate and served two terms as vice president. Contemplated third run in 2016 but decided against it after his son died of brain cancer.
Family: Eldest of four siblings born to Joe Biden Sr. and Catherine Finnegan. First wife Neilia Hunter and their one-year-old daughter Naomi died in car crash which their two sons, Joseph ‘Beau’ and Robert Hunter survived. Married Jill Jacobs in 1976, with whom he has daughter Ashley. Beau died of brain cancer in 2015. Hunter’s marriage to Kathleen Buhle, with whom he has three children, ended in 2016 when it emerged Hunter was in a relationship with Beau’s widow Hallie, mother of their two children. Hunter admitted cocaine use; his estranged wife accused him of blowing their savings on drugs and prostitutes
Religion: Catholic
Views on key issues: Ultra-moderate who will emphasize bipartisan record. Will come under fire over record, having voted: to stop desegregation bussing in 1975; to overturn Roe v Wade in 1981; for now controversial 1994 Violent Crime Act; for 2003 Iraq War; and for banking deregulation. Says he is ‘most progressive’ Democrat. New positions include free college, tax reform, $15 minimum wage. No public position yet on Green New Deal and healthcare. Pro-gun control. Has already apologized to women who say he touched them inappropriately
Would make history as: Oldest person elected president
Slogan: Our Best Days Still Lie Ahead
TULSI GABBARD
Age on Inauguration Day: 39
Entered race: Still to formally file any papers but said she would run on January 11 2019
Career: Currently Hawaii congresswoman. Born on American Samoa, a territory. Raised largely in Hawaii, she co-founded an environmental non-profit with her father as a teenager and was elected to the State Legislature aged 21, its youngest member in history. Enlisted in the National Guard and served two tours, one in Iraq 2004-2006, then as an officer in Kuwait in 2009. Ran for Honolulu City Council in 2011, and House of Representatives in 2012
Family: Married to her second husband, Abraham Williams, a cinematographer since 2015. First marriage to childhood sweetheart Eduardo Tamayo in 2002 ended in 2006. Father Mike Gabbard is a Democratic Hawaii state senator, mother Carol Porter runs a non-profit.
Religion: Hindu
Views on key issues: Has apologized for anti-abortion and anti-gay marriage views; wants marijuana federally legalized; opposed to most U.S. foreign interventions; backs $15 minimum wage and universal health care; was the second elected Democrat to meet Trump after his 2016 victory
Would make history as: First female, Hindu and Samoan-American president; youngest president ever
Slogan: Lead with Love
BERNIE SANDERS
Age on Inauguration Day: 79
Entered race: Sources said on January 25, 2019, that he would form exploratory committee. Officially announced February 19
Career: Currently Vermont senator. Student civil rights and anti-Vietnam activist who moved to Vermont and worked as a carpenter and radical film-maker. Serial failed political candidate in the 1970s, he ran as a socialist for mayor of Burlington in 1980 and served two terms ending in 1989, and win a seat in Congress as an independent in 1990. Ran for Senate in 2006 elections as an independent with Democratic endorsement and won third term in 2018. Challenged Hillary Clinton for the Democratic nomination in 2016 but lost. Campaign has since been hit by allegations of sexual harassment – for which he has apologized – and criticized for its ‘Bernie bro’ culture
Family: Born to a Jewish immigrant father and the daughter of Jewish immigrant parents in Brooklyn, New York. First marriage to college sweetheart Deborah Shiling Messing in 1964 ended in divorce in 1966; had son Levi in 1969 with then girlfriend Susan Cambell Mott. Married Jone O’Meara in 1988 and considers her three children, all adults, his own. The couple have seven grandchildren. His older brother Larry is a former Green Party councilor in Oxfordshire, England.
Religion: Secular Jewish
Views on key issues: Openly socialist and standard bearer for the Democratic party’s left-turn. Wants federal $15 minimum wage; banks broken up; union membership encouraged; free college tuition; universal health care; re-distributive taxation; he opposed Iraq War and also U.S. leading the fight against ISIS and wants troops largely out of Afghanistan and the Middle East
Would make history as: Oldest person elected president; first Jewish president
Slogan: Not me. Us.
ELIZABETH WARREN
Age on Inauguration Day: 71
Entered race: Set up exploratory committee December 31, 2018
Career: Currently Massachusetts senator. Law lecturer and academic who became an expert on bankruptcy law and tenured Harvard professor. Ran for Senate and won in 2012, defeating sitting Republican Scott Brown, held it in 2018 60% to 36%. Was short-listed to be Hillary’s running mate and campaigned hard for her in 2016
Family: Twice-married mother of two and grandmother of three. First husband and father of her children was her high-school sweetheart. Second husband Bruce Mann is Harvard law professor. Daughter Amelia Tyagi and son Alex Warren have both been involved in her campaigns. Has controversially claimed Native American roots; DNA test suggested she is as little as 1,064th Native American
Religion: Raised Methodist, now described as Christian with no fixed church
Views on key issues: Was a registered Republican who voted for the party but registered as a Democrat in 1996. Pro: higher taxes on rich; banking regulation; Dream Act path to citizenship for ‘dreamers’; abortion and gay rights; campaign finance restrictions; and expansion of public provision of healthcare – although still to spell out exactly how that would happen. Against: U.S. presence in Afghanistan and Syria; liberalization of gambling
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“For most people a mask may actually risk catching the disease rather than preventing it” If you’re thinking about wearing a mask to protect yourself from the coronavirus, you may want to think again. One of the UK’s most senior health officials, Deputy Chief Medical Officer Dr Jenny Harries, has explained the best way of protecting yourself while going about your day to day routine. She’s also given detail answers to questions about the government’s plans to rely on the NHS if an epidemic happens. ► The UK is preparing for a potential epidemic – but will it be ready in time?:
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10 Things to Know About CORONAVIRUS COVID-19 + TOP 3 SOURCES to Follow—For
Family & Friends
These are the 10 things you MUST KNOW about CORONAVIRUS COVID-19 to keep your family safe. The video also explains why you should take this outbreak seriously and where to go for CREDIBLE INFORMATION to help you stay ahead of the news curve.
1) Coronavirus Covid-19 is not the flu, it’s not SARS, and it’s not MERS. It’s a completely new virus.
2) Coronavirus Covid-19 is 20x deadlier than the flu.
3) Although 81% of people experience mild symptoms, Coronavirus Covid-19 has a high complication rate.
4) If you contract the virus and you’re older, your chances of dying are higher. But young people in their 20’s and 30’s have died too, so don’t be complacent.
5) Coronavirus Covid-19 can have a very long incubation period, and it spreads asymptomatically.
6) Coronavirus Covid-19 spreads via droplets in the air and AEROSOL!
7) The R0 factor of this virus is incredibly high.
8) There have been reports out of Asia of people getting Covid-19 again, so recovering once does not guarantee immunity afterward.
9) In the United States, we are in the early part of the curve, where it looks like nothing much is happening.
10) Vaccines are not yet available and probably won’t be for 6-18 months, no matter what you read in the headlines.
World health officials say the mortality rate for COVID-19 is 3.4% globally, higher than previous estimates of about 2%.
“Globally, about 3.4% of reported COVID-19 cases have died,” WHO Director-General Tedros Adhanom Ghebreyesus said during a press briefing at the agency’s headquarters in Geneva.
World health officials said Tuesday the mortality rate for COVID-19 is 3.4% globally, higher than previous estimates of about 2%.
“Globally, about 3.4% of reported COVID-19 cases have died,” WHO Director-General Tedros Adhanom Ghebreyesus said during a press briefing at the agency’s headquarters in Geneva. In comparison, seasonal flu generally kills far fewer than 1% of those infected, he said.
The World Health Organization had said last week that the mortality rate of COVID-19 can differ, ranging from 0.7% to up to 4%, depending on the quality of the health-care system where it’s treated. Early in the outbreak, scientists had concluded the death rate was around 2.3%.
During a press briefing Monday, WHO officials said they don’t know how COVID-19 behaves, saying it’s not like influenza. They added that while much is known about the seasonal flu, such as how it’s transmitted and what treatments work to suppress the disease, that same information is still in question when it comes to the coronavirus.
“This is a unique virus, with unique features. This virus is not influenza,” Tedros said Monday. “We are in uncharted territory.”
Dr. Mike Ryan, executive director of WHO’s health emergencies program, said Monday that the coronavirus isn’t transmitting the same exact way as the flu and health officials have been given a “glimmer, a chink of light” that the virus could be contained.
“Here we have a disease for which we have no vaccine, no treatment, we don’t fully understand transmission, we don’t fully understand case mortality, but what we have been genuinely heartened by is that unlike influenza, where countries have fought back, where they’ve put in place strong measures, we’ve remarkably seen that the virus is suppressed,” Ryan said.
Epidemiologists and infectious disease experts have been at pains to emphasize against an unwarranted scramble for face masks in recent weeks.
South Korea, Italy and Iran have all recorded sharp upticks in cases of the coronavirus in recent days, with many other countries imposing travel restrictions on virus-hit areas worldwide.
Infections have now been reported in every continent except Antarctica.
This photo taken on February 28, 2020 shows workers producing face masks at a factory in Handan in China’s northern Hebei province.
STR | AFP via Getty Images
Medical experts have urged people to stop panic buying face masks, warning that such equipment is not an effective way to protect yourself from the fast-spreading coronavirus.
The outbreak was first identified in Hubei province, China, where over 90% of the deaths have been reported. More recently, the virus has been spreading at a faster rate outside China than inside the country.
WATCH NOW
VIDEO02:38
Face mask shortage sparks global race to fulfill orders
The WHO has declared the outbreak a global health emergency, with almost 60 countries reporting cases of the coronavirus.
Epidemiologists and infectious disease experts have been at pains to emphasize against an unwarranted scramble for face masks in recent weeks, particularly because such hoarding behavior elevates the prospect of an equipment shortage for medical workers.
“Seriously people — STOP BUYING MASKS!” U.S. Surgeon General Jerome Adams said via Twitter over the weekend.
“They are NOT effective in preventing general public from catching coronavirus, but if healthcare providers can’t get them to care for sick patients, it puts them and our communities at risk!”
U.S. Surgeon General
✔@Surgeon_General
Seriously people- STOP BUYING MASKS!
They are NOT effective in preventing general public from catching #Coronavirus, but if healthcare providers can’t get them to care for sick patients, it puts them and our communities at risk! http://bit.ly/37Ay6Cm
Coronavirus Disease 2019 (COVID-19)
Coronavirus disease 2019 (COVID-19) is a virus (more specifically, a coronavirus) identified as the cause of an outbreak of respiratory illness first detected in Wuhan, China.
The warning from America’s top doctor is consistent with medical advice from the U.S. Centers for Disease Control and Prevention, which has said there is no evidence to support wearing face masks.
Instead, Adams said “the best way to protect yourself and your community is with everyday preventative actions, like staying home when you are sick and washing hands with soap and water, to help slow the spread of the respiratory illness.”
‘Not a lot of evidence’ to support wearing face masks
It has been suggested wearing face masks could be useful if you’re sick in order to prevent you from sneezing or coughing into somebody’s face, David Heymann, who led WHO’s infectious disease unit at the time of the SARS epidemic in 2002-2003, said at a Chatham House press briefing last month.
But, “a mask that is used to stop getting an infection is sometimes not very effective because people take it off to eat, many times they are worn improperly (and) if they get wet and somebody sneezes on that mask it could pass through.
So, there is really not a lot of evidence (to support wearing masks).”
Children with face masks wash their hands before prayer at Erawan shrine, a popular spritual landmark in Bangkok on January 27, 2020.
MLADEN ANTONOV | AFP via Getty Images
“One of the most important ways of stopping respiratory outbreaks such as this is washing hands,” Heymann continued.
That’s because “if you touch a patient, if you shake hands, if you touch a door that has a droplet on it — which could theoretically happen — then you touch your face (or) your mouth and you become infected.”
“So, handwashing is the most important. And second is, people who are suspected as being patients, be very careful when you are dealing with them. Avoid face-to-face contact and wash hands when you’re treating,” Heymann said.
“It is very important that people understand that they can prevent themselves from being infected if they follow a few simple measures,” he added.
‘Don’t touch your face’
South Korea, Italy and Iran have all recorded sharp upticks in cases of the coronavirus in recent days, with many other countries imposing travel restrictions on virus-hit areas worldwide.
Infections have now been reported in every continent except Antarctica.
Emily Landon, medical director for infection control at the University of Chicago Medical Center, told CNBC late last week that face masks were “not a great choice” for everyday use.
“First of all, there are multiple different kind of face masks. There is the surgical mask that people wear that doesn’t really seal up very well. That’s super good if you put it on the patient who’s sick because that will contain their secretions and protect everyone around them.”
“However, if you are the one who wants to protect yourself, those N95 masks … are much better,” Landon said.
Face masks should be worn by people who show symptoms: University of Chicago Medical Director
“You need to be fit-tested in order to know exactly which size you should be wearing, you have to be trained on how to wear it properly and they can get pretty uncomfortable, so they are not a great choice for just going out in the public,” she continued.
“Keeping your hands clean so that you don’t touch your face no matter what things you are touching with your hands is a really important piece of preventing infection in hospitals, in schools and everywhere you go.”
“Soap and water works really well. It can dry your hands out a little bit more but when you do it, you want to do it right. That means getting your hands wet with warm water, cleaning them, getting all of the surfaces with soap for 20 seconds — that’s a full time through ‘Happy Birthday’ — and then also rinsing them off afterwards,” Landon said.
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Dow soars more than 1,100 points as market rallies off Biden win, UnitedHealth pops 10%
Stocks surged on Wednesday as major victories from former Vice President Joe Biden during Super Tuesday sparked a massive rally within the health-care sector.
The Dow Jones Industrial Average soared 1,173.45 points higher, or 4.5%, to 27,090.86. The S&P 500 jumped 4.2% to 3,130.12, while the Nasdaq Composite advanced 3.8% to 9,018.09. The Dow posted its second-highest point gain ever, and it was the second time in three days that the 30-stock average swung 1,000 points or higher.
With Wednesday’s rally, all three major averages moved out of correction territory, meaning they are now less than 10% down from their 52-week highs. The tech-heavy Nasdaq also turned positive on the year, up 0.5% in 2020.
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The top moments in business and politics – wrapped with exclusive color and context – right in your ears
Biden scored key primary victories in states including North Carolina, Texas and Arkansas, giving his campaign momentum and increasing his odds of being the Democratic Party’s presidential nominee. Many investors applaud Biden for his middle-of-the-road tack in contrast to the more progressive policies of Sanders, I-Vt., and Sen. Elizabeth Warren, D-Mass.
Tuesday’s primary results sent health-care stocks flying. The S&P health care sector surged 5.8%, posting its best day since 2008. UnitedHealth and Centene jumped 10.7% and 15.6%, respectively. Shares of UnitedHealth had their biggest one-day gain since 2008.
“Investors fear Bernie because he wants to cut off the head of capitalism by raising taxes significantly on the rich and using the funds to provide free everything to everybody else,” said Ed Yardeni, president and chief investment strategist at Yardeni Research, in a note. “Getting everything for free trumps freedom, according to Bernie. No wonder investors are reacting to him as though he is going to infect us all with the virus of socialism.”
Warren, a former law school professor who specialized in bankruptcy law, is not a favorite on Wall Street as she proposes detailed plans to break up big banks and technology companies and raise taxes.
“Stocks will be even more relieved at Warren’s coming concession as they are at Biden’s big showing,” Ritholtz Wealth Management CEO Josh Brown tweeted. “Wall Streeters have always secretly been more afraid of her than anyone else given her domain expertise.”
Wednesday’s moves come after yet another volatile session for U.S. investors as the Federal Reserve announced Tuesday an emergency interest rate cut in an effort to help pacify investors worried about the economic consequences of the coronavirus.
The decision to cut rates by half a percentage point came two weeks before the Fed’s next scheduled meeting and reflected the central bank’s belief that quick action would be most effective to combat the dampening impact of the virus.
Though stocks initially traded higher, the Dow, S&P 500 and Nasdaq Composite all reversed course to end Tuesday’s session markedly lower. The Dow fell more than 780 points, or 2.9%, and the S&P 500 dropped 2.8% with both indexes back in correction.
The Fed’s “Beige Book” report on Wednesday showed the U.S. economic activity expanded at a “modest to moderate” rate over the past week, citing coronavirus as a risk to the outlook.
“We’re trying to reprice the entire stock market based on an unknown, the coronavirus,” said JJ Kinahan, chief market strategist at TD Ameritrade. “When we have such a large unknown, it’s going to affect people in different ways.”
Impeachment couldn’t stop President Donald Trump’s job approval from rising, but the coronavirus might. As Americans’ near-term view of the economy soured in February, amid worry over the coronavirus and a Dow Jones correction, Trump’s job approval rating relapsed.
President Trump Job Approval
Just 41% of Americans approve of how President Trump is handling his job, while 54% disapprove, the March IBD/TIPP Poll finds. That negative 13-point differential has nearly doubled in the past month. In late January, Trump’s job approval registered 44% and disapproval 51%.
Now just 37% of independents give Trump positive reviews, while 57% disapprove. That’s down from 39%-53% in late January.
Trump Job Approval Slumps With Economic Outlook
The drop in Trump’s job approval coincides with a sudden shift in the economic outlook. The U.S. economic outlook just suffered its biggest one-month drop since October 2013 amid spread of the coronavirus, the March IBD/TIPP Poll finds.
The six-month economic outlook index fell to a modestly pessimistic 47.8 from a strongly optimistic 57. Readings above the neutral 50 level reflect optimism.
Trump continues to get positive ratings for his handling of the economy, with 47% approving and 35% disapproving. Still, that’s a big comedown from late January. Back then, 53% of Americans rated his handling of the U.S. economy as good or excellent, while just 28% give him a negative rating.
Trump Slips In Matchups Vs. Democrats
Joe Biden leads Trump 49% to 46%, the March IBD/TIPP Poll finds, after Trump had cut the margin to 49%-48% in late January.
Sanders now leads Trump 49% to 47%, having trailed 47%-49% a month earlier. Warren leads Trump 48% to 46%, a reversal of her 46%-50% deficit.
Still, a narrow popular vote edge would not necessarily translate into an Electoral College victory for Democrats.
Trump leads all Democrats among self-described investors, with a four-point lead over Biden. He leads Sanders by seven points.
The IBD/TIPP Poll reflects responses from 908 adults contacted via mobile phones and landlines from Feb. 20-29 and carries a 3.3-point margin of error.
Please follow Jed Graham on Twitter at @IBD_JGraham for coverage of economic policy and financial markets.
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President Donald Trump Sweeps Super Tuesday
The president picked up hundreds of delegates in an unsurprising victory in more than a dozen states.
By Alexa Lardieri, Staff WriterMarch 4, 2020, at 11:13 a.m.
AS DEMOCRATS BATTLED IT out in 14 states on Super Tuesday, President Donald Trump easily won the Republican primaries, defeating challengers in a much-expected outcome.
The president won all 14 states, picking up more than 740 delegates. Candidates need at least 1,276 delegates to win the Republican party’s nomination and Trump’s victory brings his count to 859. His opponent, former Massachusetts Gov. Bill Weld has picked up one delegate so far.
AS DEMOCRATS BATTLED IT out in 14 states on Super Tuesday, President Donald Trump easily won the Republican primaries, defeating challengers in a much-expected outcome.
The president won all 14 states, picking up more than 740 delegates. Candidates need at least 1,276 delegates to win the Republican party’s nomination and Trump’s victory brings his count to 859. His opponent, former Massachusetts Gov. Bill Weld has picked up one delegate so far.
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Dow plunges 10% from peak and enters correction after largest one-day point drop in HISTORY as coronavirus fears fuel the worst week on Wall Street since the Great Recession
US major stock indexes closed down more than 4% for the day on Thursday
Markets have now entered correction, or declines from peak of more than 10%
Dow dropped 1,190.95 points, the index’s largest one-day point drop in history
Follows report of first US community transmission of coronavirus in California
Netflix and other ‘stay at home’ companies saw shares rise, however
U.S. stock indexes plunged dramatically yet again on Thursday, as the rapid spread of the coronavirus outside China deepens investor worries about growth and corporate earnings.
The Dow Jones Industrial Average plummeted 1,190.95 points, or 4.42 percent, to 25,766.64, the largest one-day point drop in history. It comes during the quickest market plunge on a percentage basis since the financial crisis of October 2008.
The Dow, S&P 500 and Nasdaq all closed more than 10 percent below their recent highs. That means the market is officially in a correction, which is a normal phenomenon that analysts have said was long overdue. T
At their heart, stock prices rise and fall with the profits that companies expect to make — and Wall Street’s expectations for profit growth are sinking as more companies warn that the virus outbreak will hit their bottom lines.
Trader Peter Tuchman reacts at the opening bell on the New York Stock Exchange on Thursday as the Dow opens down another 500 points and the market enters correction territory
Adding to worries, the U.S. Centers for Disease Control and Prevention confirmed an infection in California in a person who reportedly did not have relevant travel history or exposure to another known patient.
‘In the recent week, markets have come to realize that the outbreak is much worse and are now realistically pricing in the impact of the virus on the economy,’ said Philip Marey, senior U.S. strategist at Rabobank.
‘In that sense it’s a bit of a catching up from the relative optimism that was there in the beginning when markets thought (the virus) will be contained to China with some minor outbreak outside.’
Rising fears of a pandemic, which U.S. health authorities have warned is likely, have erased about $1.84 trillion off the benchmark S&P 500 this week alone.
Industry analysts and economists continued to sound the alarm as they assessed the impact of the coronavirus, with Goldman Sachs saying U.S. companies will generate no earnings growth in 2020.
Apple and Microsoft, two of the world´s biggest companies, have already said their sales this quarter will feel the economic effects of the virus.
Microsoft’s stock lost 2.8 percent after it told investors that the virus will hurt revenue from its Windows licenses and its Surface devices.
A one-day view of the Dow Jones Industrial Average shows Thursday’s punishing losses
A five-day view of the Dow Jones Industrial Average shows the cumulative declines this week
Traders work during the opening bell at the New York Stock Exchange on Thursday. About five minutes into trading, the Dow Jones Industrial Average was down 1.8 percent
Budweiser maker AB InBev projects 10% hit to profits in first quarter due to decline in Chinese sales
The world’s largest brewer Anheuser-Busch InBev forecast a 10 percent decline in first-quarter profit on Thursday after the coronavirus outbreak hit beer sales during the Chinese New Year, sending its shares skidding.
The maker of Budweiser, Corona and Stella Artois said the virus had led to a significant decline in demand in China – both at bars and drinking at home, notably during the Chinese New Year.
AB InBev stock plunged on Thursday after the beer maker said that it expected profits to be down 10% for the first quarter due to slumping Chinese sales
The outbreak, along with an expected weaker Brazilian market, could lead to a 10 percent drop in first-quarter core profit (EBITDA) on-year, AB InBev said, adding that it expected 2020 core profit growth of between 2 percent and 5 percent, with most expansion occurring in the second half.
The Belgium-based company, which sells more Budweiser in China than in the lager’s key U.S. market, said the disease shaved up to $285 million off its revenue in China in the first two months of this year, 2.3 percent of its first-quarter group revenue last year.
American Airlines plunged 8.5 percent as airlines continue to feel pain from disrupted travel plans and suspended routes.
Delta Airlines, which is reducing flights to South Korea because of the outbreak in that nation, fell 4.5 percent.
Bank of America slashed its world growth forecast to the lowest level since the peak of the global financial crisis.
Financial warnings also came from Budweiser maker InBev and cloud-computing company Nutanix.
The virus has now infected more than 82,000 people globally and is worrying governments with its rapid spread beyond the epicenter of China.
The price of crude oil fell 4.7 percent. The price has been falling sharply as investors anticipate that demand for energy will wane as the economy slows.
Bond yields continued sliding as investors shifted money into lower-risk assets. The yield on the 10-year Treasury fell further into record low territory, to 1.28% from 1.31% late Wednesday. Gold prices edged higher.
Medical mask makers and ‘stay at home’ companies see shares rise as investors anticipate high demand
A number of companies that could see their business jump if coronavirus reaches epidemic levels in the U.S. saw their shares rise in mid-morning trading on Thursday.
Shares of 3M, which counts surgical masks among its many products, rose 1.5 percent.
Canadian company Alpha Pro Tech, which makes medical protective garments, saw shares skyrocket 57 percent on Thursday.
Chlorox, which makes the popular bleach brand that can be used to sterilize surfaces, was up 2.8 percent. 7
Traders work on the floor of the New York Stock Exchange in New York on Thursday
Netflix stock was up on Thursday, with investors betting that binge-watching at home could become more appealing than going out during an outbreak
Chlorox, which makes bleach that can be used to sterilize surfaces, was also up Thursday
Gilead Sciences jumped 6.4 percent, as the drugmaker said it had started two late-stage trials to test its experimental antiviral drug, remdesivir, in patients with cases of illness caused by coronavirus.
While travel stocks were punished, companies that focus on ‘stay at home’ products also saw shares rise, as investors anticipated that consumers will be more likely to avoid crowds and remain indoors.
Netflix was up 1.6 percent, with investors betting that binge-watching at home could become more appealing during an outbreak.
Teleconferencing company Teladoc, which offers remote medical consultations with doctors over the internet, surged 19.8 percent.
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Outbreak starts to look more like worldwide economic crisis
By ADAM GELLER, PAUL WISEMAN and CHRISTOPHER RUGABER11 minutes ago
The coronavirus outbreak began to look more like a worldwide economic crisis Friday as anxiety about the infection emptied shops and amusement parks, canceled events, cut trade and travel and dragged already slumping financial markets even lower.
More employers told their workers to stay home, and officials locked down neighborhoods and closed schools. The wide-ranging efforts to halt the spread of the illness threatened jobs, paychecks and profits.
“This is a case where in economic terms the cure is almost worse than the disease,″ said Jacob Kirkegaard, senior fellow at the Peterson Institute for International Economics. “When you quarantine cities … you lose economic activity that you’re not going to get back.′
The list of countries touched by the illness climbed to nearly 60 as Mexico, Belarus, Lithuania, New Zealand, Nigeria, Azerbaijan, Iceland and the Netherlands reported their first cases. More than 83,000 people worldwide have contracted the illness, with deaths topping 2,800.
China, where the outbreak began in December, has seen a slowdown in new infections and on Saturday morning reported 427 new cases over the past 24 hours along with 47 additional deaths. The city at the epicenter of the outbreak, Wuhan, accounted for the bulk of both.
New cases in mainland China have held steady at under 500 for past four days, with almost all of them in Wuhan and its surrounding Hubei province.
With the number of discharged patients now greatly exceeding those of new arrivals, Wuhan now has more than 5,000 spare beds in 16 temporary treatment centers, Ma Xiaowei, director of the National Health Commission, told a news conference in Wuhan on Friday.
South Korea, the second hardest hit country, on Saturday morning reported 571 new cases, the highest daily jump since confirming its first patient in late January. Emerging clusters in Italy and in Iran, which has had 34 deaths and 388 cases, have led to infections of people in other countries. France and Germany were also seeing increases, with dozens of infections.
The head of the World Health Organization on Friday announced that the risk of the virus spreading worldwide was “very high,” citing the “continued increase in the number of cases and the number of affected countries.”
U.N. Secretary-General Antonio Guterres urged all governments to “do everything possible to contain the disease.”
“We know containment is possible, but the window of opportunity is narrowing,” the U.N. chief told reporters in New York.
The economic ripples have already reached around the globe.
Stock markets around the world plunged again Friday. On Wall Street, the Dow Jones index took yet another hit, closing down nearly 360 points. The index has dropped more than 14% from a recent high, making this the market’s worst week since 2008, during the global financial crisis.
The effects were just as evident in the hush that settled in over places where throngs of people ordinarily work and play and buy and sell.
“There’s almost no one coming here,” said Kim Yun-ok, who sells doughnuts and seaweed rolls at Seoul’s Gwangjang Market, where crowds were thin as South Korea counted 571 new cases — more than in China, where the virus emerged. “I am just hoping that the outbreak will come under control soon.”
In Asia, Tokyo Disneyland and Universal Studios Japan announced they would close, and events that were expected to attract tens of thousands of people were called off, including a concert series by the K-pop group BTS. The state-run Export-Import Bank of Korea shut down its headquarters in Seoul after a worker tested positive for the virus, telling 800 others to work from home. Japanese officials prepared to shutter all schools until early April.
In Italy — which has reported 888 cases, the most of any country outside of Asia — hotel bookings are falling, and Premier Giuseppe Conte raised the specter of recession. Shopkeepers like Flavio Gastaldi, who has sold souvenirs in Venice for three decades, wondered if they could survive the blow.
“We will return the keys to the landlords soon,” he said.
The Swiss government banned events with more than 1,000 people, while at the Cologne Cathedral in Germany, basins of holy water were emptied for fear of spreading germs.
In a report published Friday in the New England Journal of Medicine, Chinese health officials said the death rate from the illness known as COVID-19 was 1.4%, based on 1,099 patients at more than 500 hospitals throughout China.
Assuming there are many more cases with no or very mild symptoms, the rate “may be considerably less than 1%,” U.S. health officials wrote in an editorial in the journal. That would make the virus more like a severe seasonal flu than a disease similar to its genetic cousins SARS, severe acute respiratory syndrome, or MERS, Middle East respiratory syndrome.
Given the ease of spread, however, the virus could gain footholds around the world and many could die.
“It’s not cholera or the black plague,” said Simone Venturini, the city councilor for economic development in Venice, Italy, where tourism already hurt by historic flooding last year has sunk with news of virus cases. “The damage that worries us even more is the damage to the economy.”
Europe’s economy is already teetering on the edge of recession. A measure of business sentiment in Germany fell sharply last week, suggesting that some companies could postpone investment and expansion plans. China is a huge export market for German manufacturers.
In the U.S., online retail giant Amazon said Friday that it has asked all of its 800,000 employees to postpone any non-essential travel, both within the country and internationally.
The chairman of the Federal Reserve, Jerome Powell, said that the U.S. economy remains strong and that policymakers would “use our tools” to support it if necessary.
Larry Kudlow, the top economic advisor to President Donald Trump, told reporters that the selloff in financial markets may be an overreaction to an epidemic with uncertain long-term effects.
“We don’t see any evidence of major supply chain disruptions. I’m not trying to say nothing’s happening. I think there will be impacts, but to be honest with you, at the moment, I don’t see much,” Kudlow said.
The pain was already taking hold in places like Bangkok, where merchants at the Platinum Fashion Mall staged a flash mob, shouting “Reduce the rent!” and holding signs that said “Tourists don’t come, shops suffer.”
Tourist arrivals in Thailand are down 50% compared with a year ago, according Capital Economics, a consulting firm.
Kanya Yontararak, a clothing store owner, said her sales have sunk as low as 1,000 baht ($32) some days, making it a struggle to pay back a loan for her lease. The situation is more severe than the floods and political crises her store has braved in the past.
“Coronavirus is the worst situation they have ever seen,” she said of her fellow merchants.
Economists have forecast global growth will slip to 2.4% this year, the slowest since the Great Recession in 2009, and down from earlier expectations closer to 3%. For the United States, estimates are falling to as low as 1.7% growth this year, down from 2.3% in 2019.
But if COVID-19 becomes a global pandemic, economists expect the impact could be much worse, with the U.S. and other global economies falling into recession.
“If we start to see more cases in the United States, if we start to see people not traveling domestically, if we start to see people stay home from work and from stores, then I think the hit is going to get substantially worse,” said Gus Faucher, an economist at PNC Financial.
After the WHO raised its alert level, the agency’s Emergencies Program Director Michael Ryan called the situation “a reality check for every government on the planet.” Friday. “Wake up, get ready. This virus may be on its way.”
Expansionary monetary policy constitutes a transfer of purchasing power away from those who hold old money to whoever gets new money. This is known as the Cantillon Effect, after 18th Century economist Richard Cantillon who first proposed it. In the immediate term, as more dollars are created, each one translates to a smaller slice of all goods and services produced.
How we measure this phenomenon and its size depends how we define money. This is illustrated below.
What is clear is that the dramatic expansion of the monetary base that we saw after 2008 is merely catching up with the more gradual growth of debt that took place in the 90s and 00s.
While it is my hunch that overblown credit bubbles are better liquidated than reflated (not least because the reflation of a corrupt and dysfunctional financial sector entails huge moral hazard), it is true the Fed’s efforts to inflate the money supply have so far prevented a default cascade. We should expect that such initiatives will continue, not least because Bernanke has a deep intellectual investment in reflationism.
This focus on reflationary money supply expansion was fully expected by those familiar with Ben Bernanke’s academic record. What I find more surprising, though, is the Fed’s focus on banks and financial institutions rather than the wider population.
It’s not just the banks that are struggling to deleverage. The overwhelming majority of nongovernment debt is held by households and nonfinancials:
The nonfinancial sectors need debt relief much, much more than the financial sector. Yet the Fed shoots off new money solely into the financial system, to Wall Street and the TBTF banks. It is the financial institutions that have gained the most from these transfers of purchasing power, building up huge hoards of excess reserves:
There is a way to counteract the Cantillon Effect, and expand the money supply without transferring purchasing power to the financial sector (or any other sector). This is to directly distribute the new money uniformly to individuals for the purpose of debt relief; those with debt have to use the new money to pay it down (thus reducing the debt load), those without debt are free to invest it or spend it as they like.
While we delever, investment by American corporations will be timid, and economic growth will be faltering at best. The stimulus imparted by government deficits will attenuate the downturn — and the much larger scale of government spending now than in the 1930s explains why this far greater deleveraging process has not led to as severe a Depression — but deficits alone will not be enough. If America is to avoid two “lost decades”, the level of private debt has to be reduced by deliberate cancellation, as well as by the slow processes of deleveraging and bankruptcy.
In ancient times, this was done by a Jubilee, but the securitization of debt since the 1980s has complicated this enormously. Whereas only the moneylenders lost under an ancient Jubilee, debt cancellation today would bankrupt many pension funds, municipalities and the like who purchased securitized debt instruments from banks. I have therefore proposed that a “Modern Debt Jubilee” should take the form of “Quantitative Easing for the Public”: monetary injections by the Federal Reserve not into the reserve accounts of banks, but into the bank accounts of the public — but on condition that its first function must be to pay debts down. This would reduce debt directly, but not advantage debtors over savers, and would reduce the profitability of the financial sector while not affecting its solvency.
Without a policy of this nature, America is destined to spend up to two decades learning the truth of Michael Hudson’s simple aphorism that “Debts that can’t be repaid, won’t be repaid”.
Richard Cantillon (French: [kɑ̃tijɔ̃]; 1680s – May 1734) was an Irish-French economist and author of Essai sur la Nature du Commerce en Général (Essay on the Nature of Trade in General), a book considered by William Stanley Jevons to be the “cradle of political economy“.[4] Although little information exists on Cantillon’s life, it is known that he became a successful banker and merchant at an early age. His success was largely derived from the political and business connections he made through his family and through an early employer, James Brydges. During the late 1710s and early 1720s, Cantillon speculated in, and later helped fund, John Law‘s Mississippi Company, from which he acquired great wealth. However, his success came at a cost to his debtors, who pursued him with lawsuits, criminal charges, and even murder plots until his death in 1734.
Essai remains Cantillon’s only surviving contribution to economics. It was written around 1730 and circulated widely in manuscript form, but was not published until 1755. His work was translated into Spanish by Gaspar Melchor de Jovellanos, probably in the late 1770s, and considered essential reading for political economy. Despite having much influence on the early development of the physiocrat and classical schools of thought, Essai was largely forgotten until its rediscovery by Jevons in the late 19th century.[5] Cantillon was influenced by his experiences as a banker, and especially by the speculative bubble of John Law’s Mississippi Company. He was also heavily influenced by prior economists, especially William Petty.
Essai is considered the first complete treatise on economics, with numerous contributions to the science. These contributions include: his cause and effect methodology, monetary theories, his conception of the entrepreneur as a risk-bearer, and the development of spatial economics. Cantillon’s Essai had significant influence on the early development of political economy, including the works of Adam Smith, Anne Turgot, Jean-Baptiste Say, Frédéric Bastiat and François Quesnay.[6]
Biography
While details regarding Richard Cantillon’s life are scarce,[7] it is thought that he was born sometime during the 1680s in County Kerry, Ireland.[1][6] He was son to land-owner Richard Cantillon of Ballyheigue.[8] Sometime in the middle of the first decade of the 18th century Cantillon moved to France, where he attained French citizenship.[9] By 1711, Cantillon found himself in the employment of British Paymaster GeneralJames Brydges, in Spain, where he organised payments to British prisoners of war during the War of Spanish Succession.[10] Cantillon remained in Spain until 1714, cultivating a number of business and political connections, before returning to Paris.[11] Cantillon then became involved in the banking industry working for a cousin, who at that time was lead-correspondent of the Parisian branch of a family bank.[12] Two years later, thanks in large part to financial backing by James Brydges, Cantillon bought his cousin out and attained ownership of the bank.[13] Given the financial and political connections Cantillon was able to attain both through his family[14] and through James Brydges, Cantillon proved a fairly successful banker, specialising in money transfers between Paris and London.[15]
At this time, Cantillon became involved with British mercantilistJohn Law through the Mississippi Company.[16] Based on the monetary theory proposed by William Potter in his 1650 tract The Key of Wealth,[17] John Law posited that increases in the money supply would lead to the employment of unused land and labour, leading to higher productivity.[18] In 1716, the French government granted him both permission to found the Banque Générale and virtual monopoly over the right to develop French territories in North America, named the Mississippi Company. In return, Law promised the French government to finance its debt at low rates of interest.[19] Law began a financial speculative bubble by selling shares of the Mississippi Company, using the Banque Générale’s virtual monopoly on the issue of bank notes to finance his investors.[20]
Richard Cantillon amassed a great fortune from his speculation, buying Mississippi Company shares early and selling them at inflated prices.[21] Cantillon’s financial success and growing influence caused friction in his relationship with John Law, and sometime thereafter Law threatened to imprison Cantillon if the latter did not leave France within twenty-four hours.[22] Cantillon replied: “I shall not go away; but I will make your system succeed.”[22] To that end, in 1718 Law, Cantillon, and wealthy speculator Joseph Gage formed a private company centred on financing further speculation in North American real estate.[23]
In 1719, Cantillon left Paris for Amsterdam, returning briefly in early 1720. Lending in Paris, Cantillon had outlying debt repaid to him in London and Amsterdam.[24] With the collapse of the “Mississippi bubble”, Cantillon was able to collect on debt accruing high rates of interest.[25] Most of his debtors had suffered financial damage in the bubble collapse and blamed Cantillon—until his death, Cantillon was involved in countless lawsuits filed by his debtors, leading to a number of murder plots and criminal accusations.[26]
On 16 February 1722, Cantillon married Mary Mahony, daughter of Count Daniel O’Mahony [fr]—a wealthy merchant and former Irish general—spending much of the remainder of the 1720s travelling throughout Europe with his wife.[27] Cantillon and Mary had two children, a son who died at an early age and a daughter, Henrietta,[28] wife successively of the 3rd Earl of Stafford and the 1st Earl of Farnham. Although he frequently returned to Paris between 1729 and 1733, his permanent residence was in London.[29] In May 1734, his residence in London was burned to the ground, and it is generally assumed that Cantillon died in the fire.[2] While the fire’s causes are unclear, the most widely accepted theory is that Cantillon was murdered.[30] One of Cantillon’s biographers, Antoine Murphy, has advanced the alternative theory that Cantillon staged his own death to escape the harassment of his debtors, appearing in Suriname under the name Chevalier de Louvigny.[31]
Contributions to economics
Although there is evidence that Richard Cantillon wrote a wide variety of manuscripts, only his Essai Sur La Nature Du Commerce En Général (abbreviated Essai) survives.[6][32] Written in 1730,[33] it was published in French in 1755,[34] and was translated into English by Henry Higgs in 1932.[35] Evidence suggests that Essaihad tremendous influence on the early development of economic science. However, Cantillon’s treatise was largely neglected during the 19th century.[5] In the late 19th century and it was “rediscovered” by William Stanley Jevons, who considered it the “cradle of political economy”.[4] Since then, Cantillon’s Essai has received growing attention. Essai is considered the first complete treatise on economic theory,[36] and Cantillon has been called the “father of enterprise economics”.[6][37]
William Petty is considered to be one of Richard Cantillon’s greatest influences.[38]
One of the greatest influences on Cantillon’s writing was English economist William Petty and his 1662 tract Treatise on Taxes.[39] Although Petty provided much of the groundwork for Cantillon’s Essai,[38] Anthony Brewer argues that Petty’s influence has been overstated.[40] Apart from Petty, other possible influences on Cantillon include John Locke,[41]Cicero, Livy, Pliny the Elder, Pliny the Younger, Charles Davenant, Edmond Halley, Isaac Newton, Sébastien Le Prestre de Vauban, and Jean Boisard.[3] Cantillon’s involvement in John Law’s speculative bubble proved invaluable and likely heavily influenced his insight on the relationship between increases in the supply of money, price, and production.[42]
Methodology
Cantillon’s Essai is written using a distinctive causal methodology, separating Cantillon from his mercantilist predecessors.[6][43]Essai is peppered with the word “natural”, which in the case of Cantillon’s treatise is meant to imply a cause and effect relationship between economic actions and phenomena.[44] Economist Murray Rothbard credits Cantillon with being one of the first theorists to isolate economic phenomena with simple models, where otherwise uncontrollable variables can be fixed.[45] Cantillon made frequent use of the concept of ceteris paribus throughout Essai in an attempt to neutralise independent variables.[46] Furthermore, he is credited with employing a methodology similar to Carl Menger‘s methodological individualism,[47] by deducing complex phenomena from simple observations.[48]
A cause and effect methodology led to a relatively value-free approach to economic science, in which Cantillon was uninterested in the merit of any particular economic action or phenomenon, focusing rather on the explanation of relationships.[49] This led Cantillon to separate economic science from politics and ethics to a greater degree than previous mercantilist writers.[45] This has led to disputes on whether Cantillon can justly be considered a mercantilist or one of the first anti-mercantilists,[50] given that Cantillon often cited government-manipulated trade surpluses and specie accumulation as positive economic stimuli.[51] Others argue that in instances where Cantillon is thought to have supported certain mercantilist policies, he actually provided a more neutral analysis by explicitly stating possible limitations of mercantilist policies.[52]
Monetary theory
Differences between prior mercantilists and Cantillon arise early in Essai, regarding the origins of wealth and price formation on the market.[53] Cantillon distinguishes between wealth and money, considering wealth in itself “nothing but the food, conveniences, and pleasures of life.”[54] While Cantillon advocated an “intrinsic” theory of value, based on the input of land and labour (cost of production),[55] he is considered to have touched upon a subjective theory of value.[56] Cantillon held that market prices are not immediately decided by intrinsic value, but are derived from supply and demand.[57] He considered market prices to be derived by comparing supply, the quantity of a particular good in a particular market, to demand, the quantity of money brought to be exchanged.[58] Believing market prices to tend towards the intrinsic value of a good, Cantillon may have also originated the uniformity-of-profit principle—changes in the market price of a good may lead to changes in supply, reflecting a rise or fall in profit.[59]
Rendition of Cantillon’s primitive circular flow model[60]
In Essai, Cantillon provided an advanced version of John Locke’s quantity theory of money, focusing on relative inflation and the velocity of money.[61] Cantillon suggested that inflation occurs gradually and that the new supply of money has a localised effect on inflation, effectively originating the concept of non-neutral money.[62] Furthermore, he posited that the original recipients of new money enjoy higher standards of living at the expense of later recipients.[63] The concept of relative inflation, or a disproportionate rise in prices among different goods in an economy, is now known as the Cantillon Effect.[64] Cantillon also considered changes in the velocity of money (quantity of exchanges made within a specific amount of time) influential on prices, although not to the same degree as changes in the quantity of money.[65] While he believed that the money supply consisted only of specie, he conceded that increases in money substitutes—or bank notes—could affect prices by effectively increasing the velocity of circulating of deposited specie.[66] Apart from distinguishing money from money substitute, he also distinguished between bank notes offered as receipts for specie deposits and bank notes circulating beyond the quantity of specie—or fiduciary media—suggesting that the volume of fiduciary media is strictly limited by people’s confidence in its redeemability.[67] He considered fiduciary media a useful tool to abate the downward pressure that hoarding of specie has on the velocity of money.[68]
Addressing the mercantilist belief that monetary intervention could cause a perpetually favourable balance of trade, Cantillon developed a specie-flow mechanism foreshadowing future international monetary equilibrium theories.[69] He suggested that in countries with a high quantity of money in circulation, prices will increase and therefore become less competitive in relation to countries where there is a relative scarcity of money.[70] Thus, Cantillon also held that increases in the supply of money, regardless of the source, cause increases in the price level and therefore reduce the competitiveness of a particular nation’s industry in relation to a nation with lower prices.[71] However, Cantillon did not believe that international markets tended toward equilibrium, and instead suggested that government hoard specie to avoid rising prices and falling competitiveness.[69] Furthermore, he suggested that a favourable balance of trade can be maintained by offering a better product and retaining qualitative competitiveness.[72] Cantillon’s preference towards a favourable balance of trade possibly stemmed from the mercantilist belief in exchange being a zero-sum game, in which one party gains at the expense of another.[73]
A relatively advanced theory of interest is also presented.[74] Cantillon believed that interest originates from the need of borrowers for capital and from the fear of loss of the lenders, meaning that borrowers have to recompense lenders for the risk of the possible insolvency of the debtor.[75] In turn, interest is paid out of earned profits originating from the return on invested capital.[76] While previously it was believed that the rate of interest varied inversely to the quantity of money, Cantillon posited that the rate of interest was determined by the supply and demand on the loanable funds market[77]—an insight usually attributed to Scottish philosopher David Hume.[78] As such, while saved money impacts the rate of interest, new money that is instead used for consumption does not; Cantillon’s theory of interest is therefore similar to John Maynard Keynes‘s liquidity preference theory.[79]
Traditionally, it is Jean-Baptiste Say who is credited for coining the word and advancing the concept of the entrepreneur, but in fact it was Cantillon who first introduced the term in Essai.[6][80] Cantillon divided society into two principal classes—fixed income wage-earners and non-fixed income earners.[81] Entrepreneurs, according to Cantillon, are non-fixed income earners who pay known costs of production but earn uncertain incomes,[82] due to the speculative nature of pandering to an unknown demand for their product.[83] Cantillon, while providing the foundations, did not develop a dedicated theory of uncertainty—the topic was not revisited until the 20th century, by Ludwig von Mises, Frank Knight, and John Maynard Keynes, among others.[84] Furthermore, unlike later theories of entrepreneurship which saw the entrepreneur as a disruptive force, Cantillon anticipated the belief that the entrepreneur brought equilibrium to a market by correctly predicting consumer preferences.[85]
Spatial economics deal with distance and area, and how these may affect a market through transportation costs and geographical limitations. The development of spatial economics is usually ascribed to German economist Johann Heinrich von Thünen; however, Cantillon addressed spatial economics nearly a century earlier.[86] Cantillon integrated his advancements in spatial economic theory into his microeconomic analysis of the market, describing how transportation costs influence the location of factories, markets and population centres—that is, individuals strive to lower transportation costs.[87] Conclusions on spatial economics were derived from three premises: cost of raw materials of equal quality will always be higher near the capital city, due to transportation costs; transportation costs vary on transportation type (for example, water transportation was considered cheaper than land-based transportation); and larger goods that are more difficult to transport will always be cheaper closer to their area of production.[88] For example, Cantillon believed markets were designed as they were to decrease costs to both merchants and villagers in terms of time and transportation.[89] Similarly, Cantillon posited that the locations of cities were the result in large part of the wealth of inhabiting property owners and their ability to afford transportation costs—wealthier property owners tended to live farther from their property, because they could afford the transportation costs.[90] In Essai, spatial economic theory was used to derive why markets occupied the geographical area they did and why costs varied across different markets.[91]
Cover of the Ludwig von Mises Institute’s edition of Cantillon’s Essai
Apart from originating theories on the entrepreneur and spatial economics, Cantillon also provided a dedicated theory on population growth. Unlike William Petty, who believed there always existed a considerable amount of unused land and economic opportunity to support economic growth, Cantillon theorised that population grows only as long as there are economic opportunities present.[92] Specifically, Cantillon cited three determining variables for population size: natural resources, technology, and culture.[93] Therefore, populations grow only as far as the three aforementioned variables allowed.[94] Furthermore, Cantillon’s population theory was more modern than that of Malthus in the sense that Cantillon recognised a much broader category of factors which affect population growth, including the tendency for population growth to fall to zero as a society becomes more industrialised.[95]
Influence
While Essai was not published until 1755 as a result of heavy censorship in France, it did widely circulate in the form of an unpublished manuscript between its completion and its publication.[96] It notably influenced many direct forerunners of the classical school of thought, including Turgot and other physiocrats.[97] Cantillon was a major influence on physiocrat François Quesnay, who may have learned of Cantillon’s work through Marquis of Mirabeau.[98] While it is evident that Essai influenced Quesnay, to what degree remains controversial. There is evidence that Quesnay did not fully understand, or was not completely aware of, Cantillon’s theories.[99] Many of Quesnay’s economic beliefs were elucidated previously in Essai,[100] but Quesnay did reject a number of Cantillon’s premises, including the scarcity of land and Cantillon’s population theory.[101] Also, Quesnay recognised the scarcity of capital and capital accumulation as a prerequisite for investment.[99] Nevertheless, Cantillon was considered the “father of physiocracy” by Henry Higgs, due to his influence on Quesnay.[102] It is also possible that Cantillon influenced Scottish economist James Steuart, both directly and indirectly.[103]
Cantillon is one of the few economists cited by Adam Smith, who directly borrows Cantillon’s subsistence theory of wages.[6][104] Large sections of Smith’s economic theory were possibly directly influenced by Cantillon, although in many respects Adam Smith advanced well beyond the scope of Cantillon.[105] Some economic historians have argued that Adam Smith provided little of value from his own intellect, notably Schumpeter[6][106] and Rothbard.[107] In any case, through his influence on Adam Smith and the physiocrats, Cantillon was quite possibly the pre-classical economist who contributed most to the ideas of the classical school.[108] Illustrative of this was Cantillon’s influence on Jean-Baptiste Say, which is noticeable in the methodology employed in the latter’s Treatise on Political Economy.[6][109]
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HOW DOES COVID-19 AFFECT THE BODY?
Coronaviruses (CoV) are a family of viruses that cause sicknesses like the common cold, as well as more severe diseases, such as Middle East Respiratory Syndrome and Severe Acute Respiratory Syndrome. A novel coronavirus (nCoV) is a new strain – one that hasn’t previously been recognized in humans. Coronaviruses cause diseases in mammals and birds. A zoonotic virus is one that is transmitted between animals and people. When a virus circulating in animal populations infects people, this is termed a “spillover event”.
How does CoVID-19 affect the body? The virus is fitted with protein spikes sticking out of the envelope that forms the surface and houses a core of genetic material. Any virus that enters your body looks for cells with compatible receptors – ones that allow it to invade the cell. Once they find the right cell, they enter and use the cell’s replication machinery to create copies of themselves. It is likely that COVID-19 uses the same receptor as SARS – found in both lungs and small intestines. It is thought that CoVID-19 shares many similarities with SARS, which has three phases of attack: viral replication, hyper-reactivity of the immune system, and finally pulmonary destruction.
Early on in infection, the coronavirus invades two types of cells in the lungs – mucus and cilia cells.
Mucus keeps your lungs from drying out and protects them from pathogens. Cilia beat the mucus towards the exterior of your body, clearing debris – including viruses! – out of your lungs. Cilia cells were the preferred hosts of SARS-CoV, and are likely the preferred hosts of the new coronavirus. When these cells die, they slough off into your airways, filling them with debris and fluid. Symptoms include a fever, cough, and breathing difficulties.
Many of those infected get pneumonia in both their lungs. Enter the immune system. Immune cells recognize the virus and flood into the lungs. The lung tissue becomes inflamed. During normal immune function, the inflammatory process is highly regulated and is confined to infected areas.
However, sometimes the immune system overreacts, and this results in damage to healthy tissue. More cells die and slough off into the lungs, further clogging them and worsening the pneumonia. As damage to the lungs increases, stage three begins, potentially resulting in respiratory failure. Patients that reach this stage of infection can incur permanent lung damage or even die. We see the same lesions in the lungs of those infected by the novel coronavirus as those with SARS. SARS creates holes in the lungs, so they look honeycomb-like. This is probably due to the aforementioned over-reactive immune response, which affects tissue both infected and healthy and creates scars that stiffen the lungs. As such, some patients may require ventilators to aid breathing.
The inflammation also results in more permeable alveoli. This is the location of the thin interface of gas exchange, where your lungs replace carbon dioxide in your blood with fresh oxygen you just inhaled. Increased permeability causes fluid to leak into the lungs. This decreases the lungs’ ability to oxygenate blood, and in severe cases, floods them so that you become unable to breathe. Sometimes, this can be fatal. The immune system’s over-reaction can also cause another kind of damage.
Proteins called cytokines are the immune system’s alarm system, recruiting immune cells to the infection site. Over-production of cytokines can result in a cytokine storm, where there is large-scale inflammation in the body. Blood vessels become more permeable and fluid seeps out. This makes it difficult for blood and oxygen to reach the rest of the body and can result in multi-organ failure. This has happened in the most severe cases of CoVid-19.
Although there are no specific treatments for coronaviruses, symptoms can be treated through supportive care. Also, vaccines are currently in development. What can you do to protect yourself from CoVid-19? Basic protocol comes down to regular hand washing, avoiding close contact with anyone coughing or sneezing, avoiding unnecessary contact with animals, washing hands after contact with animals, thoroughly cooking meat and eggs prior to consumption, and covering your mouth and nose while coughing or sneezing. Respiratory viruses are typically transmitted via droplets in sneezes or coughs of those infected, so preventing their travel stops the spread of disease.
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Coronavirus (COVID-19) Supply Chain Update
For Immediate Release:Statement From:
Commissioner of Food and Drugs – Food and Drug Administration
Stephen M. Hahn M.D.
As I have previously communicated, the FDA has been closely monitoring the supply chain with the expectation that the COVID-19 outbreak would likely impact the medical product supply chain, including potential disruptions to supply or shortages of critical medical products in the U.S.
A manufacturer has alerted us to a shortage of a human drug that was recently added to the drug shortages list. The manufacturer just notified us that this shortage is related to a site affected by coronavirus. The shortage is due to an issue with manufacturing of an active pharmaceutical ingredient used in the drug. It is important to note that there are other alternatives that can be used by patients. We are working with the manufacturer as well as other manufacturers to mitigate the shortage. We will do everything possible to mitigate the shortage.
Additional Information on Human Drugs
Since January 24, the FDA has been in touch with more than 180 manufacturers of human drugs, not only to remind them of applicable legal requirements for notifying the FDA of any anticipated supply disruptions, but also asking them to evaluate their entire supply chain, including active pharmaceutical ingredients (the main ingredient in the drug and part that produces the intended effects, e.g., acetaminophen) and other components manufactured in China.
Also, as part of our efforts, the FDA has identified about 20 other drugs, which solely source their active pharmaceutical ingredients or finished drug products from China. We have been in contact with those firms to assess whether they face any drug shortage risks due to the outbreak. None of these firms have reported any shortage to date. Also, these drugs are considered non-critical drugs.
We will remain in contact with manufacturers so that we can continue to assist them with any potential issues in the fastest way.
Medical Devices
We are aware of 63 manufacturers which represent 72 facilities in China that produce essential medical devices; we have contacted all of them. Essential devices are those that may be prone to potential shortage if there is a supply disruption. We are aware that several of these facilities in China are adversely affected by COVID-19, citing workforce challenges, including the necessary quarantine of workers. While the FDA continues to assess whether manufacturing disruptions will affect overall market availability of these products, there are currently no reported shortages for these types of medical devices within the U.S. market.
Regarding personal protective equipment—surgical gowns, gloves, masks, respirator protective devices, or other medical equipment designed to protect the wearer from injury or the spread of infection or illness—the FDA has heard reports of increased market demand and supply challenges for some of these products. However, the FDA is currently not aware of specific widespread shortages of medical devices, but we are aware of reports from CDC and other U.S. partners of increased ordering of a range of human medical products through distributors as some healthcare facilities in the U.S. are preparing for potential needs if the outbreak becomes severe.
It is important to note that no law exists requiring medical device manufacturers to notify the FDA when they become aware of a circumstance, including discontinuation of a product, that could lead to a potential shortage, and manufacturers are not required to respond when the FDA requests information about potential supply chain disruption. As with prior emergencies, the FDA has taken proactive steps to establish and remain in contact with medical device manufacturers and others in the supply chain, including hospitals and group purchasing organizations. The agency also encourages manufacturers and healthcare facilities to report any supply disruptions to the device shortages mailbox, deviceshortages@fda.hhs.gov. This mailbox is closely monitored and has proven to be a valuable surveillance resource to augment FDA efforts to detect and mitigate potential supply chain disruption.
Biologics and Blood Supply
The FDA is not aware of any cellular or gene therapies that are made in China for the U.S. market. There are no shortages of biologics to report at this time.
The potential for transmission of COVID-19 by blood and blood components is unknown at this time; however, respiratory viruses, in general, are not known to be transmitted by blood transfusion. Further, there have been no reported cases of transfusion-transmitted COVID-19.
The FDA has made information available to blood establishments and to establishments that manufacture human cells, tissues, or cellular or tissue-based products that may wish to consider additional donor screening measures in response to the COVID-19 outbreak.
Food
We are not aware of any reports at this time of human illnesses that suggest COVID-19 can be transmitted by food or food packaging. However, it is always important to follow good hygiene practices (i.e., wash hands and surfaces often, separate raw meat from other foods, cook to the right temperature, and refrigerate foods promptly) when handling or preparing foods.
Animal Drugs
There are 32 animal drug firms that make finished drugs or source active pharmaceutical ingredients in China for the U.S. The FDA has contacted all 32 firms and no shortages have been reported at this time. However, six of those firms have indicated that they are seeing disruptions in the supply chain that soon could lead to shortages. The FDA is working with these firms to help identify interventions to mitigate potential shortages.
Additional Resources
The FDA is using all our existing authorities to address COVID-19, and we welcome the opportunity to work with Congress to further strengthen our response capabilities and emergency preparedness. There are four specific proposals included in the President’s budget that would better equip the FDA to prevent or mitigate medical product shortages.
Lengthen Expiration Dates to Mitigate Critical Human Drug Shortages: Shortages of certain critical drugs can be exacerbated when drugs must be discarded because they exceed a labeled shelf-life due to unnecessarily short expiration dates. By expanding the FDA’s authority to require, when likely to help prevent or mitigate a shortage, that an applicant evaluate, submit studies to the FDA, and label a product with the longest possible expiration date that the FDA agrees is scientifically justified, there could be more supply available to alleviate the drug shortage or the severity of a shortage.
Improve Critical Infrastructure by Requiring Risk Management Plans: Enabling the FDA to require application holders of certain drugs to conduct periodic risk assessments to identify the vulnerabilities in their manufacturing supply chain (inclusive of contract manufacturing facilities), and develop plans to mitigate the risks associated with the identified vulnerabilities would enable the FDA to strengthen the supply chain by integrating contingencies for emergency situations. Currently, many medical product manufacturers lack plans to assess and address vulnerabilities in their manufacturing supply chain, putting them, and American patients, at risk for drug supply disruptions following disasters (e.g., hurricanes) or in other circumstances.
Improve Critical Infrastructure through Improved Data Sharing and Require More Accurate Supply Chain Information: Empowering the FDA to require information to assess critical infrastructure, as well as manufacturing quality and capacity, would facilitate more accurate and timely supply chain monitoring and improve our ability to recognize shortage signals.
Establish Reporting Requirements for Device Manufacturers: The FDA does not have the same authorities for medical device shortages as it does for drugs and biological products. For instance, medical device manufacturers are not required to notify the FDA when they become aware of a circumstance that could lead to a device shortage or meaningful disruption in the supply of that device in the U.S., nor are they required to respond to inquiries from the FDA about the availability of devices. Enabling the FDA to have timely and accurate information about likely or confirmed national shortages of essential devices would allow the agency to take steps to promote the continued availability of devices of public health importance. Among other things, the FDA proposes to require that firms notify the agency of an anticipated meaningful interruption in the supply of an essential device; require all manufacturers of devices determined to be essential to periodically provide the FDA with information about the manufacturing capacity of the essential devices they manufacture; and authorize the temporary importation of devices where the benefits of the device in mitigating a shortage outweigh the risks presented by the device that could otherwise result in denial of importation of the device into the U.S.
Overall, this remains an evolving and very dynamic issue. We are committed to continuing to communicate with the public as we have further updates.
We also continue to aggressively monitor the market for any firms marketing products with fraudulent COVID-19 diagnosis, prevention or treatment claims. The FDA can and will use every authority at our disposal to protect consumers from bad actors who take advantage of a crisis to deceive the public, including pursuing warning letters, seizures or injunctions against products on the market that are not in compliance with the law, or against firms or individuals who violate the law.
We know the public may have questions or concerns for the FDA as a result of this outbreak, including you and your family’s risk of exposure, or whether your critical medical products are safe and will continue to be available in the future. The FDA is working around the clock to monitor and mitigate emerging coronavirus issues through collaborative efforts with federal partners, international regulators and medical product developers and manufacturers to help advance response efforts to combat the COVID-19 outbreak.
The FDA, an agency within the U.S. Department of Health and Human Services, protects the public health by assuring the safety, effectiveness, and security of human and veterinary drugs, vaccines and other biological products for human use, and medical devices. The agency also is responsible for the safety and security of our nation’s food supply, cosmetics, dietary supplements, products that give off electronic radiation, and for regulating tobacco products.
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An outbreak of coronavirus disease 2019 (COVID-19) has spread throughout China and to 31 other countries and territories, including the United States.
What is added by this report?
Fourteen cases have been diagnosed in the United States, in addition to 39 cases among repatriated persons from high-risk settings, for a current total of 53 cases within the United States. The U.S. government and public health partners are implementing aggressive measures to slow and contain transmission of COVID-19 in the United States.
What are the implications for public health practice?
Interim guidance is available at https://www.cdc.gov/coronavirus/index.html. As more is learned about this virus and the outbreak, CDC will rapidly incorporate new knowledge into guidance for action.
An outbreak of coronavirus disease 2019 (COVID-19) caused by the 2019 novel coronavirus (SARS-CoV-2) began in Wuhan, Hubei Province, China in December 2019, and has spread throughout China and to 31 other countries and territories, including the United States (1). As of February 23, 2020, there were 76,936 reported cases in mainland China and 1,875 cases in locations outside mainland China (1). There have been 2,462 associated deaths worldwide; no deaths have been reported in the United States. Fourteen cases have been diagnosed in the United States, and an additional 39 cases have occurred among repatriated persons from high-risk settings, for a current total of 53 cases within the United States. This report summarizes the aggressive measures (2,3) that CDC, state and local health departments, multiple other federal agencies, and other partners are implementing to slow and try to contain transmission of COVID-19 in the United States. These measures require the identification of cases and contacts of persons with COVID-19 in the United States and the recommended assessment, monitoring, and care of travelers arriving from areas with substantial COVID-19 transmission. Although these measures might not prevent widespread transmission of the virus in the United States, they are being implemented to 1) slow the spread of illness; 2) provide time to better prepare state and local health departments, health care systems, businesses, educational organizations, and the general public in the event that widespread transmission occurs; and 3) better characterize COVID-19 to guide public health recommendations and the development and deployment of medical countermeasures, including diagnostics, therapeutics, and vaccines. U.S. public health authorities are monitoring the situation closely, and CDC is coordinating efforts with the World Health Organization (WHO) and other global partners. Interim guidance is available at https://www.cdc.gov/coronavirus/index.html. As more is learned about this novel virus and this outbreak, CDC will rapidly incorporate new knowledge into guidance for action by CDC, state and local health departments, health care providers, and communities.
Person-to-person spread of COVID-19 appears to occur mainly by respiratory transmission. How easily the virus is transmitted between persons is currently unclear. Signs and symptoms of COVID-19 include fever, cough, and shortness of breath (4). Based on the incubation period of illness for Middle East respiratory syndrome (MERS) and severe acute respiratory syndrome (SARS) coronaviruses, as well as observational data from reports of travel-related COVID-19, CDC estimates that symptoms of COVID-19 occur within 2–14 days after exposure. Preliminary data suggest that older adults and persons with underlying health conditions or compromised immune systems might be at greater risk for severe illness from this virus (5).
As of February 23, 14 COVID-19 cases had been diagnosed in the following six states: Arizona (one case), California (eight), Illinois (two), Massachusetts (one), Washington (one), and Wisconsin (one). Twelve of these 14 cases were related to travel to China, and two cases occurred through person-to-person transmission to close household contacts of a person with confirmed COVID-19. An additional 39 cases were reported among repatriated U.S. citizens, residents, and their families returning from Hubei province, China (three), and from the Diamond Princess cruise ship that was docked in Yokohama, Japan (36). Thus, there have been 53 cases within the United States. No deaths have been reported in the United States.
As of February 24, 2020, a total of 1,336 CDC staff members have been involved in the COVID-19 response, including clinicians (i.e., physicians, nurses, and pharmacists), epidemiologists, veterinarians, laboratorians, communicators, data scientists and modelers, and coordination staff members. Of these CDC staff members, 497 (37%) have been deployed to 39 locations in the United States and internationally, including CDC quarantine stations at U.S. ports of entry, state and local health departments, hospitals, and U.S. military bases that are housing quarantined persons, as well as WHO and ministries of health around the world. CDC staff members are working with state, local, tribal, and territorial health departments and other public health authorities to assist with case identification, contact tracing, evaluation of persons under investigation (PUI) for COVID-19,* and medical management of cases; and with academic partners to understand the virulence, risk for transmission, and other characteristics of this novel virus.
CDC teams are working with the Department of Homeland Security at 11 airports where all flights from China are being directed to screen travelers returning to the United States, and to refer them to U.S. health departments for oversight of self-monitoring. CDC is also working with other agencies of the U.S. government including the U.S. Department of Defense; multiple operational divisions with the U.S. Department of Health and Human Services, including the Assistant Secretary for Preparedness and Response and the Administration for Children and Families; and the U.S. Department of State to safely evacuate U.S. citizens, residents, and their families to the United States from international locations where there is substantial, sustained transmission of COVID-19, and to house them and monitor their health during a 14-day quarantine period.
Specific guidance has been developed and posted online for health care settings, including for patient management; infection control and prevention; laboratory testing; environmental cleaning; worker safety; and international travel.† Guidance is updated as more is learned. To prepare for the possibility of community spread of COVID-19, CDC has developed tailored guidance and communications materials for communities, health care settings, public health, laboratories, schools, and businesses. Chinese and Spanish versions of certain documents are available.
Information for travelers. Several recent travel notices have been posted by CDC to inform travelers and clinicians about current health issues that could affect travelers’ health.§ A Level 3 travel notice (avoid all nonessential travel) for China has been in effect since January 27. On February 19, Level 1 travel notices (practice usual precautions) for travelers to Hong Kong and Japan were posted. On February 22, the Level 1 travel notice for Japan was raised to Level 2 (practice enhanced precautions). A Level 2 travel notice was posted for South Korea on February 22, which was updated to Level 3 on February 24. Level 1 travel notices were posted for Iran and Italy on February 23, and then updated to Level 2 on February 24. In addition, CDC has posted information for travelers regarding apparent community transmission in Singapore, Taiwan, Thailand, and Vietnam, and recommendations for persons to reconsider cruise ship voyages in Asia.
Airport screening. As of February 23, a total of 46,016 air travelers had been screened at the 11 U.S. airports to which all flights from China are being directed. Since February 2, travelers to the United States who have been in China in the preceding 14 days have been limited to U.S. citizens and lawful permanent residents and others as outlined in a presidential proclamation.¶ Incoming passengers are screened for fever, cough, and shortness of breath. Any travelers with signs or symptoms of illness receive a more comprehensive public health assessment. As of February 23, 11 travelers were referred to a hospital and tested for infection; one tested positive and was isolated and managed medically. Seventeen travelers were quarantined for 14 days because of travel from Hubei Province, China, an area that was designated as high risk for exposure to COVID-19**; 13 of these 17 have completed their quarantine period.
Persons under investigation (PUIs). Recognizing persons at risk for COVID-19 is a critical component of identifying cases and preventing further transmission. CDC has responded to clinical inquiries from public health officials, health care providers, and repatriation teams to evaluate and test PUIs in the United States for COVID-19 following CDC guidance. As of February 23, 479 persons from 43 states and territories had been or are being tested for COVID-19; 14 (3%) had a positive test, 412 (86%) had a negative test, and 53 (11%) test results are pending.
Laboratory testing. As part of laboratory surge capacity for the response, CDC laboratories are testing for SARS-CoV-2 to assist with diagnosis of COVID-19. During January 18–February 23, CDC laboratories used real-time reverse transcription–polymerase chain reaction (RT-PCR) to test 2,620 specimens from 1,007 persons for SARS-CoV-2. Some additional testing is performed at selected state and other public health laboratories, with confirmatory testing at CDC. CDC is developing a serologic test to assist with surveillance for SARS-CoV-2 circulation in the U.S. population. The test detects antibodies (immunoglobulin [Ig]G, IgA, and IgM) indicating SARS-COV-2 virus exposure or past infection. In addition, CDC laboratories are developing assays to detect SARS-CoV-2 viral RNA and antigens in tissue specimens. Finally, following CDC’s establishment of SARS-CoV-2 in cell culture, CDC shared virus isolates with the Biodefense and Emerging Infections Research Resources Repository to securely distribute isolates to U.S. public health and academic institutions for additional research, including vaccine development.
Repatriation flights from areas with substantial COVID-19 transmission. During January 29–February 6, the U.S. government repatriated 808 U.S. citizens, residents, and their families from Hubei Province, China, on five chartered flights. At the time of departure, all travelers were free of symptoms for COVID-19 (fever or feverishness, cough, difficulty breathing). After arriving in the United States, the repatriated travelers were quarantined for 14 days at one of five U.S. military bases. CDC and U.S. government staff members monitored these travelers’ health. As of February 23, 28 (3%) of these persons developed COVID-19-related symptoms and were evaluated for infection; three were found to be positive for SARS-CoV-2 and were referred for medical care and isolation. As of February 24, the remaining 805 travelers had completed their 14-day quarantine.
On February 3, passengers and crew of the Diamond Princess cruise ship were quarantined off Yokohama, Japan; a passenger who had recently disembarked in Hong Kong was confirmed to have COVID-19, and ongoing transmission was identified on the ship. By February 16, a total of 355 cases of COVID-19 had been identified among passengers and crew,†† including 67 U.S. citizens or residents. As a result, during February 16–17, the U.S. government assisted in the repatriation of 329 U.S. citizens or residents from the ship. These travelers returned on two chartered flights. As of February 23, 36 (11%) of these repatriated persons had tested positive for SARS-CoV-2 and are under appropriate medical supervision. The remaining repatriated persons are in quarantine for 14 days. CDC is working with the U.S. embassy in Japan and the Japanese government to support U.S. passengers and crew who remained in Japan.
COVID-19 is a serious public health threat. Cases of COVID-19 have been diagnosed in the United States, primarily in travelers from China and quarantined repatriates, and also in two close contacts of COVID-19 patients. Currently, COVID-19 is not recognized to be spreading in U.S. communities. If sustained transmission in U.S. communities is identified, the U.S. response strategy will enhance implementation of actions to slow spread in communities (2,6). Implementation of basic precautions of infection control and prevention, including staying home when ill and practicing respiratory and hand hygiene will become increasingly important.
Community-level nonpharmaceutical intervention might include school dismissals and social distancing in other settings (e.g., postponement or cancellation of mass gatherings and telework and remote-meeting options in workplaces). These measures can be disruptive and might have societal and economic impact on individual persons and communities (6). However, studies have shown that early layered implementation of these interventions can reduce the community spread and impact of infectious pathogens such as pandemic influenza, even when specific pharmaceutical treatments and vaccines are not available (7,8). These measures might be critical to avert widespread COVID-19 transmission in U.S. communities (2,6). Mitigation measures implemented in China have included the closing of major transport hubs and preventing exit from certain cities with widespread transmission, cancellation of Chinese New Year celebrations, and prohibition of attendance at school and work (5). However, the impact of these measures in China has not yet been evaluated.
In the United States, the National Institutes of Health (NIH) and their collaborators are working on development of candidate vaccines and therapeutics for COVID-19. In China, multiple clinical trials of investigational therapeutics have been implemented, including two clinical trials of remdesivir, an investigational antiviral drug.§§ An NIH randomized controlled clinical trial of investigational therapeutics for hospitalized COVID-19 patients in the United States was approved by the Food and Drug Administration; the first investigational therapeutic to be studied is remdesivir.¶¶ In the absence of a vaccine or therapeutic, community mitigation measures are the primary method to respond to widespread transmission and supportive care is the current medical treatment.
COVID-19 symptoms are similar to those of influenza (e.g., fever, cough, and shortness of breath), and the current outbreak is occurring during a time of year when respiratory illnesses from influenza and other viruses, including other coronaviruses that cause the “common cold,” are highly prevalent. To prevent influenza and possible unnecessary evaluation for COVID-19, all persons aged ≥6 months should receive an annual influenza vaccine; vaccination is still available and effective in helping to prevent influenza (9). To decrease risk for respiratory disease, persons can practice recommended preventive measures.*** Persons ill with symptoms of COVID-19 who have had contact with a person with COVID-19 or recent travel to countries with apparent community spread††† should communicate with their health care provider. Before seeking medical care, they should consult with their provider to make arrangements to prevent possible transmission in the health care setting. In a medical emergency, they should inform emergency medical personnel about possible COVID-19 exposure.
Areas for additional COVID-19 investigation include 1) further clarifying the incubation period and duration of virus shedding, which have implications for duration of quarantine and other mitigation measures; 2) studying the relative importance of various modes of transmission, including the role of droplets, aerosols, and fomites; understanding these transmission modes has major implications for infection control and prevention, including the use of personal protective equipment; 3) determining the severity and case-fatality rate of COVD-19 among cases in the U.S. health care system, as well as more fully describing the spectrum of illness and risk factors for infection and severe disease; 4) determining the role of asymptomatic infection in ongoing transmission; and 5) assessing the immunologic response to infection to aid in the development of vaccines and therapeutics. Public health authorities are monitoring the situation closely. As more is learned about this novel virus and this outbreak, CDC will rapidly incorporate new knowledge into guidance for action.
The author has completed and submitted the International Committee of Medical Journal Editors form for disclosure of potential conflicts of interest. No potential conflicts of interest were disclosed.
* Criteria to guide evaluation and testing of patients under investigation for SARS-CoV-2 include 1) fever or signs or symptoms of lower respiratory tract illness (e.g., cough or shortness of breath) in any person, including a health care worker, who has had close contact with a patient with laboratory-confirmed SARS-CoV-2 infection within 14 days of symptom onset; 2) fever and signs or symptoms of lower respiratory tract illness (e.g., cough or shortness of breath) in any person with a history of travel from Hubei Province, China, within 14 days of symptom onset; or 3) fever and signs or symptoms of lower respiratory tract illness (e.g., cough or shortness of breath) requiring hospitalization in any person with a history of travel from mainland China within 14 days of symptom onset. Additional information is available at https://emergency.cdc.gov/han/han00427.asp and https://emergency.cdc.gov/han/han00426.asp.
Holloway R, Rasmussen SA, Zaza S, Cox NJ, Jernigan DB. Updated preparedness and response framework for influenza pandemics. MMWR Recomm Rep 2014;63(No. RR-6). PubMedexternal icon
Reed C, Biggerstaff M, Finelli L, et al. Novel framework for assessing epidemiologic effects of influenza epidemics and pandemics. Emerg Infect Dis 2013;19:85–91. CrossRefexternal iconPubMedexternal icon
Chen N, Zhou M, Dong X, et al. Epidemiological and clinical characteristics of 99 cases of 2019 novel coronavirus pneumonia in Wuhan, China: a descriptive study. Lancet 2020;395:507–13. CrossRefexternal iconPubMedexternal icon
The Novel Coronavirus Pneumonia Emergency Response Epidemiology Team. The epidemiological characteristics of an outbreak of 2019 novel coronavirus diseases (COVID-19)—China, 2020. China CDC Weekly 2020. Epub February 17, 2020.
Qualls N, Levitt A, Kanade N, et al.; CDC Community Mitigation Guidelines Work Group. Community mitigation guidelines to prevent pandemic influenza—United States, 2017. MMWR Recomm Rep 2017;66(No. RR-1). CrossRefexternal iconPubMedexternal icon
Hatchett RJ, Mecher CE, Lipsitch M. Public health interventions and epidemic intensity during the 1918 influenza pandemic. Proc Natl Acad Sci U S A 2007;104:7582–7. CrossRefexternal iconPubMedexternal icon
Markel H, Lipman HB, Navarro JA, et al. Nonpharmaceutical interventions implemented by US cities during the 1918–1919 influenza pandemic. JAMA 2007;298:644–54. CrossRefexternal iconPubMedexternal icon
Dawood FS, Chung JR, Kim SS, et al. Interim estimates of 2019–20 seasonal influenza vaccine effectiveness—United States, February 2020. MMWR Morb Mortal Wkly Rep 2020;69:177–82. CrossRefexternal iconPubMedexternal icon
Suggested citation for this article: Jernigan DB. Update: Public Health Response to the Coronavirus Disease 2019 Outbreak — United States, February 24, 2020. MMWR Morb Mortal Wkly Rep. ePub: 25 February 2020. DOI: http://dx.doi.org/10.15585/mmwr.mm6908e1external icon.
SARS-CoV-2 Viral Load in Upper Respiratory Specimens of Infected Patients
TO THE EDITOR:
Figure 1.Viral Load Detected in Nasal and Throat Swabs Obtained from Patients Infected with SARS-CoV-2.
The 2019 novel coronavirus (SARS-CoV-2) epidemic, which was first reported in December 2019 in Wuhan, China, and has been declared a public health emergency of international concern by the World Health Organization, may progress to a pandemic associated with substantial morbidity and mortality. SARS-CoV-2 is genetically related to SARS-CoV, which caused a global epidemic with 8096 confirmed cases in more than 25 countries in 2002–2003.1 The epidemic of SARS-CoV was successfully contained through public health interventions, including case detection and isolation. Transmission of SARS-CoV occurred mainly after days of illness2 and was associated with modest viral loads in the respiratory tract early in the illness, with viral loads peaking approximately 10 days after symptom onset.3 We monitored SARS-CoV-2 viral loads in upper respiratory specimens obtained from 18 patients (9 men and 9 women; median age, 59 years; range, 26 to 76) in Zhuhai, Guangdong, China, including 4 patients with secondary infections (1 of whom never had symptoms) within two family clusters (Table S1 in the Supplementary Appendix, available with the full text of this letter at NEJM.org). The patient who never had symptoms was a close contact of a patient with a known case and was therefore monitored. A total of 72 nasal swabs (sampled from the mid-turbinate and nasopharynx) (Figure 1A) and 72 throat swabs (Figure 1B) were analyzed, with 1 to 9 sequential samples obtained from each patient. Polyester flock swabs were used for all the patients.
From January 7 through January 26, 2020, a total of 14 patients who had recently returned from Wuhan and had fever (≥37.3°C) received a diagnosis of Covid-19 (the illness caused by SARS-CoV-2) by means of reverse-transcriptase–polymerase-chain-reaction assay with primers and probes targeting the N and Orf1b genes of SARS-CoV-2; the assay was developed by the Chinese Center for Disease Control and Prevention. Samples were tested at the Guangdong Provincial Center for Disease Control and Prevention. Thirteen of 14 patients with imported cases had evidence of pneumonia on computed tomography (CT). None of them had visited the Huanan Seafood Wholesale Market in Wuhan within 14 days before symptom onset. Patients E, I, and P required admission to intensive care units, whereas the others had mild-to-moderate illness. Secondary infections were detected in close contacts of Patients E, I, and P. Patient E worked in Wuhan and visited his wife (Patient L), mother (Patient D), and a friend (Patient Z) in Zhuhai on January 17. Symptoms developed in Patients L and D on January 20 and January 22, respectively, with viral RNA detected in their nasal and throat swabs soon after symptom onset. Patient Z reported no clinical symptoms, but his nasal swabs (cycle threshold [Ct] values, 22 to 28) and throat swabs (Ct values, 30 to 32) tested positive on days 7, 10, and 11 after contact. A CT scan of Patient Z that was obtained on February 6 was unremarkable. Patients I and P lived in Wuhan and visited their daughter (Patient H) in Zhuhai on January 11 when their symptoms first developed. Fever developed in Patient H on January 17, with viral RNA detected in nasal and throat swabs on day 1 after symptom onset.
We analyzed the viral load in nasal and throat swabs obtained from the 17 symptomatic patients in relation to day of onset of any symptoms (Figure 1C). Higher viral loads (inversely related to Ct value) were detected soon after symptom onset, with higher viral loads detected in the nose than in the throat. Our analysis suggests that the viral nucleic acid shedding pattern of patients infected with SARS-CoV-2 resembles that of patients with influenza4 and appears different from that seen in patients infected with SARS-CoV.3 The viral load that was detected in the asymptomatic patient was similar to that in the symptomatic patients, which suggests the transmission potential of asymptomatic or minimally symptomatic patients. These findings are in concordance with reports that transmission may occur early in the course of infection5 and suggest that case detection and isolation may require strategies different from those required for the control of SARS-CoV. How SARS-CoV-2 viral load correlates with culturable virus needs to be determined. Identification of patients with few or no symptoms and with modest levels of detectable viral RNA in the oropharynx for at least 5 days suggests that we need better data to determine transmission dynamics and inform our screening practices.
Lirong Zou, M.Sc.
Guangdong Provincial Center for Disease Control and Prevention, Guangzhou, China
Feng Ruan, M.Med.
Zhuhai Center for Disease Control and Prevention, Zhuhai, China
Mingxing Huang, Ph.D.
Fifth Affiliated Hospital of Sun Yat-Sen University, Zhuhai, China
Lijun Liang, Ph.D.
Guangdong Provincial Center for Disease Control and Prevention, Guangzhou, China
Huitao Huang, B.Sc.
Zhuhai Center for Disease Control and Prevention, Zhuhai, China
Zhongsi Hong, M.D.
Fifth Affiliated Hospital of Sun Yat-Sen University, Zhuhai, China
Jianxiang Yu, B.Sc.
Min Kang, M.Sc.
Yingchao Song, B.Sc.
Guangdong Provincial Center for Disease Control and Prevention, Guangzhou, China
Jinyu Xia, M.D.
Fifth Affiliated Hospital of Sun Yat-Sen University, Zhuhai, China
Qianfang Guo, M.Sc.
Tie Song, M.Sc.
Jianfeng He, B.Sc.
Guangdong Provincial Center for Disease Control and Prevention, Guangzhou, China
Hui-Ling Yen, Ph.D.
Malik Peiris, Ph.D.
University of Hong Kong, Hong Kong, China
Jie Wu, Ph.D.
Guangdong Provincial Center for Disease Control and Prevention, Guangzhou, China 771276998@qq.com
Disclosure forms provided by the authors are available with the full text of this letter at NEJM.org.
This letter was published on February 19, 2020, and updated on February 20, 2020, at NEJM.org.
Ms. Zou, Mr. Ruan, and Dr. Huang contributed equally to this letter.
To assist health workers and researchers working under challenging conditions to bring this outbreak to a close, The Lancet has created a Coronavirus Resource Centre. This resource brings together new 2019 novel coronavirus disease (COVID-19) content from across The Lancet journals as it is published. All content listed on this page is free to access.
Useful links
WHO: Coronavirus disease (COVID-19) outbreak
Cell Press Coronavirus Resource Hub
Elsevier’s Novel Coronavirus Information Center
Media queries
For media enquiries in relation to content published below, please contact pressoffice@lancet.com.
Focus
A modelling study published in The Lancet estimates that Egypt, Algeria and South Africa are at the highest risk of importing new coronavirus cases in Africa. The three countries are estimated to have the most prepared health systems in the continent and be least vulnerable. However, the authors call for increased resources, surveillance, and capacity building to be urgently prioritised in countries with a moderate risk which are more likely to be ill-prepared to detect cases and limit transmission.
Marius Gilbert, Giulia Pullano, Francesco Pinotti, Eugenio Valdano, Chiara Poletto, Pierre-Yves Boëlle, Eric D’Ortenzio, Yazdan Yazdanpanah, Serge Paul Eholie, Mathias Altmann, Bernardo Gutierrez, Moritz U G Kraemer, Vittoria Colizza
The Lancet journals endorse the Wellcome Trust Statement on sharing research data and findings relevant to the 2019 novel coronavirus disease (COVID-19) outbreak.
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Infographics
Explore our infographics on the first published information on COVID-19 cases in Wuhan.
Welcome to Elsevier’s Novel Coronavirus Information Center. Here you will find expert, curated information for the research and health community on Novel Coronavirus (also referred to as COVID-19 and its temporary title 2019-nCoV). All resources are free to access and include guidelines for clinicians and patients. Under the ‘Research’ tab you will find the latest early stage and peer-reviewed research from journals including The Lancet and Cell Press, as well as a link to the Coronavirus hub on ScienceDirect, where you will find every article relevant article to Coronavirus, SARS, and MERS freely available. Under the Clinical Solutions tab you will find resources for nurses, clinicians and patients, including FAQs on symptoms.
Introduction
Margaret Trexler Hessen, MD, Director, Point of Care, Elsevier
Recent events have shown us (again) how rapidly a new disease can take root and spread. Such events are accompanied by an explosion of clinical and epidemiological information and research. The goal of this website is to open whatever resources we can to help public health authorities, researchers and clinicians contain and manage this disease. We will provide continually updated resources from Elsevier’s content and experts. Our resources span scientific and medical journals and textbooks, educational products, and a variety of other resources, like travel precautions from the CDC and media posts of interest to our community. We have also created a interactive global map of experts based on Scopus data.
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Expert guidance and commentary
COVID-19: Seeking reliable information amid uncertainty
By Ian Chuang, MD, Chief Medical Officer, Elsevier
Medicine is continuously evolving in terms of refining, revising and discovering new knowledge. This is heightened in importance and compressed in timeframe during a crisis such as the current viral outbreak of the COVID-19.
The COVID-19 that originated in Wuhan, China, has exceeded more than 71,000 confirmed cases and over 1,700 deaths since the first case was detected in December 2019. As of February 18, the number of confirmed cases in Singapore has risen to 77. The World Health Organization (WHO) has termed this current epidemic as a global emergency, and it is a public health responsibility at a massive scale.
Read more
JAMA Medical News Podcast: Coronavirus and Beyond: Responding to Biological Threats
The 2019 novel coronavirus outbreak exemplifies ongoing biothreats to global security, as each new threat tests principles of preparation and response at national, regional, and clinical levels. Tom Inglesby, MD, director of the Center for Health Security at the Johns Hopkins Bloomberg School of Public Health, discusses biosecurity with Angel Desai, MD, JAMA Fishbein fellow. Listen to the interview
6 of the most common coronavirus questions the media is asking
By Rodney E. Rohde, PhD, Professor and Chair, Clinical Laboratory Program, Texas State University | Feb 6, 2020
As an infectious disease and clinical microbiology expert, Prof. Rodney E. Rohde of the Texas State University College of Health Professions receives daily calls from the media, government and university officials, and public health and professional organizations asking him about the emerging novel coronavirus outbreak. In this article, he shares some of the most common questions and his responses.
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Interactive map: global disease outbreak experts
The map represents the most active institutions researching disease outbreak and control. We ran a search in Scopus — a source-neutral abstract and citation database of over 75 million records — for publications researching the coronavirus and related diseases such as SARS from 1996 to the present (Feb 6, 2020). We then used the resulting ~22,000 publications to identify the researchers and institutions that are working in these areas. The map shows the 500 most prolific global institutions, along with the 200 most prolific Chinese institutions by publication count.
Click on a pin to see more about the institution, the numbers of researchers and their publications. Then link through to the researcher’s profiles in Scopus to learn more about their areas of expertise.
JAMA Editor-in-Chief Howard Baucher, MD, interviews Anthony Fauci, MD, Director of the NIH National Institute of Allergy and Infectious Diseases.
Key facts for clinicians
By Margaret Trexler Hessen, MD, Director, Point of Care, Elsevier | Updated Feb 21, 2020
Background: In December, China notified the World Health Organization of several cases of human respiratory illness, which appeared to be linked to an open seafood and livestock market in the city of Wuhan. The infecting agent has since been identified as a novel coronavirus, now called SARS–CoV-2 (initially called 2019-nCoV). Although the virus is presumed zoonotic in origin, person-to-person spread is evident. Novel Coronavirus associated infection is now designated as COVID-19. Cases have now been reported in many parts of mainland China and in other countries in Asia, Europe, the eastern Mediterranean, Australia, Asia Pacific and North America. Travel within China has been restricted and travel to and from China markedly reduced. Screening of travelers is being implemented in other countries and quarantine measures have been enacted under some circumstances. Despite these precautions, it is anticipated that more cases will be seen both inside China and internationally.
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Clinicians need reliable and current information to combat novel coronavirus
By Jonathan Temte, MD, PhD, Consultant, PracticeUpdate, Elsevier
Coronaviruses are incredibly diverse, found in many animal species, and are commonly encountered in clinical practice during the cold and flu season, yet many primary care clinicians are not familiar with these respiratory pathogens. We rarely test for them, and when we do it’s usually when we’re looking for something else. Moreover, we have no specific treatments for these viruses.
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Elsevier Clinical Solutions
We’ve selected content from ClinicalKey, Clinical Solutions Nursing, Interprofessional Practice and Patient Education collections to share what we know to date about the novel coronavirus.
Clinical Overviews on ClinicalKey
Clinical Overviews are easy-to-scan clinically focused medical topic summaries designed to match the clinician workflow. Elsevier’s Point-of-Care Editorial team develops Clinical Overviews through a process that includes review and revision by a medical editor; peer reviews performed by subject matter experts; a production review to ensure consistency in style, grammar, and punctuation; and a final evaluation by the editor-in-chief.
Clinical Skills for Nursing provides the highest quality evidence for nursing practice procedures for nurses to care for patients. Our Isolation Precautions and Personal Protective Equipment checklists align with CDC and OSHA guidelines:
These Interprofessional Care Plans provide an evidence-based and individualizable Interprofessional plan of care to manage fever and the possible development of pneumonia, which is consistent with the presentation of this virus. Using an interprofessional approach to patient care that aligns current evidence with the individual needs of the patient results in improved patient care outcomes.
Patient engagement resources use plain language to support shared decision-making between patients and healthcare providers. The goal is to deliver the right message in the right way at the time the patient is most ready to learn. The following resources provide an overview of the novel coronavirus to help patients and their families understand their risk, identify signs and symptoms, and prevent it from spreading:
SARS coronavirus (SARS-CoV) – virus identified in 2003. SARS-CoV is thought to be an animal virus from an as-yet-uncertain animal reservoir, perhaps bats, that spread to other animals (civet cats) and first infected humans in the Guangdong province of southern China in 2002.
Transmission
An epidemic of SARS affected 26 countries and resulted in more than 8000 cases in 2003. Since then, a small number of cases have occurred as a result of laboratory accidents or, possibly, through animal-to-human transmission (Guangdong, China).
Transmission of SARS-CoV is primarily from person to person. It appears to have occurred mainly during the second week of illness, which corresponds to the peak of virus excretion in respiratory secretions and stool, and when cases with severe disease start to deteriorate clinically. Most cases of human-to-human transmission occurred in the health care setting, in the absence of adequate infection control precautions. Implementation of appropriate infection control practices brought the global outbreak to an end.
Nature of the disease
Symptoms are influenza-like and include fever, malaise, myalgia, headache, diarrhoea, and shivering (rigors). No individual symptom or cluster of symptoms has proved to be specific for a diagnosis of SARS. Although fever is the most frequently reported symptom, it is sometimes absent on initial measurement, especially in elderly and immunosuppressed patients.
Cough (initially dry), shortness of breath, and diarrhoea are present in the first and/or second week of illness. Severe cases often evolve rapidly, progressing to respiratory distress and requiring intensive care.
Geographical distribution
The distribution is based on the 2002–2003 epidemic. The disease appeared in November 2002 in the Guangdong province of southern China. This area is considered as a potential zone of re-emergence of SARS-CoV.
Other countries/areas in which chains of human-to-human transmission occurred after early importation of cases were Toronto in Canada, Hong Kong Special Administrative Region of China, Chinese Taipei, Singapore, and Hanoi in Viet Nam.
Risk for travellers
Currently, no areas of the world are reporting transmission of SARS. Since the end of the global epidemic in July 2003, SARS has reappeared four times – three times from laboratory accidents (Singapore and Chinese Taipei), and once in southern China where the source of infection remains undetermined although there is circumstantial evidence of animal-to-human transmission.
Should SARS re-emerge in epidemic form, WHO will provide guidance on the risk of travel to affected areas. Travellers should stay informed about current travel recommendations. However, even during the height of the 2003 epidemic, the overall risk of SARS-CoV transmission to travellers was low.
Prophylaxis
None. Experimental vaccines are under development.
Precautions
Follow any travel recommendations and health advice issued by WHO.
China’s early warning system didn’t work on covid-19. Here’s the story.
Lies and coverups halted vital information.
By Dali L. Yang
Feb. 24, 2020 at 4:13 a.m. CST
Chinese authorities have placed an estimated 760 million people into lockdown as part of an epic campaign to contain the spread of covid-19, the disease caused by the novel coronavirus. As of Sunday, there were over 77,000 confirmed cases and more than 2,500 deaths in China, mostly in Hubei province. Wuhan, the provincial capital and the epicenter of the outbreak, has been hard hit.
Why did China’s CDC system, once touted as among the world’s best disease control programs, fail to help contain the virus early on? And what has the crisis exposed about China’s system of governance? Here’s what you need to know.
China built a system to prevent another SARS crisis
In the aftermath of the 2003 SARS crisis, China invested heavily to improve its system for infectious disease control and prevention. These measures included new laboratories and a nationwide Infectious Diseases Reporting System, as well as new laws on infectious diseases control and public health emergencies. The reporting system is extensive, covering all of China’s more than 2,800 county-level jurisdictions.
In a country known for its bureaucratic hierarchy, this information system is designed for attention escalation — and rapid response. Hospitals with infectious disease cases input the cases into the info system, and this information needs to reach the China CDC within hours. A dedicated team at the China CDC headquarters monitors the information flows 24/7 and reports to the CDC leadership at least once a day.
This sentinel system for infectious diseases helped China tackle various outbreaks — including H1N1, avian flu and malaria. Successive China CDC directors have taken great pride in this system. In a March 2019 interview, Gao Fu, the China CDC director general, said he was “very confident that the SARS incident will not recur. This is due to our country’s well-built infectious disease surveillance network; we can block the virus when it appears.”
The system worked, according to local authorities
The official story in Hubei and Wuhan is that, after identifying atypical pneumonia cases, the Wuhan and Hubei CDCs forwarded the information on a timely basis to the national CDC at the end of December. To drive home this message, the Hubei authorities on Feb. 4 announced a merit award to Zhang Jixian for getting her hospital to report several cases to municipal and provincial authorities on Dec. 29, 2019.
The Wuhan Health Commission (WHC) began to release information on its website on the atypical pneumonia cases on Dec. 31, 2019.
But local authorities didn’t tell the full story
The China CDC official line, however, suggests a different timeline. According to Feng Zijian, deputy director general of the China CDC, the direct reporting system was “not activated that expeditiously.” In fact, the award to Zhang for reporting on Dec. 29 reminds us that the pre-Dec. 29 cases were not reported, let alone filed into the disease reporting system in real time.
Two separatesources reveal that Gao himself was the real sentinel of the coronavirus outbreak. In the evening of Dec. 30, Gao Fu noticed from scanning group-chats that the WHC had just issued two internal notices on atypical pneumonia cases. Alarmed that such information had not been submitted to the national reporting system, he called the Wuhan CDC head and learned that the number of cases was well above the threshold for reporting. Troubled by what he heard — and didn’t hear — Gao immediately alerted the National Health Commission (NHC) leadership. The following day, Dec. 31, the NHC dispatched a national team of experts to Wuhan to investigate.
Local authorities also silenced whistleblowers
As the national team was on its way to Wuhan, the WHC issued its first public statement about the atypical pneumonia outbreak, reassuring the public that the health administrations and hospitals were managing the situation well. Of the 27 cases, “seven were critical, but the rest were stable and controllable, including two that … are expected to be discharged.” In fact, the latest retrospective study by China CDC reveals there were already 104 cases, including 15 deaths, in December.
What ensued in Wuhan has received enormous coverage. As Wuhan and Hubei political leaders met in Wuhan for annual meetings, WHC kept the number of the infected artificially low, and repeatedly downplayed the risks of contagion. Wuhan officials also pushed ahead with large public gatherings ahead of the Lunar New Year, which helped spread the virus.
In contrast, on Jan. 2, health authorities in Singapore and other countries began to screen passengers from Wuhan.
The case of Li Wenliang has captured global attention. Early on Dec. 31, the Chinese doctor was reprimanded by WHC and the Wuhan Central Hospital he worked at for spreading false rumors about SARS-like cases on Dec. 30. Police later forced him to sign a document promising not to spread “false rumors” again. Other doctors were also admonished for “irresponsible behavior that caused social panic and disrupted Wuhan’s development and stability.”
Systemic fissures contributed to further delays
Local officials, including Wuhan’s mayor, blamed their inadequate public disclosure on the need to secure approval from above. But the truth is more complicated. We now know that on Dec. 30, a joint Hubei-Wuhan CDC investigation team concluded that there were no clusters of cases but there were nonetheless a family of several members that became infected.
Had China CDC experts seen this report — or engaged with the infectious disease doctors at the major Wuhan hospitals — they would likely have recognized earlier that the virus was spreading from human to human. Three crucial weeks would elapse before a new national experts team, including Zhong Nanshan and Gao, finally concluded that the coronavirus was highly contagious.
The infectious diseases sentinel system only works if the hospitals and local health administrations actively engage with it and contribute to the information. In Wuhan, the system failed, monumentally. The failure has laid bare the inherent tensions of a reporting system that is also beholden to the political imperatives of provincial and municipal Communist Party bosses.
For now, President Xi Jinping has replaced the top leaders of Hubei and Wuhan. China remains in the midst of an unprecedented and enormously costly effort to contain covid-19. While the Chinese leadership can lay some of the blame for the crisis on local missteps, a more effective public health emergency response system will depend on encouraging information flows and realigning institutional interests.
Dali L. Yang is the William C. Reavis Professor of Political Science at the University of Chicago.His researchhas emphasized governance and regulation in China.
COVID-19 (Coronavirus) is the number 1 issue facing investors at the moment. Given issues with data from China, we have put together these charts (updating throughout the day) to highlight the data from outside of China. Often the final data point will only include countries which have reported that day and so will change throughout the day.
NOTE: China has re-classified statistics at least three times. There are also numerous revisions to prior numbers. We have made some adjustments to the charts below to normalise these statistics where possible, but treat China and Hubei data with scepticism. We now use both suspected and confirmed cases in Chinese ratios.
COVID-19 cases caught outside of China
Whilst at first most cases of COVID-19 outside China were people who had flown from China to another country, we now seeing transmission of the virus outside of China taking off:
Given that a single cruise ship made up the bulk of cases outside China in early February, it is still useful to look at cases with and without that ship.
The average incubation period of COVID-19 probably less than a week (but could be as much as 24 days), and then an additional 3-4 days before diagnosis. So, you would expect measures like quarantines and travel restrictions to take around 10 days before showing up in statistics.
Time to doubling
This is an examination of how long it takes for cases or deaths to double.
Winter is here
If we limit cases to only those caught in a particular country, exclude China, and then split countries into:
Winter countries: Northern Hemisphere Countries currently in winter (including Vietnam as the domestic transmission cases are in the north)
Summer/Equatorial countries: Southern Hemisphere countries currently in summer or Countries near the equator where temperatures are relatively high all year
Note: Countries near China are more likely to have contact with Chinese citizens and these countries are in winter which probably distorts this data.
New and total COVID-19 case numbers in Hubei, the rest of China
Our analysis (and the analysis of many others) suggests reporting of COVID-19 cases in Hubei province were under-reported.
Then, on the 7th of February, China changed its definition of how it is reporting new cases to exclude patients who test positive for the virus but have no symptoms will no longer be regarded as confirmed. This means up to 80% of cases might no longer be reported. On the 13th of February Hubei reclassified how it classifies cases. On 20th February Hubei reclassified again. All changes affect the quality of the data. Confirmed + suspected cases in China are our key measure.
We are tracking data from Hubei and the rest of China separately. We are sceptical of the China data, but there is some information in the series.
On 7 Feb China made some adjustments to how they report data. Below we have made an estimate of what the case count might look like if China did not make this adjustment:
New and total Coronavirus death toll in Hubei, the rest of China, and the rest of the world
COVID-19 Mortality Rate using lag periods
The mortality rate is where we can see distinct differences in data. Dividing the number of deaths by the number of cases during the early stages of an outbreak is very misleading. People who were diagnosed today with the disease are still alive, but they still might die from the disease in the coming days.
A better way is to compare the current deaths to the number of cases from “x” days ago. We still don’t know how many days we should be looking back. The stats so far suggest that the median days from the first symptom to death is 14. But with a broad range from 6 to 41. And, we don’t know how long on average after the first symptom a person would take to become a case.
The below charts show the death rate if the right period to look back is 4, 8 or 12 days. Using data without Hubei, a mortality rate of somewhere between 0.5% and 3% is likely.
In recent days, data from Iran has skewed the results. There is likely a significantly larger outbreak in Iran than what is being reported. We have started showing our mortality rates for the rest of the world excluding Iran.
For more on what this means, see our article on understanding COVID-19 statistics
More Analysis
See our latest investment view and here for our latest podcast. Keep in mind that the economic impact is not particularly related to the number of deaths, more important is the disruption to business which already looks to be significant.
Data sources
This is a list of some of the main data sources we use:
http://wjw.hubei.gov.cn/fbjd/tzgg/ Official source for Hubei Data. Usually comes out a few hours before the China data. Doesn’t always explain adjustments.
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Civil forfeiture in the United States, also called civil asset forfeiture or civil judicial forfeiture,[1] is a process in which law enforcement officers take assets from persons suspected of involvement with crime or illegal activity without necessarily charging the owners with wrongdoing. While civil procedure, as opposed to criminal procedure, generally involves a dispute between two private citizens, civil forfeiture involves a dispute between law enforcement and property such as a pile of cash or a house or a boat, such that the thing is suspected of being involved in a crime. To get back the seized property, owners must prove it was not involved in criminal activity. Sometimes it can mean a threat to seize property as well as the act of seizure itself.[2] Civil forfeiture is not considered to be an example of a criminal justice financial obligation.
Proponents see civil forfeiture as a powerful tool to thwart criminal organizations involved in the illegal drug trade, with $12 billion annual profits,[3] since it allows authorities to seize cash and other assets from suspected narcotics traffickers. They also argue that it is an efficient method since it allows law enforcement agencies to use these seized proceeds to further battle illegal activity, that is, directly converting value obtained for law enforcement purposes by harming suspected criminals economically while helping law enforcement financially.
Critics argue that innocent owners can become entangled in the process to the extent that their 4th Amendment and 5th Amendment rights are violated, in situations where they are presumed guilty instead of being presumed innocent. It has been described as unconstitutional by a judge in South Carolina[4][5]. Further, critics argue that the incentives lead to corruption and law enforcement misbehavior. There is consensus that abuses have happened but disagreement about their extent as well as whether the overall benefits to society are worth the cost of the instances of abuse.
Civil forfeitures are subject to the “excessive fines” clause of the U.S. Constitution‘s 8th amendment, both at a federal level and, as determined by the 2019 Supreme Court case, Timbs v. Indiana, at the state and local level.[6]
Contents
History
Legal origins
The idea of going at people through their property has a long history. The theories are quite old. The prevalence of the practice is comparatively recent.
Civil forfeiture has a history dating back several hundred years with roots in British maritime law to the British Navigation Acts around the middle 1600s. These laws required ships importing or exporting goods from British ports to fly the British flag; ships that failed to do this could be seized regardless of whether the ship’s owner was guilty of doing any wrongdoing.[8] It was easier to seize a vessel than try to apprehend an owner on the other side of the ocean,[9] as explained by Supreme Court justice Joseph Story:
… (A) vessel which commits the aggression is treated as the offender, as the guilty instrument or thing to which the forfeiture attaches, without any reference whatsoever to the character or conduct of the owner. (The seizure of the ship is justified by …) the necessity of the case, as the only adequate means of suppressing the offense or wrong, or insuring an indemnity to the injured party.
During the later Colonial years, forfeiture practices by the Crown officials using writs of assistance were one of the many activities that angered colonists, who saw the writs as “unreasonable searches and seizures” that deprived persons of “life, liberty, or property, without due process”.[9] The early Congress wrote forfeiture laws based on British maritime law to help federal tax collectors collect customs duties, which financed most of the expenses of the federal government in the early days of the republic.[8] Seizures allowed government to confiscate property from citizens who failed to pay taxes or customs duties.[7] The Supreme Court upheld these forfeiture statutes in situations where it was virtually impossible to get hold of guilty persons on the high seas while possible to get hold of their property.[8] During much of the 19th century there was not much attention paid to forfeiture laws.[8]
Prohibition era
During Prohibition, Detroit police inspect equipment suspected of being used to make alcohol; under civil forfeiture laws, police could seize the equipment without having to charge any owners with a crime.
Government used forfeiture during the Prohibition years 1920–1933.[8] Police seized vehicles and equipment and cash and other property from bootleggers.[7] When Prohibition ended in 1933, much of the forfeiture activity ended as well, and modern forfeiture was an “infrequent resort” until the last few decades.[9]
War on Drugs (1980–present)
Civil forfeiture activity increased substantially in the past thirty years.[10] It stepped up forfeiture during the War on Drugs during the early 1980s and onwards.[8] It became harder for criminal organizations to launder dirty money by means of the financial system, so drug cartels preferred bulk payments of cash.[11] Illegal drugs are a big business; one estimate was that the annual profit from selling illegal drugs was $12 billion, according to the United States Drug Enforcement Administration.[8] The initial intent, similar to methods used to try to fight alcohol trafficking and use during the Prohibition era, was to use civil forfeitures as a weapon against drug kingpins.[12]
According to journalist Sarah Stillman, a major turning point in forfeiture activity was the passage of the Comprehensive Crime Control Act of 1984.[13] This law permitted local and federal law enforcement agencies to share the seized assets and cash.[9] Civil forfeiture allowed federal and local governments to “extract swift penalties from white-collar criminals and offer restitution to victims of fraud”, according to Stillman.[9] From 1985 to 1993, authorities confiscated $3 billion of cash and other property based on the federal Asset Forfeiture Program, which included both civil and criminal forfeitures.[13] The methods were supported by the Reagan administration as a crime fighting strategy.
It’s now possible for a drug dealer to serve time in a forfeiture-financed prison after being arrested by agents driving a forfeiture-provided automobile while working in a forfeiture-funded sting operation.
The politics of civil forfeiture were somewhat unusual. The federal forfeiture laws were introduced and pushed through by Republicans in the 1980s, with support from some Democrats; but efforts to reform forfeiture laws have also come from the right,[14] as libertarians in Congress have focused on the basic idea as offensive to property rights.[14] In many areas civil forfeiture adversely affects persons from minorities and low-income communities, in which the typical seizure is less than $500, and Democrats have also been critical of civil forfeiture programs.[14] The ACLU has also been a long time opponent.[14]
Forfeiture was used for purposes other than trying to discourage illegal drug activity, such as attempts in New York City to discourage drunk driving. Forfeiture rules were used to confiscate cars of intoxicated motorists.[7] In such instances, there are two types of cases: a criminal case against the drunk driver as a person, and a civil case against the property used to facilitate the drunk driving, specifically their car.[7] Critics contend that the punishment can be “deemed out of proportion with the offense”; for example, after a drunk driver is arrested and convicted and possibly imprisoned, is it proper to punish him or her additionally by civil forfeiture means by confiscating a $50,000 car?[7] Civil forfeiture has been used to discourage illegal activities such as cockfighting, drag racing, gambling in basements, poaching of endangered fish, securities fraud, and other illegal activity.[9]
A chart showing that payouts are growing, according to the equitable sharing arrangement. Source: United States Justice and Treasury Departments.
Courts helped set up the legal framework to help law enforcement stem the drug tide while sometimes trying to rein in abuses. A 1984 law set up the equitable sharing arrangement in which state and local police can share the seizures with federal agents.[15] While the 1993 Supreme Court case Austin v. United States ruled that a forfeiture could be considered as an excessive fine,[16] the court upheld the principle of civil forfeiture generally.[8] A 1996 Supreme Court decision ruled that prosecuting a person for a crime and seizing his or her property via civil forfeiture did not constitute double jeopardy, and therefore did not violate the Constitution.[16] However, in 1999, the Supreme Court ruled that civil forfeiture was not permitted if the amount seized was “grossly disproportional” to the gravity of the offense.[7]
Legislatures played a role as well. Since the 1990s, the number of federal statutes permitting government forfeiture doubled from 200 to 400.[15] In 2000, lawmakers passed the Civil Asset Forfeiture Reform Act, or CAFRA, which stipulated protections for individuals and increased the level of proof required.[15] Critics said that the new guidelines did not require poor persons to have free access to legal services.[15] CAFRA guidelines suggest that if a claimant wins a civil-forfeiture case, that some of the legal fees paid to recover the property are partially payable by the government.[15] CAFRA was supposed to raise government’s burden of proof before seizing property.[17] CAFRA meant if government loses a forfeiture challenge, government must pay the victim’s attorney costs, but often victims are unaware of this fact, so they fail to hire lawyers thinking the cost will be prohibitive.[17]
Police forces heeded instruction from a law enforcement consultant named Joe David who had an “uncanny talent for finding cocaine and cash in cars and trucks”, according to one report.[18] Officers trained in David’s so-called Desert Snow stop-and-seizure techniques raked in $427 million from highway encounters during a five-year period.[18] A contract allowed David’s consulting firm to keep 25% of the seized cash.[18]
But when innocent owners were sometimes ensnarled in seizure proceedings, it spurred criticism. In the early 1990s, San Francisco-based defense attorney Brenda Grantland organized a group called Forfeiture Endangers American Rights (which spells the letters FEAR), with branches in New Jersey, Virginia, California, and Massachusetts.[13] Debate about reforming civil forfeiture procedures happened in the late 1990s but after public scrutiny died down, lawmakers quietly relaxed the reforms at the behest of police groups and prosecutors without much public debate.[10]
Civil forfeiture was used successfully on many occasions. For example, it was used to seize assets by corrupt foreigners, such as against Teodoro Nguema Obiang Mangue, who stole money from the African nation of Equatorial Guinea and was convicted.[19] Overall, the pattern in recent decades has been a substantial increase in forfeiture activity. According to government records, Justice department seizures went from $27 million in 1985 to $556 million in 1993 and $4.2 billion in 2012.[9]
In 2015, Eric Holder ended the policy of “adoptive forfeiture”, which occurred “when a state or local law enforcement agency seizes property pursuant to state law and requests that a federal agency take the seized asset and forfeit it under federal law” due to abuse.[20] Although states proceeded to curtail the powers of police to seize assets, actions by the Justice Department in July 2017 have sought to reinstate police seizure powers that simultaneously raise funding for federal agencies and local law enforcement.[21]
Civil procedure cases generally involve disputes between two private citizens, often about money or property, while criminal procedure involves a dispute between a private citizen and the state, usually because a law has been broken. In legal systems based on British law such as that of the United States, civil and criminal law cases are handled differently, with different tests and standards and procedures, and this is true of forfeiture proceedings as well. Both civil and criminal forfeiture involve the taking of assets by police.
In civil forfeiture, assets are seized by police based on a suspicion of wrongdoing, and without having to charge a person with specific wrongdoing, with the case being between police and the thing itself, sometimes referred to by the Latin term in rem, meaning “against the property”; the property itself is the defendant and no criminal charge against the owner is needed.[1]
In contrast, criminal forfeiture is a legal action brought as “part of the criminal prosecution of a defendant”, described by the Latin term in personam, meaning “against the person”, and happens when government indicts or charges the property that is either used in connection with a crime, or derived from a crime, that is suspected of being committed by the defendant;[1] the seized assets are temporarily held and become government property officially after an accused person has been convicted by a court of law; if the person is found to be not guilty, the seized property must be returned.
If property is seized in a civil forfeiture, it is “up to the owner to prove that his cash is clean”.[3] Normally both civil and criminal forfeiture require involvement by the judiciary; however, there is a variant of civil forfeiture called administrative forfeiture, which is essentially a civil forfeiture that does not require involvement by the judiciary, which derives its powers from the Tariff Act of 1930, and empowers police to seize banned imported merchandise, as well as things used to import or transport or store a controlled substance, money, or other property that is less than $500,000 value.[1]
Justification
The Supreme Court has generally upheld the principle of civil forfeiture.
According to the Justice Department, there are three main justifications for civil forfeitures:
Punishment and deterrence. To punish and deter criminal activity by depriving criminals of property used or acquired through illegal activities.[22]
Enhance police cooperation. To enhance cooperation among foreign, federal, state, and local law enforcement agencies, through the equitable sharing of assets recovered through this program.[22]
Revenue for law enforcement. As a byproduct, to produce revenues to enhance forfeitures and strengthen law enforcement.[22]
Since a prosecutor can charge a person with a crime in a criminal case and charge his or her things in a civil case, issues such as double jeopardy have been raised. Further, there has been debate about whether seizures of property are considered as a fine or as a punishment in a legal sense. The distinction was clarified by the Supreme Court in United States v. Bajakajian, which decreed that a criminal forfeiture could be considered as both a type of fine and a punishment, while a civil forfeiture was not intended as a punishment of a person but rather a “legal fiction of punishing the property”.[24] As a result, the court decreed that civil forfeitures that served as remedial were not considered as a type of fine.[24][25]
In addition, there are more than 400 federal statutes that empower police to take assets from convicted criminals, as well as from persons not charged with criminality.[15] Sometimes the seizures happen as a result of different government agencies working together, such as the Internal Revenue Service and the Department of Justice.[29] Police at national and state levels cooperate in many instances according to procedural laws known as equitable sharing. In addition, there are laws that make it difficult for criminals to get dirty money clean by methods of money laundering; for example, law requires that cash deposits greater than $10,000 to a bank account be reported by the bank to the federal government,[30] and there have been instances in which repeated cash deposits under this amount have looked suspicious to authorities even though they were done legitimately, leading to civil forfeiture seizures directly from a bank account. What has caused controversy is when the property of innocent persons is seized by police who believe that the seized items were involved in criminal activity.
A June 2019 study found that more equitable sharing funds do not translate into more crimes solved, not improving overall police effectiveness. Such funds also do not lead to less drug use. And forfeiture rates are linked to local economic performance, increasing when the local economy suffers, suggesting that such tactics are more geared towards raising revenue, not fighting crime.[31]
Prevalence
Although there are accessible statistics of seizures at the federal level, it often happens that the totals of forfeitures from both criminals and innocent owners are combined; for example, one report was that in 2010, government seized $2.5 billion in assets from criminals and innocent owners by forfeiture methods,[15] and the totals of assets seized incorrectly from innocent owners was not separated statistically. Further, since the United States is a federal republic with governments at both the national and state level, there are civil forfeiture seizures at the state level, which are not tracked and recorded in any central database,[11] which make it difficult to make assessments, since state laws and procedures vary widely. According to The Washington Post, federal asset forfeiture in 2014 accounted for over $5 billion going into Justice and Treasury Department coffers, while in comparison, official statistics show that the amount stolen from citizens by burglars during that same year was a mere $3.5 billion.[32]
Methods
Civil forfeiture begins when government suspects that a property is connected with illegal drug activity, and files a civil action:[22]
The government simply files a civil action in rem against the property itself, and then generally must prove, by a preponderance of the evidence, that the property is forfeitable under the applicable forfeiture statute. Civil forfeiture is independent of any criminal case, and because of this, the forfeiture action may be filed before indictment, after indictment, or even if there is no indictment. Likewise, civil forfeiture may be sought in cases in which the owner is criminally acquitted of the underlying crimes …
— Craig Gaumer, Assistant United States Attorney, 2007[22]
Properties that can be confiscated include real estate property such as a house or motel, cars, cash, jewelry, boats, and almost anything[15] suspected of being related to the manufacture and sale and transportation of illegal controlled substances, such as:
In a civil forfeiture case in the United States, the state is the plaintiff and a thing is the defendant—in this case, the thing is $25,180 cash that was seized by police under suspicion of being involved in illegal activity. In legal terms, it is an in rem case (against a thing) as opposed to an in personam case (against a person). Here is the docket for a real case that happened after police seized money.
One method of intercepting funds is by highway interdictions, typically along highway routes suspected to be used regularly by drug smugglers, often between Mexico and the United States.
News media have reported many examples:
Mandrel Stuart was not charged with a crime and there was no evidence of illegal activity but police seized his money because they assumed it was drug-related:[34]
Mandrel Stuart and his girlfriend were on a date driving on Interstate 66 … The traffic stop on that balmy afternoon in August 2012 was the beginning of a dizzying encounter that would leave Stuart shaken and wondering whether he had been singled out because he was black and had a police record. Over the next two hours, he would be detained without charges, handcuffed and taken to a nearby police station … stripped of $17,550 in cash … earned through … a small barbecue restaurant … he was going to use the money that night for supplies and equipment.
Javier Gonzalez was carrying $10,000 cash in a briefcase and got pulled over in Texas; deputies handed Gonzalez a waiver, that if he signed over the money and did not claim it later, he would not be arrested, but if he refused to sign the waiver, Gonzalez would be arrested for money-laundering.[17] Gonzalez signed the waiver wondering if the officers were real “officers of law” and wondering if he got robbed, but later sued the county, which lost, and returned his cash plus paid him $110,000 in damages plus attorney’s fees.[17]
Matt Lee of Clare, Michigan, was driving to California with $2,500 cash when pulled over by police in Nevada, who seized almost all of the cash under suspicion that it was a “drug run”; Lee hired an attorney who took half as his fee, leaving Lee with only $1130 remaining.[34]
I just couldn’t believe that police could do that to anyone … It’s like they are at war with innocent people.
Tan Nguyen. In 2008, a federal judge ordered $50,000 returned to a man after police seized the money during a traffic stop in Nebraska, after reviewing a recording of the seizure in which a sheriff’s deputy suggested that we “take his money and, um, count it as a drug seizure”.[15] Tan Nguyen’s $50,000 was confiscated by police during a traffic stop, and the county agreed to return the funds after a legal challenge.[35]
In May 2010 a couple was driving from New York to Florida and they were stopped by police because of a cracked windshield.[34] During questioning, the officer decided that $32,000 cash in the van was “probably involved in criminal or drug-related activity”, seized it, shared it with federal authorities under equitable sharing.[34] The victim hired a lawyer to get back the seized money who urged settling for half of the seized amount, and after the lawyer’s fees, the victim got back only $7,000.[34]
A 2013 The New Yorker piece detailed abuses in Tenaha, Texas, where police would target out-of-state drivers using rental cars, often not issuing traffic tickets, and disproportionately pulling over African Americans and Latino-Americans.[9] Police sometimes ask stopped motorists to sign “roadside property waivers”, which, unless signed, threaten criminal charges unless valuables are handed over; the waivers say, in effect, that victims will not contest the seizure in exchange for not being arrested.[9]
If a passing motorist does not sign a waiver and it becomes recorded as a legal case, the case names are often unusual.[9] In a civil forfeiture case, the asset itself is listed as the “defendant”.[15] For example, one case was titled State of Texas v. One Gold Crucifix, based on a traffic stop in which a woman was pulled over, no charges were filed, but this item of jewelry was seized.[9] Another case name was United States v. $35,651.11 in U.S. Currency.[30]
The Washington Post analyzed 400 seizures in 17 states that were examples of equitable sharing arrangements.[34] Police stop motorists under the pretext of a minor traffic infraction, and “analyze” the intentions of motorists by assessing nervousness, and request permission to search the vehicle without a warrant; however, of the 400 seizures studied by The Washington Post, police did not make any arrests.[34]
Other cash seizures
Cash has been seized in peculiar circumstances. For example, New York businessman James Lieto’s $392,000 in cash was seized by federal authorities, since his legitimate funds mixed up with illegal funds in an armored car that was seized by an FBI probe.[15] Lieto had to wait until the government’s criminal case was finished before he could get his money back, which took considerable time, and caused considerable financial hardship and stress.[15]
Police have broken into homes. In March 2012, in the middle of the night, without a warrant, New York City police burst into the home of Gerald Bryan, ransacked his belongings, ripped out light fixtures, arrested him, and seized $4,800 of his cash, but after a year, the case against him was dropped.[10] When Bryan tried to get back his money, he was told it was “too late” since the money had already been put into the police pension fund.[10] Victims of forfeiture often find themselves faced with fighting in a “labyrinthine” procedure to get their money back.[10]
In May, 2013, IRS agents seized $32,821 from the account of a restaurant owner in Arnolds Park, Iowa, on suspicion of tax evasion,[36] but the seizure was contested by lawyers from the Institute for Justice.[37][38]
The IRS is increasingly taking money from legitimate businesspeople who … run an honest cash business and make frequent cash deposits … The government doesn’t allege that she evaded taxes. The government doesn’t allege that she was depositing money from an illicit source. She’s simply depositing her own lawfully-earned money … that she gets from customers in her restaurant …
The U.S. Drug Enforcement Administration has been seizing cash from passengers on domestic flights. Agents seized $209 million in cash from travelers at the 15 busiest airports from 2006 to 2016, according to an investigation by USA Today.[39] Agents seized $82,373 from a passenger, transporting her father’s life savings, while boarding a domestic flight, despite any indication of criminal activity or drug use or charges, leading to a lawsuit to get the funds returned.[39]
Seizures of real estate
Prosecutors threatened to seize a motel, similar to this one owned by the Caswell family, when there was illegal drug use on the premises in Chelmsford, Massachusetts.
Police can seize not only cash from cars but real estate such as a person’s home. For example, homes have been seized even if someone other than the homeowner on the premises committed drug crimes without the owner’s awareness.[10] If the IRS suspects that property is involved with crime, or has been produced as a result of crime, then it has a pretext with which to seize it.[30] From 2010 to 2013, two motel owners were under constant threat of their property being seized after there were incidents of drug selling on the motel premises.[2] A judge ruled in 2013 that the owners could keep their motel since the owners did not know about the illegal activity and took all reasonable steps to prevent it.[2]
I’d like to see this law done away with, or heavily modified … This law, where you are presumed guilty and have to prove yourself innocent, is completely backward from any other law I’ve ever heard of. It’s hard to believe the government has that kind of power. It’s ridiculous. Prosecutors abuse it, and the average person can’t afford to fight it.
Police seized a house on the pretext that it was being used for selling drugs, after a couple’s son was arrested for selling $40 worth of illegal drugs.[12] In another case, homeowners Carl and Mary Shelden sold their house to a man who was later convicted of fraud, but because of the real estate transaction, the Sheldens got caught up in a 10-year legal battle that left them “virtually bankrupt”; after years, they finally got back their house but it was in badly damaged condition; the Sheldens had done nothing wrong.[13]
Seizures of vehicles
In Detroit, men suspected of hiring prostitutes had their automobiles seized.[10][13] An owner’s sailboat was taken after he was caught with a negligible amount of marijuana.[13] Members of the Bergen County Prosecutor’s Office were charged with fraud after knowingly selling counterfeit goods at an asset forfeiture auction.[40]
Seizures of firearms
Five states (California, Connecticut, Indiana, New York, and Oregon) have statutes that allow law enforcement officials to seize a person’s firearms without a warrant or court order if there is probable cause the individual is mentally unstable or may use the weapons to commit a crime. The weapons are to be held in the custody of the law enforcement agency until the case against the individual is dispositioned in a court of law; or the weapons must be returned to the owner if no criminal charges are filed within the timeframe specified by law. In practice, some law enforcement agencies in these states have been known to either sell or destroy seized firearms without compensating the owner after the legal matter that led to the initial seizure has been settled.[citation needed]
Seizures of funds in a bank account
The government can seize money directly from a bank account. One way this happens is when there are large numbers of cash deposits that government investigators suspect are structured as a way to avoid deposits exceeding $10,000, since deposits greater than that amount must be reported to the federal government. But it can happen that legitimate businesses have regular large deposits of cash. In one instance, the Internal Revenue Service waited for large deposits to be placed into an owner’s bank account, and then forced the bank by legal means to surrender it to the agency by means of a secret warrant;[30] authorities took $135,000 from Michigan restaurant owners, named the Cheung family, who made cash deposits from their Chinese restaurant.[29] In another instance, a businessman in New Jersey made repeated cash deposits to save for purchasing a house; each payment was below the $10,000 threshold for reporting to the government, but there were 21 deposits over a period of four months, which caused government to suspect that criminal activity was involved; as a result, the IRS seized $157,000 and the businessman was forced to hire an attorney to get his funds returned.[15] Officials seized $35,000 from the bank account of a grocery store “without any warning or explanation” in 2013.[29]
Contested seizures
After police and authorities have possession of cash or other seized property, there are two ways in which the seized assets become permanently theirs: first, if a prosecutor can prove that seized assets were connected to criminal activity in a courtroom, or second, if nobody tries to claim the seized assets.[41]What happens in many instances is that the assets revert to police ownership by default. If a victim challenges the seizure, prosecutors sometimes offer to return half of the seized funds as part of a deal in exchange for not suing.[17] Sometimes police, challenged by lawyers or by victims, volunteer to return all of the money provided that the victim promises not to sue police or prosecutors; according to The Washington Post, many victims sign simply to get some or all of their money back.[34] Victims often have “long legal struggles to get their money back”.[34] One estimate was that only one percent of federally taken property is ever returned to their former owners.[42]
Statistical evidence suggests a strong upward trend in recent years towards greater seizure activity. In 1986, the Department of Justice’s Asset Forfeiture Fund took in $93.7 million; in 2008, it took in $1 billion.[8] Much of this growth happened in the past decade; one analysis suggested that seizures had grown 600 percent from 2002 to 2012.[42] From 2005 to 2010, government seizures of assets from both criminals as well as innocent citizens went from $1.25 billion to $2.50 billion.[15] Federal authorities seized over $4 billion in 2013 through forfeiture, with some of the money being taken from innocent victims.[29] In 2010, there were 15,000 cases of forfeitures.[15] Over 12 years, agencies have taken $20 billion in cash, securities, other property from drug bosses and Wall Street tycoons as well as “ordinary Americans who have not committed crimes”.[42] One estimate was that in 85% of civil forfeiture instances, the property owner was never charged with a crime.[10] In 2010, there were 11,000 noncriminal forfeiture cases.[15] In 2010, claimants challenged 1,800 civil forfeiture seizures in federal court.[15]
States
The factual accuracy of parts of this article (those related to the States section) may be compromised due to out-of-date information. Please update this article to reflect recent events or newly available information.(July 2017)
Standards of proof in state forfeiture laws
Source: Institute for Justice[43]
Note: “9” means most protection for citizens
Civil forfeiture varies greatly state by state. An analysis by Sarah Stillman in The New Yorker suggested that states that place seized funds in neutral accounts, such as Maine, Missouri (which puts seized funds in accounts for public education), North Dakota, and Vermont, have been much less likely to have major scandals involving forfeiture abuse.[9] States like Texas and Virginia and Georgia, which have few restrictions on how police use the seized funds have had more scandals, as have states that allow the Equitable sharing program. With Equitable Sharing, state police can “skirt state restrictions on the use of funds”, according to Stillman.[9] In Florida, using Equitable Sharing, the small village of Bal Harbour raked in at least $71.5 million in three years by its vice squad by carrying out an undercover money laundering sting operation, but in the end, made no arrests.[9] In 2019, Arkansas enacted a new law that requires felony conviction before forfeiture of related assets with few exceptions.[50]
There are few restrictions on how police use seized assets.[9] Georgia investigators found more than $700,000 in “questionable expenses” by Camden County’s sheriff between 2004 and 2008, including a $90,000 Dodge Viper and a $79,000 boat.[14]
In Maryland, police forfeitures were $6 million in 2012 and $2.8 million in 2013.[41]
Minnesota
Minnesota passed a law in 2014 forbidding authorities from confiscating a suspect’s property unless they have been convicted of a crime or plead guilty to committing it.[51]
Missouri
Seized funds go into accounts earmarked for public education.[9]
Montana
In June 2015, governor Steve Bullock signed a law requiring authorities to first get a criminal conviction before seizing property through civil forfeiture.[48]
Nebraska
State civil forfeiture standard was beyond a reasonable doubt[8] but in 2016 it was changed to require a criminal conviction first before any assets could be seized.[49]
Nevada
There were allegations that Nevada police unlawfully took tens of thousands of dollars from motorists.[35]
New Mexico
Government took $800,000 from a used car dealer in Albuquerque, New Mexico, and held his money for many months before giving it back, but the seizure had an adverse effect on his business and on the owner’s health.[29] In 2015, New Mexico Governor Susana Martinez signed a bill into law making Civil Forfeiture illegal in New Mexico. The prohibition does not apply to property directly connected to the commission of a crime (e.g., money or property obtained through drug trafficking, or stolen property)[48][52]
New York
New York City ransacked a home, seized cash, but it was later returned.[10]
Seized funds or property are forfeited if any connection to any drug crime is proved by a preponderance of the evidence. Once forfeited, the seizing agency can keep and use the funds largely at its discretion. Due to the lack of any state reporting or centralized accounting, no accurate total of seizures is available, but estimates tend to run in the tens of millions each year, much from known drug trafficking corridors such as Interstate 40.[53] Notable abuses of forfeiture funds include prosecutors paying off student loans and living in seized houses rent free.[54]
Pennsylvania
In Philadelphia, it is often the homes of African-Americans and Hispanics who are targeted by civil forfeiture abuses; what happens in many instances is that a child or grandchild who doesn’t own the home is nabbed on a drug-related offense, and police use this as a pretext to seize the entire home.[9] In Philadelphia, authorities made thousands of “small-dollar seizures”; in 2010, the city filed 8,000 forfeiture cases, which amounted to $550 for the average take.[12] From 2002 to 2012, Philadelphia seized $64 million by means of its forfeiture program, a total that was more than that seized by Brooklyn and Los Angeles combined.[12]
Texas
In Texas, in Jim Wells County, authorities seized more than $1.5 million during a four-year period mostly off of U.S. Route 281, described as a “prime smuggling route for drugs going north and money coming south”.[17] Seized cash is a third of the budget of the sheriff’s department, allowing it to buy more equipment, high-powered rifles, and police vehicles.[17] There are few restrictions on how police use seized funds.[9] In some counties in Texas, 40% of police revenue comes from forfeitures.[9] Texas, with many smuggling corridors to Mexico, and police seized $125 million in 2007.[3]
Few restrictions on how police use seized assets.[9]
Washington, D.C.
Victims seeking to get their seized property back in Washington, D.C., may be charged up to $2500 for the right to challenge a police seizure in court, and it can take months or years for a decision to finally happen.[9]
Civil forfeiture has generated substantial controversy.
Proponents
FBIspecial agent Douglas Leff argues that civil forfeiture is a necessary tool for law enforcement to combat money laundering by criminal operatives.
Proponents argue that civil forfeiture tactics are necessary to help police fight serious crime.[42] It is seen as a vital and powerful weapon in the continuing battle against illegal drugs,[13][26] and effective at discouraging criminal activity.[15][30] It makes it easier for law enforcement to fight organized crime when they had trouble imprisoning offenders, since they could deprive them of their property and income when it is much harder to prove their guilt in a court of law.[10]
Prosecutors choose civil forfeiture not because of the standard of proof, but because it is often the only way to confiscate the instrumentalities of crime. The alternative, criminal forfeiture, requires a criminal trial and a conviction. Without civil forfeiture, we could not confiscate the assets of drug cartels whose leaders remain beyond the reach of United States extradition laws and who cannot be brought to trial. Moreover, criminal forfeiture reaches only a defendant’s own property. Without civil forfeiture, an airplane used to smuggle drugs could not be seized, even if the pilot was arrested, because the pilot invariably is not the owner of the plane. Nor could law enforcement agencies confiscate cash carried by a drug courier who doesn’t own it, or a building turned into a “crack house” by tenants with the knowing approval of the landlord.
— Gerald E. Mcdowell Chief, Asset Forfeiture & Money Laundering Section, Dept. of Justice, 1996, writing in The New York Times[26]
The head of the asset forfeiture section of the Department of Justice said that civil forfeiture of cash from innocents was insignificant compared to the “thousands of traffic stops” that bust major drug money couriers.[17]
What’s troubling to you? That a drug trafficker who’s bringing money from the U.S. to Mexico, who’s carrying hundreds of thousands of millions of dollars in cash in their pickup truck, who just sold dope and crack and cocaine to children in your playgrounds, and his money is being taken away? That troubles you?
Police used civil forfeiture laws to help return swindled funds to their owners. Photo: Convicted swindler Bernard Madoff.
Civil forfeiture has been used to restore money stolen by fraud and other schemes by corrupt politicians.[55] Civil forfeiture targets cybercrime, fraud, and scams in high finance at Wall Street, and money-laundering on a global scale.[42] It enables police to have sufficient power to “return money to crime victims” in instances of swindling or fraud.[15] Civil forfeiture laws were helpful in enabling authorities to seize and return swindled funds by the Bernard Madoff fraud.[15]
Proponents argue that government has sufficient safeguards in place so that individuals can challenge seizures if the need arises.[17] Justice William H. Rehnquist said in a Supreme Court decision that federal forfeiture in drug-related cases was not a punishment but served nonpunitive purposes such as encouraging people to be careful that their property was not used illegally.[16] A lobbyist for the Maryland State Police named Thomas Williams argued that bills to require police to keep better records of seized property would cost law enforcement more time and money, and that trying to track seizures by multi-agency task forces would not be easy.[41] Proponents say that when claimants contest the seizures, they rarely win back their money, suggesting that the “system is working properly”.[15] Proponents say the system is monitored to make sure seizures are properly done.[15] In addition, the funds enable police forces to equip themselves further for more effective crime prevention; for example, a $3.8 million drug bust let officers equip their cars with $1,700 video cameras and heat-sensing equipment for a seven-member force.[13]
Critics
Critics include citizens, defense attorneys, and advocates for civil rights.[13] They point to serious instances of abuse in which innocent owners have been victimized.[42] Critics are from both sides of the political spectrum, from left-leaning groups such as the American Civil Liberties Union and right-leaning groups such as The Heritage Foundation.[15] The main criticisms of civil forfeiture proceedings are as follows:
Flawed judicial process. Critics suggest that civil forfeitures are mostly “devoid of due process”.[30] Arguments have been made that the seizures violate the Due Process Clause of the Constitution since owners have few means to challenge the seizures.[51] They see some seizures as assaults against individual rights.[29] Critics argue that criminals are treated better in the courts than innocent owners who have property seized, since criminals are often told they have a right to an attorney, and that the beyond a reasonable doubt standard of proof is much higher in criminal trials than in civil trials.[30] Burden of proof is shifted to victims to prove innocence.[8] Victims of civil forfeiture are considered guilty until proven innocent, thereby turning the principle of innocent until proven guilty on its head.[12][29][30] Because it is part of the civil justice system, there are no attorneys provided for defendants as can happen in some criminal trials; people who can not afford an attorney have slim chances of recovering their property.[12] Most cases are never heard by a jury or judge since victims are unable to fight the seizures by hiring a lawyer.[29] In contrast to principles of open justice, seizures are often done through sealed documents with a lack of transparency.[42] Clinical law professor Louis Rulli of the University of Pennsylvania said that a piece of property does not have the same rights as a human: no right to an attorney, no presumption of innocence.[9]
Excessive punishment. Justice John Paul Stevens said in a single dissenting vote in 1996 that civil forfeiture of a house, in which marijuana had been illegally processed, was an example of an excessive fine, and a violation of the Eighth Amendment, although the majority of the court disagreed.[16]
Critics contend that the lure of cash tempts police towards subverting the rules for personal gain.
Motivates police misbehavior. Critics contend that the system is set up in a way as to incentivize “perverse behavior” by “predatory government agencies”.[30] It makes it possible for government officials to seize property such as cash, vehicles, houses, and jewelry from people without ever convicting them for wrongdoing in a court or even charging them with a crime.[29] The cash and assets are a major temptation for police to presume that activity is illegal. Critics say the huge amount of money involved have a distorting effect on police, such that they are more interested in seizing cash rather than illegal drugs.[3] Seized assets can be used for police office expenses, new equipment, vehicles.[3] The profit motive, in which police can keep 90% or more of profits, “forms the rotten core of forfeiture abuse”.[8] Prosecutors and police have a strong incentive to seize property since the funds can be used to pay expenses of the District Attorney’s office, including salaries. Over a ten-year period, the forfeiture money collected was $25 million in Philadelphia, with seized funds being used to pay salaries for people working in the District Attorney’s office.[12] When funds are returned to the victim, it can happen that the funds come out of taxpayer money, not out of police funds such as a pension fund.[10] Seized amounts of money have gone for new police equipment, parties, travel expenses, training seminars, sometimes held in distant locations such as Las Vegas or Hawaii.[10] A Texas prosecutor used $25,000 in seized cash to take his office staff including spouses and a judge on a vacation to Hawaii.[10] There are no penalties for wrongful seizures, particularly when taxpayers pay when ill-gotten gains from innocent citizens must be returned, so there is an incentive to “find” a drug-related issue when police come across cash.[10] The incentives work against police seizing drugs but push them to seize cash instead:
If a cop stops a car going north with a trunk full of cocaine, that makes great press coverage, makes a great photo. Then they destroy the cocaine … If they catch ’em going south with a suitcase full of cash, the police department just paid for its budget for the year.
— Jack Fishman, former IRS agent, criminal defense attorney, 2008[3]
Innocent owners ensnared. Critics argue that innocent owners suffer emotionally and financially.[34]
Difficult to challenge seizures. The process forces property owners with limited financial abilities to have to hire attorneys and take time and money simply to “prove their innocence”.[30] Victims must actively fight to recover their seized property; if they do nothing, or wait, then they will lose everything.[30] If victims do not seek help from sympathetic lawyers such as those of the Institute for Justice, they can sometimes be offered to have a fraction of their property returned as part of a deal; critics have described the IRS as “bullies” practicing “extortion” against innocent citizens.[30] Procedures to get money back are often fraught with difficulty.[10] Retrieving seized property can be a “bureaucratic nightmare” where victims meet not with a judge or jury but with a prosecutor.[12]
Arbitrary punishments. Critics suggest that civil forfeitures can be arbitrary, varying significantly from one case to another; for example, Alan Finder in The New York Times wondered whether it was “fair that one driver loses a car worth $45,000 and another loses one worth $700?”, if each situation resulted from drunk driving arrests.[7]
Unfairly targets poor and politically weak persons. Many victims of civil forfeiture are “poor and politically weak” and unable to mount a sustained battle in the courts to get their property returned.[51]
Subverts state law. Local and state police often cooperate with federal authorities in what has been called equitable sharing agreements.[14] Since many states have laws restricting or limiting civil forfeitures, as well as requiring higher standards of proof before property can be taken, local police can sidestep these rules by treating the suspected criminal activity as a federal crime, and bringing in federal authorities.[14] As a result, after the seizure, local and federal agencies share the proceeds with 10% to 20% of it going to the federal agency and the remainder to the local police force.[14] Accordingly, equitable sharing “effectively subverts the will and intent of the state legislatures” and has been criticized by prominent civil rights attorney and property rights advocate Scott Bullock as being a “complete violation” of the principle of federalism.[14]
Extent of abuse. Proponents and critics differ about the extent of cases in which innocent persons had their property seized. Proponents argue that the cases are few in number, while critics contend that many instances of abuse happen without awareness by the public as a result of the signing of waivers, victims not challenging seizures for lack of knowledge, and other reasons related to a general lack of judicial transparency. The Baltimore Sun made reports that in 2012, half of victims with seized assets were not convicted of a crime.[41]
Efforts at reform
Comedian and political commentator John Oliver did a sixteen-minute segment on his show Last Week Tonight in 2014 discussing civil forfeiture.
There have been numerous reports in the media about systemic abuse of civil forfeiture. USA Today described it as “an increasingly common—and utterly outrageous—practice that can amount to legalized theft by police”.[56] Reporter Sarah Stillman writing in The New Yorker interviewed numerous police officers, lawyers, prosecutors, justices and plaintiffs around the United States and found that many had reservations that innocent Americans were being abused.[9]The New Yorker published a “sprawling investigation” about how cities abuse civil forfeiture to “bolster their cash-strapped coffers by seizing the assets of the poor, often on trumped up charges”.[10] Comedian John Oliver devoted a presentation to a satirical exposure of civil forfeiture in 2014.
Organizations working for reform, as well as helping individual victims, include the Institute for Justice, a libertariannonprofit law firm in Washington, D.C., which works to end civil forfeiture abuse.[30] It has helped numerous clients recover property seized by the government.[30] The Institute of Justice is helping one forfeiture victim sue the federal district court as well as the mayor, district attorney, and police commissioner in Philadelphia.[12] Scott Bullock, senior attorney at the Institute for Justice, advocates that civil forfeiture should be abolished except for use in enforcing maritime and customs laws, and require that any seizures be linked to criminal convictions of specific people.[57] If that is not possible, Bullock recommends that seized revenues be placed in neutral funds such as drug treatment efforts, that standards of proof for law enforcement be raised to ensure that police provide “clear and convincing evidence” of wrongdoing, that the burden of proof should be moved to government to prove wrongdoing, that seized assets should be tracked such that information is easily accessible by the public, and that the equitable sharing arrangement be abolished.[57] Sometimes victims turn to the American Civil Liberties Union (ACLU) for legal assistance in winning back their seized property.[42]
There has been opposition to civil forfeiture in some lower courts.[16] There have been attempts by lawmakers to introduce legislation to prevent abuses based on civil forfeiture procedures; one proposal was to raise the standard of proof necessary before property could be seized, and require government to prove that an owner of property was involved in an illegal criminal activity before such seizures could happen.[14] There have been class action lawsuits against authorities, such as one in East Texas by black and Latino drivers; the suit alleges that police took $3 million from 2006 to 2008 in 140 separate incidents.[35] One reform effort is to require authorities to keep better records about seized assets.[41]
In 2015, the New Mexico legislature outlawed civil forfeiture.[52] Also in 2015 a number of criminal justice reformers, including the Koch family foundations and the ACLU, announced plans to advocate the reduction of asset forfeitures due to the disproportionate penalty it places on low-income wrongdoers; the forfeiture of private property in such cases often results in the deprivation of the majority of an individual’s wealth.[58]
As civil forfeiture may not be allowed a new practice has emerged. By classifying valuables such as cars, cellphones, and wallets with cash as evidence the police can keep them and by making it very difficult and time consuming to get them back. After 120 days the police can sell the items.[59]
Marijuana legalization and forfeiture
The Drug Enforcement Administration (DEA) has been using civil forfeiture as one way of funding their efforts to combat the use of illegal drugs, including marijuana, which continues to be illegal to possess under Federal law as of 2019.[60][61] According to government figures, the DEA collected $18 million in 2013 as part of its Cannabis Eradication Program.[62] Proponents in favor of legalizing marijuana have objected to this practice, which includes DEA seizures of properties in which marijuana is used and sold. A bill has been proposed in the United States Congress to eliminate this source of funding.[63][64] As more states progress towards legalizing marijuana for medical use and for recreational use, there are more businesses to sell marijuana, sometimes called dispensaries or “weed shops”. A report in The Guardian in 2015 suggested that such shops operated in a “tricky gray zone”, so that even in the 23 states where medicinal cannabis is legal, such dispensaries can be “wiped out by a single visit from law enforcement”.[65] While state law may recognize such establishments as having a legal purpose, federal law does not recognize this, and conflicting interpretations can emerge, which can result in properties being confiscated.[65] It has sparked controversy and, in some instances, public outrage.
Story 3: Neither Government Dependency Nor Country Dependency Are Reliable When A Real Crisis Hits and Countries Commence Hoarding of Medicines, Medical Supplies and Equipment — United States Gets Most of Its Medicines and Ingredients for Drugs From Communist China — Wake Up Americas — Competition Not More Government or Country Dependence Is The Answer — Videos
New warning issued about US dependence on Chinese medicine
Health Scare Threat Over Dependence On Chinese Medicine
Warning: China’s control of generic drugs could be a threat to your life!
Addressing Our Perilous Dependence on Chinese Manufactured Drugs – Rosemary Gibson
Rosemary Gibson, “China Rx”
Rosemary Gibson, China Rx Author, speech at Made In America Event. “Our medicine is not made here.”
Growing Concerns Over China’s Control Of American Drug Supply | NBC Nightly News
Rising concern over safety of generic prescription drugs
Fentanyl: China’s Drug War Against the US | America Uncovered
Joe Rogan – The History of Fentanyl
U.S. policymakers worry about China ‘weaponizing’ drug exports
President Donald Trump and Chinese President Xi Jinping (right) so far have left pharmaceuticals out of the bilateral trade war. | Thomas Peter-Pool/Getty Images
By DOUG PALMER and FINBARR BERMINGHAM | SOUTH CHINA MORNING POST
Story 1: House Speaker Nancy Pelosi Green-lights Impeachment of President Trump — I Don’t Hate Nobody — Don’t Mess With Me — In Your Guts You Know She Is Nuts — Ain’t No Stoppin’ Us Now — Videos
Ingraham: All the Democrats’ lies
Tucker: Some questions Pelosi will have to answer
Judge Jeanine calls out ‘Trump-hating’ Democrats
Pelosi’s impeachment politics ‘will blow up in her face’: Ken Buck
Rep. Biggs pushes back on Pelosi’s impeachment announcement
BREAKING: Nancy Pelosi Asks For Articles of Impeachment for President Donald Trump
House Speaker Nancy Pelosi on Articles of Impeachment
Pelosi Says ‘Don’t Mess With Me’ Over Trump Hate Question
Pelosi: Impeachment has absolutely nothing to do with politics
Kennedy: ‘Laug hable’ impeachment is not about politics
McFadden & Whitehead – Ain’t No Stoppin’ Us Now 1979 (remastered audio)
Ain’t No Stoppin Us Now!
We’re on the move!
Ain’t No Stoppin Us Now!
We’ve got the groove!
There’s been so many things that’s held us down
But now it looks like things are finally comin’ around
I know we’ve got, a long long way to go
And where we’ll end up, I don’t know
But we won’t let nothin’ hold us back
We’re putting our selves together
We’re polishing up our act!
If you felt we’ve been held down before
I know you’ll refuse to be held down anymore!
Don’t you let nothing, nothing
Stand in your way!
I want ya’ll to listen, listen
To every word I say, every word I say!
Ain’t No Stoppin Us Now!
We’re on the move!
Ain’t No Stoppin Us Now!
We’ve got the groove!
Ain’t No Stoppin Us Now!
We’re on the move!
Ain’t No Stoppin Us Now!
We’ve got the groove!
I know you know someone that has a negative vow
And if you’re trying to make it they only push you aside
They really don’t have, no where to go
Ask them where they’re going, they don’t know
But we won’t let nothin’ hold us back
We’re gonna put our selves together
We’re gonna polish up our act!
And if you’ve ever been held down before
I know you’ll refuse to be held down anymore!
Don’t you let nothing, nothing
Stand in your way!
I want ya’ll to listen, listen
To every word I say, every word I say!
Ain’t No Stoppin Us Now!
We’re on the move!
Ain’t No Stoppin Us Now!
We’ve got the groove!
Ain’t No Stoppin Us Now!
We’re on the move!
‘Don’t mess with me’: Moment nail-spitting Nancy Pelosi ERUPTS when reporter asks if she hates Donald Trump after she ordered Democrats to write formal articles of impeachment
Pelosi said she is instructing committees to proceed with impeachment articles against the president: ‘Our democracy is what is at stake’
When a reporter asked her, ‘Do you hate the president?’ she became unusually angry and insisted she doesn’t ‘hate’ anyone
Pelosi said she prays for the president but Trump tweeted that he doesn’t believe her
Democrats are hurrying to compete their work by the end of the year; speaker didn’t say when she might call a vote
Democrats are debating whether to include an article on obstruction of justice as laid out in the report by special counsel Robert Mueller
Politicians are split along party lines on whether Trump committed an impeachable offense when he asked Ukraine president to investigate Joe Biden
House Speaker Nancy Pelosi erupted Thursday at a reporter who asked if she hates President Donald Trump. Pelosi had two hours earlier publicly told House Democrats to draft articles of impeachment to try to remove the president from office.
‘Do you hate the president, Madam Speaker?’ asked James Rosen, a longtime correspondent for Fox News who is now with Sinclair Broadcasting.
Pelosi, typically even-tempered, abandoned her measured speaking and became visibly angry.
‘I pray for the president all the time,’ she shot back. ‘So don’t mess with me when it comes to words like that.’
Trump wasted little time in escalating the feud with the Democrat who wants him ousted from power.
‘Nancy Pelosi just had a nervous fit. … She says she “prays for the President.” I don’t believe her, not even close,’ he wrote in a tweet.
‘She hates that we will soon have 182 great new judges and sooo much more. Stock Market and employment records,’ he added, before sniping about her hometown San Francisco’s chronic homelessness problem.
The California Democrat had said before storming off the stage that hatred ‘has nothing to do with’ her crusade to impeach Trump.
When reporter asked House Speaker Nancy Pelosi, ‘Do you hate the president?’ she became unusually angry and insisted she doesn’t ‘hate’ anyone: ‘Don’t mess with me when it comes to words like that!’
Pelosi erupted in response to a question from Sinclair Broadcasting reporter James Rosen (center-right, arm raised), who asked whether she hates Trump
Pelosisaid she prays for Trump, and he tweeted that he doesn’t believe it: ‘Not even close’
Pelosi insisted she hates no one, and that she often prays for the president
Pelosi confirms House to draft impeachment charges against Trump
‘Let me say this: I think the president is a coward when it comes to helping kids who are afraid of gun violence. I think he is cruel when he doesn’t deal with helping our dreamers, of which we’re very proud. I think he’s in denial about the climate crisis,’ she said.
But ‘take it up in the election,’ Pelosi continued. ‘This is about the Constitution of the United States and the fact that leads to the president’s violation of his oath of office. And as a Catholic, I resent your using the word “hate” in a sentence that addresses me. I don’t hate anyone.’
Pelosi’s decision to fast-track impeachment articles, the congressional equivalent of criminal charges against Trump, sets up an almost certainly successful House vote likely trial in the Senate, with implications for not only the Trump presidency but control of Congress.
‘Our democracy is what is at stake,’ the longtime liberal lawmaker told reporters in a formal statement outside her ornate balcony on the second floor of the Capitol. ‘Today I am asking our chairmen to proceed with articles of impeachment.’
She did not specify which articles of impeachment she favored—an issue of intense debate within her caucus—or how quickly she might call a vote, another fraught question.
The speaker also left no doubt where she personally comes down on the matter, after spending many months initially resisting a push to impeach.
‘The president’s actions have seriously violated the Constitution,’ she said in her televised statement, speaking in somber tones in a measured voice.
‘His wrongdoing strikes at the very heart of our Constitution it’s separation of powers,’ she intoned – ‘three coequal branches, each a check and balance on the other.’
Trump quickly attacked the move on Twitter, warning Democrats were impeaching him over ‘NOTHING.’
Speaker of the House Nancy Pelosi said she has instructed House committees to draw up impeachment articles against President Trump
President Trump countered on Twitter that Democrats were impeaching him over ‘NOTHING’
He said their actions would lower the bar and be ‘used routinely to attack future Presidents’
‘Impeachment will be used routinely to attack future Presidents. That is not what our Founders had in mind,’ Trump retorted on Twitter.
She also appeared to suggest the potential for a sweeping set of impeachment articles – by accusing Trump of corruption in the 2016 election alongside his more recent moves. The House Intelligence Committee’s inquiry dealt primarily with Trump’s actions as recently as this fall and summer dealing with Ukraine.
‘The president leaves us no choice but to act, because he is trying to corrupt, once again, the election for his own benefit,’ Pelosi said.
What we do know on impeachment after Pelosi’s speech (and what we don’t)
WHAT WE KNOW
Democratic committees will draft articles of impeachment for president Trump.
Pelosi used plural language, implying the House Intelligence Committee would continue to be involved, although Judiciary is the place such action would occur.
The committee must hold formal public hearings where articles would be voted on by members.
If those articles are ordered reported in Committee, House leaders would then bring them quickly to the House floor for a vote.
There would be public debate before such a vote, and each member’s vote will be recorded.
Then, the matter will go to the Senate, where Senate leaders have said a trial will occur.
WHAT WE DON’T KNOW
Pelosi didn’t say what the impeachment articles would be.
She didn’t say whether obstruction of justice – alleged in the Mueller report – would be included.
Obstruction of Congress is another possibility.
Lawmakers are considering various abuse of power related articles.
She did not say when committees would act.
She didn’t say when the goal would be to have the House vote – or if year’s end is the official goal.
She did not speak on the likelihood of passage, although she would be unlikely to proceed without knowing the outcome.
Pelosi did not reveal who House impeachment managers will be. They are charged with arguing the case in the Senate.
The terms of the Senate trial are fluid. Witnesses are called, but it is unclear if the White House will follow through on Trump’s call to bring forward Pelosi, Adam Schiff, and the Bidens as witnesses.
The timing is also unknown. Senate Leader Mitch McConnell has blocked out time in January – but Democratic presidential primaries start in early February.
‘The president has engaged in abuse of power, undermining our national security and jeopardizing the integrity of our elections,’ she continued. ‘His actions are in defiance of the vision of our founders and the oath of office that he takes to “preserve, protect, and defend the Constitution of the United States.”‘
‘Sadly, but with confidence and humility, with allegiance to our founders, and a heart full of love for America, today I am asking our chairmen to proceed with articles of impeachment.’
She thanked committee chairs and members ‘for their somber approach’ to deal with actions the president made ‘necessary.’
The Catholic lawmaker invoked Declaration of Independence signers’ reliance on Divine Provenance.
She said Democrats were ‘prayerful’ and will proceed in a manner ‘worthy of our oath of office.’
There is much Pelosi did not say about a way forward – including what precise articles she wants the House Judiciary to draw up. The House intelligence committee, which began the probe under Pelosi ally Adam Schiff, has said it will continue its inquiry.
Seeking to bring her comments above the partisan mud fest that the two initial public hearings have become, Pelosi quoted a long list of Founders in her comments: James Madison, Thomas Jefferson, George Mason and and Constitution signer Gouverneur Morris.
‘The founders feared the return of the monarchy in America,’ Pelosi said, in terms that compared Trump to a corrupt tyrant and a king. In particular, she said, they feared one who ‘might betray his trust to for powers,’ she said.
Pelosi, who for months resisted the drive that began among members of her party’s liberal wing, has since jumped aboard, setting up a House Intelligence impeachment inquiry and Wednesday Judiciary Committee hearing.
Minutes before Pelosi was to announce her plans, President Trump weighed in with his own suggestion that Democrats hurry up their House effort to bring on a trial.
‘The Do Nothing Democrats had a historically bad day yesterday in the House. They have no Impeachment case and are demeaning our Country. But nothing matters to them, they have gone crazy. Therefore I say, if you are going to impeach me, do it now, fast, so we can have a fair …trial in the Senate, and so that our Country can get back to business,’ Trump wrote.
‘We will have Schiff, the Bidens, Pelosi and many more testify, and will reveal, for the first time, how corrupt our system really is,’ he said, laying out plans that lawmakers and his legal team might or might not go along with. ‘I was elected to ‘Clean the Swamp,’ and that’s what I am doing!’ he added.
Trump campaign manager Brad Parscale used similar language in his own statement.
‘We are less than a year away from Election Day 2020 and Democrats can’t possibly explain to the American people why they want to take the decision of who should be president out of the hands of voters,’ he wrote.
‘But impeaching the President has always been their goal, so they should just get on with it so we can have a fair trial in the Senate and expose The Swamp for what it is. Speaker Pelosi, Chairman Schiff, and Hunter Biden should testify, and then we can get back to the business of our country.’
+17
Do US a favor: Trump said he was asking Ukraine to help ‘our Country’ by investigating Joe Biden and the 2016 elections
He called on Democrats to apologize to the American people
‘Our democracy is what is at stake,’ the longtime California lawmaker said
She spoke in the corridor outside the Speaker’s balcony in the Capitol before a bank of American flags
The president is focused on making the case against impeachment in the Senate, the White House signaled Wednesday as House Democrats continue to plow toward recommending impeachment to the upper chamber.
Senate Majority Leader Mitch McConnell, who holds considerable sway over how impeachment will go in his chamber, said on the Floor Thursday: ‘For weeks now, Republicans have beeen asking Democrats to take off their impeachment blinders and let Congress legislate for the American people.’ He said ‘Democrats literally obsess over impeachment.’
Today, he said, ‘the Speaker gave a speech on national television to push forward her rushed and partisan impeachment. Not one word, not one word on the outstanding legislation the American people actually need. Nothing on USMCA or the NDAA or funding for our armed forces. All impeachment, all the time, said McConnell, who served in the Senate during the impeachment of President Bill Clinton, whom he accused at the time of a ‘persistent pattern and practice of obstruction of justice.’
White House director of legislative affairs Eric Ueland, a longtime former Senate aide, said Trump ‘wants his case made fully in the Senate.’
‘In this instance, we believe very strongly — given the fatally flawed process in the House — that if they were to elect against our better advice [and] send over impeachment to the Senate, that we need witnesses as part of our trial and a full defense of the president on the facts,’ Ueland told reporters, gesturing toward the Senate chamber, according to The Washington Post.
Ueland, along with White House Counsel Pat Cipollone, met with GOP senators on Wednesday as the House Judiciary Committee conducted its first public hearing.
President Donald Trump and Ukrainian President Volodymyr Zelensky looks on during a meeting in New York on September 25, 2019, on the sidelines of the United Nations General Assembly
Pelosi’s statement was carried on multiple platforms
Ueland signaled that the White House was focused on the likely Senate trial where he feels they will be able to make a fair defense.
While speaking with reporters at the White House Monday, the president’s counselor, Kellyanne Conway, said Intelligence Chairman Adam Schiff should testify because he is a fact witness in the impeachment inquiry.
She even said if Schiff testified under oath Wednesday before the Judiciary Committee she would show up on Capitol Hill.
Republicans have also asserted that Hunter Biden should appear to testify – since his business dealings in Ukraine are also at the center of the president’s actions that led to the impeachment inquiry.
Trump’s missive came a day after key White House advisors lunched with Senate Republicans to plot strategy on how to handle impeachment in the Senate.
Trump’s push for speedy House Democratic action, if sincere, would put him on the same page as Democratic leaders, who have been fearful of dragging out impeachment long into the new year. They fear it could interfere with their party’s message of working on kitchen table issues like health care and prescription drug costs.
To date, Pelosi has refrained from sweeping pronouncements on process, preferring to let House committees and investigations go forward at their own pace, at least publicly.
‘Are you ready?’ she asked her colleagues Wednesday during a closed-door meeting, earning yells of approval from fellow Democrats, the Washington Post reported.
She has yet to give lawmakers a firm timeline for what comes next – although all indications are that Democrats are rushing to complete impeachment by the end of the year.
That would provide barely enough time for Judiciary to consider and vote on articles of impeachment, setting up a House vote. That could bring a Senate trial early next year.
For that to happen, though Democrats must reach some decisions among themselves over how expansive a set of impeachment articles they want to craft.
The House Intelligence Committee kept its public hearings to Trump’ and his administration and emissaries’ conduct – and its 300-page report dealt with alleged abuse of power and obstruction of Congress.
But some influential Democrats want to plumb the findings of former Special Counsel Robert Mueller’s 448-page report, which investigated 10 instances of potential obstruction of justice.
Some Democrats are pushing the party to incorporate Mueller’s report on Russian interference in the 2016 election and other actions by Trump as articles of impeachment.
Democrats say no decision has been made at this point on the specific charges. They could include abuse of power, bribery, obstruction of Congress and obstruction of justice.
More centrist and moderate Democrats prefer to stick with the Ukraine matter as a simpler narrative that Americans understand. As complex as the Ukraine affair has become, it has the virtue of being a more contained set of circumstances.
Obstruction of justice could encompass Trump’s conduct allegedly trying to shut down the Mueller probe, his interactions with former White House counsel Don McGahn, payments to porn star Stormy Daniels, and a variety of ancillary issues.
Either way, Democrats could begin drafting articles of impeachment in a matter of days, with a Judiciary Committee vote next week.
The full House could vote by Christmas. Then the matter would move to the Senate for a trial in 2020.
Democrats are debating whether to include an article on obstruction of justice as laid out in the report by special counsel Robert Mueller. House Intelligence Committee Chairman Adam Schiff,left, is leading the impeachment hearings
House Intelligence Committee Chairman Adam Schiff, D-Calif., speaks during a news conference on Capitol Hill in Washington, Tuesday, Dec. 3, 2019
On Wednesday, three leading legal scholars testified that President Donald Trump’s attempts to have Ukraine investigate Democratic rivals are grounds for impeachment.
The legal opinions bolster the Democrats’ case as House Speaker Nancy Pelosi makes sure they’re prepared for that momentous next step.
A fourth expert called by Republicans at the Judiciary Committee warned against rushing the process, arguing it would be the shortest of impeachment proceedings, with the ‘thinnest’ record of evidence in modern times, setting a worrisome standard.
Meeting behind closed doors ahead of the initial Judiciary hearing to consider potential articles of impeachment, Pelosi asked House Democrats a simple question: ‘Are you ready?’
The answer was a resounding yes.
Rep. Doug Collins, R-Ga., the ranking member of the House Judiciary Committee, joined at left by Chairman Jerrold Nadler, D-N.Y., makes his opening statements on Wednesday
Though no date has been set, the Democrats are charging toward a Christmastime vote on removing the 45th president. It’s a starkly partisan undertaking, a situation Pelosi hoped to avoid but now seems inevitable.
Trump is alleged to have abused the power of his office by putting personal political gain over national security interests, engaging in bribery by withholding $400 million in military aid Congress had approved for Ukraine; and then obstructing Congress by stonewalling the investigation.
Across the Capitol on Wednesday, the polarizing political divide over impeachment, only the fourth such inquiry in the nation´s history, was on display.
At the Judiciary hearing Democrats sided with the scholars who said Trump´s actions reached the Constitution´s threshold of ‘bribery or other high crimes and misdemeanors.’ Republicans pointed to the lone professor they were allowed to invite, who said impeachment was not warranted.
Democrats in the House say the inquiry is a duty. Republican representatives say it’s a sham. And quietly senators of both parties conferred on Wednesday, preparing for an eventual Trump trial.
‘Never before, in the history of the republic, have we been forced to consider the conduct of a president who appears to have solicited personal, political favors from a foreign government,’ said Rep. Jerrold Nadler, D-N.Y., as he gaveled open the landmark House hearing.
Nadler said Trump’s phone call seeking a ‘favor’ from Ukrainian President Volodymyr Zelenskiy wasn’t the first time he had sought foreign help to influence an American election, noting Russian interference in 2016. He warned against inaction with a new campaign underway.
‘We cannot wait for the election,’ he said. ‘ If we do not act to hold him in check, now, President Trump will almost certainly try again to solicit interference in the election for his personal political gain.’
Trump, attending a NATO meeting in London called the hearing a ‘joke’ and doubted many people would watch because it’s ‘boring.’
Once an outsider to the GOP, Trump now has Republicans’ unwavering support. They joined in his name-calling the Judiciary proceedings a ‘disgrace’ and unfair, the dredging up of unfounded allegations as part of an effort to undo the 2016 election and remove him from office.
‘You just don’t like the guy,’ said Rep. Doug Collins of Georgia, the top Republican on the panel. Trump rewarded some of his allies with politically valuable presidential tweets as the daylong hearing dragged into the evening.
Despite the intent of America’s Founding Fathers to create a durable system of legal checks and balances, impeachment is an admittedly political exercise. Thus Pelosi asked her still-new majority if they were willing to press onward, aware of still-uncertain electoral risks.
At the Democrats’ private morning meeting, support for the impeachment effort was vigorous, though voting to remove Trump could come hard for some lawmakers in regions where the president has substantial backing.
The Democratic lawmakers also delivered a standing ovation to Rep. Adam Schiff, whose 300-page Intelligence Committee report cataloged potential grounds for impeachment, overwhelmingly indicating they want to continue to press the inquiry rather than slow its advance or call a halt for fear of political costs in next year’s congressional elections. The meeting was described by people familiar with it, who were unauthorized to discuss it by name and were granted anonymity.
Meanwhile, Trump’s team fanned out across the Capitol with Vice President Mike Pence meeting with House Republicans and White House officials conferring with Senate Republicans to prepare for what could be the first presidential impeachment trial in a generation.
From left, Constitutional law experts, Harvard Law School professor Noah Feldman, Stanford Law School professor Pamela Karlan, University of North Carolina Law School professor Michael Gerhardt and George Washington University Law School professor Jonathan Turley
White House Counsel Pat Cipollone, who has declined for now to participate in the House proceedings, relayed Trump’s hope that the impeachment effort can be stopped in the House and there will be no need for a Senate trial, which seems unlikely.
White House officials and others said Trump is eager to have his say. Sen. Roy Blunt, R-Mo., said, ‘He feels like he has had no opportunity to tell his side of the story.’
Trump lambastes the impeachment probe daily and proclaims his innocence of any wrongdoing at length, but he has declined to testify before House hearings or answer questions in writing.
At the heart of the inquiry is his July 25 phone call asking Ukraine to investigate rival Democrats including Joe Biden. Trump at the time was withholding $400 million in military aid from the ally, which faced an aggressive Russia on its border.
At Wednesday’s session, three legal experts called by Democrats said impeachment was merited.
Noah Feldman, a Harvard Law School professor, said he considered it clear that the president’s conduct met the definition of ‘high crimes and misdemeanors.’ Said Michael Gerhardt, a University of North Carolina law professor, ‘If what we’re talking about is not impeachable … then nothing is impeachable.’
Pamela Karlan, a Stanford Law School professor and former Obama administration Justice Department official, drew criticism for mentioning Trump’s teenage son, Barron, in a wordplay, violating an unwritten but firm Washington rule against dragging first family’s children into politics.
The only Republican witness, Jonathan Turley, a law professor at George Washington University, dissented from the other legal experts. He said the Democrats were bringing a ‘slipshod impeachment’ case against the president, but he didn’t excuse Trump’s behavior.
‘It is not wrong because President Trump is right,’ Turley said. ‘A case for impeachment could be made, but it cannot be made on this record.’
New telephone records released with the House report deepened Trump lawyer Rudy Giuliani’s known involvement in what investigators call the ‘scheme.’
Asked about that, Trump told reporters he doesn’t know why Giuliani was calling the White House Office of Management and Budget, which was withholding the military aid to Ukraine.
‘You have to ask him,’ Trump said. ‘Sounds like something that’s not so complicated. … No big deal.’
Based on two months of investigation sparked by a still-anonymous government whistleblower’s complaint, the Intelligence Committee’s Trump-Ukraine Impeachment Inquiry Report found that Trump ‘sought to undermine the integrity of the U.S. presidential election process and endangered U.S. national security.’ When Congress began investigating, it says, Trump obstructed the investigation like no other president in history.
Republicans defended the president in a 123-page rebuttal claiming Trump never intended to pressure Ukraine when he asked for investigations of Biden and his son.
Democrats once hoped to sway Republicans to consider Trump’s removal, but they are now facing an ever-hardening partisan split over the swift-moving proceedings that are dividing Congress and the country.
Trump says he was telling Ukraine’s president to help the COUNTRY when he asked him to ‘do us a favor’ by investigating Joe Biden
Donald Trump‘s efforts to push the Ukrainian president to investigate Joe Biden weren’t done for his own benefit, but for the nation’s the president said online after returning to the U.S. from a trip to London.
Trump offered the latest defense of his ‘perfect’ phone call with Ukrainian President Volodymr Zelensky about two hours after returning home from a trip that had the president clashing with European leaders just as the House Judiciary Committee held its first impeachment hearing on his fate.
President Donald Trump
Trump explained his position in two long tweets. ‘When I said, in my phone call to the President of Ukraine, ‘I would like you to do US a favor though because our country has been through a lot and Ukraine knows a lot about it.’ With the word ‘us’ I am referring to the United States, our Country,’ he wrote.
‘I then went on to say that … ‘I would like to have the Attorney General (of the United States) call you or your people…..’ This, based on what I have seen, is their big point – and it is no point at a all (except for a big win for me!).’
Trump concluded: ‘The Democrats should apologize to the American people!’
Trump’s July 25th phone call has become the center of a Democratic impeachment push. In it, he asked Zelensky to investigate Biden and contact Barr, who in addition to guiding the release of the Mueller report has named a federal prosecutor to probe alleged FBI misconduct in the Russia probe.
After Zelensky mentions anti-tank missiles he wants to fend off Russia, Trump says ‘I would like you to do us a favor though because our country has been through a lot and Ukraine knows a lot about it.’
He then mentions a conspiracy theory about the Democratic 2016 election server and the Crowdstrike security firm asks Zelensky to ‘get to the bottom of it.’ He then mentions a ‘very poor performance by a man named Robert Mueller, an incompetent performance, but they say a lot of it started with Ukraine.’ He said it was ‘very important’ that Zelensky do it.
He also asks Zelensky to contact his personal lawyer Rudy Giuliani, brings up Hunter Biden’s son, and calls the former U.S. ambassador to Ukraine ‘bad news.’
Trump’s defense of his call came as a trio of legal scholars called by Democrats blasted his conduct as a clear breach of the Constitution.
They all argued for impeachment in their opening statements before the panel.
‘I just want to stress, that if this – if what we’re talking about is not impeachable, than nothing is impeachable,’ said Michael Gerhardt, a law professor at the University of North Carolina.
‘This is precisely the misconduct that the framers created a constitution – including impeachment – to protect against,’ he said. ‘If Congress concludes that they’re going to give a pass to the president here… every other president will say, ‘Ok, then I can do the same thing.’
Stanford law professor Pamela Karlan told lawmakers the most ‘chilling’ line in testimony she reviewed came from ambassador to the EU Gordon Sondland who said he had never heard that the Ukrainians needed to go through with the investigations, just announce them publicly.
‘This was about injuring someone who the president thinks of as a particularly hard opponent,’ she said in reference to Joe Biden.
Karlan said of the Founders: ‘The very idea that a president might seek the aid of a foreign government in his reelection campaign would have horrified them. But based on the evidentiary record, that is what President Trump has done,’ she said.
But the Republican witness, George Washington University law professor Jonathan Turley, said he did not think there was any way Trump’s conduct rose to the level of impeachment.
House Speaker Nancy Pelosi’s full press statement on articles of impeachment on President Trump
Good morning.
Let us begin where our Founders began in 1776: ‘When in the Course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another…’
With those words, our Founders courageously began our Declaration of Independence from an oppressive monarch, for, among other grievances, the King’s refusal to follow rightfully-passed laws.
In the course of today’s events, it becomes necessary for us to address, among other grievances, the President’s failure to faithfully execute the law.
When crafting the Constitution, the Founders feared the return of a monarchy in America. And, having just fought a war of independence, they specifically feared the prospect of a king president corrupted by foreign influence.
During the Constitutional Convention, James Madison – the architect of the Constitution – warned that a President might ‘betray his trust to foreign powers… which might prove fatal to the republic.’
Another Founder, Gouverneur Morris, feared that a president ‘may be bribed by a greater interest to betray his trust.’ He emphasized that, ‘This Magistrate is not the King…The people are the King.’
They therefore created a constitutional remedy to protect against a dangerous or corrupt leader: impeachment.
Unless the Constitution contained an impeachment provision, one Founder warned, a president might ‘spare no efforts or means whatever to get himself re-elected.’
Similarly, George Mason insisted that a president who ‘procured his appointment in the first instance’ through improper and corrupt acts might ‘repeat his guilt’ and return to power.
During the debate over impeachment at the Constitutional Convention, George Mason asked: ‘Shall any man be above justice? Shall that man be above it who can commit the most extensive injustice?’
In his great wisdom, he knew that injustice committed by the President erodes the rule of law – the very idea that – of fair justice, which is the bedrock of our democracy.
And if we allow a president to be above the law, we do so surely at the peril of our republic.
In America, no one is above the law.
Over the past few weeks, through the Intelligence Committee working with the Foreign Affairs and Oversight Committees, the American people have heard the testimony of truly patriotic career public servants, distinguished diplomats and decorated war heroes: some of the President’s own appointees.
The facts are uncontested: the President abused his power for his own personal, political benefit at the expense of our national security, by withholding military aid and a crucial Oval Office meeting in exchange for an announcement of an investigation into his political rival.
Yesterday, the Judiciary Committee – at the Judiciary Committee, the American people heard testimony from leading American constitutional scholars who illuminated, without a doubt, that the President’s actions are a profound violation of the public trust.
The President’s actions have seriously violated the Constitution – especially when he says and acts upon the belief, ‘Article II says, I can do whatever I want.’
No. His wrongdoing strikes at the very heart of our Constitution: a separation of powers, three co-equal branches, each a check and balance on the other; ‘a Republic, if we can keep it,’ said Benjamin Franklin.
Our Democracy is what is at stake. The President leaves us no choice but to act, because he is trying to corrupt, once again, the election for his own benefit.
The President has engaged in abuse of power undermining our national security and jeopardizing the integrity of our elections.
His actions are in defiance of the vision of our Founders and the oath of office that he takes ‘to preserve, protect and defend the Constitution of the United States.’
Sadly, but with confidence and humility, with allegiance to our Founders and our hearts full of love for America, today, I am asking our Chairmen to proceed with articles of impeachment.
I commend our Committee Chairs and our Members for their somber approach to actions which I wish the President had not made necessary.
In signing the Declaration of Independence, our Founders invoked a firm reliance on divine providence.
Democrats too are prayerful.
And we will proceed in a manner worthy of our oath of office to support and defend the Constitution of the United States from all enemies foreign and domestic, so help us God.
Note: The following text is a transcription of the Stone Engraving of the parchment Declaration of Independence (the document on display in the Rotunda at the National Archives Museum.) The spelling and punctuation reflects the original.
In Congress, July 4, 1776.
The unanimous Declaration of the thirteen united States of America, When in the Course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another, and to assume among the powers of the earth, the separate and equal station to which the Laws of Nature and of Nature’s God entitle them, a decent respect to the opinions of mankind requires that they should declare the causes which impel them to the separation.
We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.–That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed, –That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness. Prudence, indeed, will dictate that Governments long established should not be changed for light and transient causes; and accordingly all experience hath shewn, that mankind are more disposed to suffer, while evils are sufferable, than to right themselves by abolishing the forms to which they are accustomed. But when a long train of abuses and usurpations, pursuing invariably the same Object evinces a design to reduce them under absolute Despotism, it is their right, it is their duty, to throw off such Government, and to provide new Guards for their future security.–Such has been the patient sufferance of these Colonies; and such is now the necessity which constrains them to alter their former Systems of Government. The history of the present King of Great Britain is a history of repeated injuries and usurpations, all having in direct object the establishment of an absolute Tyranny over these States. To prove this, let Facts be submitted to a candid world.
He has refused his Assent to Laws, the most wholesome and necessary for the public good.
He has forbidden his Governors to pass Laws of immediate and pressing importance, unless suspended in their operation till his Assent should be obtained; and when so suspended, he has utterly neglected to attend to them.
He has refused to pass other Laws for the accommodation of large districts of people, unless those people would relinquish the right of Representation in the Legislature, a right inestimable to them and formidable to tyrants only.
He has called together legislative bodies at places unusual, uncomfortable, and distant from the depository of their public Records, for the sole purpose of fatiguing them into compliance with his measures.
He has dissolved Representative Houses repeatedly, for opposing with manly firmness his invasions on the rights of the people.
He has refused for a long time, after such dissolutions, to cause others to be elected; whereby the Legislative powers, incapable of Annihilation, have returned to the People at large for their exercise; the State remaining in the mean time exposed to all the dangers of invasion from without, and convulsions within.
He has endeavoured to prevent the population of these States; for that purpose obstructing the Laws for Naturalization of Foreigners; refusing to pass others to encourage their migrations hither, and raising the conditions of new Appropriations of Lands.
He has obstructed the Administration of Justice, by refusing his Assent to Laws for establishing Judiciary powers.
He has made Judges dependent on his Will alone, for the tenure of their offices, and the amount and payment of their salaries.
He has erected a multitude of New Offices, and sent hither swarms of Officers to harrass our people, and eat out their substance.
He has kept among us, in times of peace, Standing Armies without the Consent of our legislatures.
He has affected to render the Military independent of and superior to the Civil power.
He has combined with others to subject us to a jurisdiction foreign to our constitution, and unacknowledged by our laws; giving his Assent to their Acts of pretended Legislation:
For Quartering large bodies of armed troops among us:
For protecting them, by a mock Trial, from punishment for any Murders which they should commit on the Inhabitants of these States:
For cutting off our Trade with all parts of the world:
For imposing Taxes on us without our Consent:
For depriving us in many cases, of the benefits of Trial by Jury:
For transporting us beyond Seas to be tried for pretended offences
For abolishing the free System of English Laws in a neighbouring Province, establishing therein an Arbitrary government, and enlarging its Boundaries so as to render it at once an example and fit instrument for introducing the same absolute rule into these Colonies:
For taking away our Charters, abolishing our most valuable Laws, and altering fundamentally the Forms of our Governments:
For suspending our own Legislatures, and declaring themselves invested with power to legislate for us in all cases whatsoever.
He has abdicated Government here, by declaring us out of his Protection and waging War against us.
He has plundered our seas, ravaged our Coasts, burnt our towns, and destroyed the lives of our people.
He is at this time transporting large Armies of foreign Mercenaries to compleat the works of death, desolation and tyranny, already begun with circumstances of Cruelty & perfidy scarcely paralleled in the most barbarous ages, and totally unworthy the Head of a civilized nation.
He has constrained our fellow Citizens taken Captive on the high Seas to bear Arms against their Country, to become the executioners of their friends and Brethren, or to fall themselves by their Hands.
He has excited domestic insurrections amongst us, and has endeavoured to bring on the inhabitants of our frontiers, the merciless Indian Savages, whose known rule of warfare, is an undistinguished destruction of all ages, sexes and conditions.
In every stage of these Oppressions We have Petitioned for Redress in the most humble terms: Our repeated Petitions have been answered only by repeated injury. A Prince whose character is thus marked by every act which may define a Tyrant, is unfit to be the ruler of a free people.
Nor have We been wanting in attentions to our Brittish brethren. We have warned them from time to time of attempts by their legislature to extend an unwarrantable jurisdiction over us. We have reminded them of the circumstances of our emigration and settlement here. We have appealed to their native justice and magnanimity, and we have conjured them by the ties of our common kindred to disavow these usurpations, which, would inevitably interrupt our connections and correspondence. They too have been deaf to the voice of justice and of consanguinity. We must, therefore, acquiesce in the necessity, which denounces our Separation, and hold them, as we hold the rest of mankind, Enemies in War, in Peace Friends.
We, therefore, the Representatives of the united States of America, in General Congress, Assembled, appealing to the Supreme Judge of the world for the rectitude of our intentions, do, in the Name, and by Authority of the good People of these Colonies, solemnly publish and declare, That these United Colonies are, and of Right ought to be Free and Independent States; that they are Absolved from all Allegiance to the British Crown, and that all political connection between them and the State of Great Britain, is and ought to be totally dissolved; and that as Free and Independent States, they have full Power to levy War, conclude Peace, contract Alliances, establish Commerce, and to do all other Acts and Things which Independent States may of right do. And for the support of this Declaration, with a firm reliance on the protection of divine Providence, we mutually pledge to each other our Lives, our Fortunes and our sacred Honor.
Georgia
Button Gwinnett
Lyman Hall
George Walton
North Carolina
William Hooper
Joseph Hewes
John Penn
South Carolina
Edward Rutledge
Thomas Heyward, Jr.
Thomas Lynch, Jr.
Arthur Middleton
Massachusetts
John Hancock
Maryland
Samuel Chase
William Paca
Thomas Stone
Charles Carroll of Carrollton
Virginia
George Wythe
Richard Henry Lee
Thomas Jefferson
Benjamin Harrison
Thomas Nelson, Jr.
Francis Lightfoot Lee
Carter Braxton
Pennsylvania
Robert Morris
Benjamin Rush
Benjamin Franklin
John Morton
George Clymer
James Smith
George Taylor
James Wilson
George Ross
Delaware
Caesar Rodney
George Read
Thomas McKean
New York
William Floyd
Philip Livingston
Francis Lewis
Lewis Morris
New Jersey
Richard Stockton
John Witherspoon
Francis Hopkinson
John Hart
Abraham Clark
New Hampshire
Josiah Bartlett
William Whipple
Massachusetts
Samuel Adams
John Adams
Robert Treat Paine
Elbridge Gerry
Rhode Island
Stephen Hopkins
William Ellery
Connecticut
Roger Sherman
Samuel Huntington
William Williams
Oliver Wolcott
New Hampshire
Matthew Thornton
Democrats say Trump impeachment charges must come swiftly
By LISA MASCARO and MARY CLARE JALONICKyesterday
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Dow Jones plunges 400 points as Donald Trump says ‘I have no deadline’ for a trade deal with China and that he could for 2020 election to strike one
Global stocks took a tumble amid pessimism over a standoff between the U.S. and China when it comes to resolving their trade war
On Wall Street, the Dow Jones index fell more than 400 points and the Nasdaq was down by more than 90 points
President Trump appeared to downplay the chances for a deal to end soon
‘In some ways I like the idea of waiting until after the election,’ he said
U.S. stocks also took a tumble when the market opened
Wall Street shares tumbled Tuesday after Donald Trump said he could wait until after next year’s presidential election to strike a trade deal with China.
Trump appeared to downplay the chances for a deal to end the U.S.-China trade war before the end of the year and even said it could wait until after the 2020 presidential election.
Speaking in London where he is attending a NATO summit, Trump said that the only limiting factor to reaching an agreement with China is whether he wants to make a deal.
Asked about his previous goal of reaching an agreement by years’ end, Trump told reporters, ‘I have no deadline, no.’
‘In some ways I like the idea of waiting until after the election,’ he added. He has previously suggested that China wanted to wait until after the election to negotiate a deal.
‘I’m doing very well in a deal with China, if I want to make it. If I want to make. It’s not if they want to make it,’ the president said at a breakfast meeting with NATO Secretary General Jens Stoltenberg. ‘It’s if I want to make it. We’ll see what happens. But I’m doing a well if I want to make a deal. I don’t know if I want to make it.’
His intervention caused a Wall Street sell-off with the Dow Jones index losing a maximum of 411 points, and thew Nasdq falling by as much as 97 points,
Technology companies, which do a lot of business with China, stocks led the declines. Apple sank 2.5%.
Investors were also disappointed that the U.S. proposed tariffs on French goods, a day after announcing taxes on steel and aluminum imports from Chile and Argentina.
Surprise: ‘I’m doing very well in a deal with China, if I want to make it. If I want to make. It’s not if they want to make it, Donald Trump said – sending markets tumbling
President Donald Trump – at a meeting with NATO Secretary General Jens Stoltenberg – downplayed chances for an to the U.S.-China trade war soon
Around the world, Trump caused a sell off. France’s CAC 40 fell 0.3% to 5,770, while Britain’s FTSE 100 tumbled nearly 1% 7,216. Germany’s DAX gained 0.6% to 13,045.
Tensions between the two nations flared anew last week after Trump signed legislation expressing U.S. support for pro-democracy demonstrators in Hong Kong.
Investors have been hoping that the world´s two biggest economies can make progress toward at least staving off new tariffs scheduled for Dec. 15 on $160 billion worth of Chinese products, including smartphones and laptops.
The Trump administration has also proposed tariffs on $2.4 billion in goods in retaliation for a French tax on global tech giants including Google, Amazon and Facebook.
France´s finance minister threatened a ‘strong European riposte’ if the U.S. follows through on a proposal to hit French cheese, Champagne, handbags and other products with tariffs of up to 100%.
The move is likely to increase tensions between the U.S. and Europe – and set the stage for a likely tense meeting Tuesday between President Donald Trump and French President Emmanuel Macron.
In Asia, tensions had already flared after China retaliated for U.S. support of protesters in Hong Kong, putting investors in a selling mood. Asian regional markets are generally hurt by declines in trade and the slowdown in the Chinese economy that might cause.
Japan’s benchmark Nikkei 225 lost 0.6% to finish at 23,379.81. Australia´s S&P/ASX 200 slid 2.2% to 6,712.30. South Korea´s Kospi declined 0.4% to 2,084.07. Hong Kong’s Hang Seng fell 0.2% to 26,391.30, while the Shanghai Composite recovered earlier losses to inch up 0.3% to 2,884.70.
Last week, Trump said ‘We´re in the final throes of a very important deal.’
And China’s Commerce Ministry reported that its negotiator, Vice Premier Liu He, had spoken by phone with his U.S. counterparts, U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin. The official Xinhua News Agency said the men had discussed their ‘core concerns’ and ‘agreed to maintain communication on remaining issues in consultations on the Phase 1 deal.’
Earlier, China had made goodwill gestures, issuing improved guidelines for protection of patents, copyrights and other intellectual property and lifting a five-year ban on American poultry.
Then Trump’s comments Tuesday seemed to suggest that a breakthrough might not come anytime soon.
It’s been a year and a half since Trump declared that ‘trade wars are good, and easy to win.’
But his war with China has dragged on and on, with each side imposing – and raising – import taxes on hundreds of billions of dollars of each other’s goods. Those taxes are paid by companies that import those goods.
These importers must either absorb those higher costs or pass them on to customers in the form of price increases.
Negotiators have met 13 times. Truces have come and gone. Predictions of peace have proved premature.
For now, at least, the reality remains: The United States is taxing more than $360 billion worth of Chinese imports, and Beijing is retaliating with tariffs on $120 billion of American products. Not since the 1930s has the world seen such intense trade warfare.
The two sides are fighting over allegations that China has deployed predatory tactics in its drive to achieve global dominance in such advanced technologies as quantum computing and electric cars. The administration asserts, and many China analysts agree, that these tactics include stealing sensitive technology, unfairly subsidizing their own firms and forcing foreign companies to hand over trade secrets as the price of admission to China’s market.
6
Trump said a deal could wait until after the 2020 election
U.S. stocks also took a tumble when the market opened
On Oct. 11, Trump had announced what he cast as a breakthrough: Beijing had agreed to buy far more U.S. farm products – as much as $50 billion worth annually, the administration said – and to better protect intellectual property. In return, the United States suspended plans to raise tariffs on $112 billion in Chinese goods.
Even though this so-called Phase 1 deal left the thorniest issues for future negotiations, the two sides still haven’t managed to finalize it.
‘It now looks likely that a Phase 1 deal will be rather limited in scope, hardly resolving the broader trade-related uncertainty that continues to cloud business sentiment in both countries,’ said Eswar Prasad, a Cornell University economist who formerly led the China division at the International Monetary Fund.
Beijing has been reluctant to make the kind of substantive policy reforms that would satisfy the Trump administration. Doing so would likely require scaling back China’s aspirations for technological supremacy, which it sees as crucial to its prosperity.
The prolonged trade war has been inflicting economic damage. Factories have cut purchases and investments because they don’t know whether or when Trump will lift his tariffs or which countries he might target next.
The president’s sudden move Monday to take action against Argentina and Brazil underscored how unpredictable his policies are. Last year, he had agreed to exempt the two countries from tariffs on steel and aluminum. But he reversed that decision in a tweet Monday morning, accusing Argentina and Brazil of manipulating their currencies lower to give their exporters a price advantage. In fact, their currencies are plunging because their economies are in crisis.
On Tuesday, the Trump administration ratcheted up tensions with Europe by announcing plans to impose tariffs of up to 100% on cheese, Champagne and lipstick and other imports from France to protest a French digital services tax.
The administration is also readying taxes on $7.5 billion worth of European Union imports in a dispute over illegal EU subsidies to aircraft manufacturer Airbus.
The tariffs and the uncertainty they generate have hurt the U.S. manufacturing sector, which many economists say is already in recession. On Monday, a private survey found that American factory output had fallen for the fourth straight month.
Alphabet CEO Larry Page will step down from the role and Google CEO Sundar Pichai will take over, adding to his current responsibilities. Co-founder Sergey Brin will also step down as president of Alphabet and the role will be eliminated.
Page and Brin said in a blog post that “it’s the natural time to simplify our management structure.”
Page became CEO of Alphabet after Google restructured to form the parent company in 2015. He had previously been CEO of Google.
Sundar Pichai to replace Larry Page as Alphabet CEO
Alphabet CEO Larry Page announced Tuesday that he will step down from the position. Google CEO Sundar Pichai will take over as CEO of the parent company in addition to his current role. Co-founder Sergey Brin will also step down as president of Alphabet and the role will be eliminated.
Alphabet’s stock was up as much as 0.8% after hours.
“With Alphabet now well-established, and Google and the Other Bets operating effectively as independent companies, it’s the natural time to simplify our management structure,” Page and Brin wrote in a blog post announcing the change. “We’ve never been ones to hold on to management roles when we think there’s a better way to run the company. And Alphabet and Google no longer need two CEOs and a President.”
Page became CEO of Alphabet in 2015 when Google reorganized to form the new parent company to oversee its “Other Bets” outside of its main search and digital ads businesses. Page had previously served as CEO of Google. Under the new structure, Pichai became CEO of Google after effectively runningmuch of the business as Page had taken a step back to focus on big picture endeavors. Pichai had previously led Android and Chrome at the company.
Both Page and Brin will remain “actively involved” as members of Alphabet’s board, according to the letter. The co-founders still have controlling voting shares of the company. Page holds about 5.8% of Alphabet shares, Brin controls about 5.6% and Pichai holds about 0.1%, ensuring the new CEO may still be challenged by the company’s founders. Google said its voting structure is not changing in light of the announcement.
Alphabet may need to lean more heavily on its other bets, which include companies like Waymo and Verily, as its core digital advertising business run by Google shows signs of slowing down. Google showed slowing ad revenue in its first quarter of 2019 and lower profit compared to the previous year during the third quarter. The company has still struggled to generate significant revenue in hardware, although its cloud business is growing.
Page and Pichai have overseen the company during a tumultuous few years as Google employees have voiced their discontent with company policies. Thousands of Google employees walked out of offices around the world last year to protest a $90 million exit package Google reportedly paid to former Android leader Andy Rubin despite finding sexual misconduct claims against him to be credible, a New York Times investigation revealed. Alphabet’s board has opened an investigation into how executives have handled claims of sexual misconduct, CNBC reported last month.
Google has been forced to back off of certain projects have pushback from employees. In 2018, Google’s cloud chief at the time said the company would not renew its contract with the Department of Defense after it was set to expire in March 2019. The decision followed a petition signed by thousands of employees urging Pichai to keep Google out of the “business of war.” Google employees have also urged the company to back off its plans to build a censored search engine for China after The Intercept reported on the plans cryptically called Project Dragonfly.
More recently, a group of former Google employees known as the “Thanksgiving Four” have claimed their pre-holiday dismissal amounted to retaliation for their attempts to organize workers. The former employees have promised to file charges with the National Labor Relations Board, claiming unfair labor practices. Google denies any retaliation and has insisted the workers were let go for sharing confidential documents and breaching security.
“Google is not a conventional company. We do not intend to become one. Throughout Google’s evolution as a privately held company, we have managed Google differently. We have also emphasized an atmosphere of creativity and challenge, which has helped us provide unbiased, accurate and free access to information for those who rely on us around the world.”
We believe those central tenets are still true today. The company is not conventional and continues to make ambitious bets on new technology, especially with our Alphabet structure. Creativity and challenge remain as ever-present as before, if not more so, and are increasingly applied to a variety of fields such as machine learning, energy efficiency and transportation. Nonetheless, Google’s core service—providing unbiased, accurate, and free access to information—remains at the heart of the company.
However, since we wrote our first founders’ letter, the company has evolved and matured. Within Google, there are all the popular consumer services that followed Search, such as Maps, Photos, and YouTube; a global ecosystem of devices powered by our Android and Chrome platforms, including our own Made by Google devices; Google Cloud, including GCP and G Suite; and of course a base of fundamental technologies around machine learning, cloud computing, and software engineering. It’s an honor that billions of people have chosen to make these products central to their lives—this is a trust and responsibility that Google will always work to live up to.
And structurally, the company evolved into Alphabet in 2015. As we said in the Alphabet founding letter in 2015:
“Alphabet is about businesses prospering through strong leaders and independence.”
Since we wrote that, hundreds of Phoenix residents are now being driven around in Waymo cars—many without drivers! Wing became the first drone company to make commercial deliveries to consumers in the U.S. And Verily and Calico are doing important work, through a number of great partnerships with other healthcare companies. Some of our “Other Bets” have their own boards with independent members, and outside investors.
Those are just a few examples of technology companies that we have formed within Alphabet, in addition to investment subsidiaries GV and Capital G, which have supported hundreds more. Together with all of Google’s services, this forms a colorful tapestry of bets in technology across a range of industries—all with the goal of helping people and tackling major challenges.
“Google was born in 1998. If it were a person, it would have started elementary school late last summer (around August 19), and today it would have just about finished the first grade.”
Today, in 2019, if the company was a person, it would be a young adult of 21 and it would be time to leave the roost. While it has been a tremendous privilege to be deeply involved in the day-to-day management of the company for so long, we believe it’s time to assume the role of proud parents—offering advice and love, but not daily nagging!
With Alphabet now well-established, and Google and the Other Bets operating effectively as independent companies, it’s the natural time to simplify our management structure. We’ve never been ones to hold on to management roles when we think there’s a better way to run the company. And Alphabet and Google no longer need two CEOs and a President. Going forward, Sundar will be the CEO of both Google and Alphabet. He will be the executive responsible and accountable for leading Google, and managing Alphabet’s investment in our portfolio of Other Bets. We are deeply committed to Google and Alphabet for the long term, and will remain actively involved as Board members, shareholders and co-founders. In addition, we plan to continue talking with Sundar regularly, especially on topics we’re passionate about!
Sundar brings humility and a deep passion for technology to our users, partners and our employees every day. He’s worked closely with us for 15 years, through the formation of Alphabet, as CEO of Google, and a member of the Alphabet Board of Directors. He shares our confidence in the value of the Alphabet structure, and the ability it provides us to tackle big challenges through technology. There is no one that we have relied on more since Alphabet was founded, and no better person to lead Google and Alphabet into the future.
We are deeply humbled to have seen a small research project develop into a source of knowledge and empowerment for billions—a bet we made as two Stanford students that led to a multitude of other technology bets. We could not have imagined, back in 1998 when we moved our servers from a dorm room to a garage, the journey that would follow.
Page was the chief executive officer of Alphabet Inc. (Google’s parent company) until stepping down on December 3, 2019. After stepping aside as Google CEO in August 2001, in favor of Eric Schmidt, he re-assumed the role in April 2011. He announced his intention to step aside a second time in July 2015, to become CEO of Alphabet, under which Google’s assets would be reorganized. Under Page, Alphabet is seeking to deliver major advancements in a variety of industries.[6]
As of October 2019, Page is the 9th-richest person in the world, with a net worth of $55.8 billion.[7]Forbes placed him 10th in the list “Billionaires 2019”.[8]
During an interview, Page recalled his childhood, noting that his house “was usually a mess, with computers, science, and technology magazines and Popular Science magazines all over the place”, an environment in which he immersed himself.[26] Page was an avid reader during his youth, writing in his 2013 Google founders letter: “I remember spending a huge amount of time pouring [sic] over books and magazines”.[27] According to writer Nicholas Carlson, the combined influence of Page’s home atmosphere and his attentive parents “fostered creativity and invention”. Page also played flute and studied music composition while growing up. He attended the renowned music summer camp – Interlochen Arts Camp at Interlochen, Michigan. Page has mentioned that his musical education inspired his impatience and obsession with speed in computing. “In some sense, I feel like music training led to the high-speed legacy of Google for me”. In an interview Page said that “In music, you’re very cognizant of time. Time is like the primary thing” and that “If you think about it from a music point of view, if you’re a percussionist, you hit something, it’s got to happen in milliseconds, fractions of a second”.[9][28]
Page was first attracted to computers when he was six years old, as he was able to “play with the stuff lying around”—first-generation personal computers—that had been left by his mother and father.[24] He became the “first kid in his elementary school to turn in an assignment from a word processor“.[29] His older brother also taught him to take things apart and before long he was taking “everything in his house apart to see how it worked”. He said that “from a very early age, I also realized I wanted to invent things. So I became really interested in technology and business. Probably from when I was 12, I knew I was going to start a company eventually.”[29]
Page focused on the problem of finding out which web pages linked to a given page, considering the number and nature of such backlinks as valuable information for that page. The role of citations in academic publishing would also become pertinent for the research.[37]Sergey Brin, a fellow Stanford PhD student, would soon join Page’s research project, nicknamed “BackRub.”[37] Together, the pair authored a research paper titled “The Anatomy of a Large-Scale Hypertextual Web Search Engine”, which became one of the most downloaded scientific documents in the history of the Internet at the time.[24][35]
John Battelle, co-founder of Wired magazine, wrote that Page had reasoned that the:
… entire Web was loosely based on the premise of citation—after all, what is a link but a citation? If he could devise a method to count and qualify each backlink on the Web, as Page puts it “the Web would become a more valuable place.”[37]
Battelle further described how Page and Brin began working together on the project:
At the time Page conceived of BackRub, the Web comprised an estimated 10 million documents, with an untold number of links between them. The computing resources required to crawl such a beast were well beyond the usual bounds of a student project. Unaware of exactly what he was getting into, Page began building out his crawler. The idea’s complexity and scale lured Brin to the job. A polymath who had jumped from project to project without settling on a thesis topic, he found the premise behind BackRub fascinating. “I talked to lots of research groups” around the school, Brin recalls, “and this was the most exciting project, both because it tackled the Web, which represents human knowledge, and because I liked Larry.”[37]
Search engine development
To convert the backlink data gathered by BackRub’s web crawler into a measure of importance for a given web page, Brin and Page developed the PageRank algorithm, and realized that it could be used to build a search engine far superior to existing ones.[37] The algorithm relied on a new technology that analyzed the relevance of the backlinks that connected one web page to another.[38]
Combining their ideas, the pair began utilizing Page’s dormitory room as a machine laboratory, and extracted spare parts from inexpensive computers to create a device that they used to connect the not nascent search engine with Stanford’s broadband campus network.[37] After filling Page’s room with equipment, they then converted Brin’s dorm room into an office and programming center, where they tested their new search engine designs on the Web. The rapid growth of their project caused Stanford’s computing infrastructure to experience problems.[39]
Page and Brin used the former’s basic HTML programming skills to set up a simple search page for users, as they did not have a web page developer to create anything visually elaborate. They also began using any computer part they could find to assemble the necessary computing power to handle searches by multiple users. As their search engine grew in popularity among Stanford users, it required additional servers to process the queries. In August 1996, the initial version of Google, still on the Stanford University website, was made available to Internet users.[37]
The mathematical website interlinking that the PageRankalgorithm facilitates, illustrated by size-percentage correlation of the circles. The algorithm was named after Page himself.
By early 1997, the BackRub page described the state as follows:
Some Rough Statistics (from August 29, 1996)
Total indexable HTML URLs: 75.2306 Million
Total content downloaded: 207.022 gigabytes
…
BackRub is written in Java and Python and runs on several Sun Ultras and Intel Pentiums running Linux. The primary database is kept on a Sun Ultra series II with 28GB of disk. Scott Hassan and Alan Steremberg have provided a great deal of very talented implementation help. Sergey Brin has also been very involved and deserves many thanks.
BackRub already exhibited the rudimentary functions and characteristics of a search engine: a query input was entered and it provided a list of backlinks ranked by importance. Page recalled: “We realized that we had a querying tool. It gave you a good overall ranking of pages and ordering of follow-up pages.”[41] Page said that in mid-1998 they finally realized the further potential of their project: “Pretty soon, we had 10,000 searches a day. And we figured, maybe this is really real.”[39]
Some compared Page and Brin’s vision to the impact of Johannes Gutenberg, the inventor of modern printing:
In 1440, Johannes Gutenberg introduced Europe to the mechanical printing press, printing Bibles for mass consumption. The technology allowed for books and manuscripts – originally replicated by hand – to be printed at a much faster rate, thus spreading knowledge and helping to usher in the European Renaissance … Google has done a similar job.[42]
The comparison was also noted by the authors of The Google Story: “Not since Gutenberg … has any new invention empowered individuals, and transformed access to information, as profoundly as Google.”[43] Also, not long after the two “cooked up their new engine for web searches, they began thinking about information that was at the time beyond the web,” such as digitizing books and expanding health information.[39]
Soliciting funds from faculty members, family and friends, Brin and Page scraped together enough to buy some servers and rent that famous garage in Menlo Park. … [soon after], Sun Microsystems co-founder Andy Bechtolsheim wrote a $100,000 check to “Google, Inc.” The only problem was, “Google, Inc.” did not yet exist—the company hadn’t yet been incorporated. For two weeks, as they handled the paperwork, the young men had nowhere to deposit the money.[44]
In 1998,[45] Brin and Page incorporated Google, Inc.[46] with the initial domain name of “Googol,” derived from a number that consists of one followed by one hundred zeros—representing the vast amount of data that the search engine was intended to explore. Following inception, Page appointed himself as CEO, while Brin, named Google’s co-founder, served as Google’s president.[9] Writer Nicholas Carlson wrote in 2014:
While Google is often thought of as the invention of two young computer whizzes—Sergey and Larry, Larry and Sergey—the truth is that Google is a creation of Larry Page, helped along by Sergey Brin.[9]
The pair’s mission was “to organize the world’s information and make it universally accessible and useful.”[47] With a US$1-million loan from friends and family, the inaugural team moved into a Mountain View office by the start of 2000. In 1999, Page experimented with smaller servers so Google could fit more into each square meter of the third-party warehouses the company rented for their servers. This eventually led to a search engine that ran much faster than Google’s competitors at the time.[9]
By June 2000, Google had indexed one billion Internet URLs (Uniform Resource Locators), making it the most comprehensive search engine on the Web at the time. The company cited NEC Research Institute data in its June 26 press release, stating that “there are more than 1 billion web pages online today,” with Google “providing access to 560 million full-text indexed web pages and 500 million partially indexed URLs.”[48]
Early management style
During his first tenure as CEO, Page embarked on an attempt to fire all of Google’s project managers in 2001. Page’s plan involved all of Google’s engineers reporting to a VP of engineering, who would then report directly to him—Page explained that he didn’t like non-engineers supervising engineers due to their limited technical knowledge.[9] Page even documented his management tenets for his team to use as a reference:
Don’t delegate: Do everything you can yourself to make things go faster.
Don’t get in the way if you’re not adding value. Let the people actually doing the work talk to each other while you go do something else.
Ideas are more important than age. Just because someone is junior doesn’t mean they don’t deserve respect and cooperation.
The worst thing you can do is stop someone from doing something by saying, “No. Period.” If you say no, you have to help them find a better way to get it done.[9]
Even though Page’s new model was unsustainable and led to disgruntlement among the affected employees, his issue with engineers being managed by non-engineering staff gained traction more broadly. Eventually, the practice of only instating engineers into the management roles of engineering teams was established as a standard across Silicon Valley.[49]
Page also believed that the faster Google’s search engine returned answers, the more it would be used. He fretted over milliseconds and pushed his engineers—from those who developed algorithms to those who built data centers—to think about lag times. He also pushed for keeping Google’s home page famously sparse in its design because it would help the search results load faster.[28]
2001–2011
Changes in management and expansion
Before Silicon Valley’s two most prominent investors, Kleiner Perkins Caufield & Byers and Sequoia Capital, agreed to invest a combined total of $50 million in Google, they applied pressure on Page to step down as CEO so that a more experienced leader could build a “world-class management team.” Page eventually became amenable to the idea after meeting with other technology CEOs, including Steve Jobs and Intel’s Andrew Grove. Eric Schmidt, who had been hired as Chairman of Google in March 2001, left his full-time position as the CEO of Novell to take the same role at Google in August of the same year, and Page moved aside to assume the President of Products role.[9]
Under Schmidt’s leadership, Google underwent a period of major growth and expansion, which included its initial public offering (IPO) on August 20, 2004. He always acted in consultation with Page and Brin when he embarked on initiatives such as the hiring of an executive team and the creation of a sales force management system. Page remained the boss at Google in the eyes of the employees, as he gave final approval on all new hires, and it was Page who provided the signature for the IPO, the latter making him a billionaire at the age of 30.[9]
Page led the acquisition of Android for $50 million in 2005 to fulfill his ambition to place handheld computers in the possession of consumers so that they could access Google anywhere. The purchase was made without Schmidt’s knowledge, but the CEO was not perturbed by the relatively small acquisition. Page became passionate about Android, and spent large amounts of time with Android CEO and cofounder Andy Rubin. By September 2008, T-Mobile launched the G1, the first phone using Android software and, by 2010, 17.2% of the handset market consisted of Android sales, overtaking Apple for the first time. Android became the world’s most popular mobile operating system shortly afterward.[9]
Assumption of CEO position at Google
Following a January 2011 announcement,[50] Page officially became the chief executive of Google on April 4, 2011, while Schmidt stepped down to become executive chairman.[51] By this time, Google had over $180 billion market capitalization and more than 24,000 employees.[52]
After Schmidt announced the end of his tenure as CEO on January 20, 2011, he jokingly tweeted on Twitter: “Adult-supervision no longer needed.” Quartz organizational management reporter, Max Nisen, described the decade prior to Page’s second appointment as Google’s CEO as his “lost decade.” While Page continued to exert a significant influence at Google during this time, overseeing product development and other operations, he became increasingly disconnected and less responsive over time.[9][49]
2011–2013
As Google’s new CEO, Page’s two key goals were the development of greater autonomy for the executives overseeing the most important divisions, and higher levels of collaboration, communication and unity among the teams. Page also formed what the media called the “L-Team,” a group of senior vice-presidents who reported directly to him and worked in close proximity to his office for a portion of the working week.[53] Additionally, he reorganized the company’s senior management, placing a CEO-like manager at the top of Google’s most important product divisions, including YouTube, AdWords, and Google Search.[9]
In accordance with a more cohesive team environment, Page declared a new “zero tolerance for fighting” policy that contrasted with his approach during the early days of Google, when he would use his harsh and intense arguments with Brin as an exemplar for senior management. Page had changed his thinking during his time away from the CEO role, as he eventually arrived at the conclusion that his greatly ambitious goals required a harmonious team dynamic. As part of Page’s collaborative rejuvenation process, Google’s products and applications were consolidated and underwent an aesthetic overhaul.[49][54]
Changes and consolidation process
At least 70 of Google’s products, features and services were eventually shut down by March 2013, while the appearance and nature of the remaining ones were unified.[55][56] Jon Wiley, lead designer of Google Search at the time, codenamed Page’s redesign overhaul, which officially commenced on April 4, 2011, “Project Kennedy,” based on Page’s use of the term “moonshots” to describe ambitious projects in a January 2013 Wired interview.[54][57] An initiative named “Kanna” previously attempted to create a uniform design aesthetic for Google’s range of products, but it was too difficult at that point in the company’s history for one team to drive such change. Matias Duarte, senior director of the Android user experience at the time that “Kennedy” started, explained in 2013 that “Google passionately cares about design.” Page proceeded to consult with the Google Creative Lab design team, based in New York City, to find an answer to his question of what a “cohesive vision” of Google might look like.[54]
The eventual results of “Kennedy,” which were progressively rolled out from June 2011 until January 2013, were described by The Verge technology publication as focused upon “refinement, white space, cleanliness, elasticity, usefulness, and most of all simplicity.” The final products were aligned with Page’s aim for a consistent suite of products that can “move fast,” and “Kennedy” was called a “design revolution” by Duarte. Page’s “UXA” (user/graphics interface) design team then emerged from the “Kennedy” project, tasked with “designing and developing a true UI framework that transforms Google’s application software into a beautiful, mature, accessible and consistent platform for its users.” Unspoken of in public, the small UXA unit was designed to ensure that “Kennedy” became an “institution.”[54]
Acquisition strategy and new products
When acquiring products and companies for Google, Page asked whether the business acquisition passed the toothbrush test as an initial qualifier, asking the question “Is it something you will use once or twice a day, and does it make your life better?”. This approach looked for usefulness above profitability, and long-term potential over near-term financial gain, which has been noted as rare in business acquiring processes.[58][59][60]
With Facebook’s influence rapidly expanding during the start of Page’s second tenure, he finally responded to the intensive competition with Google’s own social network, Google+, in mid-2011. After several delays, the social network was released through a very limited field test and was led by Vic Gundotra, Google’s then senior vice president of social.[61]
In August 2011, Page announced that Google would spend $12.5 billion to acquire Motorola Mobility.[62] The purchase was primarily motivated by Google’s need to secure patents to protect Android from lawsuits by companies including Apple Inc.[9] Page wrote on Google’s official blog on August 15, 2011 that “companies including Microsoft and Apple are banding together in anti-competitive patent attacks on Android. The United States Department of Justice had to intervene in the results of one recent patent auction to “protect competition and innovation in the open source software community”… Our acquisition of Motorola will increase competition by strengthening Google’s patent portfolio, which will enable us to better protect Android from anti-competitive threats from Microsoft, Apple and other companies”.[63][64] In 2014, Page sold Motorola Mobility for $2.9 billion to Personal Computer maker, Lenovo which represented a loss in value of $9.5 billion over two years.[65]
Page also ventured into hardware and Google unveiled the Chromebook in May 2012. The hardware product was a laptop that ran on a Google operating system, Chrome OS.[66]
2013–2015
In January 2013, Page participated in a rare interview with Wired, in which writer Steven Levy discussed Page’s “10X” mentality—Google employees are expected to create products and services that are at least 10 times better than those of its competitors—in the introductory blurb. Astro Teller, the head of Google X, explained to Levy that 10X is “just core to who he [Page] is,” while Page’s “focus is on where the next 10X will come from.”[57] In his interview with Levy, Page referred to the success of YouTube and Android as examples of “crazy” ideas that investors were not initially interested in, saying: “If you’re not doing some things that are crazy, then you’re doing the wrong things.”[57] Page also stated that he was “very happy” with the status of Google+, and discussed concerns over the Internet in relation to the SOPA bill and an International Telecommunication Union proposal that had been recently introduced:
… I do think the Internet’s under much greater attack than it has been in the past. Governments are now afraid of the Internet because of the Middle East stuff, and so they’re a little more willing to listen to what I see as a lot of commercial interests that just want to make money by restricting people’s freedoms. But they’ve also seen a tremendous user reaction, like the backlash against SOPA. I think that governments fight users’ freedoms at their own peril.[57]
At the May 2013 I/O developers conference in San Francisco, Page delivered a keynote address and said that “We’re at maybe 1% of what is possible. Despite the faster change, we’re still moving slow relative to the opportunities we have. I think a lot of that is because of the negativity … Every story I read is Google vs someone else. That’s boring. We should be focusing on building the things that don’t exist” and that he was “sad the Web isn’t advancing as fast as it should be” citing a perceived focus on negativity and zero sum games among some in the technology sector as a cause for that.[67] In response to an audience question, Page noted an issue that Google had been experiencing with Microsoft, whereby the latter made its Outlook program interoperable with Google, but did not allow for backward compatibility—he referred to Microsoft’s practice as “milking off.” During the question-and-answer section of his keynote, Page expressed interest in Burning Man, which Brin had previously praised—it was a motivating factor for the latter during Schmidt’s hiring process, as Brin liked that Schmidt had attended the week-long annual event.[9][68][69]
In September 2013, Page launched the independent Calico initiative, a R&D project in the field of biotechnology. Google announced that Calico seeks to innovate and make improvements in the field of human health, and appointed Art Levinson, chairman of Apple’s board and former CEO of Genentech, to be the new division’s CEO. Page’s official statement read: “Illness and aging affect all our families. With some longer term, moonshot thinking around healthcare and biotechnology, I believe we can improve millions of lives.”[70]
Page participated in a March 2014 TedX conference that was held in Vancouver, British Columbia, Canada. The presentation was scripted by Page’s chief PR executive Rachel Whetstone, and Google’s CMO Lorraine Twohill, and a demonstration of an artificially intelligent computer program was displayed on a large screen.[9] Page responded to a question about corporations, noting that corporations largely get a “bad rap”, which he stated was because they were probably doing the same incremental things they were doing “50 or 20 years ago”. He went on to juxtapose that kind of incremental approach to his vision of Google counteracting calcification through driving technology innovation at a high rate. Page mentioned Elon Musk and SpaceX:
He [Musk] wants to go to Mars to back up humanity. That’s a worthy goal. We have a lot of employees at Google who’ve become pretty wealthy. You’re working because you want to change the world and make it better … I’d like for us to help out more than we are.[71]
Page also mentioned Nikola Tesla with regard to invention and commercialization:
Invention is not enough. [Nikola] Tesla invented the electric power we use, but he struggled to get it out to people. [You have to] combine both things … invention and innovation focus, plus … a company that can really commercialize things and get them to people.[72]
Page announced a major management restructure in October 2014 so that he would no longer need to be responsible for day-to-day product-related decision making. In a memo, Page said that Google’s core businesses would be able to progress in a typical manner, while he could focus on the next generation of ambitious projects, including Google X initiatives; access and energy, including Google Fiber; smart-home automation through Nest Labs; and biotechnology innovations under Calico.[73] Page maintained that he would continue as the unofficial “chief product officer.”[56] Subsequent to the announcement, the executives in charge of Google’s core products reported to then Google Senior Vice President Sundar Pichai, who reported directly to Page.[73][74][75][76]
In a November 2014 interview, Page stated that he prioritized the maintenance of his “deep knowledge” of Google’s products and breadth of projects, as it had been a key motivating factor for team members. In relation to his then role as the company’s CEO, Page said: “I think my job as CEO—I feel like it’s always to be pushing people ahead.”[56]
On August 10, 2015, Page announced on Google’s official blog that Google had restructured into a number of subsidiaries of a new holding company known as Alphabet Inc with Page becoming CEO of Alphabet Inc and Sundar Pichai assuming the position of CEO of Google Inc. In his announcement, Page described the planned holding company as follows:[77]
Alphabet is mostly a collection of companies. The largest of which, of course, is Google. This newer Google is a bit slimmed down, with the companies that are pretty far afield of our main Internet products contained in Alphabet instead. … Fundamentally, we believe this allows us more management scale, as we can run things independently that aren’t very related.
As well as explaining the origin of the company’s name:
We liked the name Alphabet because it means a collection of letters that represent language, one of humanity’s most important innovations, and is the core of how we index with Google search! We also like that it means alpha‑bet (Alpha is investment return above benchmark), which we strive for!
Page wrote that the motivation behind the reorganization is to make Google “cleaner and more accountable.” He also wrote that there was a desire to improve “the transparency and oversight of what we’re doing,” and to allow greater control of unrelated companies previously within the Google ecosystem.[77][78][79]
Page has not been on any press conferences since 2015 and has not presented at product launches or earnings calls since 2013. The Bloomberg Businessweek termed the reorganization into Alphabet as a clever retirement plan allowing Page to retain control over Google, at the same time relinquishing all responsibilities over it. Executives at Alphabet describe Page as a “futurist”, highly detached from day-to-day business dealings and more focused on moon-shot projects. While some managers of Alphabet companies speak of Page as intensely involved, others say that his rare office check-ins are “akin to a royal visit”.[80]
2019
On December 3, 2019 Larry Page announced that he will step down from the position of Alphabet CEO and would be replaced by Google CEO Sundar Pichai. Pichai will also continue as Google CEO. Page and Google co-founder and Alphabet president Sergey Bryn announced the change in a joint blog post, “With Alphabet now well-established, and Google and the Other Bets operating effectively as independent companies, it’s the natural time to simplify our management structure. We’ve never been ones to hold on to management roles when we think there’s a better way to run the company. And Alphabet and Google no longer need two CEOs and a President.”[81]
Other interests
Page is an investor in Tesla Motors.[82] He has invested in renewable energy technology, and with the help of Google.org, Google’s philanthropic arm, promotes the adoption of plug-in hybrid electric cars[83][84][85][86] and other alternative energy investments.[87] He is also a strategic backer in the Opener startup which is developing aerial vehicles for consumer travel.[88]
Page is also interested in the socio-economic effects of advanced intelligent systems and how advanced digital technologies can be used to create abundance (as described in Peter Diamandis’ book), provide for people’s needs, shorten the workweek, and mitigate the potential detrimental effects of technological unemployment.[89][90]
Page also helped to set up Singularity University, a transhumanist think-tank.[91] Google is one of the institution’s corporate founders[92] and still funds scholarships at Singularity University.[93]
Personal life
In 2007, Page married Lucinda Southworth on Necker Island, the Caribbean island owned by Richard Branson.[94] Southworth is a research scientist and the sister of actress and model Carrie Southworth.[95] Page and Southworth have two children, born in 2009 and 2011.[96][97]
In 2009 Page began purchasing properties and tearing down homes adjacent to his home in Palo Alto to make room for a large ecohouse. The existing buildings were “deconstructed” and the materials donated for reuse. The ecohouse was designed to “minimize the impact on the environment.” Page worked with an arborist to replace some trees that were in poor health with others that used less water to maintain. Page also applied for Green Point Certification, with points given for use of recycled and low or no-VOC (volatile organic compound) materials and for a roof garden with solar panels. The house’s exterior features zinccladding and plenty of windows, including a wall of sliding-glass doors in the rear. It includes eco-friendly elements such as permeable paving in the parking court and a pervious path through the trees on the property. The 6,000-square-foot (560m²) house also observes other green home design features such as organic architecture building materials and low volatile organic compound paint.[104][105][106][107]
In 2011, Page bought the $45-million 193-foot (59m) superyacht ‘Senses’, which is equipped with a helipad, gym, multi-level sun decks, ten luxury suites, a crew of 14 and interior design by French designer Philippe Starck.[108]‘Senses’ has extensive ocean exploration capabilities, the superyacht was created to explore the world’s oceans in comfort and it carries a comprehensive inventory of equipment for that purpose.[109] ‘Senses’ was built by Fr. Schweers Shipyard in (Germany) at their Berneshipyard. ‘Senses’ features a displacement steel hull and a steel/aluminium superstructure, with teak decks. ‘Senses’ is equipped with an ultra-modern stabilization system which reduces the free surface effect and results in a smoother cruising experience underway.[110]
Page announced on his Google+ profile in May 2013 that his right vocal cord is paralyzed from a cold that he contracted the previous summer, while his left cord was paralyzed in 1999.[111] Page explained that he has been suffering from a vocal cord issue for 14 years, and, as of his May 2013 post, doctors were unable to identify the exact cause. The Google+ post also revealed that Page had donated a considerable sum of money to a vocal-cord nerve-function research program at the Voice Health Institute in Boston, US. The program, at Massachusetts General Hospital, is led by Steven Zeitels, the Eugene B. Casey Professor of Laryngeal Surgery. An anonymous source stated that the donation exceeded $20 million.[112]
In October 2013, Business Insider reported that Page’s paralyzed vocal cords are caused by an autoimmune disease called Hashimoto’s thyroiditis, and prevented him from undertaking Google quarterly earnings conference calls for an indefinite period.[113]
In November 2014, Page’s family foundation, the Carl Victor Page Memorial Fund, reportedly holding assets in excess of a billion dollars at the end of 2013, gave $15 million to aid the effort against the Ebola virus epidemic in West Africa. Page wrote on his Google+ page that “My wife and I just donated $15 million … Our hearts go out to everyone affected.”[114][115][116][117]
Awards and accolades
1998–2009
PC Magazine has praised Google as among the Top 100 Web Sites and Search Engines (1998) and awarded Google the Technical Excellence Award for Innovation in Web Application Development in 1999. In 2000, Google earned a Webby Award, a People’s Voice Award for technical achievement, and in 2001, was awarded Outstanding Search Service, Best Image Search Engine, Best Design, Most Webmaster Friendly Search Engine, and Best Search Feature at the Search Engine Watch Awards.”[118]
In 2003, both Page and Brin received a MBA from IE Business School, in an honorary capacity, “for embodying the entrepreneurial spirit and lending momentum to the creation of new businesses.”[120]
In 2004, they received the Marconi Foundation‘s prize and were elected Fellows of the Marconi Foundation at Columbia University. In announcing their selection, John Jay Iselin, the Foundation’s president, congratulated the two men for “their invention that has fundamentally changed the way information is retrieved today.”.[121]
Page and Brin were also Award Recipients and National Finalists for the EY Entrepreneur of the Year Award in 2003.[122]
Also in 2004, X PRIZE chose Page as a trustee of their board[123] and he was elected to the National Academy of Engineering.[citation needed]
In 2009, Page received an honorary doctorate from the University of Michigan during a graduation commencement ceremony.[126] In 2011, he was ranked 24th on the Forbes list of billionaires, and as the 11th richest person in the U.S.[1]
In 2015, Page’s “Powerful People” profile on the Forbes site states that Google is “the most influential company of the digital era”.[127]
As of July 2014, the Bloomberg Billionaires Index lists Page as the 17th richest man in the world, with an estimated net worth of $32.7 billion.[128]
At the completion of 2014, Fortune magazine named Page its “Businessperson of the Year,” declaring him “the world’s most daring CEO”.[129]
In October 2015, Page was named number one in Forbes‘ “America’s Most Popular Chief Executives”, as voted by Google’s employees.[130]
In August 2017, Page was awarded honorary citizenship of Agrigento, Italy.[131]
Hi, reader in the U.S., it’s a little awkward to ask, but this Tuesday we need your help. Time is running out in 2019 to help us. The internet isn’t what it used to be. But we haven’t changed. We’re still a non-profit. We depend on donations averaging $16.36, and fewer than 2% of readers give. If you donate just $2.75, the price of your Tuesdaycoffee, Wikipedia could keep thriving. Thank you.
Pichai was born in Madurai, Tamil Nadu, India.[13][14] His mother Lakshmi was a stenographer and his father, Regunatha Pichai was an electrical engineer at GEC, the British conglomerate. His father also had a manufacturing plant that produced electrical components.[15][16] Pichai grew up in a two-room apartment in Ashok Nagar, Chennai.[15]
Pichai worked in engineering and product management at Applied Materials and in management consulting at McKinsey & Company.[23] Pichai joined Google in 2004, where he led the product management and innovation efforts for a suite of Google’s client software products, including Google Chrome[24] and Chrome OS, as well as being largely responsible for Google Drive. He went on to oversee the development of other applications such as Gmail and Google Maps.[25][26] On November 19, 2009, Pichai gave a demonstration of Chrome OS; the Chromebook was released for trial and testing in 2011, and released to the public in 2012.[27] On May 20, 2010, he announced the open-sourcing of the new video codec VP8 by Google and introduced the new video format, WebM.[28]
On March 13, 2013, Pichai added Android to the list of Google products that he oversees. Android was formerly managed by Andy Rubin.[29] He was a director of Jive Software from April 2011 to July 30, 2013.[30][31][32] Pichai was selected to become the next CEO of Google on August 10, 2015[10] after previously being appointed Product Chief by CEO, Larry Page. On October 24, 2015 he stepped into the new position at the completion of the formation of Alphabet Inc., the new holding company for the Google company family.[11][32][33]
Pichai had been suggested as a contender for Microsoft‘s CEO in 2014, a position that was eventually given to Satya Nadella.[34][35]
In August 2017, Pichai drew publicity for firing a Google employee who wrote a ten-page manifesto criticizing the company’s diversity policies and arguing that “distribution of preferences and abilities of men and women differ in part due to biological causes and … these differences may explain why we don’t see equal representation of women in tech and leadership”.[36][37][38][39] While noting that the manifesto raised a number of issues that are open to debate, Pichai said in a memo to Google employees that “to suggest a group of our colleagues have traits that make them less biologically suited to that work is offensive and not OK”.[40]
In December 2017, Pichai was a speaker at the World Internet Conference in China, where he stated that “a lot of work Google does is to help Chinese companies. There are many small and medium-sized businesses in China who take advantage of Google to get their products to many other countries outside of China.”[41][42]
U.S. Congress testimony
On December 11, 2018, Pichai testified before the U.S. House Judiciary Committee on a wide range of Google-related issues such as the alleged, potential political bias on Google’s platforms, the company’s plans for a censored search app in China, and its privacy practices.[43] Pichai, in response, stated that Google employees cannot influence search results. He also stated that Google users can opt out of having gheir data collected and that “there are no current plans for a censored search engine” in China.[44]Wired‘s Issie Lapowsky characterized Pichai’s appearance before the committee as one “major missed opportunity,” since, as he wrote, its members “staked out opposite sides of a partisan battle,” and presented to the public “a foreboding reminder of Congress’s continued technological ignorance.”[45]
Personal life
Pichai is married to Anjali Pichai and has two children.[8] Pichai’s interests include football and cricket.[46][47]
Harris told aides of her intentions in an all-staff call on Tuesday, and a person familiar with the conversation said she sounded distraught. While Harris had qualified for the December debate in her home state later this month, she was running dangerously low on cash — lacking the resources to air TV ads in Iowa — and her staff was gripped by long-running internal turmoil.
“I’ve taken stock and looked at this from every angle, and over the last few days have come to one of the hardest decisions of my life. My campaign for president simply doesn’t have the financial resources we need to continue .”
Harris, who spent Thanksgiving in Iowa with family, took a deep look at the campaign’s resources over the holiday and decided she did not have a path to the nomination. A Harris campaign aide said the expected impeachment trial in January further complicated the situation.
She made the decision Monday after discussions with her family and senior aides. Harris will travel to the early states this week to thank staff and supporters for their dedication to the campaign.
The senator did not bow out without taking a parting shot at her billionaire and self-funding rivals who made late entrances into the race this summer and fall.
“I’m not a billionaire. I can’t fund my own campaign,” Harris said in a video explaining her decision to drop out. “And as the campaign has gone on, it has become harder and harder to raise the money we need to compete. In good faith, I can’t tell you, my supporters and volunteers, that I have a path forward if I don’t believe I do.”
Once dubbed the “female Obama” by former Today Show anchor Matt Lauer, Harris’ campaign began on a promising note: Her kickoff rally in her hometown of Oakland drew more than 20,000 supporters who cheered wildly as she cast herself as the kind of fighter fit to take on a president like Trump.
Her candidacy got one of its first major breaks in the first Democratic debate in June, when Harris pulled off a blistering ambush of former Vice President Joe Biden over his previous stance on busing, which prompted another review of his record on race issues. Harris’ performance sent her soaring in the polls, and the campaign raised $2 million in the 24 hours following the debate.
But the attack ultimately blew back on Harris when her own stance on busing came under scrutiny in the days after. Her sharp rise in the polls did not last long, with Harris skidding into fifth place and registering in the single digits by September. When she dropped out Tuesday, her RealClearPolitics national polling average was hovering just above 3 percent.
Throughout the campaign, Harris had never been steady on health care, many voters’ stated key issue. Harris spent months backtracking following an ill-fated moment in a CNN town hall in which she said, “let’s eliminate all that,” when asked whether she supported a health care plan that got rid of private insurance.
Her stumbles on the issue continued into the fall, as Harris waffled on whether she backed the kind of single-payer, “Medicare for All” plan championed by Sens. Bernie Sanders and Elizabeth Warren, or more incremental change, an opening her opponents seized on.
In addition to health care, voters complained that they were unable to pin Harris down on a host of other issues. And Harris shied away some from what could have been one of her greatest strengths — her time spent as a prosecutor and attorney general in California — as her prosecutorial record became a liability with a Democratic base that has turned sharply left on issues of criminal justice.
Hawaii Congresswoman Tulsi Gabbard, a low-polling Democratic wildcard, weaponized Harris’ prosecutorial record against her in a later debate, lambasting Harris with a set of somewhat misleading and out-of-context accusations. But Harris did not mount a full-throated defense in the moment, only reiterating that she was proud of her time as a prosecutor.
The campaign also struggled to bring in small-dollar donations, creating a greater reliance on the kind of big-money fundraisers some of Harris’ rivals have sworn off, and resulting in less-than-savory headlines about small controversies like her initial plan to skip a climate change town hall in favor of a fundraiser. (Harris later said she was unaware of the scheduling conflict, and attended the town hall.)
Harris further struggled with the question of electability — concerns that have also gripped other competitors in the historically diverse field — as she addressed voters afraid the country might not be ready for a female president of color. From the earliest days of the campaign, Harris was subject to conspiracy theories that ricocheted around social media, even giving way to a reprisal of the same birtherism smears that plagued former President Barack Obama.
In the spring, prior to Harris’ debate stage spat with Biden, she was forced to deftly maneuver suggestions from fellow members of the Congressional Black Caucus that her becoming Biden’s running mate would make for a “dream ticket.” After the debate, Harris allies ripped the Biden campaign for suggesting that she let her ambition get the best of her in leveling the busing broadside.
Still, she was unable to make significant inroads with black voters, a key Democratic voting bloc, in the same way that Biden has, despite running neck and neck with the former vice president in endorsements from members of the CBC.
Recent weeks have carried numerous warning signs of a derailed campaign, with Harris abruptly shuttering much of the campaign’s New Hampshire operation as the senator focused squarely on Iowa. She laid off staff rather than recalibrating her resources and hoped a top-three finish in Iowa could propel her to a win in South Carolina.
Harris’ financial struggles likely would have been compounded by the possibility of an impeachment trial in the beginning of the year, which will keep her and her fellow rivals in the Senate in Washington and off the campaign trail in the crucial weeks leading up to the Iowa caucuses and potentially even the New Hampshire primary.
But in her video message Tuesday, Harris pledged to stay in the fight against Trump.
“I want to be clear,” she said. “Although I am no longer running for president, I will do everything in my power to defeat Donald Trump and fight for the future of our country and the best of who we are. I know you will too. So let’s do that together.”
Story 1: The Day of Reckoning Is Approaching And Not A Word Is Spoken — National Debt More Than $23 Trillion — Plus Unfunded Obligations Estimates Over $100 Trillion to Over $200 Trillion — Videos —
Deficits and debt | AP Macroeconomics | Khan Academy
Story 2: Democrats Trying To Talk & Tank The Economy Into a Recession — Big Failure — Economy Still Growing — Videos
Ingraham: An animated series of failures
How the Fed creates free money for big banks, CEOs and billionaires
Trillion-dollar deficits as far as the eye can see, and hardly a voice of caution to be heard
BY ALBERT HUNT, OPINION CONTRIBUTOR — 12/01/19 11:30 AM EST 2,649
THE VIEWS EXPRESSED BY CONTRIBUTORS ARE THEIR OWN AND NOT THE VIEW OF THE HILL
In the old days, a decade or so ago, Democrats would have assailed Donald Trump‘s failure on federal deficits; instead of eliminating it, as promised, the deficit has doubled to a trillion dollars as far as the eye can see.
Republicans would be in full fury over the spending schemes of Democratic presidential candidates; even the mainstream moderates propose huge increases for health care, education and the social safety net for the disadvantaged.
Yet deficits, as a political issue, are dead.
The political impact always was exaggerated, but out-of-control deficits were a staple of opposition rhetoric. There invariably was some budget-balancing blue-ribbon group, the most famous being the Simpson-Bowles Commission.
For Democrats, the pressing urgency of unmet needs in health care, education, infrastructure and the social safety net far outweigh any rising debt. They favor tax hikes, mainly on the rich, to reverse the huge 2017 Republican tax cuts, but there’s less premium on the green eyeshade test of paying for all spending initiatives.
Most Republicans strongly want to keep those tax cuts — the only significant achievement of three years of party rule — and have little interest in tackling politically popular entitlements. In the years the Republican Party controlled both houses of Congress and the White House, it focused only on gutting the Affordable Care Act.
This has become the Trump Party, which overshadows the old Republican battle lines between budget balancers and tax cutters. This Republican executive is a tax cutter and budget buster.
As well as the politics, Democrats have a strong policy basis for their position. Early this year, the two most prominent Democratic economists — former Treasury Secretary Larry Summers and Jason Furman, chairman of the Council of Economic Advisers, both under Barack Obama — wrote an influential article citing structural declines in interest rates. This means that “policymakers should reconsider the traditional fiscal approach that has often wrong-headedly limited worthwhile investments in such areas as education, health care and infrastructure,” they said.
“Politicians and policymakers should focus on urgent social programs, not deficits,” they advised.
They don’t go as far as the Modern Monetary Theorists who basically argue the sky is the limit on debt unless inflation takes off. Instead, Summers and Furman claim a key is that the federal debt — as a percentage of the economy — stays at a relatively stable 3 percent to 4 percent, where it has been for the past five years.
The Republican deficits hawks, most recently former House Speaker Paul Ryan, have been rendered obsolete, as least as long it’s the party of Trump.
Even back in the 1970s, however, some Republicans embraced what supply-side propagandist Jude Wanniski called the “Two-Santa Theory” — namely, to counter Democrats’ support for popular spending programs, Republicans should favor huge tax cuts without concern for the deficit. (Ronald Reagan once joked he didn’t worry about the deficit, as it was “big enough to take care of itself.”)
Moreover, the Republican cries about the evils of big deficits have been more rhetorical than real, although the general perception of Democrats as more fiscally profligate is a canard.
The deficit also soared under George W. Bush, especially at the end of his term, with the economic crisis.
Obama inherited a massive $1.4 trillion shortfall and in eight years cut it by 60 percent.
The shortfall has doubled under Trump.
As a percentage of the economy, however, it has risen from 3 percent in the final Obama year to a bit more than 4 percent now.
Even Washington’s most stalwart and consistent fiscal hawk, Maya MacGuineas, president of the bipartisan Committee for a Responsible Federal Budget, acknowledges the budget deficit isn’t a top policy concern right now “as low interest rates buy us some time.”
However, she cautions that the fiscal situation “is the worst it has been since just after World War II,” adding, “No one knows when the tipping point is or what it looks like, but those are questions we shouldn’t want to find the answers to.”
Albert R. Hunt is the former executive editor of Bloomberg News. He previously served as reporter, bureau chief and Washington editor for the Wall Street Journal. For almost a quarter-century he wrote a column on politics for The Wall Street Journal, then the International New York Times and Bloomberg View. Follow him on Twitter @alhuntdc.
Story 3: Federal Reserve Intervenes and Adds More Liquidity or Money Into Economy — Overnight and 42-Day Term Repos Madness Bubble — Return of Quantitative Easing? –Videos —
Fed is in a ‘lose, lose, lose situation,’ says Mohamed A. El-Erian
Repo Madness: Up to $300 Billion Per Day As First 42 Day Term Repo Kicks In Going Into 2020!
Repo: How Roughly $1 Trillion Moves Overnight | WSJ
How the Fed creates free money for big banks, CEOs and billionaires
The ‘repo’ market explained
The Central Banks’ Monetary Policy Is Backfiring (w/ Simon White)
New York Fed Adds Liquidity Amid Heavy Demand for Year-End Funding
Interventions ensure markets have enough liquidity and short-term borrowing rates remain well-behaved
By
Michael S. Derby
The Federal Reserve Bank of New York again saw very strong demand for liquidity aimed at helping financial markets navigate the turn of the year.
The demand once again arrived as the Fed added temporary liquidity to financial markets Monday. All together the central bank pumped in $97.9 billion in two parts. One was via overnight repurchase agreements, or repos, that totaled $72.9 billion. The other was via 42-day repos.
While the Fed took all the securities that dealers offered it for the overnight repo, the longer-term operation saw eligible banks offer $42.55 billion in securities versus the $25 billion the Fed took. That level of interest was a replay from the last 42-day repo operation held Nov. 25, when eligible banks submitted $49.05 billion in securities against the $25 billion the central bank accepted.
The robust demand for year-end liquidity could alter the path of future longer-term Fed interventions and induce the central bank to increase their size. Central banks want to ensure that markets remain well behaved over year end, and they have signaled they will be flexible in achieving that. The Fed has already increased the size of other temporary operations, making it possible future term operations could be bigger as well.
Fed repo interventions take in Treasury and mortgage securities from eligible banks in what is effectively a short-term loan of central-bank cash, collateralized by the securities.
The Fed’s interventions are aimed at ensuring that the financial system has enough liquidity and that short-term borrowing rates remain well-behaved, with the central bank’s federal-funds rate staying within the 1.5%-to-1.75% target range. The effective fed-funds rate stood at 1.56% on Friday. The broad general collateral rate for repo trading stood at 1.62%, also for Tuesday.
The Fed has been intervening in markets in the current fashion since mid-September, when short-term rates unexpectedly shot up on a confluence of factors, although it has used similar operations for decades to manage short-term rates.
Since the large interventions started, money-market rates have been well-behaved. The Fed is using temporary operations to tamp down any possible volatility, while purchasing Treasury bills to build up reserves in the banking system. It hopes that by buying Treasury bills it will be able to cut back on repo interventions at the start of next year.
The Fed currently expects to buy Treasury bills through the middle of next year.
Story 4: Department of Justice Inspector General Michael Horowitz Report Will Be Released on December 9 and Horowitz Will Testify Before Senate Judiciary Committee December 11, 2019 — Videos —
‘They Tried to Overthrow the Presidency’: Trump Says Results of IG’s Report Could be ‘Historic’
FBI official allegedly altered document in Russia probe: Report
DOJ Inspector General to testify on alleged 2016 campaign spying
IG Horowitz to testify on Russia probe, FISA abuse
TRUMP PROBE REPORT AND HEARING – DECEMBER 9/11, 2019
DiGenova: Comey, Clapper and Brennan will have to pay the ‘Barr bill’
Jason Chaffetz: FBI deep state clear – will FISA report finally lead to action?
Jason Chaffetz By Jason Chaffetz | Fox News
PROGRAMMING ALERT: Watch Jason Chaffetz discuss this op-ed and much more on “Mornings with Maria” on Monday, December 2.
Following a series of four damning inspector general reports over the last two years, there is little doubt the senior leadership of the Obama-era FBI was weaponized in the service of the Democratic Party. But as America awaits what many expect to be the most damning investigation of all, it’s fair to ask what has been done to rein in our rogue FBI.
The report on FISA abuse set for release on Dec. 9 is expected to show how the FBI used the Foreign Intelligence Surveillance Act (FISA) to spy on American citizens affiliated with the Trump campaign in 2016. As damning as such a conclusion would be, it will only be the latest in a series of explosive revelations from the Department of Justice Inspector General (IG) Michael Horowitz, some of which got muted coverage from the mainstream press. Advance leaks suggest the upcoming report will, at a minimum, show an FBI lawyer illegally altered documents to justify a FISA application.
Even before next week’s anticipated release, we already have IG reports implicating the FBI director, assistant director, deputy assistant director, and chief of the counterintelligence section. Though none of them remain at the bureau, we have seen little reassurance from current FBI Director Christopher Wray that the culture they created has changed.
Thus far, no one has been prosecuted, despite a long string of damaging reports and referrals. An IG can make a recommendation but it is up to the DOJ to prosecute, even if it is one of their own.
A 63-page report released last month found “numerous issues” with the FBI’s use of confidential sources during a period that included the 2016 election. That report revealed that the FBI lacked appropriate procedures to vet and maintain oversight of sources like the ones used against the Trump campaign. This created a security risk for the United States. Yet no prosecutions have been announced.
Last August, an even more serious finding was released when the IG determined that the FBI director himself had violated FBI policy and the terms of his own employment agreement in disseminating classified information for release to the media. Though the DOJ could have prosecuted based on the report’s findings, it declined to do so.
A May 2019 IG report implicated the FBI deputy assistant director for unauthorized contacts with the media, illegally disclosing sealed court documents and other sensitive information to the media, and accepting gifts from the media. The DOJ declined to prosecute. But why? The IG recommended prosecution.
The IG’s June 2018 probe into the Hillary Clinton email investigation implicated the FBI’s head of counterintelligence, Peter Strzok, of repeatedly articulating a strong political bias even as he headed up the investigation of Clinton’s exposure of classified information. The 500-page report, which reviewed 1.2 million documents and included interviews with more than 100 witnesses, documented numerous questionable decisions that benefited Clinton or damaged Trump, though the IG acknowledged the parties denied their political bias impacted their decisions.
The FBI is in shambles and there has been little to no public acknowledgment of the crisis by the current director. No work by him to stem this tide of political bias is evident to the public.
The report also highlighted an interoffice affair between Strzok and FBI lawyer Lisa Page, both of whom worked on the Clinton and Trump investigations. Next week’s IG report is also expected to document an affair between two other FBI lawyers who worked together on the FISA applications.
What is going on at the FBI and why no consequences for such blatant violations of internal policy and the law? And why did these vulnerabilities exist for so long without detection? No doubt adversarial intelligence agencies could have figured this out quite easily, making our intelligence operations vulnerable to exploitation.
Finally, an April 2018 report implicated FBI Assistant Director Andrew McCabe of inappropriately authorizing the disclosure of sensitive information to a reporter and repeatedly lying to investigators about it. The report found McCabe lied four times, three under oath, and that it was done “in a manner designed to advance his personal interests at the expense of Department leadership.” Though McCabe was fired, he wasn’t prosecuted.
What message does it send when the Justice Department protects its own?
The FBI is in shambles and there has been little to no public acknowledgment of the crisis by Director Wray. No work by him to stem this tide of political bias is evident to the public.
With the release of next week’s FISA report, we must demand action by Wray. Given the well-documented wrongdoing by the previous FBI director, deputy director, deputy assistant director, the chief of counterintelligence, and evidently DOJ counsel, the American people are right to question the legitimacy of America’s federal law enforcement apparatus.
If the American people are going to regain confidence in the senior leadership of the FBI, the Justice Department will need to prosecute wrongdoing as they would if it weren’t one of their own. Until then, questions of imbalance, favoritism and bias in one direction will persist. Certainly, we deserve better.
Story 4: Lisa Page Role in Foreign Intelligence Surveillance Act (FISA) Court Warrant Application Process? — Videos
Lisa Page Breaks Silence On Trump’s DISGUSTING Behavior
Trump viciously mocks Strzok, Page at Minneapolis rally
Rep. Biggs: Lisa Page once engaged in FBI cabal, now playing the victim
Whitaker: Lisa Page made calculated move to front run IG report
Lisa Page Speaks: ‘There’s No Fathomable Way I Have Committed Any Crime at All’
STRIKING BACK
The former FBI lawyer and ongoing Trump target breaks two years of silence in this exclusive interview. And she has quite a lot to say.
Molly Jong-Fast
It’s not often that you interview a subject who has no interest in being famous. But recently, I did just that when I sat down with Lisa Page the week before Thanksgiving in my hotel room in Washington, D.C. Page, of course, is the former FBI lawyer whose text-message exchanges with agent Peter Strzok that belittled Donald Trump and expressed fear at his possible victory became international news. They were hijacked by Trump to fuel his “deep state” conspiracy.
For the nearly two years since her name first made the papers, she’s been publicly silent (she did have a closed-door interview with House members in July 2018). I asked her why she was willing to talk now. “Honestly, his demeaning fake orgasm was really the straw that broke the camel’s back,” she says. The president called out her name as he acted out an orgasm in front of thousands of people at a Minneapolis rally on Oct. 11.
That was the moment Page decided she had to speak up. “I had stayed quiet for years hoping it would fade away, but instead it got worse,” she says. “It had been so hard not to defend myself, to let people who hate me control the narrative. I decided to take my power back.”
She is also about to be back in the news cycle in a big way. On Dec. 9, the Justice Department inspector general report into Trump’s charges that the FBI spied on his 2016 campaign will come out. Leaked press accounts indicate the report will exonerate Page of the allegation that she acted unprofessionally or showed bias against Trump.
How does it feel after all this time to finally have the IG apparently affirm what she’s been saying all along? She said she wouldn’t discuss the findings until they were officially public, but she did note: “While it would be nice to have the IG confirm publicly that my personal opinions had absolutely no bearing on the course of the Russia investigations, I don’t kid myself that the fact will matter very much for a lot of people. The president has a very loud megaphone.”
Page, 39, is thin and athletic. She speaks in an exceedingly confident, clear, and lawyerly way. But having been through the MAGA meat grinder has clearly worn her down, not unlike the other women I’ve met who’ve been subjected to the president’s abuse. She is just slightly crumbly around the edges the way the president’s other victims are.
My heart drops to my stomach when I realize he has tweeted about me again.
“It’s almost impossible to describe” what it’s like, she told me. “It’s like being punched in the gut. My heart drops to my stomach when I realize he has tweeted about me again. The president of the United States is calling me names to the entire world. He’s demeaning me and my career. It’s sickening.”
“But it’s also very intimidating because he’s still the president of the United States. And when the president accuses you of treason by name, despite the fact that I know there’s no fathomable way that I have committed any crime at all, let alone treason, he’s still somebody in a position to actually do something about that. To try to further destroy my life. It never goes away or stops, even when he’s not publicly attacking me.”
Does it affect you in your normal day-to-day life?
“I wish it didn’t,” she said. “I’m someone who’s always in my head anyway—so now otherwise normal interactions take on a different meaning. Like, when somebody makes eye contact with me on the Metro, I kind of wince, wondering if it’s because they recognize me, or are they just scanning the train like people do? It’s immediately a question of friend or foe? Or if I’m walking down the street or shopping and there’s somebody wearing Trump gear or a MAGA hat, I’ll walk the other way or try to put some distance between us because I’m not looking for conflict. Really, what I wanted most in this world is my life back.”
Rising Through the Ranks
Lisa Page did not aspire to fame or fortune. She was, she says, “one of those nerdy kids who from very early on knew I wanted work for the government and make the world a better place.” Born in the San Fernando Valley, she and her family moved to Ohio in her teens. She went to American University in Washington, D.C., and then moved back home to central Ohio to attend law school, living with her parents so she could save money.
After graduating from law school, she was one of an elite group selected for admission in the Department of Justice Honors Program in 2006—and the only woman in her class of five entering the Criminal Division. She worked as a federal prosecutor for six years before moving across the street to the FBI’s office of general counsel. Soon after her arrival, the deputy general counsel over national-security law hired her for a new special-counsel-type position in 2013.
Once there, her path begins to be set.
“I start [in the role] in early 2013, and there are two big events that kind of set the trajectory for the rest of my career at the FBI: the Boston bombing in April 2013, and Edward Snowden’s leaks in June of the same year,” she told me. “And those are both significant in their own ways, because the Boston bombing introduces me to Andy McCabe, who at the time was the head of the counterterrorism division at the FBI. Two months later, the Snowden leaks hit, which became a transformative moment for the intelligence community, setting off a series of reforms by the Obama administration with respect to the legal authorities that we rely on to collect intelligence.”
Eventually, she was asked to lead that effort, “which gives me a lot of exposure to senior FBI executives, as well as leaders through the IC, DOJ, and White House.”
Page continued to rise through the ranks of the FBI and was assigned to more significant and substantive work. She became close with McCabe. Eventually she became McCabe’s special counsel.
Story 1: Democrat Socialist Cover-up of Clinton Obama Democrat Criminal Conspiracy or Spy-gate Goes Public With Second Coup Attempt To Legitimatize President Trump and 2020 Campaign Event — Democrat Impeachment Obsession Deflating — Videos —
U.S. President Donald Trump’s administration is considering arming Ukraine with lethal defensive weapons that Kyiv could use against Russia-backed separatists. Opponents argue arming Ukraine risks escalating the conflict while supporters say better weapons would act as a deterrence to Russian aggression and give a psychological and political boost to Kyiv. The debate comes as Trump’s new envoy on Ukraine, Kurt Volker, is to visit Russia soon. VOA’s Daniel Schearf reports from Washington.
President Obama announces U.S. non-lethal aid to Ukraine
U.S. Sending Nonlethal Aid to Ukraine Military
Defense Secretary Chuck Hagel says the U.S. will send medical supplies, helmets and other nonlethal aid to the Ukrainian military in response to Russia’s ‘destabilizing activities.’ (April 17)
Ukraine’s Poroshenko on charm offensive, US agrees to non-lethal aid
Obama: Military Option Not on Table in Ukraine
WHY RUSSIA SHOULD FEAR AMERICA’S JAVELIN ANTI TANK MISSILE?
TRUMP IMPEACHMENT: Adam Schiff Opening Statement
TRUMP IMPEACHMENT: Devin Nunes Opening Statement
WHERE’S HUNTER? Early CHAOS In Impeachment Hearing
George Kent: Giuliani’s efforts were “infecting” Ukraine policy
Trump impeachment: Bill Taylor opening statement in Full – BBC News
Top diplomat Bill Taylor says: “I am not here to take one side or the other or to advocate for any particular outcome of these proceedings.”
WATCH: Rep. Adam Schiff’s full questioning of George Kent and Bill Taylor
Devin Nunes begins Republican questioning of Taylor and Kent
Republican counsel Steve Castor’s full questioning of George Kent and Bill Taylor
WATCH: Rep. Adam Schiff questions Kent, Taylor again| Trump impeachment hearings
Devin Nunes begins Republican questioning of Taylor and Kent
Rep. Devin Nunes, the top Republican on the House Intelligence Committee, and counsel Steve Castor spent 45 minutes questioning the top U.S. diplomat in Ukraine, William Taylor, and State Department Deputy Assistant Secretary George Kent in the first day of public impeachment hearings. Watch this full portion of the hearing.
Jim Jordan grills Dems’ ‘star witness’ Taylor in impeachment hearing
WATCH: Rep. Elise Stefanik’s full questioning of George Kent and Bill Taylor
Rep. Elise Stefanik, R-N.Y., questioned George Kent, deputy assistant secretary of state for European and Eurasian affairs, and Bill Taylor, the top U.S. diplomat in Ukraine, in the first public hearing in the impeachment inquiry against President Donald Trump. Stefanik focused on both officials’ statements on the corruption in Ukraine and Burisma. The probe centers around a July phone call in which Trump asked the president of Ukraine to investigate former vice president and 2020 presidential candidate Joe Biden and his son, Hunter. Both Kent and Taylor testified to lawmakers in October behind closed doors.
WATCH: George Kent’s full opening statement on first day of Trump impeachment hearings
WATCH: Rep. Adam Schiff questions Kent, Taylor again| Trump impeachment hearings
House Impeachment Inquiry – Taylor & Kent Testimony
Watch Day 1 of Trump’s impeachment hearings again as Ambassador Taylor and George Kent give evidence
This week Washington D.C. was rocked by allegations that the President of the United States tried to tie the sale of Javelin missiles to Ukraine for dirt on his political rivals.
The simple, easy to use anti-tank missile is Ukraine’s weapon of choice in its undeclared war against Russia.
In May 2018 Ukraine purchased 210 Javelin missiles and 37 launchers from the United States for an estimated $47 million.
The Javelin missile is an unlikely weapon to be thrust into the political spotlight.
In a call with the Ukrainian President Volodymyr Zelensky on July 25, 2019, President Donald Trump tied together the Ukraine’s purchase of Javelin missiles with an investigation into his political rivals. While the true nature of this phone call has yet to be determined, the effectiveness of the weapon is an absolute certainty. The Javelin’s features—and Russia’s tank armies—made it a very desirable weapon for Ukraine, a country that is suffering an undeclared war with Russia from 2014 to the present day.
In the 1980s, the U.S. Army’s main threat was Soviet Union. U.S. forces in Europe trained to operate outnumbered, holding their ground against waves of Soviet T-72 and T-80 main battle tanks, as well as BMP-2 infantry fighting vehicles. The main anti-tank weapon, issued to every U.S. infantry squad, was the M-47 Dragon anti-tank guided missile.
Ukrainian soldiers armed with Javelin anti-tank missiles, August 2018.
The Dragon was bulky and unreliable but it could penetrate the frontal armor of both the T-72 and T-80. The optically guided missile required the shooter to hold an enemy tank steady in his crosshairs but had a maximum range of just 1,000 meters. This meant the shooter had to launch and guide the missile within range of a Soviet tank’s machine guns, and incoming fire could throw the missile off target.
The introduction of Soviet reactive armor—explosive tiles bolted onto the outside of a tank to blunt anti-tank missiles—made Dragon obsolete. The Army issued a requirement for a replacement known as AAWS-M, or Advanced Anti-Tank Weapon System—Medium. Texas Instruments and Martin Marietta (now known as Lockheed Martin) won the contract, and the first missile test took place in 1991. Initial tests were positive and the FGM-148 Javelin missile went into full production in 1994.
An Australian Army Javelin missile explodes on target, Townsville, Australia, 2009.
IAN HITCHCOCKGETTY IMAGES
Javelin is a much better missile system that Dragon in almost every way. A shoulder launched weapon, Javelin uses an imaging infrared system to detect and lock onto tanks at distances of up to 4,750 meters–much, much farther than Dragon. Once the operator locks onto a tank and initiates the launch sequence, a small rocket motor kicks the missile out of the launch tube and into the air, whereupon the main motor ignites and sends the missile downrange.
Unlike Dragon, Javelin has two attack modes. The first mode is direct attack, where the missile flies straight toward the enemy tank. The missile has not one but two warheads–the first to trigger the reactive armor tiles, neutralizing them, and the second to penetrate the tank’s main armor belt. A second mode sends Javelin racing upward to an altitude of 500 feet, whereupon it dives down onto the top of the tank where armor protection is thinnest.
A T-72 tank of the Donetsk People’s Republic, a militia operating in the Donetsk region with Russian backing, 2014.
MAX VETROVGETTY IMAGES
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One major drawback of Dragon required the gunner to hold very still, keeping the tracker’s crosshairs centered on an enemy tank until impact. This was never really all that realistic as the noise and stress of combat, as well as enemy fire, could easily cause the gunner to break his visual lock. Javelin on the other hand is a “fire and forget” missile: once launched the missile’s brain takes over guiding it to target. A Javelin gunners can shoot his or her missile and then make a run for it, retreating or relocating to an alternate firing position.
Russian Army regular units and local militias operate tanks and armored vehicles, including the new T-90 main battle tank, T-72 tank, and the latest version of the T-72, the T-72B3. Other vehicles include BMP-2 and BMP-3 infantry fighting vehicles, MTLB armored personnel carriers, and BMD airborne infantry fighting vehicles. Russia’s large number of tanks and armored vehicles threatens Ukraine not only in the limited fighting around the Donbas and Crimea regions but also if Russia were to stage a general invasion of Ukraine itself.
In May 2018 Ukraine purchased 210 Javelin missiles and 37 launchers from the United States for an estimated $47 million. Properly used—and Javelin is very easy to use—that could mean the destruction of scores of armored vehicles should Russian forces roll west again. It could lead to a string of humiliating, demoralizing defeats for Russian forces and their proxies.
The question is: Will Ukraine get more any time soon?
Kent has been in the State Department‘s foreign service since 1992.[4][5] He speaks Ukrainian, Russian, and Thai, as well as some Polish, German, and Italian.[1] His work as a U.S. Foreign Service Officer has included service in Ukraine, Poland, Thailand and Uzbekistan.[3]
On October 15, 2019, Kent testified in the House impeachment inquiry of President Trump, serving as a key witness on whether Rudy Giuliani used a campaign of disinformation to undermine the former ambassador to Ukraine, Marie Yovanovitch.[6] Kent’s warnings regarding the disinformation campaign are documented in State Department emails submitted to Congress by the organization’s inspector general. Kent protested a “fake news smear” directed at Ambassador Yovanovitch by media commentators supportive of President Trump. He also criticized the Ukrainian prosecutor undermining Yovanovitch, calling the disinformation “complete poppycock.”[7] On November 13, 2019, along with Ambassador Bill Taylor, Kent gave public testimony to the House Intelligence Committee during the first public hearing.[8]
William Brockenbrough Taylor Jr., (born September 14, 1947) is an American diplomat, government official, former soldier, and, as of November 2019, the acting United States ambassador to Ukraine.
Born in New Mexico on September 14, 1947,[1] Taylor is the son of Nancy Dare (Aitcheson) and William Brockenbrough Newton Taylor,[2] who had been a director of research and development for the United States Army Corps of Engineers (USACE).[3]
In 1965, Taylor graduated from Mount Vernon High School in Mount Vernon, Virginia after serving as president of his junior and senior class.[4] Like his father, he attended the United States Military Academy at West Point, New York, attaining the rank of cadet battalion commander and graduating in the top 1% of his class in 1969. The 1969 Howitzer yearbook notes his modesty about his many academic and athletic accomplishments, describing him as “a man who is held in the highest esteem and admiration by all of us.”[5][6] In 1977, he completed graduate studies at Harvard University‘s John F. Kennedy School of Government, receiving a Master of Public Policy degree.
Career
After Taylor graduated from West Point, he served in the infantry for six years, including tours of duty in the 82nd Airborne Division at Fort Bragg, and 18 months with the 101st Airborne Division during the Vietnam War. Taylor was a rifle company commander serving in the Quang Tri and Thua Tien provinces in the 506th Infantry Regiment (United States) of the 101st Airborne, widely heralded from the World War II book and TV miniseries Band of Brothers, with their motto “Currahee,” meaning “We stand alone.”[7] He was eligible to return home after serving for one year, but he opted to stay another six months.[8] He earned the Combat Infantryman Badge, a Bronze Star Medal, and Air Medal with ‘V’ for VALOR for heroism.[9]
Taylor left the military in 1975.[8] In 1980, he was serving in the relatively new Department of Energy as Director of Emergency Preparedness Policy. While the DOE had received creditable marks for its response to the coal strike during 1977–78, the crisis in Iran pointed to the need, going forward, for better federal level contingency planning and preparedness. In taking on this new assignment, Taylor had a long term, rather than short term, focus on potential crises (e.g. price controls and gasoline rationing), efforts that often required coordination with other federal agencies, including the Department of the Treasury, the Office of Management and Budget, the Council of Economic Advisers and the Department of Health and Human Services.[12]
Thereafter, Taylor served for five years as Legislative Assistant on the staff of U.S. Senator Bill Bradley (D-N.J.). He then directed a Defense Department think tank at Fort Lesley J. McNair.
Following that assignment, he transferred to Brussels for a five year assignment as the Special Deputy Defense Advisor to the U.S. Ambassador to NATO, William Howard Taft IV. From 1992 until 2002, Taylor served with the rank of ambassador, coordinating assistance to Eastern Europe and the former Soviet Union. He then accepted an assignment as Special Representative for Donor Assistance in Kabul, coordinating U.S. and international assistance to Afghanistan. Engaging with the Afghan government and international donors, Taylor facilitated the flow of assistance to Afghanistan and promoted additional donations. The undertaking facilitated the repatriation of 2 million Afghan refugees and the restoration of critical services such education and health care. The aid helped restore agriculture, and provided support grants for over 80 infrastructure projects. In 2003, Secretary of State Colin L. Powell appointed Taylor as the Afghanistan Coordinator at the U.S. Department of State, overseeing all aspects of U.S. policy toward Afghanistan, noting that it was a critical time in Afghanistan’s political development and economic reconstruction.[13]
Taylor met with the interim Fallujah city council, April 2005
In 2004, Taylor was transferred to Baghdad as Director of the Iraq Reconstruction Management Office.[14]
Until 2006, he was the U.S. Government’s representative to the Quartet‘s effort to facilitate the Israeli disengagement from Gaza and parts of the West Bank, led by Special Envoy James Wolfensohn in Jerusalem. The Quartet Special Envoy was responsible for the economic aspects of this disengagement.
Taylor was nominated by President George W. Bush to be the United States ambassador to Ukraine while Taylor was serving as Senior Consultant to the Coordinator of Reconstruction and Stabilization at the Department of State.[15][16] He was confirmed by the U.S. Senate on May 26, 2006, and was sworn in on June 5, 2006. At the time Taylor assumed responsibilities at the embassy, it was the fifth-largest bilateral mission in Europe, with over 650 employees from nine U.S. government departments and agencies. A report by the Office of the Inspector General of the Department of State from 2007 notes that the new ambassador had “taken charge of the embassy in a remarkably effective and positive way,” creating, together with Deputy Chief of Mission Sheila Gwaltney, a “formidable team at a mission that has a complex set of goals.” It further noted that “Embassy Kyiv has a keen understanding of the complicated and rapidly evolving political and economic situation in Ukraine and has good working relations across the political spectrum. The embassy’s commentary on such issues as the evolving state of Ukraine’s relations with the European Union, North Atlantic Treaty Organization (NATO), and Russia is extensive, timely, and well appreciated by Washington end-users.”[17] Taylor held the post until May 2009.[18]
On September 30, 2009, U.S. PresidentBarack Obama nominated John Tefft as U.S. ambassador to Ukraine.[19] Taylor was appointed Special Coordinator for Middle East Transitions in September 2011.[20] From then through 2013, Taylor’s mission was to ensure effective U.S. support for the countries of the Arab revolutions, coordinating assistance to Egypt, Tunisia, Libya and Syria.[21]
In 2015, Taylor was appointed executive vice president of the United States Institute of Peace, after serving a year in the same role in an acting capacity.[22][23] In this role, he supported continuing or increasing U.S. sanctions against Russia for its aggressions toward Ukraine.[24]
Taylor arrived in Ukraine a month after the abrupt ousting of Ambassador Marie Yovanovitch and the inauguration of the country’s new president, Volodymyr Zelensky. But following President Donald Trump‘s phone call with the new Ukrainian president, Taylor questioned Trump’s motivation in a text to Gordon Sondland, the United States Ambassador to the European Union: “Are we now saying that security assistance and WH meeting are conditioned on investigations?” Sondland told him to phone.[26]
On October 3, 2019, it was revealed that Taylor had expressed, in text messages, concern that President Trump may have withheld aid to Ukraine unless they, Ukraine, launched two investigations, one into alleged corruption in Ukraine involving former Vice President Joe Biden, and the other an attempt to deflect from the US intelligence communities’ consensus determination that Russia hacked the Democratic National Committee and interfered with the 2016 United States presidential election, by suggesting that the DNC is hiding the hacked server in Ukraine.[citation needed]
Explicit throughout Taylor’s testimony was that Trump’s goal in withholding the congressionally mandated military aid to Ukraine was to extort Zelensky, the newly inaugurated president of Ukraine, into announcing an investigation into the theory related to Biden in a primetime American television interview. At the time, and through much of the preceding nascent Democratic Party Presidential Primary Election season, Biden was the leading candidate, and seemed likely to be the Democratic Party challenger to Trump in the 2020 United States Presidential Election. Additional incentive was provided for Ukraine to do as Trump, Sondland, and Guiliani suggested, by implying that Zelensky would get a state visit to the White House if he complied.[citation needed]
According to transcripts released by the House impeachment probe, Taylor on September 9, 2019, at 12:47:11 am texted, “I think it’s crazy to withhold security assistance for help with a political campaign.” Over four hours later, at 5:19:35 am,[27] in his response to Taylor, Sondland responded that the charge is “incorrect.” “Bill, I believe you are incorrect about President Trump’s intentions. The President has been crystal clear: no quid pro quo’s of any kind. The President is trying to evaluate whether Ukraine is truly going to adopt the transparency and reforms that President Zelensky promised during his campaign.”[27] He then suggested Taylor call the Executive Secretary of the United States Department of State about any concerns:[28] “I suggest we stop the back and forth by text If you still have concerns I recommend you give Lisa Kenna or S a call to discuss them directly. Thanks.”[29] In his testimony during the impeachment inquiry Sondland noted that it was only out of his deep respect for Taylor that he tried to address Taylor’s concerns.[30] On October 22, 2019, Taylor’s opening statement also explained that Sondland required that Zelensky make public statements announcing an investigation, forcing him to conduct one, before the US released the allocated military aid. Taylor said he feared that Trump would withhold the military aid anyway, handing Moscow everything it wanted from the betrayal, texting Sondland that his “nightmare is that they [the Ukrainians] give the interview and don’t get the security assistance. The Russians love it. (And I quit.)”[31]
Taylor gave a deposition before a closed-door session of the House Intelligence Committee on October 22, 2019.[32]
On October 22, 2019, Taylor testified before the US Congressional House regarding the impeachment inquiry against Donald Trump and the Trump–Ukraine scandal in a closed session. Taylor’s opening statement was made public and directly implicated President Trump in a proactive and coordinated effort to solicit a political quid pro quo whereby “everything” – from a one-on-one meeting with President Trump to hundreds of millions of dollars in congressionally approved military aid to Ukraine – would be held up unless Ukrainian President Zelensky agreed to announce publicly that “investigations” would be launched including into former VP Joe Biden, his son Hunter Biden, Ukrainian energy company Burisma, and Ukraine’s alleged involvement in the 2016 election. Taylor’s opening statement and testimony was widely viewed as an inflection point in the impeachment inquiry.[33][34][35][36][37]
A few days before his second House testimony in mid-November, Taylor published an op-ed in Kyiv’s Novoye Vremya expressing the United States government’s commitment to Ukraine: “your success is our success.”[38][39]
Personal life
Taylor is married to Dr. Deborah Furlan Taylor,[40] a religion scholar.[41][42]
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Story 2: President Trump’s Back Channel To Ukraine And Personal Lawyer Rudy Giuliani — Cashing In As Trump’s Trusted Adviser? — Video
Trish Regan: Corruption, payouts and quid pro quos
Fitton: This is a fundamental threat to our republic
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Rudy Giuliani’s diplomatic backchannel was both ‘irregular’ and ‘outlandish’
Rudy Giuliani, Gordon Sondland, and others created a diplomatic backchannel to conduct foreign policy in Ukraine that actively undermined U.S. interests in Eastern Europe. And the Republicans’ best defense is: “It might be irregular, but it’s not outlandish.”
Acting Ambassador William Taylor testified during Wednesday’s public impeachment hearing that Giuliani’s involvement in Ukraine policy was troubling to many of the official, “regular” diplomats, including himself. It was clear to Taylor that Giuliani was pushing an agenda that had nothing to do with the national interest and everything to do with President Trump’s personal political interests.
It’s this last part that alarmed Taylor. It’s not unusual for the U.S. government to take into consideration the opinions of private citizens, such as Giuliani, when conducting foreign policy. But it is highly unusual for the aforementioned private citizen to influence and shape policy in a way that directly undermines the national interest.
The House Republicans’ counsel, Steve Castor, attempted to dismiss criticisms of Giuliani’s involvement by pointing out the diplomatic qualifications of Gordon Sondland, the U.S. ambassador to the European Union, and Energy Secretary Rick Perry. But these qualifications are irrelevant to the bigger question: Why were they involved in Ukraine in the first place?
It wasn’t to push a legitimate national interest, as Taylor has testified. Because if that were the case, Giuliani, Sondland, and the rest would not have seen any need to circumvent the system and go behind the State Department’s back.
It was this circumvention that Taylor found “problematic.” But because Giuliani could not be held accountable under government guidelines, there was little Taylor could do besides express his concern to his superiors. And he did just that, confronting Sondland and Kurt Volker directly when he believed things had gotten out of control.
This backchannel was corrupt, and if Republicans want to clear Trump’s name, they’ll need a better defense than “It was bad, but not that bad.”
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Story 1: President Trumps Declares A National Emergency — Unleashes Full Power of United States Government — $50 Billion in New Funding To Deal With COVID-19 Pandemic — Videos
BREAKING: Donald Trump declares a national emergency
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Trump declares virus emergency; Pelosi announces aid deal
President Donald Trump on Friday declared the coronavirus pandemic a national emergency in order to free up more money and resources. But he denied any responsibility for delays in making testing available for the new virus, whose spread has roiled markets and disrupted the lives of everyday Americans.
Speaking from the Rose Garden, Trump said, “I am officially declaring a national emergency,” unleashing as much as $50 billion for state and local governments to respond to the outbreak.
Trump also announced a range of executive actions, including a new public-private partnership to expand coronavirus testing capabilities with drive-through locations, as his administration has come under fire for being too slow in making the test available.
Trump said, “I don’t take responsibility at all” for the slow rollout of testing.
Late Friday, House Speaker Nancy Pelosi announced a deal with the Trump administration for an aid package from Congress that aims at direct relief to Americans — free testing, two weeks of sick pay for workers, enhanced unemployment benefits and bolstered food programs.
“We are proud to have reached an agreement with the Administration to resolve outstanding challenges, and now will soon pass the Families First Coronavirus Response Act,” Pelosi announced in a letter to colleagues. The House was poised to vote.
The crush of late-day activity capped a tumultuous week in Washington as the fast-moving virus shuttered the capital’s power centers, roiled financial markets and left ordinary Americans suddenly navigating through self-quarantines, school closures and a changed way of life.
The White House was under enormous pressure, dealing with the crisis on multiple fronts as it encroached ever closer on the president.
Trump has been known to flout public health advice — eagerly shaking hands during the more than hour-long afternoon event — but acknowledged he “most likely” will be tested now after having been in contact with several officials who have tested positive for the virus. “Fairly soon,” he said.
Still, Trump said officials don’t want people taking the test unless they have certain symptoms. “We don’t want people without symptoms to go and do that test,” Trump said, adding, “It’s totally unnecessary.”
Additionally, Trump took a number of other actions to bolster energy markets, ease the financial burden for Americans with student loans and give medical professionals additional “flexibility” in treating patients during the public health crisis.
“Through a very collective action and shared sacrifice, national determination, we will overcome the threat of the virus,” Trump said.
Central to the aid package from Congress, which builds on an emergency $8.3 billion measure approved last week, is the free testing and sick pay provisions.
Providing sick pay for workers is a crucial element of federal efforts to stop the rapid spread of the infection. Officials warn that the nation’s healthcare system could quickly become overwhelmed with gravely sick patients, as suddenly happened in Italy, one of the countries hardest hit by the virus.
The ability to ensure paychecks will keep flowing — for people who stay home as a preventative measure or because they’re feeling ill or caring for others — can help assure Americans they will not fall into financial hardship.
Hopes for swiftly passing the package seemed to be fading throughout the day as talks dragged on and Trump dismissed it during as “not doing enough.”
Ahead of Trump’s new conference, Pelosi delivered a statement from the speaker’s balcony at the Capitol imploring the Trump administration and congressional Republicans to “put families first” by backing the effort to provide Americans with relief.
“Our great nation has faced crisis before,” Pelosi said. “And every time, thanks to the courage and optimism of the American people, we have prevailed. Now, working together, we will once again prevail.”
Pelosi and Mnuchin engaged in days of around-the-clock negotiations with cross-town phone calls that continued even as Trump was speaking, both indicating earlier they were close to a deal.
They both promised a third coronavirus package will follow soon, with more aggressive steps to boost the U.S. economy, which economists fear has already slipped into recession.
The financial markets closed on an upswing after one of the worst nosedives since the 1987 downturn.
For most people, the new coronavirus causes only mild or moderate symptoms, such as fever and cough. For some, especially older adults and people with existing health problems, it can cause more severe illness, including pneumonia.
The vast majority of people recover. According to the World Health Organization, people with mild illness recover in about two weeks, while those with more severe illness may take three to six weeks to be over it.
Trump said he was gratified that Brazilian President Jair Bolsonaro tested negative for the virus, after the pair sat next to each other for an extended period of time last weekend at Trump’s Mar-a-Lago club. A senior aide to Bolsonaro tested positive.
Trump’s daugher, Ivanka Trump, worked from home Friday after meeting with Australian Home Affairs Minister Peter Dutton, now in isolation at a hospital after testing positive for the coronavirus. White House spokesman Judd Deere said she was evaluated by the White House Medical Unit and it was determined that because she was exhibiting no symptoms she does not need to self-quarantine.
Attorney General William Barr, who also met with the Australian official, was staying home Friday, though he “felt great and wasn’t showing any symptoms,” according to his spokeswoman Kerri Kupec.
Several lawmakers, including some close to Trump, have also been exposed to people who tested positive for the virus, and are self-isolating.
Among them are Republican Sens. Lindsey Graham and Rick Scott, who were at Trump’s club on the weekend. Graham announced Friday that he also met with the Australian official who has now tested positive. And GOP Sen. Ted Cruz of Texas, who had previously isolated himself after a potential exposure at a conservative conference in Washington, said Friday he met with a Spanish official and is now self-quarantining.
Hospitals welcomed Trump’s emergency declaration, which they and lawmakers in Congress had been requesting. It allows the Health and Human Services Department to temporarily waive certain federal rules that can make it harder for hospitals and other health care facilities to respond to an emergency.
The American Medical Association said the emergency declaration would help ensure America’s health care system has sufficient resources to properly respond to the ongoing outbreak.
Trump has struggled to show he’s on top of the crisis, after giving conflicting descriptions of what the U.S. is doing to combat the virus. On Wednesday he announced he would ban travel to the U.S. from Europe, and on Friday he suggested extending that to the U.K. because of a recent rise in cases.
Dr. Anthony Fauci, infectious disease chief at the National Institutes of Health, said more tests would be available over the next week, but warned, “We still have a long way to go.”
Fauci said Friday, “There will be many more cases. But we’ll take care of that, and ultimately, as the president said, this will end.”
___
Associated Press writers Aamer Madhani, Alan Fram, Lauran Neergaard, Martin Crutsinger, Laurie Kellman, Michael Balsamo and Kevin Freking in Washington and Bill Barrow in Atlanta contributed to this report.
https://apnews.com/83b0c8e168548fd453b0c177dd1f203a
Story 2: House Expected Passes Family First Coronavirus Response Bill Supported By President Trump — Videos
House Passes Coronavirus Relief Bill
House approves coronavirus response bill supported by Trump
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