Clinton Recession: 'Bill' Comes Due for 8 Years of Corruption
Charles R. Smith
Wednesday, March 21, 2001
Despite the media effort to pin the 2001 recession on President Bush, the fact remains that he had little to do with the last eight years of economic policy from the White House. The infamous miracle bubble of Bill Clinton's economy burst last summer when OPEC oil price increases rocked the world economy.
In February 1999, Energy Secretary Bill Richardson visited Saudi Arabia when prices were at their lowest. Richardson reportedly pressed Saudi Oil Minister Ali Naimi on the "oversupplied market" and expressed concern about "extreme price volatility."
Former Saudi minister Sheik Ahmed Zaki Yamani told a Houston oil conference that Richardson had "saved the oil industry" during that visit because his "intervention" had "persuaded" the Saudis to change policy by raising prices.
After Richardson's visit, Petroleum Intelligence Weekly, an industry newsletter, quoted Saudi officials as wanting "a price of $18 to $20 as soon as possible."
In 1999, then-President Clinton pressed OPEC to raise prices in order to finance the brutal Russian war in Chechnya. Clinton needed Russia's help settling that pesky little war in Kosovo. However, Bill was unable to aid Boris Yeltsin directly because of the rampant corruption inside Moscow.
Clinton quietly used OPEC oil diplomacy to supply Russia increased energy profits. The influx of cash into Moscow was mainly obtained through Iraqi oil sold by the U.N. and distributed through Russian suppliers. The cash paid for the Russian war and a new round of rampant corruption, centered on the former Soviet GAZPROM state oil company.
However, there were also unexpected results. The oil sales helped Saddam Hussein re-arm his military with a brand new Chinese-built air defense system. The move is also now seen as a major blunder that triggered the 2001 recession.
Anti-Energy Movement
In the 1990s, OPEC wanted to re-establish monopoly control by flooding the market with cheap oil. In 1973 OPEC cut off all oil to the West during the October war. The result was a sudden influx of investment in domestic and alternative production that peaked just before Clinton took office in 1992.
Clinton cooperated with OPEC by destroying domestic production. Clinton's main weapon was a war of propaganda waged by Al Gore. Gore led the attack on the U.S. energy industry using "green" policies of radical environmentalism. Despite the many variables in domestic energy, there is a basic flaw in the anti-energy argument. It is far more "environmentally friendly" to pump oil from static fields here in the U.S. than it is to import foreign oil in fragile ocean-going tankers.
OPEC in 2001 just squeezes harder, having learned never to let the U.S. go cold turkey again. The Clinton economy was built on artificially low cost foreign energy that has suddenly become very expensive. The United States is now more dependent on foreign energy than ever before.
Blackouts on the West Coast, skyrocketing gas and oil prices and an unstable stock market all add up to a recession in progress. There are no fast answers for eight years of declining domestic oil production and climbing oil consumption.
Chinese Army Inc. . Just as there is no quick fix for the energy crunch there is also no easy solution to the trade crash. During the 1990s, Clinton also sponsored a so-called trade boom with China that actually busted America. Hundreds of billions of dollars flowed out of America in the largest single trade deficit in history.
Today, firms backed by the People's Liberation Army dominate consumer markets in America. American workers, unable to compete against the slave labor amassed by the PLA, are losing manufacturing jobs to China at a rate never before seen. Chinese army firms compete unfairly against U.S. companies inside America for financing on the stock market, and even for U.S. government-backed loans.
For example, documents from the files of Chinagate figure John Huang show that $200 million in World Bank loans for a Chinese "Technology Development Project" actually went to weapons research labs and businesses wholly owned by the Chinese army. Huang later cited his Fifth Amendment rights more than two thousand times when asked under oath if he had ties to Chinese intelligence.
The funded projects included:
$5 million to Northwest Institute for Nonferrous Metal Research for "rare earth materials" used in "chemical, aviation," and "nuclear power stations." Northwest Institute for Nonferrous Metal Research is part of China National Nuclear Corp., maker of nuclear weapons for the Chinese army.
More than $5 million to Harbin Research Institute for "welded steel products" used in "aviation" and "ship building." Harbin was identified by the Department of Defense as a Chinese army front used to buy JET engines for the PLA in 1996.
More than $4 million to the Marine Design & Research Institute of China for "ship design software and services." The Marine Design & Research Institute is part of the China National Ship Building Corp. and the primary design facility for Chinese warships, including nuclear-powered submarines.
More than $4 million to Nanjing Radio Factory for "audio/visual" products used in "T.V.s, satellite equip., radios, CD players, etc." Nanjing Radio Factory produces electronics for the PLA, including satellite equipment, and secure military radios.
$3 million to Xi'an Jiatong University for "fluid machinery" research used in "turbo-compressors". Xi'an Jiatong University was identified by the Dept. of Defense as a major research center for Chinese Army chemical and biological weapons.
More than $5 million to "China Textile Academy" for "productivity enhancement." China Textile Academy produces camouflage uniforms for the Chinese army and for export to other armed forces.
Legacy of the Black Beret
Chinese army companies can now bid on U.S. government contracts. U.S. firms could not match a Chinese low bid for a U.S. Army contract to manufacture black berets. The black beret, made famous in World War II by the U.S. Army Rangers, was a symbol of pride for an elite force. The new fashion statement by the U.S. Army is intended to improve morale in the ranks.
According to published press accounts, a Chinese firm won part of the U.S. government contract, and many of the new Army hats are made outside the United States.
The new headgear is an embarrassing reminder of the stained Clinton legacy. The Pentagon is determined to distribute what has become known as the "Monica" to every single soldier.
The recent parade of liberal media pundits that now call the 2001 recession the "Bush" economy are missing the mark by a few trillion dollars. The left is attacking President Bush for the legacy of Bill Clinton. The eight-year ride of "corruption, collusion, and nepotism" is over, and the "Bill" is now due.
right in the wallet
Eagler
