Because of an editing error, “The Less You Know” [Readings, June], an abridged transcript of a December 19, 2005, telephone conversation between Bernard Madoff and executives of the Fairfield Greenwich Group (FGG), mistakenly suggested that FGG permitted Madoff to remove funds directly from its accounts. The edited transcript also erroneously implied that Madoff was operating FGG’s fund. Furthermore, the Fairfield Greenwich Group has advised Harper’s Magazine that it was at the time of the conversation fully cooperating with the Securities and Exchange Commission, and that it notified the SEC about the phone call and all aspects of the conversation with Madoff. We regret the errors.
In his speech before the American Medical Association on June 15, 2009, Barack Obama noted that there is nothing new about the challenges facing would-be health-care reformers:
The other day, my friend, Congressman Earl Blumenauer, handed me a magazine with a special issue titled, “The Crisis in American Medicine.” One article notes “soaring charges.” Another warns about the “volume of utilization of services.” And another asks if we can find a “better way [than fee-for-service] for paying for medical care.” It speaks to many of the challenges we face today. The thing is, this special issue was published by Harper’s Magazine in October of 1960.
Members of the American Medical Association—my fellow Americans—I am here today because I do not want our children and their children to still be speaking of a crisis in American medicine fifty years from now.
Readers interested in how little has changed in the last fifty years can read “The Politics of Medicine” from that issue, or Bernard DeVoto’s “Letter to a Family Doctor,” from 1951–or my own take on the matter, “Sick in the Head: Why America won’t get the health-care system it needs,” which I invite future presidents to consider with equal rue.
Correction, June 11, 2009: Scott Horton writes in to point out that Ward Casscells’s term as assistant secretary of defense ended April 28. I had written that my interview took place in May, but of course the interview took place in April, before Casscells left office, as corrected below. Interestingly, the Pentagon has yet to announce a permanent successor.
The apparent suicide Monday of thirty-one-year-old Muhammad Ahmad Abdallah Salih, who had been protesting his long imprisonment at Guantánamo Bay by refusing to eat, has brought U.S. force-feed policy back into the news. Many human rights organizations have called for an end to force-feeding, which as practiced at Guantánamo amounts to torture. In MayApril, for an article to be published in the July Harper’s Magazine, I attempted to query Dr. Ward Casscells, then the assistant secretary of defense for health affairs, about how he might modify that policy since Barack Obama had become president. Cynthia Smith, a Pentagon spokesperson, responded to my written queries (which I have edited here for length) under the requirement that I attribute the answers to her and not Casscells. At the time of the interview, at least thirty prisoners at Guantánamo were being restrained and fed via enteral tube.
1. U.S. Circuit Judge Gladys Kessler found in February that her court lacked jurisdiction to determine the legality of force-feeding procedures at Guantánamo. She wrote, “Resolution of this issue requires the exercise of penal and medical discretion by staff with the appropriate expertise, and is precisely the type of question that federal courts, lacking that expertise, leave to the discretion of those who do possess such expertise.” This decision would seem to give Dr. Casscells, who sets the policy at Guantanamo, considerable authority. Is it his personal determination that force-feeding, including the use of restraint chairs, is within the bounds of U.S. and international law?
DoD’s policy regarding treatment of hunger strikers is consistent with that used by the Federal Bureau of Prisons under U.S. law. The principle of using appropriate medical intervention, when necessary to sustain the life or health of a hunger striker in U.S. custody, has been upheld in Federal Courts.
2. Judge Kessler also declined to grant an injunction against force-feeding on grounds that forbidding the use of restraint chairs would make prison personnel “vulnerable to concerted efforts by detainees to use the forced-feeding as an opportunity to inflict harm on medical and military personnel.” Many observers have noted that this claim presents a logical quandary. If the prisoners are in danger of imminent death, one must assume that, by definition, they would lack the strength to present a threat to medical or military personnel. And yet if they are in fact strong enough to present a threat to medical or military personnel, then the claim of “imminent death” no longer carries legal or ethical relevance. How do you address this seeming paradox?
Involuntary treatment may be authorized when, in the opinion of the attending physician, continued refusal of food or water would pose a significant threat to life or health of the hunger striker. This does not mean that the hunger striker would necessarily be unconscious or so weak that assaultive behavior could not occur. Moreover, one could expect that the strength and vitality of the hunger striker would begin to return once enteral feeding is started. Use of appropriate restraints protects both the hunger striker and medical professionals performing medical procedures from possible injury.
3. In 2007, Dr. Casscells told a military reporter that he has “not seen anything that suggests the feeding policy is wrong.” Since then, Dr. Paul Bouvier, a senior medical adviser for the International Committee of the Red Cross, told me that he has spoken with Dr. Casscells about these issues, and though he declined to characterize the nature of the conversation, he did note that many human rights organizations have called for an end to force-feeding, as have the American Medical Association, the World Medical Association, and the International Committee of the Red Cross. Have such calls changed Dr. Casscells’s views?
The Department of Defense respects and values the opinions and advice of the International Committee of the Red Cross. However, the Department also takes very seriously its obligation to sustain the life and health of those in its custody. We view the current policy to preserve the life and health of detainees engaging in hunger strikes, attempted suicide, or other attempted serious self-harm as consistent with that obligation and U.S. law.
4. Dr. Casscells also told the military reporter, “Tube feeding is a complicated issue because the detainees are not American citizens, they are not prisoners of war, nor are they criminals in the usual sense. They have this controversial status, which makes the circumstances difficult.” Has he revised this opinion in light of the January 22 executive order requiring that all Guantánamo detainees be treated in accordance with Common Article 3 of the Geneva Conventions, which specifically forbids “outrages upon personal dignity, in particular humiliating and degrading treatment”?
Common Article 3 provides guidance that detained personnel shall be treated humanely. It also states that “The wounded and sick shall be collected and cared for.” DoD takes very seriously its obligation to provide humane treatment, which includes protecting detainees’ physical and mental health and providing appropriate treatment for disease, guided by professional judgments and standards similar to those applied to personnel of the U.S. Armed Forces. DoD’s policy of providing care to sustain the life and health of hunger strikers is consistent with Common Article 3.
5. The World Medical Association’s Malta Declaration unambiguously forbids doctors from force-feeding competent prisoners on hunger-strike. It says, “Forcible feeding is never ethically acceptable. Even if intended to benefit, feeding accompanied by threats, coercion, force, or use of physical restraints is a form of inhuman and degrading treatment.” Does Dr. Casscells believe that the WMA is incorrect that using physical restraints is a form of inhuman and degrading treatment?
We do not believe that use of physical restraints, as needed, to protect the safety of both the detainee and medical professionals in accomplishing an appropriate medical intervention to preserve the life and health of the detainee is inhuman or degrading. The use of appropriately monitored restraints in the administration of enteral feeding protects hunger strikers from possible injury and medical professionals from the risk of physical assault.
6. The International Committee of the Red Cross recently commented on the Walsh Report, saying it “disagrees” with “the report’s recommendation supporting forced-feeding of detainees.” Similarly, Bernard Barrett, a media spokesperson for the ICRC, told me, “The ICRC is opposed to the forced feeding of hunger strikers.” And Dr. Hernan Reyes, an ICRC specialist on the medical aspects of detention, wrote more specifically in 1998 that doctors “should never be party to actual coercive feeding, with prisoners being tied down and intravenous drips or esophageal tubes being forced into them. Such actions can be considered a form of torture, and under no circumstances should doctors participate in them, on the pretext of ‘saving the hunger striker’s life.’” Is it your position, in this light, that Guantánamo policy is consistent with the requirements of Common Article 3 of the Geneva Conventions?
We believe that providing life sustaining care to hunger strikers, even involuntarily if necessary, is consistent with the obligation under Common Article 3 to treat detainees humanely. A commonly stated belief in discussions of the WMA guidelines for treatment of hunger strikers is that most hunger strikers do not intend to harm themselves or to die. DoD experience with hunger strikers over several years, however, suggests that at least some would be very willing and even anxious to take their hunger strike “all the way” (to death). It is also extremely difficult for clinicians to judge whether individual hunger strikers are making autonomous decisions or are under orders from superiors to participate in a hunger strike. DoD’s policy provides assurance for those detainees acting under orders from superiors that medical personnel will seek authority to act to prevent physical harm or death from hunger striking. This is no “pretext.” The policy does save lives. Idly watching detainees for whose care we are responsible engage in self-starvation to the point of permanent damage to health or death is not required by U.S. law, Common Article 3, or medical ethics.
![[Image]](/media/image/blogs/misc/macarthurharpersscholarship.jpg)
This year’s Harper’s Magazine Scholarship in Memory of I.F. Stone was awarded to Jonathan Jones, a post-graduate fellow of the Berkeley Graduate School of Journalism.
Endowed by Harper’s Publisher John R. MacArthur and friends, the scholarship is awarded by the Overseas Press Club, which says of Stone:
In a career that spanned more than 65 years, Stone, a veteran Washington reporter, is best known for publishing I.F. Stone’s Weekly from 1953 to 1971, a newsletter that printed the news that was overlooked in the mainstream press. His work almost single-handedly revived investigative reporting. He is remembered as a tough-minded but pacifist gadfly, a tireless examiner of public records, a hectoring critic of public officials, and a pugnacious advocate of civil liberties, peace, and truth.
Winners of the I.F. Stone Award of the Overseas Press Club receive a stipend of $2,000. Jones intends to continue his research on the role that Bridgestone Firestone, LLC, plays in Liberia, a country still recovering from a devastating war. As Firestone seeks to resurrect its rubber plantation to fill the world’s need for latex medical supplies, Jones views its impact as a “cautionary tale about the successes and shortcomings of global capitalism.”
“Numbers can be made to tell as many stories as a crooked lawyer or an old comedian.” — Lewis H. Lapham, Harper’s Magazine National Correspondent and creator of the Index
“As has been suggested, the charm of the Index is that its items so often beg for answers.” — George Plimpton
In celebration of its 25th year, the Harper’s Index–12,058 lines spanning 300 issues–is now open to all for searching and browsing, with more than one thousand linked categories. Some starting points: Adultery, China, Beer, Vegetables, Sweets, American Men, American Women, Cats, Dogs, Frogs, Bears, and Pandas.
The German culture magazine Lettre International, true to its name, publishes writing from around the world. Their Winter 2008 issue includes translations into German from Swedish, Italian, Hungarian, French, Spanish, and Greek. It also has an article, translated from the English, by the Slovenian philosopher and social critic Slavoj Žižek. The German title is “Hoffnungszeichen” (“Signs of Hope”). This is a longer version of “Use Your Illusions,” an essay published November 14 on the website of the London Review of Books, responding to Obama’s victory.
Readers who know Žižek’s work will be struck by the uncharacteristic earnestness of the English essay. It begins with a quote from a recent interview with Noam Chomsky, who had called for the left to vote for Obama but “without illusions.” Žižek shares Chomsky’s doubt that real change is afoot, he says, but he also adds that we should not deny or simplify the symbolic value of the victory. “Whatever our doubts,” he writes, “for that moment each of us was free and participating in the universal freedom of humanity.”
The German version in Lettre International includes this entire passage, but it has a different opening sentence:
Die zynischen Lesarten von Obamas Erfolg gipfelten in Noam Chomskys sarkastischer Bemerkung, Obama sei ein Weißer, der dadurch schwarz geworden sei, daß er sich ein paar Stunden in die Sonne gelegt habe.
The editors of Lettre International provided me with the English original:
The cynical reading of Obama’s success culminated in Noam Chomsky’s biting remark that Obama is a white man blackened by a couple of hours of sun-tanning.
Because this seemed to me to be an odd thing for Noam Chomsky to have said, and also because it seemed suspiciously like a famous remark by Italian Prime Minister Silvio Berlusconi, who had greeted the news of Obama’s win with an off-kilter joke about the president-elect being “handsome, young, and suntanned,” I wrote Žižek an email asking for his source. He replied that the statement was “widely reported in the media.” I searched widely in the media. There was nothing. I checked the quote with Chomsky, who denied that he said it and also told me that someone else had written him to say that Žižek had published the same claim in the liberal Slovenian journal Mladina.
By Googling “Obama,” “Chomsky,” “Žižek,” and setting “language” to “Slovenian,” I found this article, as well as a Slovenian-language comment board with a link to it.11.
I don’t speak Slovenian, but the emoticon seemed to convey the sense of the comment: “Chomskega pa ni zbudila take medijske pozornosti in licemerskega žurnalističnega zgražanja,” user “hopcefizelj” wrote, “kot izjava S. Berlusconija.
”
A Spanish translation of the essay, with error, had also been published on the website of the cultural review Ñ; the essay was published as well in the December Le Monde diplomatique, at least in the Norwegian edition. An alleged Italian version in Internazionale does not seem to be available online.
I emailed Žižek again, telling him I was sure that the quote was wrong and asking if he might have confused Noam Chomsky with Silvio Berlusconi. In emails and in a phone interview, he apologized for the error but denied that it was possible for him to have confused the two men. He remembered with “absolute certainty” that he had seen the quote attributed to Chomsky in “Slovene media.” It was not possible, he said, that he had confused the two quotes, for several reasons.
First, he had written the essay before Berlusconi’s remark. He had confirmed this, he said, by checking the dates on his computer. Berlusconi’s joke was made two days after the election; it would have to be very fast writing on Žižek’s part, but he does seem to write very fast. Second, he remembered clearly the quote as he had written it, with a syntax completely different than Berlusconi’s. And, finally, he emphatically condemned Berlusconi’s remark, while considering Chomsky’s “totally permissible to say.”
I asked Žižek if he would be willing to send me a brief statement on the matter. He wrote.
In attributing to Noam Chomsky the statement that Obama is a white guy who took some sun-tanning sessions, I repeated an untrue claim which appeared in Slovene media, so I can only offer my unreserved and unconditional apology.
I would like to add that, even if the statement I falsely attributed to Chomsky were to be truly made by him, I would not consider it a patronizingly racist slur, but a fully admissible characterization in our political and ideological struggle. There are African-American intellectuals who allow themselves to be fully co-opted into the white-liberal academic establishment, and they are loved by the establishment precisely because they seem “one of us,” white with a darkened skin. This is why, I think, the statement I falsely attributed to Chomsky does NOT amount to the same as Silvio Berlusconi’s misleadingly similar characterization of Obama as beautiful and well tanned: Berlusconi’s remark dismissed Obama’s blackness as an endearing eccentricity, thus obliterating the historical meaning of the fact that an African-American was elected President, while the remark I falsely attributed to Chomsky, if accurate, would point towards the ambiguous way Obama’s blackness can be instrumentalized to obfuscate our crucial political and economic struggles.
The United States marked the five-year anniversary of the war in Iraq. Over four million Iraqis had fled the country or been internally displaced, and the total cost of the war, currently about $650 billion, was expected to rise to $2 trillion over the next five years. Oil rose above $147 a barrel, and Abu Dhabi bought New York City’s Chrysler Building for $800 million. Somali pirates stole a Saudi supertanker. President George W. Bush announced that North Korea was no longer a state sponsor of terrorism. The CIA expanded its covert operations in Iran. Bozo the Clown died, as did Jesse Helms, William F. Buckley Jr., Paul Newman, Heath Ledger, Indonesian dictator Suharto, comedian George Carlin, didgeridoo master Alan Dargin, and, at age 110, Louis de Cazenave of the Fifth Senegalese Rifles, one of the last two living French veterans of World War I. “War,” he once explained, “is something absurd, useless, that nothing can justify.” Ariel Sharon was still alive, and Israel bombed Gaza in retaliation for ongoing rocket attacks. Tom Jones insured his chest hair for $7 million.
Australian police tasered a ram. France banned TV shows for babies. Pope Benedict XVI toured the United States, and the Vatican released a list of seven “social” sins–including littering, genetic tampering, and creating poverty–to complement the seven cardinal vices. The World Health Organization announced that virtually untreatable drug-resistant tuberculosis could now be found in 45 countries. Japanese men began to wear bras. The cost of rice increased by 30 percent, and food riots broke out in 30 countries. The United Nations expected the number of starving people in the world to rise to 950 million. North Korean hunger scientists announced a new noodle. In an expanding thousand-square-mile low-oxygen zone growing along the coast of Oregon and Washington, every fish, crab, and sea worm was dead. A 7.9-magnitude earthquake centered in China’s Sichuan Province left tens of thousands of people dead and millions homeless. The Summer Olympics were held in Beijing, heralded on television by fake, computer-generated fireworks. Structures built for the 2004 Athens Olympics were falling into ruin. A man in Swansea, Wales, died from eating too much fairycake, and an elderly German woman filed a lawsuit against a hospital in Bavaria after she went in for a leg operation and was instead given a new anus. Paddington Bear turned 50; both the cubicle and the assassination of Martin Luther King turned 40; Viagra turned 10. One in 100 American adults was behind bars.
The Supreme Court ruled 5-4 that detainees held as “enemy combatants” by the United States at Guantanamo Bay have a constitutional right to challenge their detention through habeas corpus petitions in federal courts. Scientists located the part of the brain responsible for understanding sarcasm. Global stock markets lost $3.1 trillion in four days, and the Dow Jones Industrial Average fell below 10,000 for the first time in five years. The real estate boom in Dubai slowed. Nobel Laureate V. S. Naipaul declared that there are “no more great writers,” and Bob Dylan won a Pulitzer Prize. Illinois Senator Barack Obama was elected President of the United States. Gunmen terrorized Mumbai, and inflation in Zimbabwe reached 23 million percent. Iceland went bankrupt. Zookeepers across the United States put their animals on diets, feeding gorillas according to a Weight Watchers point system and offering polar bears sugar-free Jell-O. The thoughts of a monkey in North Carolina controlled the actions of a robot in Japan. New York researchers used carbon nanotubes to create the darkest material known to man. Two teams of physicists, one in Calgary and the other in Tokyo, successfully stored nothing within a gas in the form of squeezed vacuum composed of uncertainty.
Suki Kim’s article “A Really Big Show: The New York Philharmonic’s fantasia in North Korea” appears in the December Harper’s Magazine. Kim is the author of the novel The Interpreter and is currently in South Korea as a Fulbright Research Scholar. Jennifer Szalai catches up with her now that the issue is on newsstands.
From “A really big show: The New York Philharmonic’s fantasia in North Korea”:
While the South Korean reporters were calculating the cost of the show, the American correspondents had other concerns. “I’ve gotta get a shot like the one in a Michael Moore documentary with a palm pressed against the camera,” said a young CNN crewmember. A Fox anchor sat nearby; he kept pronouncing “Pyongyang” as “Piiaaang Yiiaaang,” as if the extra nasal delivery would make the name sound extra Korean. The celebrity anchors Christiane Amanpour and Bob Woodruff were said to have already arrived, which then got a few reporters talking about how Amanpour and Woodruff might have negotiated such exclusive access and whether there would be a Kim Jong Il sighting after all. For the reporters on the plane, Kim Jong Il had become the world’s biggest celebrity, and they were the paparazzi staking out the shot.
Seated away from the reporters was the P.R. legend Howard Rubenstein, whose gentle mien belied the luster of a client list that includes the Yankees and the Philharmonic. “I’m interested in how he”—Kim Jong Il—“keeps such tight control over his people,” said Rubenstein. “I guess it’s a professional curiosity.”(Rubenstein, contacted by a fact-checker, directed all inquiries to a spokesman, who denied that Rubenstein made this comment and emphasized that Rubenstein was on the tour not as a Philharmonic patron but in his capacity as the company’s publicist.) Next to him was Mrs. Rubenstein, an owner of New York’s Peter Luger Steakhouse, nodding with girlish diffidence. “It’s exciting. I’ve never even been to South Korea, and here I am going to the North.” Everyone was chatting incessantly, as though we were children on the most thrilling field trip ever: “Our provisions must be coming on a separate plane, since there’s no food over there”; “It sucks that we won’t get to keep the visa for a souvenir”; “I’m already going through BlackBerry withdrawal.” Soon, there was a barrage of questions. “Will there be an ATM?” “Will they charge for incoming calls too?” “Will we be able to walk around on our own?” The plane could have been heading for the moon.
Yet a hush of silence fell as the 4:00 p.m. arrival was announced over the PA system. Passengers paused mid-sentence. Their eyes widened. They held up their digital cameras. They turned their faces to the windows. For the few of us who had been to Pyongyang before, the place was still unfathomable. Six years had passed since my first visit, and here I was again beholding this land, the source of grief and longing for generations of Koreans.
You accompanied the New York Philharmonic in February when they traveled to Pyongyang, for what was being touted as a major advance in “cultural diplomacy.” Your article suggests that despite the high-minded sentiments presented by everyone involved, the event turned out to be little more than a public relations coup for both the North Korean regime and the New York Philharmonic. Nine months have now elapsed since your trip. What has happened in North Korea since then?
There’s a great deal going on. North Korea yet again agreed to dismantle its Yongbyon nuclear plant; the six-party nations claimed to have reached a disarmament-for-aid deal; and in Bush’s last hour the United States took the country off its “axis of evil” terrorism blacklist. Joint projects in Mount Kumgang and Kaesong continued to bring tourism and jobs to the cash-strapped North, and it was rumored that Kim Jong Il suffered a stroke, which then led the reclusive state to release a series of photos of Kim–which were then heavily scrutinized as to their provenance by the international experts.
Ben Rosen, a blogger for the Huffington Post also reporting on the New York Philharmonic’s tour, wrote a post over the summer suggesting that diplomatic progress in North Korea had something to do with the concert in Pyongyang: “We’re engaged in diplomacy, we’re talking to people who are not our friends, and we’re making headway.” What do you make of these claims?
The New York Philharmonic’s concert in Pyongyang was a symptom of diplomacy, not the cause. The North Korean regime, with support from U.S. officials, arranged a media event featuring Western classical music to show that they are talking to each other despite the five-year-long failure of the six-party talks. And much of what I mentioned above has already come undone–North Korea has gone back on its word on nuclear disarmament by barring sampling required for verification, as well as banning inspectors from sites outside Yongbyon. It’s also slowing down the dismantling, saying that it had not received promised energy aid in time. Operations at the resort at Mount Kumgang were suspended after a South Korean tourist was shot by a North Korean soldier, and Kaesong industrial complex faces an uncertain future since the North declared a border shutdown as a challenge to the South’s conservative government, led by Lee Myung Bak. Economists continue to predict famine as hunger-related deaths and malnutrition rise.
As for Kim Jong Il’s health rumor, it hardly matters as the Great Leader has always been more of an concept than a person. North Korea is left to an army of henchmen, none of whom seems likely to retire anytime soon. I can’t really see how any of these things might have anything to do with the New York Philharmonic’s February concert.
In your article, you mention that you went to Pyongyang six years ago. How did your experience differ this time around?
Last time I was struck by North Korea’s indoctrination of its own people, but this time, I saw them do it to outsiders. North Korea allowed the media a much-sought-after way to cover the reclusive country from the inside, and, in return, the media focused on an American orchestra bringing music to North Korean people. The usual talking points–famine, persecution, nuclearization–were put aside in their coverage. Barely any reports were made on the public execution of thirteen women attempting to flee just five days before we arrived. What I saw was North Korea pulling the wool over the eyes of the international press corps while the New York Philharmonic provided incidental music.
Do you think you’ll go back again?
The choice is not up to me, as is the case with most things related to North Korea. I would certainly go again because I still do not fully understand the place, and I am fascinated by what I do not understand. But that’s different from being able to say I will go. North Korea makes the decisions.
![[Image]](/media/image/blogs/misc/justiceandflag.jpg)
Harper’s Magazine & The Center on Law and Security at NYU School of Law invite you to:
After Torture: A Harper’s Magazine Forum on justice in the post-Bush era
Thursday, December 4, 2008: 6:00 p.m.–7:30 p.m.
Lipton Hall
New York University
108 West 3rd Street
New York, NY 10012 (view map)
Upon publication of contributing editor Scott Horton’s report, “Justice After Bush” in the December issue of Harper’s Magazine, a panel of legal experts will discuss the methods available to a democracy for reckoning with a legacy of human rights abuses.
This event is free and open to the public. To RSVP, please email CLS@juris.law.nyu.edu or call 212-992-8854.
Our friend John Leonard died yesterday. John’s first piece for Harper’s Magazine, a review of Renata Adler’s Speedboat and Lovers and Tyrants by Francine du Plessix Gray, appeared in November 1976. He began writing New Books in January 2003.
We will miss him.
link or by clicking on the thumbnail image of the page.83-84 |
|
79-80 |
|
85-86 |
|
73-74 |
|
81-82 |
|
81-82 |
|
79-80 |
|
89-90 |
|
83-84 |
|
81-82 |
|
83-84 |
![[Image]](/media/image/blogs/misc/rafilwallstreetgreedisgood.jpg)
Angel investor and iTulip.com founder Eric Janszen contributed to this month’s Forum, “How to Save Capitalism: Fundamental fixes for a collapsing system,” and wrote “The Next Bubble: Priming the markets for tomorrow’s big crash” in the February 2008 Harper’s. Rafil Kroll-Zaidi interviewed Janszen via email; answers have been edited for length and clarity.
1. Is the Dow still inflated?
It is. My Dow target since 2006 has been around 5,000. Here’s why: The impact on the stock market of the 2003–2007 monetary and fiscal reflation was similar to that of the 1933–1937 reflation–except that this most recent reflation was enhanced by real estate asset-price inflation. Sure, by 1937, the stock market had nominally recovered 80 percent of what it lost between 1929 to 1933. But in real, inflation-adjusted terms, it recovered only 50 percent of what it lost.
Today, all of the pricing power that was temporarily injected into the economy with the credit expansion is running in reverse, with across-the-board debt deflation. Soon the dollar will resume its decline relative to commodities (although not currencies) increasing food and energy inflation pressures in the United States, even as unemployment rises and wages deflate.
2. What can we expect from federal intervention?
The government has been trying to manage the debt deflation for over a year, to no avail. The markets are “pricing in” the structural problems of the banking system and financial markets–problems, as I said, that cannot be addressed with ad-hoc and marginal national policies. The entire global financial and monetary system has to be overhauled. This will require immediate and unprecedented cooperation among governments and institutions. But America lacks the global political leadership needed to drive the process.
Time is short. The financial-markets crisis is now spilling over into the real economy. Soon unemployment and other hardships will limit the ability of governments to sell a global bailout package. This is how the first great era of globalism degenerated into political chaos in the 1930s.
The nationalization of the U.S. banking system is a bold step. The markets are pleased, as has been the pattern for government interventions in years past: when interventions are promised, the markets crash up; when the interventions are not delivered, the markets crash down. When the interventions vastly exceed expectations, as with the agreement among governments in the U.S., the U.K., and Europe to purchase shares in leading banks–nationalization in all but name–the stock markets react with manic enthusiasm.
Certainly short-term risks to investors have declined. The markets correctly understand that a functioning credit system is a prerequisite for a modern economy. But getting the credit system working again is like restarting a heart-attack victim’s heart. The underlying cause still has to be addressed, and that takes years, and other organs may fail while the patient is out.
![[Image]](/media/image/blogs/misc/ericjanszen.jpg)
3. It seems like the whole finance economy was Long-Term Capital Management writ large: basically no one, not even regulators, appreciated just how precarious it all was. How do we create a stable regulatory structure?
The decline in regulation is a symptom of FIRE economy interests (Finance, Insurance, and Real Estate) taking control of the political machinery to increase profitability. But the profitability of the credit industry was a side effect of interest rates falling (after the Volcker Fed raised them to 20 percent). The incursion of the credit industry into every aspect of American life–college tuition, health care–was the result. But it’s worse than that. Manufacturing was financialized. Take the auto industry–a finance manager at one of the Big Three automakers told me, “We used to be a car company that sold financing on the side. Now we are a bank that makes cars.” Look at GM stock in recent days. It’s gotten hammered worse than during the Great Depression, not only because of a coming loss in production profitability but also because of the loss in profits from credit operations that had become such a large part of their operating profits. The regulators have to start over.
4. There have been warnings about how precarious it is for the $63 trillion credit-derivatives market to be bigger than the “world economy.” What are people talking about when they bring up this figure?
Credit-default swaps (CDSs) have been described as insurance policies taken out between two parties. One party agrees to insure against the default of a bond; the other party agrees either to pay out the insured amount if the default happens during the term of the contract or to keep the premium if it doesn’t. But CDSs are not exactly like insurance policies–you do not have to own the asset in order to take out insurance against it. So the CDS market is like thousands of gamblers taking out hundreds of fire-insurance policies of various terms–say, averaging five years–against hundreds of houses. The total value of the insurance premiums of all of the contacts may be $4 trillion (known as the gross market-replacement value) while the total liability of all of the counterparties may be $63 trillion (notional value) if all of the houses were to burn down. The gigantic notional value of CDS market is often covered by financial journalists with alarm. But the chances that all of the houses are going to burn down in five years is close to zero. The actual liability is somewhere between the gross replacement value of $4 trillion and the notional value of $63 trillion.
If the “statistically correct” thing happens and only one of the several hundred houses burns down in five years, then the total amount that all the counterparties owe together is manageable. But if many of the CDS contract writers are using the same or similar risk models and they happen to be substantially off, then the total cost of the insurance payouts may exceed the insurers’ ability to pay. The insurers will be forced to default on the default insurance.
The risks are: 1) that a few such defaults will lead to others, causing a panic; 2) that in a panic that the CDS market cannot be bailed out by the Fed because the market is based on of thousands of handwritten contracts enforced by novation, the weakest form of contract settlement–which means there is no central clearinghouse where parties can be brought together to work out problems; and 3) that there is a considerable concentration of CDS liabilities among a small number of financial firms. That is why Bear Stearns, for example, was bailed out, and why Lehman should have been bailed out, from the perspective of financial system stability.
5. How much worse will it get, and has anyone been able to beat this market?
It happens like this:
The probable outcome will be an inflationary recession or an inflationary depression–a toxic and complex mix of asset-price deflation, wage deflation, and energy-price inflation that will have an impact on food prices.
I don’t think most Americans understand just how much trouble the country is in. We are backing ourselves into a corner. Our debt-laden economy is highly sensitive to increases in long-term interest rates, and those since 2003 have become largely determined by foreign capital inflows from central banks, sovereign wealth funds, and other official (as opposed to private) sources. If a significant geopolitical shift away from financial support of the U.S. takes place–due to, say, military conflict between U.S. creditors, or perhaps due to rising economic and financial crisis at home–the source of those inflows may quickly dry up. One reasonable estimate I read forecasts a 2 percent increase in the ten-year Treasury bond per year that inflows stop and holdings merely remain constant. That will tend to increase mortgage rates and slow the U.S. housing market and economy further.
As the economy contracts, the inexorable logic of the American political economy is to increase protectionist and unilateral measures, as if the United States were still a net creditor as in the late 1970s. If such policies are pursued (which caused the world trade negotiations to collapse earlier this year) the results will be disastrous for America: the current orderly diversification from the dollar may become disorderly.
As to beating the market–members of iTulip.com moved from stocks to cash starting at the end of 2007 and have continued to buy gold since 2001. Some of our members have purchased negative index funds such as SRS and have done well.
6. Who should go to jail?
Many will go to jail, but I’ll wait for the hearings before I offer a judgment.
![[Image]](/media/image/blogs/misc/bernstein300.jpg)
From a statement read at an event marking the release of Best American Poetry 2008, held last night at The New School, in New York City. David Lehman is the series editor of Best American Poetry, and Robert Polito is the director of the writing program at The New School.
Chairman Lehman, Secretary Polito, distinguished poets and readers—I regret having to interrupt the celebrations tonight with an important announcement. As you know, the glut of illiquid, insolvent, and troubled poems is clogging the literary arteries of the West. These debt-ridden poems threaten to infect other areas of the literary sector and ultimately to topple our culture industry.
Charles Bernstein’s most recent collection of poetry is Girly Man. His poem “Pompeii” appeared in the August issue of Harper’s Magazine; his essay “Wet verse at The New Yorker” appeared in the November 1989 issue.
Cultural leaders have come together to announce a massive poetry buyout: leveraged and unsecured poems, poetry derivatives, delinquent poems, and subprime poems will be removed from circulation in the biggest poetry bailout since the Victorian era. We believe the plan is a comprehensive approach to relieving the stresses on our literary institutions and markets.
Let there be no mistake: the fundamentals of our poetry are sound. The problem is not poetry but poems. The crisis has been precipitated by the escalation of poetry debt—poems that circulate in the market at an economic loss due to their difficulty, incompetence, or irrelevance.
Illiquid poetry assets are choking off the flow of imagination that is so vital to our literature. When the literary system works as it should, poetry and poetry assets flow to and from readers and writers to create a productive part of the cultural field. As toxic poetry assets block the system, the poisoning of literary markets has the potential to damage our cultural institutions irreparably.
As we know, lax composition practices since the advent of modernism led to irresponsible poets and irresponsible readers. Simply put, too many poets composed works they could not justify. We are seeing the impact on poetry, with a massive loss of confidence on the part of readers. What began as a subprime poetry problem on essentially unregulated poetry websites has spread to other, more stable, literary magazines and presses and contributed to excess poetry inventories that have pushed down the value of responsible poems.
The risks poets have taken have been too great; the aesthetic negligence has been profound. The age of decadence must come to an end with the imposition of oversight and regulation on poetry composition and publishing practices.
We are convinced that once we have removed these troubled and distressed poems from circulation, our cultural sector will stabilize and readers will regain confidence in American literature. We estimate that for the buyout to be successful, we will need to remove from circulation all poems written after 1904.
This will be a fresh start, a new dawn of a new day. Without these illiquid poems threatening to overwhelm readers, we will be able to create a literary culture with a solid aesthetic foundation.
I’m Charles Bernstein, and I approved this message.
![[Image]](/media/image/blogs/misc/foy_300.jpg)
George Michelsen Foy’s article “Bollywood Shuffle” appears in the October Harper’s Magazine. Associate Editor Benjamin Austen catches up with Foy now that the issue is on newsstands.
1. “Bollywood Shuffle” chronicles your efforts—as a white Westerner—to land a role in a Bollywood film. With few prospects, you travel to Bombay and begin this quixotic quest. What advice can you give other would-be actors not of Indian ancestry who have caught the movie bug and want to be in a Bollywood film?
I’d say the first thing to do is meet people, which is easier than it sounds. Bollywood is huge as an industry, but at least in the Hindi film segment everybody basically knows everybody else. As my article shows, even pretty big names are accessible. And people generally are friendlier and more willing to help than in Los Angeles. So if you know anyone in any way hooked up to Bollywood, call that person. He (or she) will usually welcome the interest. And once you get to the director/producer level, you’ll find that the movers and shakers are often as anxious to score contacts in Hollywood and the U.S. film industry as you are to get contacts in the Indian version. (Hollywood and the American movie-going public—not to mention the growing Indian population in North America—are the new frontier in Indian film marketing.)
You should also do your homework: see some recent Bollywood films so you know the top directors, actors, and songwriters by name and appearance. Check out websites like Bollywoodworld.com and Masala.com for the latest gossip about who’s planning what film with which talent. If a film looks like it will include topics or locations that might involve Western characters, write down the names of the casting agents, directors, producers. Ask your contacts if they know any of these people.
If you can’t find anyone Bollywood-connected while you’re in the United States, you can always fly to Bombay and stay at a hotel in or near Colaba—the center of the old colonial city, where Westerners, apparently nostalgic for the Raj, tend to group. The Colaba area is full of touts who are on the lookout for whites to act as extras when a shoot calls for them. The best places to meet these agents around the Colaba Causeway (the main drag) seem to be Cafe Leopold, the Regal Cinema, the Salvation Army hostel, and the lobby of the President Hotel. Ask around. Hang out. Buy drinks for the touts. And don’t forget to bring headshots and business cards. Touts, casting agents, and directors will all ask for them.
Another, more expensive option for making your face known is to go to clubs and “lounges,” especially in Juhu Beach and Versova. The bars and clubs of the Holiday Inn (oddly enough) and the JW Marriott at Juhu are big Bollywood hangouts, or were when I was there. The best parties in these areas are usually tied to movie premieres or releases of film soundtracks or albums by Bollywood stars. In Juhu, I’ve run across people like Shahrukh Khan and Abhishek Bachchan—escorted by their crowd and bodyguards. The bars and the nightclub at the Taj, in Colaba, attract the Bollywood jetsetters, but given how expensive the Taj is, I’m not sure the cost/benefit ratio of hanging out there is worth it. Still, after only a short time in Bombay, I started to recognize the faces of directors and producers and their friends at these parties. Even if this doesn’t lead to a part in a film, with luck you can at least get invited to better and better parties.
![[Image]](/media/image/blogs/misc/sketch_foy.jpg)
2. I’m interested to hear more about these Bollywood parties. Were they very different from how we imagine a party in Santa Monica of Hollywood insiders? Do you feel you learned anything about how Bollywood sees itself from these celebrations of itself?
As with Hollywood, Bollywood is full of rumors of its elite being involved in drugs, promiscuous sex, and other decadence. The press that covers the industry is still surprisingly coy about such behavior, yet I sensed that there was truth to at least some of these stories. People I trust told me about parties they had attended where they witnessed the debauchery firsthand. I never got that lucky. The last party I went to looked like it was heading in that direction. It was for a charity I can’t remember, at a club on the harbor at Colaba, right next to a shantytown occupied mainly by the Coli, the tribe of fisherfolk who were the original inhabitants of the Bombay area. There were a bunch of mid-to-upper-level Bollywood people there, as well as many jeunesse dorée–publishing scions and the like.
The party was open bar, and the club was set up as an archipelago of islands and walkways dotting a shallow, black reflecting pool filled with floating candles and flowers. Hordes of pretty girls and boys sashayed up and down the walkways; they even had a competition for the best-looking model. I ran into several people I knew, including a gorgeous would-be actress who had gone to school in Belgium and spoke good French. The party was moving on to after-hours events, and the Belgian-Indian told me to tag along. But I’d probably had one or two too many drinks, and I found myself thinking about the shantytown next door, and the people sleeping in the streets not fifty yards away, bundled up on the tarmac, with rats patrolling. I know it’s the classic, guilt-ridden reflex of the Westerner (and probably there was some jealousy in there too, stemming from not being young and gorgeous), but I couldn’t help myself. I ended up dragging an Indian friend out the doors and through the shantytown, as if I had the right to make a moral point with him, given the disparity of riches in my own country. He got mad at me, and rightly so.
3. While you were in Bombay, did you get a sense of the lifestyles of Bollywood’s popular actors? I’ve heard a good deal about the many obligations they have to do commercials and other public-relations work. Did you see any of this firsthand?
The closest I got to Bollywood’s top stars was actually at a publicity event for De Beers, the diamond cartel. De Beers had hired Amitabh Bachchan—the most famous male actor in India, something like George Clooney and Paul Newman rolled into one—to promote its wares. I can only guess at what Bachchan earned, on top of the specially engraved “forevermark” diamond that De Beers gave him with great ceremony. It was incredible: more than one hundred photographers and reporters and cameramen all focused on him and anything he touched. So I guess it was worth it for De Beers, whatever they paid. The company had also hired Tom Alter, the top white actor in India, whom I interview in my article, to be the master of ceremonies. The event was at the Taj Land’s End in Bandra, in the northern suburbs, also on the waterfront—right across the road from the Sea Rock, which was bombed by Muslim extremists a few years ago. There was a buffet seventy-five feet long, with Chinese, Indian and Western food, Moët, vodka bottles encased in ice, and an Austrian laser-light show. As pitchmen, both Alter and Bachchan did their jobs like real professionals. Alter intoned the pitiful PR lines as if they were Hamlet. He told me later that he could spend months working on a fantastic film and make less money than he did in one evening playing this kind of gig.
Gemma Sieff is an assistant editor of Harper’s Magazine.
The Republicans have succeeded in pitting VP against P, inverting their ticket to leave McCain, with his cadaverously stiff bearing, and Biden, with his flaxen ducktail and car salesman’s smile, to stand aside and cluck mildly like chaperones while the younger candidates dance. What’s left is a fraught contest for prom queen.
Sarah Palin’s appeal does not inhere in the much-touted message that she’s Just Like You—it’s that she’s better, but not too much better, than you. She’s the popular girl, the barracuda with a pleasing face, who after ignoring you all year suddenly turns around and invites you to help her streamer the gymnasium and mix the punch. You’re floored! And fascinated. Maybe if you mimic how she does her hair (or invest in one of these, and copy her cute accessories), you’ll benefit from the spillover effects of her status. After all, she has filled her cabinet with her high school pals, and sycophants are welcome: be positive, prop her up, let her know how much she rocks. (Take a leaf from the book of Ivy Frye, a non-wonkish aide who wrote Palin this email.) Perhaps she’ll let you use the tanning bed she had installed in the governor’s mansion.
Luckily, Palin isn’t from Beverly Hills (or Beacon Hill). She’s from Alaska, and Alaskans, we are reminded, are familiar folks, only brawnier, earthier, fishier than the rest of us. They enact recognizable American traditions: Palin ably shoots and guts a moose, just as you hunt your humdrum deer (or shuffle around the supermarket). Todd Palin excels in Iron Dog snowmobile racing, the chillier version of NASCAR. She’s got a Fargo accent, only twangier; she’s a hockey—that’s Alaskan for “soccer”—mom. She out-Wild-Wests the ersatz Texan in Bush, confounds the Turner thesis (thereby allaying our end-of-empire frontier anxieties), and in this way inspires a particular kind of awe.
Barack Obama, in contrast, is less kookily endearing than simply foreign, and thus vaguely threatening. Witness Michelle Obama’s strenuous transformation to doting milquetoast; her favorite television show, as she told us recently, is The Brady Bunch. Nobody’s making luau jokes—it’s all about Kenya, Indonesia, and his Pantheresque pastor. As for achievement, Obama’s are so stellar and sure-footed as to inspire feelings of inadequacy. Without the leg-ups most presidential candidates take for granted—being wealthy, being WASPy, being white—and without much of a father, he did everything anyway, steadily bettering himself: Occidental College to Columbia to president of Harvard’s Law Review. His intelligence, his extemporaneous poise, and the sense that he has worked harder than many gifted people—all this conveys a success that’s earned and perfect, inaccessible, somehow intimidating.
Truly popular girls, on the other hand, aren’t perfect; they’d be “uppity” otherwise. Sarah Palin’s kids have problems? So do yours. Per Steve Schmidt’s exquisite double entendre, “life happens,” just like life has happened to you. But look at how she doesn’t let the knocks get her down. Maybe if you adopted some of her confidence, her unshakable (“You can’t blink,” Charlie) outlook, you’d improve your own lot. She gave her Wasilla hairdresser the same advice: stop whining about the beauty industry and “run for something!” You needn’t move to a big city where smug liberals drink $7 hemp-milk lattes, because it’s all about Attitude.
Americans like their success stories to stay local—that way we can identify the winner when she stops by the grocery store in her slightly newer car. We like to see evidence that They’re Just Like Us, fetching their dry-cleaning, pushing strollers of their peculiarly named children. With Obama and Palin, it boils down to basketball. Twenty-five years ago Sarah Palin led her high school team to the state championship by netting a critical free throw in the last moments of the game despite a cinematically broken ankle. As the underdog, Palin embodies wholesome teenage athleticism and sports movie cliché. Obama’s pinnacle basketball moment occurred just a few months ago, when he was visiting troops in Kuwait. Holding court on the court, he was tossed the ball, made a modest disclaimer, and swish—what The New Yorker called “the three-point shot heard round the world.”
The “elitism” with which he is so often charged is not about wealth or education, but about grace. It appears we like our leaders to rise to the occasion, like the limping Palin. Obama, on the other hand, keeps asking us to meet his standard, and perhaps all those elegant layups and lectures on American promise are too much for us to bear. One can only hope he starts smoking again.
In memoriam.
September 1989
Everything is Green
December 1991
Tennis, Trigonometry, Tornadoes: A Midwestern boyhood
August 1992
Rabbit Resurrected
September 1993
The Awakening of My Interest in Annular Systems
July 1994
Ticket to the Fair (Video–Reading in 2000)
January 1996
Shipping Out: On the (nearly lethal) comforts of a luxury cruise
January 1998
The Depressed Person
July 1998
Laughing with Kafka
October 1998
Brief Interviews with Hideous Men
April 2001
Tense Present: Democracy, English, and the wars over usage
February 2008
The Compliance Branch
![[Image]](/media/image/blogs/misc/miller_300.jpg)
Jeremy Miller is the author of “Tyranny of the Test,” the September cover story. The article, which explains how No Child Left Behind has changed the structure of our schools–and how “teaching the test” takes more away from students than it gives–was based on his years of experience working as a test-prep “coach” for Kaplan, Inc. Associate Editor Benjamin Austen follows up with Jeremy Miller now that the issue is on newsstands.
1. At some point last year, you decided you wanted to write about working for Kaplan in New York City’s public schools. This kind of reporting, in which the participant’s journalistic intentions are not made explicit, is always complicated. But the issues here seemed to be compounded by your background as a full-time classroom teacher and by your desire to succeed at a job that you increasingly saw as problematic. What were some of the difficulties you faced in reporting this story?
I had to focus on doing a good job—which is to say the job of test-prep coach as defined by Kaplan. While in the schools, I conducted no official interviews. The questions I did pose were restricted to the natural queries that emerged during my day as a Kaplan coach.
Teachers at the schools where I worked expressed concern that corporate tutors like me might actually be working as spies for the Board of Education. This topic came up several times during Kaplan’s training sessions, and we were told to take care to avoid being perceived as such—for instance, we were instructed not to take conspicuous notes during teacher observations. We were also expected to dress in a benign, business-casual way—no suits and ties. The idea was to convey through our dress that we were “in it” with the teachers, that we were one of them, and that we weren’t there to report back to the Chancellor’s office. And there I was, writing about my experiences for publication, a kind of spy.
Do I write about a situation that might potentially embarrass a teacher I came to admire? Do I write candidly about a class I saw devolve into near chaos? How much do I reveal about my journalistic intentions to a background source? I agonized over these questions. In the end, I decided to limit myself to material emblematic of the problems facing underserved schools, especially the problems revealed or intensified by my presence as a Kaplan coach. Many of these moments occurred when I was most closely following the rubric of my job, when I was falling back on my training or angling to do the “right” thing as prescribed by Kaplan.
2. In the article you describe the George Washington High School’s alumni “Wall of Fame” and a letter that Henry Kissinger wrote to say he wouldn’t be able to attend his own Hall of Fame induction ceremony. I cut this detail about Kissinger’s letter when I edited the piece, but you were adamant that it be included. Why was it so important?
Of all the small, telling details I encountered in the schools, this one stood out to me. Here’s an American icon, a person who has devoted himself tirelessly to the projection of American power abroad but who has nothing but empty platitudes to offer the students of his alma mater. It seemed to crystallize perfectly the tendency of our leaders to look outward rather than inward. NCLB, which offers top-down, mostly ineffectual remedies for the nation’s ailing schools, is resonant with Kissinger’s letter. Alan Greenspan, another George Washington alum, was invited to participate in the ceremonies and also declined.
3. Is there any merit to the work that testing companies are doing in public schools? Are there conscientious testing companies out there that are using the mandates of NCLB to better serve schools with high-poverty populations?
As a Kaplan coach moving in and out of these underserved schools, I was painfully aware that the money I was being paid could have been spent in other ways. In most schools I visited, the clocks and the drinking fountains rarely worked—they seemed to me like barometers of neglect and decay. Children notice these broken-down things. From this evidence, they devise a reasonable hypothesis: This is what the people in charge think of me.
In a city where nearly half of all teachers leave the profession in five years, it was difficult not to imagine that the money I was being paid could have gone toward addressing this chronic problem. Could this money have been used to hire more teachers, equalizing pay scales between New York City and its affluent suburbs, or to fund intensive recruitment of experienced teachers, or to train much-needed special-education and ESL teachers?
I’m critical of the day-to-day work performed by test-prep companies in public schools. But I hope it is clear that I’m most critical of NCLB, the federal policy that has allowed private companies to perform expensive test prep that rarely addresses the systemic causes of failure in these schools.
4. What should happen with test-prep services in public schools?
If companies like Kaplan take a contract with a school, they should become accountable in a meaningful way for that school’s academic fate. Reporting of pre- and post-prep performance statistics should be mandatory and part of the public record, not locked away in corporate databases and released only when the data can be massaged into an attractive piece of PR. It would mean that schools and prep companies could work constructively in developing “real” customized curricula, designed to meet the needs of individual schools, not of states or districts. It would probably also mean the end of huge profit margins and the $100 per-hour coach.
5. What happened with Kaplan? What are you doing now?
I had worked on and off for Kaplan for nine years—as a private tutor, as a classroom teacher, even as a manager—and when I finally disclosed that I was writing this story, they had to do “research” to determine the length and nature of my tenure. And I still have not formally resigned. They’re a global, multibillion-dollar enterprise, and just as they don’t have a clear understanding of the public schools in which they do their work, they don’t seem to have a clear idea of who is working for them. So leaving the company often involves no more than ceasing to respond to the announcements for new school assignments.
I have moved with my wife to Denver and have taken a job as a biology teacher in a small charter school. The school works with a large population of at-risk students in what seems to be a productive learning environment. I’m excited about the upcoming school year. I’m trying my best to understand how I can use the school’s guiding principles to help students on the academic fringe. I’d almost forgotten how tiring teaching is supposed to be.
The New York Times reports today that BP, Exxon Mobil, Shell, and Total—which is to say, five of the six largest oil companies on Earth—“are in the final stages of negotiations this month on contracts that will return them to Iraq.”
This may be one of the least surprising developments in human history, yet that very predictability may also give some comfort to those of us who would like to believe, against all other evidence, that we live in a rational–albeit unjust–universe.
![[Image]](/media/image/blogs/misc/sharlet300.jpg)
Jeff Sharlet is a contributing editor of Harper’s Magazine. His first story for the magazine, “Jesus Plus Nothing,” appeared in March 2003, and five years later it has grown into a book, entitled The Family: The Secret Fundamentalism at the Heart of American Power. Senior Editor Bill Wasik recently asked Sharlet six questions about his original piece and what he has learned since then.
1. Your exposé on The Fellowship, aka “The Family,” appeared five years ago. Has your understanding of the group changed?
When I was working on that story, I remember debating how much Hitler we should put in the piece. That is, we wondered how fair it was to dwell on The Family’s invocations of Hitler as a model of “total commitment.” As it turns out, it was quite fair. After I left Ivanwald, a team of researchers and I spent years combing through hundreds of thousands of documents in archives around the country. We discovered that as far back as the 1940s, when The Family began organizing congressmen, the group’s founder, Abraham Vereide, was praising Hitler’s “youth work” as a model to be adopted by Americans. He denounced Hitler himself, but he admired fascism’s cultivation of elites, crucial to what he saw as a God-ordained coming “age of minority control.”
The Family has put that concept, which they call “Jesus plus nothing,” into action for decades, from their early successes fighting the New Deal in the 1930s and 40s to their recruitment of war criminals such as Herman J. Abs, known as “Hitler’s banker,” into postwar European leadership, to their facilitation of U.S. support for dictators ranging from Papa Doc Duvalier of Haiti to Suharto of Indonesia to Yoweri Museveni of Uganda, now their “key man” for Africa. The fetish for strongman leadership has continued with Vereide’s successor, Doug Coe, who leads the group today. Throughout his letters in the Billy Graham Center Archive at Wheaton College, I found references to the leadership model of Hitler. In one sermon, variations of which he’s given many times, Coe says: “Jesus said ‘You got to put Him before mother-father-brother-sister.’ Hitler, Lenin, Mao, that’s what they taught the kids. Mao even had the kids killing their own mother and father. But it wasn’t murder. It was for building the new nation. The new kingdom.”
2. Given the unbelievable amount of influence brokered by the Fellowship Foundation, and by Doug Coe, why have so few national media outlets have picked up on the story?
The problem is that we just don’t have a press that really wants to challenge power on issues they consider “personal.” Speaking at the 1985 Prayer Breakfast, Ronald Reagan said, “I wish I could say more about it, but it’s working precisely because it’s private.” That should have been an invitation for investigative reporting. Instead, the media, then and now, tends to acquiesce to elite secretiveness, not out of any conspiracy, but due to a culture of reverence for established power, liberal or conservative. Most journalists believe in meritocracy—not merely that it’s a good idea, but that it actually exists. They know some politicians game the system, but they’re committed to the idea that the system basically works. And it does, but not in favor of democracy.
3. It seems like the National Prayer Breakfast, which The Family administers, is a big part of why the press doesn’t pick up on the story. It seems inconceivable that a group that attracts so many powerful public figures from around the world to its annual event could be up to anything untoward.
It’s the Family’s only public event, but the few hours that the press is allowed to attend are the dullest thing imaginable, the blandest kind of ecumenical civil religion, with the main address presented by some figure distinct from the Christian Right—Joe Lieberman, or the Saudi Prince Bandar, or even Bono. How threatening is that? But internal documents tell a different story. “Anything could happen,” reads one, “the Koran could even be read, but JESUS is there. He is infiltrating the world.”
4. What happened to the young men featured in “Jesus Plus Nothing”? In the article, we get the sense that they are being groomed for leadership, both in the Family and in the world.
The man who introduced me to The Family returned to a successful financial career. He’s not a boldfaced name, but he’s doing well, and The Family has always understood that there’s a lot of power to be found in the ranks of middle management, the men and (a few) women who actually do most of the work.
Gannon Sims went on to work as a State Department spokesman, and now he’s training for a pulpit. One of the brothers called me after the story appeared in Harper’s. To be honest, I’d hoped that they’d be as dismayed as I was to learn what The Family was really up to, but this brother—who asked that he not be identified—said, “I hope you don’t think I didn’t know all that.” That is, he’d known about The Family’s role in propping up dictators around the world, and he was just fine with it.
In the book, I tell the story of another former Ivanwalder named Greg Unumb, now an executive with Pride Foramer, a division of the oil drilling company Pride International that takes care of business in Brazil, Indonesia, South Africa, Ivory Coast, Angola, and India. Greg had once held Bengt’s position, as leader of Ivanwald. “What’s secret is the top guys working with the leadership,” he told me. “It’s not unlike a business. Business is a network. This is a Christian network, with a few people running it. There are two types of people at Ivanwald. Sharp guys with leadership potential, and problem kids. The sharp ones use Ivanwald to build their network. If they do become successful, there’s an emphasis on maintaining contact.” And here was Greg, contacting me.
As for myself, I also tell the story of a woman I call “Kate,” who claimed to be a fan. She turned out to be a sister in The Family, this young, good-looking woman who had been sent, she said, by the Coes to “learn my heart.” That was sweeter than the response from former Senator Dan Coats, who as ambassador to Germany killed funds for a speaking gig I had in a series usually paid for by the U.S. embassy. Fortunately, my hosts, the University of Potsdam, made up the difference. They also told me that Coats had declared me “an enemy of Jesus.”
5. I remember that when you were writing “Jesus Plus Nothing,” the themes of secrecy and betrayal loomed very large in your mind. The Family was a self-avowedly secret group, engaged in essentially subversive acts of behind-the-scenes power-brokering. And you, meanwhile, were learning all this undercover, fully prepared to betray these young men with whom you lived. How do you look back on that betrayal?
I used my real name, I took notes openly, I told them I was a journalist and that I was working on a book (my first), about unusual religious communities around the country. I told them the title, too, Killing the Buddha. Maybe they thought I meant it literally. Regardless, they had a pretty full dossier on me. I even talked about writing and betrayal with them—I tend to agree with Joan Didion’s assessment that “writers are always selling somebody out.” It’s inherent in the process. “Undercover” is a funny word, in that many people think it means the journalist has some kind of secret identity, maybe a fake mustache. I didn’t—it wasn’t necessary. The Family couldn’t imagine that someone might learn to speak their language without sharing their beliefs.
That sentiment is reflected in a letter I found in The Family’s archive, from an inner circle leader to a South African operative. “The Movement,” he writes, “is simply inexplicable to people who are not intimately acquainted with it.” The Family’s political initiatives, he goes on, “have always been misunderstood by ‘outsiders.’” Then he talks about how whole projects have been hurt when Family members leak information to the public. “Thus,” he writes, in conclusion, “I would urge you not to put on paper anything relating to any of the work that you are doing… [unless] you know the recipient well enough to put at the top of the page, ‘PLEASE DESTROY AFTER READING.’”
This is one of my favorite documents out of the hundreds of thousands I reviewed because A, it’s funny—the recipient immediately wrote back to say that he understood and he’d made multiple copies of the letter for all of his associates, one of which I now have; B, it reveals the sense of persecution and victimhood which undergirds so much of that culture of secrecy on the right.
This secrecy is pragmatic—“The more you can make your organization invisible,” preaches Doug Coe, “the more influence it will have”—but it’s also a way for these very influential people to conceive of themselves as akin to the Christians of the first century, struggling nobly against a dominant culture of secularism. Family members imagine themselves as revolutionaries, even as they function as defenders of status quo power.
That kind of self-deception allows a writer only two real responses—deference, or betrayal.
6. So is your book a betrayal?
According to their belief in themselves as a “new chosen,” an anointed elite that have replaced the Jews in God’s esteem, I am still a member of The Family. And yet here I am, baring their secrets to the world. Does that make me a journalist, or a traitor? You need to enter the moral gray zone between those two terms if you’re going to really explore the inner workings of power. You have to be an insider and an outsider at the same time.
I remember one day Jeff C., one of the house leaders, said, “You oughtta write a book about us. But nobody would believe it.” It was like he was daring me, but he felt safe doing so because he didn’t think the truths of The Family would translate to the outside world. They believe Christ had one message for those closest to him, and then another, diluted message for the rest of the twelve, and so on out to the masses.
One of the brothers called me up after we published “Jesus Plus Nothing” to explain to me that they weren’t upset by the details of what I’d written, all of which he thought were more or less accurate, but by the fact that I’d written anything at all. That, he said, was the betrayal—telling the truth about The Family.
Starting with Gates of Heaven in 1978, filmmaker Errol Morris has directed a series of genre-defining documentaries, among them The Thin Blue Line, Fast, Cheap, and Out of Control, and The Fog of War. (Morris also does a fair amount of writing, as seen on the “Archive” page of his website.) Harper’s contributor W.J.T. Mitchell, whose article “The Fog of Abu Ghraib: Errol Morris and the ‘bad apples’” appears in the May issue, interviewed Morris about Standard Operating Procedure (Sony Pictures Classics), a documentary about the abuses at the Abu Ghraib prison in Iraq–more specifically about the photographs of those abuses–will be released tomorrow, April 25.
What questions were left unanswered for you after you had completed Standard Operating Procedure? Who else would you like to interview? Have you tried to interview any of the Iraqis who were in Abu Ghraib?
Endless questions. I am still interviewing people. Here is one question currently on my mind. Why did Mark Swanner, the CIA agent partially responsible for al-Jamadi’s death, skate away without punishment?
What mysteries remain?
Abu Ghraib was an immense prison. At the end of 2003 there were by some accounts 10,000 prisoners there. Imagine a city of 10,000 people, and then imagine what mysteries they might pose. In January 2004, Colonel Thomas Pappas, under the guise of an amnesty, ordered the destruction of huge amounts of evidence. Hard drives were erased, documents destroyed, but in all likelihood there are still records of interrogations, phone calls between the Joint Interrogation and Debriefing Center, the intelligence hub of Abu Ghraib, and the Department of Defense. I would like to see them.
How to solve these mysteries?
Real-life mysteries are only solved one way: by collecting evidence–interviews, documents, photographs et al.–and then thinking about it. By investigating. There is no great mystery to solving mysteries.
What would you ask Charles Graner if you could question him?
I would sit him down for one of my brief interviews. My interview with Janis Karpinski was seventeen hours long. I would give Chuck Graner at least that much time.
Who else would you interview?
Ivan Frederick. He got out of prison too late for me to interview him for SOP. And many of the people who turned me down. All of the soldiers present the morning of al-Jamadi’s death. Many of the Titan translators and CACI interrogators. Captain Wood, Major Price, Colonel Pappas. The list is endless.
Is there a difference between your use of what I would call “forensic” reenactments in The Thin Blue Line and the kinds of reenactment you created for SOP?
Yes and no. I have used reenactments in all of my films. I hear a line in an interview and it suggests an image. In The Fog of War, McNamara discusses his work at Ford on automobile safety. Padded dashboards, collapsible steering wheels, seat belts, etc. He suddenly, unexpectedly tells a story about dropping skulls–padded and unpadded–down a stairwell at Cornell. I thought to myself, what an image! McNamara even when he’s trying to save lives is dropping stuff from the sky. O.K. I “illustrated” the line. It is a way of directing or re-directing attention to a specific thought or idea. In Standard Operating Procedure, I do something similar, but the “illustrations” direct attention to moral quandaries, disturbing details–and many of them involve the photographs. Tony Diaz, an MP, discovers that al-Jamadi is dead. Diaz didn’t kill him, but he helped suspend al-Jamadi in a Palestinian hanging, a stress position, not unlike a crucifixion. He describes how a drop of blood fell on his uniform. He tells him himself that he is not involved, but he knows he is involved. I illustrated the falling drop of blood. It takes us into Diaz’s moral quandary–I am not involved but I am involved–and our own.
Were you aiming to re-enact the subjectivity of the soldiers?
Yes. Absolutely. The hope is that it takes us inside their experience.
You have written at length about the strange effects that photographs have on viewers, persuading them of the self-evident meaning of what they see–while, at the same time, they are liable to attract all kind of misconceptions and ungrounded beliefs. What lessons do you draw about the changed conditions of photography in the digital age from your experience with the Abu Ghraib images?
The problem is with photography–both still and moving images. Photographs are ripped out of the world and stripped of context regardless of whether they are “chemical” or “digital” images. Of course, digital photography has changed how photographs are viewed and how they are distributed. Now, photographs are not printed on paper, they are displayed on screens. And they are not sent in the mail or over telephone and telegraph-wires, they are sent as digital attachments in emails or posted on FTP sites. A photograph can be sent to 100,000 different places with one click. Photoshop, however, did not inaugurate an era of photographic fabrication, manipulation, and falsification–that started with photography itself. Photoshop points out something we should have known all along–that we are easily fooled by photographs, even photographs that haven’t been manipulated at all.
![[Image]](/media/image/blogs/misc/sop_poster2.jpg)
There are two characters in SOP that play something analogous to your own role as detective and forensic analyst: Sabrina Harman, who claims she took the photographs to expose the scandal, and Brent Pack, the military investigator who established the time-line of their production. Do you feel a special connection or affinity with these people? Are they “on the side” of your film in the debate over the meaning of Abu Ghraib?
I like both of them. Brent Pack, for his candor, which I find entirely admirable. Sabrina, for her curiosity and for her compassion. I talked to Qaissi, the prisoner known as Clawman. Sabrina had taken photographs of him the same night she took the photographs of the hooded man on the box with wires and the photographs of al-Jamadi’s corpse. Qaissi remembers Sabrina fondly. He said to me, “She was a good one.”
You have established a distinctive style as a documentary filmmaker, linking it to fictional genres like film noir and horror. Can you define the basic rules and methods that govern your style? Do you have a list of dos and don’ts? A theory of documentary?
Well, I have a theory of art: set up an arbitrary set of rules and then follow them slavishly. Documentary can be anything–that’s what I love about it. However, there has to be one underlying intention, one underlying goal–to find out something about reality.
What is your next project? And over the longer haul, what other projects can you imagine taking on?
Next up? I would like to continue my TV series “First Person.” I have a film–part drama, part documentary–with a catchy title: The End of Everything. It has Margaret Mitchell, Laura Bush, one active volcano, and 100,000 albatross eggs. I am hoping that Cate Blanchett can play both Margaret Mitchell and Laura Bush. Many people can say “I have an albatross around my neck.” But how many people can say, “I have an albatross movie around my neck”? I look forward to it.
The New York Times today features a long report in which U.S. ambassador to Iraq Ryan Crocker constructs a timeline with an important lesson for the world: the failure of the battle for Basra was not our fault. In fact, it was entirely the fault of the feckless Iraqi prime minister, Nouri al-Maliki.
The key to this claim is in the headline—“U.S. Cites Gaps in Planning of Iraqi Assault on Basra”—and in the first sentence, which informs us that Crocker “first learned of the Iraqi plan on Friday, March 21,” which was just a few days before the assault actually began.
In the initial briefing, Crocker learned only that Maliki “would be heading to Basra with Iraqi troops to bring order to the city.” But more surprises were to come. When the battle began, “it was not what the United States expected. Instead of methodically building up their combat power and gradually stepping up operations against renegade militias, Mr. Maliki’s forces lunged into the city, attacking before all of the Iraqi reinforcements had even arrived.”
And so we are given to understand that the United States was taken by surprise, that Maliki was a loose cannon, really just a fool. If only he had given us more notice, perhaps superior U.S. military logic might have prevailed. Clearly the people of Iraq will need our guidance for just a little while longer….
The only thing that is surprising about this narrative, alas, is that the New York Times seems to believe it.
Indeed, I myself knew that a major battle for Basra was in the works two weeks before it began.
I knew this not because I had access to top secret briefing materials but because on March 13 the Times—same paper, different reporters—let it be known that “Iraqi Troops May Move to Reclaim Basra’s Port.” And in that report, the deputy prime minister of Iraq, Barham Salih, said the forthcoming action would require a “very strong military presence in Basra to eradicate the militia” and that “Western troops would be involved.”
In that same report, Iraqi General Mohan Fahad al-Fraji said, “We have a plan that is already set by [the Iraqi Ministry of Defense] and the prime minister’s office, and we’re going to implement it in a scientific way.”
As it happens, Dick Cheney arrived in Baghdad just a few days after this report was published. You might think he’d have heard at least a whisper about it.
And even if he hadn’t, he could have read a follow-up report in the Independent, which carried the admirably straightforward headline, “The final battle for Basra is near, says Iraqi general.” This report was available to the world, including Ambassador Crocker, on March 20, which is one day before Crocker says he first learned of the plan.
The finger-pointing would be comical in its ineptitude if it didn’t also remind us that the Bush Administration has failed in equally absurd ways at far more important tasks.
![[Image]](/media/image/blogs/misc/santababy.gif)
Few human activities are more popular than war, and yet the negative consequences of actual battle, with its inevitable atrocities, often are very high. Therefore when the philosopher William James hit on the idea in 1906 that there could be a moral equivalent of war, conflicted fans of military action could be forgiven for hoping that a solution to their quandary would soon be at hand.
Alas, our attempts to find such an equivalent have thus far met with poor results. The War on Poverty, launched by Lyndon Johnson as an alternative to the War on Vietnam, was officially ended in 1996 by Bill Clinton, who claimed that it was not moral after all. The War on Drugs, which seemed more promising, has had the unfortunate side effect of gathering a significant number of Americans into prisons, where immoral behavior is known to breed. And the War on Terror seems too much like a real war to be considered an “equivalent,” moral or otherwise.
But there is another way, one that is often discussed this time of year. Indeed, the War on Christmas may at last be the perfect Jamesian war. On the pro-Christmas side we have television commentators, Christians, the military-industrial complex, and all children everywhere. On the anti-Christmas side we have no one at all. Here is a war that can be fought forever, and with few or possibly even no casualties. What better way to celebrate Christ’s message of peace?
Would such a war require sacrifice? Not necessarily. James predicted that, “The war against war is going to be no holiday excursion or camping party.” And that may have been true a century ago. But America has progressed considerably. Christmas already provides an appealing set of symbols around which the people could rally, and it is well situated to surpass military spending as an economic organizing principle. With just a little effort, we could achieve the peace that endureth for a war that will never end.
And so a proposal:
What if congressional Democrats joined congressional Republicans to reclaim their constitutional right to declare war? That great body has already passed a resolution acknowledging “the international religious and historical importance of Christmas and the Christian faith.” Why not take it a step further and bring America into this enduring battle on the side of Santa and Wal-Mart? Would this not exemplify the kind of visionary bipartisanship our pundits have so long desired?
And would our president dare refuse to act on such a declaration? In many ways, the War on Christmas would be the culmination of the Bushian project. Indeed, it has been foretold in the very book from which many holiday worshipers draw their tradition. “The wolf also shall dwell with the lamb,” reports Isaiah, “and the leopard shall lie down with the kid; and the calf and the young lion and the fatling together; and a little child shall lead them.”
December 2007 | |
| Notes on “The Black Box” | 1:18 PM
Dec 6 |
October 2007 | |
| Supreme Court Upholds Appeals Court Decision in Favor of Harper’s Magazine | 5:37 PM
Oct 1 |
September 2007 | |
| Six Questions for Greg Grandin on Che’s Legacy | 6:29 PM
Sep 30 |
| Upcoming Event–Discussion with Harper’s Publisher John R. MacArthur | 1:55 PM
Sep 24 |
| Blackwater Remains Above the Law | 6:00 PM
Sep 21 |
| The Shock Doctrine: A Short Film by Alfonso Cuarón and Naomi Klein | 6:00 PM
Sep 11 |
August 2007 | |
| Zimring: Giuliani’s Crimefighting is Overrated | 3:48 PM
Aug 9 |
| The Ongoing Medicalization of Torture | 2:01 PM
Aug 1 |
March 1975 | |
| When did you stop wanting to be president?When Did You Stop Wanting to Be President? | Mar 0 |
| JULY 2009 BARACK HOOVER OBAMA
LABOR’S LAST STAND
WAIT TILL YOU SEE ME DANCE
Also: Mark Slouka and Paul West |