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Archive for the ‘economy’ Category

Obama’s pet solar company raided by FBI

Friday, September 9th, 2011

From the Washington Post

FBI searches offices of Solyndra; lawmakers say they were misled about firm’s finances

By Carol D. Leonnig and Joe Stephens,

FBI agents executed a surprise search Thursday of a Silicon Valley solar company that collapsed last week, in an investigation that appeared to center on half a billion dollars in federal loan guarantees granted to the company by the Obama administration.

The search at the offices and plant of Solyndra, a California-based manufacturer of solar panels, came as Republicans on Capitol Hill demanded answers to questions about the company’s selection for the $535 million Energy Department loan guarantee. Some Democrats questioned whether the company misled federal officials about its deteriorating financial condition.

More…

COMMENTARY: Stories like this are why the American puiblic increaasingly does not trust the federal government to create jobs and solve problems.

The Obvama Administration gave this outfit a $535 million loan guarantee and touted this comoany as the future for renewable energy and jobs creation.

Looks like Obama got bamboozled. And us taxpayers are stuck with yet another bill from a corporate scamster.

SolarGate and green jobs

Solar company to file for bankruptcy despite $535 million loan guarantee

Obama wants major federal role in home mortgages…just when you thought it was safe to come out of your storm shelter

Tuesday, September 6th, 2011

The Washington Post  reported back in August that President Obama is trying to hatch a new plan for the federal government to keep a major role in the home mortgage business.

On mortgage rates, Obama wants proposal for how government can keep big role

President Obama has directed a small team of advisers to develop a proposal that would keep the government playing a major role in the nation’s mortgage market, extending a federal loan subsidy for most home buyers, according to people familiar with the matter.

More…..

COMMENTARY:

As Albert Einstein observed, the definition of insanity is doing the same thing over and over again and expecting a different outcome.

Here we go again…..

THE UPSIDE:

OK….the basic idea of providing low interest long term loans so people can own homes is a wonderful idea.

A big portion of our economy has been driven by home construction and home ownership going back to just after the end of WW II.

But like a lot of things federal, what started out as a good idea ended up  turning to dog vomit when people starting gaming the system.

One of the reason for the housing bubble that nearly crashed our economy was the idea that everyone ought to be able to own a home even if they really couldn’t afford it.

The whole “sub prime” mortgage business and federal policy was driven by the goal of expanding home ownership beyond where it could not support itself.

The first thing the feds are going to have to do is adopt a realistic level of what can be sustained in home ownership.

Maybe 30% of the population is not going to be able to own their own home…especially in light of the chronic unemployment. Don’t try to push home ownership where it is not feasible.

The second problem was the creation of “derivatives” whereby people could bundle up flakey mortgages and sell them off to unwitting investors.

This greatly expanded the pool of money to loan to home buyers and pushed a lot of people into homes because mortgage brokers and bankers wanted more and more commissions.

There may need to be a secondary market for home loans….which is one option for a fed role…but there have to be really tight rules about loan origination, qualification and appraisals. That whole system collapsed in the rush to write more mortgages and states don’t do a particularly good job regulating mortgage bankers and appraisers.

HUD FHA have all these standards for the actual home condition…and there is an opportunity for some interesting stuff with regards to new homes….rethinking whether or not a federally insured home loan for a house requires the house to have a garage versus maybe solar energy. I remember fussing with FHA over a requirement for landscaping trees in Tucson….trying to get them to quit demanding mulberry trees and accepting xeriscape instead.

A really important thing for the feds to do is not put the full faith and credit of US taxpayers behind home loans. That was a plank into the treasury the last time around.

One problem the feds will face is a lot of people have had their credit wrecked in the recession.

 One idea is maybe a lease-purchase option where someone could lease a home, and if they make their payments on time for 3 years and repair their credit rating, then they would be eligible to exercise the option and purchase the home under the federal program. A program like this existed in California but got wiped out when sub prime loans started being made to people with no docs and no downpayment. No wonder everything went into the toilet.

Another element that ought to be considered is a combination home purchase loan and upgrade financing for existing housing…to retrofit existing housing with more energy efficiency like insulation and new windows…and maybe add a solar component.

It is going to take a while for the home building industry to recover…and it is essential to our economy that this sector does recover.

THE DOWNSIDE:

Next time around Washington has got to not force social policy into the mix, and Washington has got to keep the Wall Street pirates from ripping everyone off.

I think the first step of a new federal role in the home mortgage business is for the Obama Administration to single out the top 30 bad guys in all the mortgage fraud and charge them with massive federal crimes sufficient to lock their sorry butts up for life.

Lets perp walk some bankers, the Countrywide Bandits, some Fannie Mae and Freddie Mac co-conspirators, a few bond rating agency bosses, and other rascals.

The message has got to be clear that not only will us taxpayers not bail you asses out if you create a fraudulkent bubble, we will demand and get your asses thrown in jail.

Every banking and mortgage office should come complete not with pictures of hundred dollar bills or the Federal Reserve, but a photo of a maximum security federal prison.

And as part of a new mortgage system, mortgage fraud ought to be a capital offense.

I’ll bet whatever Obama comes up with will end up being more of the same old opportunity to scam the system and stick it to us taxpayers.

See also Mark Evans commentary Hey Obama, it’s about homes, stupid

Ben…if you’re gonna print more money send me some

Tuesday, August 16th, 2011

From the Wahington Post:

Analysis: Perry’s criticism of money-printing may portend more political pressure for Fed 

Texas Gov. Rick Perry’s broadside against Federal Reserve Chairman Ben Bernanke on Monday night was a remarkable departure from the usual approach of major presidential candidates toward the Fed, which has been to make any criticism delicately and politely.

Perry was neither delicate nor polite. “If this guy prints more money between now and the election, I don’t know what y’all would do to him in Iowa, but we would treat him pretty ugly down in Texas,” Perry said. “Printing more money to play politics at this particular time in American history is almost … treasonous in my opinion.”

More…

COMMENT: Bernanke calls printing more money “quantitative easing”. This is sort of like my calling my yard filled with weeds a “carbon sequestration project”.

I never understood how the government can just print money. Heck, there’s no gold to back it up. It is just paper.

The really interesting question is where does the money the government prints actually go? Are truckloads of $100 bills and $20 bills sent to Federal Reserve banks?

I read somewhere that the US government sent $6 billion to Iraq in cash to “stabilize” that country.

Back when Obama and Congress were trying to figure out how to simulate the economy I suggested send every American some money instead of bailing out the banks.

Obama decided to bail out the banks and we can all see how much good that did.

So now the Fed is thinking about printing a whole bunch more money.

How about this idea…print it up and send every American $500,000.

A whole lot of mortgages would get paid off.

New cars would be purchased.

Kids student loans would get paid off.

Credit cards would get paid off.

Unemployment wouldn’t matter because we would not need to work to pay our bills…and by spending the money we’d be creating lots of jobs.

And we’d still have some cash left over to stick into the stock market or run down to the nearest Indian casino and blow it.

I doubt if anyone would be calling that treason.

Heck..if big corpoprations and rich people can buy Congressmen, why can’t the federal government buy votes?

Mail my money in smalll denomination bills to P.O. Box 4773, Tubac, Az 85646.
I won’t take a government check because it might bounce.

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From the Frumious Bandersnatch November 2008:

BANDERSNATCH ECONOMIC RECOVERY PLAN

The first premise of our proposed economic recovery plan is that we must understand money.

Money, many think, is cash. It is not. “Money” is an electronic system where computers add and subtract balances from accounts. There is no real “cash” associated with this.

What is associated with “money” are beliefs.

These beliefs include:

– that the same amount of “money” tomorrow will have the same purchasing power as today.

– that we will all have access to “money” via our paychecks tomorrow like we did last week.

– that as a consequence of having access to “money”…whether by selling our stocks or receiving a paycheck, we will be able to pay all our bills.

– that if we put our “money” in a bank, it will be there tomorrow if we need it.

The core problem in today’s financial crisis is that our beliefs about “money” have been shattered. We have lost faith in our “money”. We woke up one morning and realized “money” wasn’t real at all. It was just gone.

Since “money” is essentially a belief system, to solve our problem we need to recreate that belief system.

Our proposal starts with a concept of starting all over as though nothing happened in the past.

This is very important because the more time and energy we spend blaming someone for what’s happened, that time and energy is wasted in going forward into the future. Sure, there were bad people. And bad policy. If we had a time machine we could back in fix the stupid or criminal decisions. Problem is we don’t have a time machine.

The next step is the clean slate new start.

This clean slate includes the following:

– all debt would be wiped out. Whatever any of us…personal or corporate…would be wiped clean. None of us owes anyone anything. Our mortgages are paid off. Our business debts are paid off.

– and everyone owed money would be paid off. 100% face value, (no prepayment penalties allowed).

How do we do this outrageous thing, you ask.

Simple, we all agree to believe that the government, which invents money, can invent enough money to pay all debt off with “new” money.

The second step of the clean slate is every adult (over age 18)  in the country is given $500,000 of the “new” money. To do whatever he or she wants to do with that “new” money.

The third step is to establish a very tight system of financial regulation based on truth. Anyone who lies or schemes to suck money away from someone else to accumulate more while someone has less, is subject to the death penalty. Lets increase the risk premium for manipulating money at other people’s expense. Whether the culprit be a con man or a Wall Street banker, they commit fraud to steal your money, they die.

The fourth step is to weed out of our system greed. A reasonable rate of return is fine, but excess profits just so some shareholders get fat dividends while other people lose their jobs…no way.

The fifth step is to completely revise the tax system so its fair. Fair means no deductions or loopholes. Everyone pays 15% on their income, however they earn it. We can no longer afford the corrosive belief that some people get way without paying taxes because they can afford lobbyists. Our tax system should simply collect money to pay for government functions, not to induce behavior or investment in someone’s pet schemes.

The sixth step is to regulate the credit market. Put usury laws back on the books. Oversee the risk assessment system to make sure lenders tie their loans and rates to appropriate risk levels.

The seventh step is to regulate the debt and bond and stock rating systems. He who rates insures the outcome if people rely on the rating.

The eigth step is a serious effort at energy independence and development of renewable energy. If Brazil can eliminate the importation of foreign oil, we can to. And we don’t have to wreck our environment to do this.

But this all comes down to believing it can work.

Of course people will note that vastly increasing the money supply will set off inflation. That is a belief itself. Why would everyone suddenly want to buy everything and push prices up?

Elimination all debt lifts an enormous burden off the  economy. Everyone is free and clear. Income is now available to invest, to build, or to save.

Will this work? In the short run, sure. In the long run, we’re probably going to go back to our old, foolish, greedy ways believing that some people are more entitled to money than others, that a sucker is born every minute, that government is evil and should not mess with the free market, that there’s no such thing as excess profits, that shareholders are more important than working people…and if that’s the case our economy and system deserves to die.

But think about what is going to be like when you lose your job, and can’t buy food or pay for your electricity. Because all the “money” evaporated and no one could pay their bills or their wages.

Would you like to eat the squirrels living in the trees near your house?

Let us all get together and believe in some new form of money, and start over.

Fire up the printing presses.

$29.1 billion: The total gross domestic product for Tucson region. It’s $187 billion in Phoenix.

Tuesday, August 16th, 2011

From Inside Tucson’s Business:

$29.1 billion: The total gross domestic product for Tucson region. It’s $187 billion in Phoenix.

By Hugh Holub

…”$29.1 billion – the total gross domestic product for the Tucson region. It’s $187 billion in Phoenix.”

The Phoenix area is about 4 times the population of the Tucson region.

But the gross domestic product in Phoenix is 6.5 times that of Tucson.

Arguably Tucson’s gross domestic product should be around $47 billion.

Tucson’s gross domestic product falls short by $18 billion a year.

$18 billion is the lost Motorola plant. It is the lost General Instruments plant. It is the lost Apache helicopter plant. It is the lost Raytheon Missile Systems’ new production facility and a lot of other lost opportunities that were run out of town by small-minded local “leaders.”

More….

Re-build America

Friday, August 12th, 2011

Cutting the deficit and cleaning up the tax code does not really solve the core problem facing the country.

We have millions of people out of work and more millions not making the money they used to because of the economic crash.

We have to put America back to work to generate incomes so people can afford to live…and pay taxes.

It sounds like the Wall Street and Washington wizards want to go back to the days where our economy was based heavily on consumption.

We need jobs so we can immediately run down to the car dealership to buy a new car or over to WalMart and buy a new flat screen TV.

Funny thing about the crash…we’ve had to learn out to drive our cars longer and live without a new flat screen TV.

Let’s look at one sector of the economy that was virtually destroyed by the crash….home building.

Millions got thrown out of work because no new homes were being built, no land was being developed, no lots were being sold, no concrete was sold or bricks or pipes or lumber. No construction jobs. No real estate sales. No mortgage commissions.

We still don’t have a replacement financial system that can provide mortgages to buy new homes. Millions of homes are under water value wise. The country is stuck in place. Even if you could get a job in another city, you can’t sell your house and move.

So what do we do?

How about re-building America?

There are millions of existing homes and apartments in this country which need upgrading for energy efficiency and all sort of other improvements to make them better habitations and more valuable.

If we launched on a program to upgrade every existing home and apartment building in the country to modern levels…everything from replacing roofs and non-code electrical systems and old inefficient heating and cooling systems…to adding solar energy….that is a whole lot of work for people.

And a whole lot of stuff to make and sell. Instead of making and buying a lot of flat screen TV…we need to make a whole lot of solar panels.

We could reduce energy demand on our existing housing by adding insulation and new windows and stuff….and use our housing as energy generation sites with solar.

Instead of building a few giant new coal or nuclear power plants we could add solar to a million homes and generate the same amount of new electricity…without increasing our carbon footprint.

And presumably we would not have massive and expensive environmental fights in retrofitting existing buildings with solar as opposed to building new giant generating facilities.

There are also enormous opportunities in adding rainfall harvesting to existing homes in the arid West as well.

Reduce potable water demand for outdoor landscape irrigation and use rainwater from the roofs to water your plants.

In Tucson and Phoenix, for example, enough rain falls on roofs and streets and parking lots to irrigate all the outdoor landscaping in those cities.

But we spend millions and millions of dollars getting rid of storm water and more millions a year pumping ground water from wells and pumping Colorado River water uphill to Tucson and Phoenix to water our trees and lawns.

America is a fabulously wealthy country.

We have an enormous amount of talented people in this country that can re-build it that are idle now.

And we have awesome resources inside our borders.

But we compartmentalize everything and do not use our resources of water, energy or money wisely.

We have been so rich we’ve been able to afford throwing away valuable resources because we could afford to do that.

We really can’t, now.

US Senator John McCain had a great idea recently to basically wipe out all the bad mortgage debt and re-set the country to real numbers.

But lets take that idea one step further and create a financing system whereby every home also gets an upgrade and a solar energy addition.

The Property Assessed Clean Energy program was a wonderful idea to expand solar energy to homes using a property assessment to finance adding solar energy to homes.

But that was killed by Fannie Mae and Freddie Mac…even though PACE would have added value to homes, created jobs, and reduced carbon emissions.

The inability of the federal government to find holistic solutions to our problems…increasing home values, creating jobs and reducing carbon emissions … speaks volumes about why America is going broke now.

Using the PACE idea…and expanding it to the building upgrades….ties the repayment of the loan for the upgrade to the building, not the borrower.

PACE used tax exempt bonds to add solar…and tax exempt bonds could be used for an expanded version of PACE to add both solar and building upgrades.

Investors would get their profits…and leave somerhing really valuable being…a rebuilt America.

Instead of building more new houses…rebuild the ones we already have.

And millions of jobs would be created re-building America.

Why not?

Standard and Poors downgraded

Monday, August 8th, 2011

August 8, 2011: 3:15 MST

Well it seems the bond market ignored Standard & Poors downgrading of US debt, and downgraded S&P instead.

As one commentator noted, given the choices out there, US debt is still a good buy.

It sounds a lot like S&P tried to play politics and stick its nose into how the US government is run….threatening to downgrade US debt if this or that didnt happen.

Like would any sane politician take advice from a ratings agency that gave high quality ratings to what turned out to be junk bonds backed by flimsy mortgages?

I’ve been involved in municipal bond issues and dealt directly with Moody’s and Standard & Poors over the years…serving as, amoing other things,  ”disclosure counsel” meaning I was responsible for truthing an offering statement before it was sent to the ratings agencies for review and rating.

Certainly S&P is entitled to its opinion about how our government runs….as are we all. But trying to make its point through a downgrade only serves to raise questions about the role of ratings agencies themselves.

I think S&P rates about a single A now as far as its credibility.

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Fallout from downgrade of US debt hitting…we’re all going to be hurt

Monday, August 8th, 2011

The fallout from S&P’s downgrading US debt is arrived Monday August 8th:

From the Washington Post August 8, 2011:

Stock market plummets after historic downgrade of U.S. credit rating

Stock markets marked their worst day since the 2008 financial crisis as investors reacted to the historic downgrade of the U.S.’s credit rating by furthering a sell-off that has already wiped out more than a trillion dollars of U.S. stock market wealth.

The blue-chip Dow Jones industrial average plunged 635 points Monday, ending the day at 10,810, down about 5.6 percent.

More….

And….

S&P downgrades U.S. credit rating for first time

Standard & Poor’s announced Friday night that it has downgraded the U.S. credit rating for the first time, dealing a symbolic blow to the world’s economic superpower in what was a sharply worded critique of the American political system.

….

Analysts say that, over time, the downgrade could push up borrowing costs for the U.S. government, costing taxpayers tens of billions of dollars a year. It could also drive up interest rates for consumers and companies seeking mortgages, credit cards and business loans.

A downgrade could also have a cascading series of effects on states and localities, including nearly all of those in the Washington metro area. These governments could lose their AAA credit ratings as well, potentially raising the cost of borrowing for schools, roads and parks.

More…

COMMENTARY: Funny how Standard and Poors blew it giving high ratings to mortgage-backed bonds that helped wreck our economy once….now they’re hitting us again.

The consequences of the inability of our government to quit piling up debt, pandering to special interests, juggling the country’s books, giving tax breaks to the rich, funding two wars off-the-books, looking the other way while financial bandits looted the country with funny paper…. is coming home to roost.

Here is a very good analysis of how we got into a $14 trillion hole from the Washington Post:

Running in the red: How the U.S., on the road to surplus, detoured to massive debt

The nation’s unnerving descent into debt began a decade ago with a choice, not a crisis.

In January 2001, with the budget balanced and clear sailing ahead, the Congressional Budget Office forecast ever-larger annual surpluses indefinitely. The outlook was so rosy, the CBO said, that Washington would have enough money by the end of the decade to pay off everything it owed.

More…

The stock market is responding to this mess.

If all the analyists are right, the federal government (meaning us taxpayers) are going to pay higher interest costs on the national debt.

All our mortgage and other credit obligations will see higher interest costs to the degree the financial system can get away with this, and state and local governments will face higher interest costs to borrow.

Is this our fault as the people having to pay the taxes and debt?

Well….yes to the degree we elected all the folks and sent them to Washington with demands to take care of our special interests and ignore the consequences of running the country into the ground.

From the WaPo article:

Lowering the nation’s rating to one notch below AAA, the credit rating company said “political brinkmanship” in the debate over the debt had made the U.S. government’s ability to manage its finances “less stable, less effective and less predictable.” It said the bipartisan agreement reached this week to find at least $2.1 trillion in budget savings “fell short” of what was necessary to tame the nation’s debt over time and predicted that leaders would not be likely to achieve more savings in the future.

But were we responsible for the circus that went on in Washington to try and deal with the problems?

Are we respsonsible for Grover Norquist?

Again…from the Washington Post:

Among GOP, anti-tax orthodoxy runs deep

…. As House Speaker John A. Boehner has said: Raising taxes is “unacceptable and a non-starter.”

This orthodoxy is now woven so deeply into the party’s identity that all but 13 of 288 GOP lawmakers in Congress have signed a formal pledge not to raise taxes. The strategist who invented the pledge, Grover G. Norquist, compares it to a brand, like Coca-Cola, built on “quality control” so that Republican voters know they will get “the same thing every time.”

Loyalty to the brand is so strong that no Republican has voted for a major federal tax increase since 1991, Norquist says. It is so widespread that more than a dozen governors and hundreds of state legislators now count themselves as adherents. And it is so well defended that its followers are constantly patrolling at both the state and federal levels for new forms of trespass.

More….

Two things come to mind:

One is I will fight any attempt to raise my interest costs of my existing mortgage and other debt because of the DC clown show. The financial wizards expect to rake in billions from the higher interest charges they can make now that S&P downgraded US debt triggering “automatic” interest rate increases tied to T-bills and federal borrowing rates.

I will not pay increased interest costs due to the ratings downgrade and the DC political game show. I will send the bills to Norquist.

Second, as we suffer through the consequences of this political debacle and see our country thrown back into a recession while politicians blame each other and avoid doing the hard stuff necessary…including raising taxes as well as cutting spend and reorganizing entitlement programs….we need to remember who caused all this….from both political parties….come November 2012.

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Standard and Poors downgraded

Arizona Attorney General blasts Obama on border security

Wednesday, May 11th, 2011

Arizona Attorney General Thomas C. Horne testified on May 11th to the U.S. House Subcommittee on Oversight, Investigations & Management House Committee on Homeland Security and had little nice to say about the Obama administration’s approach to the border:

Testimony of Arizona Attorney General Thomas C. Horne
U.S. House Subcommittee on Oversight, Investigations & Management
House Committee on Homeland Security
Hearing: “On the Border and in the Line of Fire: U.S. Law Enforcement, Homeland Security and Drug Cartel Violence”
May 11, 2011

INTRODUCTION

I have sued the Obama administration for negligence on the border with Mexico. The Obama administration had previously sued Arizona to prevent Arizona from helping to fight illegal immigration through Arizona Senate Bill 1070. I filed a counterclaim asking for a court declaration that, among other things, the administration has failed to achieve and maintain operational control for the Arizona-Mexican border, as required by the Congress in the Secure Fence Act of 2006 and the Appropriations Act of 2008. Some may question whether it is possible to do so. I argue that it is for the following reasons:

The Arizona border is divided into the Yuma Sector and the Tucson Sector. In 2006, the Bush administration put substantial resources into the Yuma Sector, which had been one of the difficult sectors. As a result, apprehensions decreased 96 percent from 134,000 in 2005 to 7,200 last year. Substantial operational control was obtained in the Yuma Sector. But in the Tucson Sector, since 2009, well over 400,000 people have crossed illegally into the United States in this sector. That is the equivalent of an invasion, from various countries, of 20 divisions.

BACKGROUND OF THE CRIMINAL ENTERPRISES

The criminal element increased from 8 percent in 2005 to 17 percent. Criminal enterprises based in Mexico are bringing a degree of brutality to crime in the United States that we have never experienced before. They are bringing techniques they have used in Mexico, where attacks on police headquarters, assassinations of high governmental anti-organized crime law enforcement officials, murders of journalists, mass jail breaks, and ultimatums stating that a criminal enterprise will unleash terrorists acts unless the government gives its members amnesty for their crimes, all signify assertion of power unchecked by the rule of law. The Drug Enforcement Administration has confirmed Mexican drug organization presence in 230 U.S. cities and towns. They are expanding from drug smuggling to all kinds of criminal activity.

The United States and Mexico’s mutual economic future faces catastrophe because Mexican drug cartels, fueled by the American appetite for drugs, are becoming entrenched as criminal enterprises that affect Mexican commerce from petroleum to groceries, and whose method of intimidation is ruthless violence. Mexico is the United States’ second largest trading partner and the two countries must work together to be sure their commerce is not destroyed by the criminal enterprises.

In October, the Phoenix area experienced its first beheading, where someone walked into a Chandler apartment and found a head in one part of the room and the body in another. Two months ago, in Casa Grande, midway between Phoenix and Tucson, 15 cartel members had a fire fight with bandits in an attempt to steal their drugs. Just a few weeks ago, one of my Special Agents in the Attorney General’s Office was shot by a suspected cartel operative in the Phoenix area. In the United States, it is widely understood that marijuana, cocaine, and methamphetamine come largely from or through Mexico. It is also common knowledge that Mexican drug organizations are engaging in atrocities, murders, and wide-spread corruption.

In Pinal County, as an example, the number of pounds of marijuana seized has more than doubled in the last two years from 20,000 pounds to 45,000 pounds.

The extent to which these criminal enterprises have expanded beyond smuggling to other kinds of crimes is not as widely known.

While familial drug smuggling organizations have thrived near the border for generations, their present successor Mexican criminal enterprises now present a new and different threat to North American well-being. Although they are sometimes called drug cartels, they are not primarily cooperative price-setting entities and they are not just about drugs—they are primarily opportunistic, generally—and sometimes fiercely—competitive multi-crime criminal enterprises. This discussion uses the term ―criminal enterprises—(―CEs–) because this term is used in federal and state racketeering statutes.

There are many sources of the CEs’ increased power. A few of them include:

1) Immigration into the U.S. brought Mexican criminals to U.S. cities in large numbers in the 1990s. DEA has confirmed Mexican drug organization presence in 230 U.S. cities and towns. Larger Mexican criminal populations allow Mexican drug organizations to rely on extended affinity to vertically integrate their distribution networks. Simultaneous law enforcement pressure on rival groups, such as the Colombians and their air smuggling methods, further permitted Mexican CEs to vertically integrate the drug distribution chain.

2) The Mexican CEs have incorporated influences from the ―Zetas,‖ former members of an elite military unit originally recruited by a drug organization as mercenaries in inter-enterprise warfare. The Zetas brought with them greater eagerness to diversify into criminal opportunities other than drug smuggling. The Zetas also brought a culture of ruthlessness and intimidation, with huge economic power implications.

3) Expendable mercenaries are more available to the CEs. Maquiladoras, and other opportunities such as preparing to illegally cross the border into the U.S., brought many
unemployed young men to northern Mexico. The sharp decline of the economies of the U.S. and Mexico in 2008 swelled this available pool of mercenaries. With many young strangers available as gunmen, CE leaders are not as constrained about violent confrontations with rival gangs or with government authorities as they had been. When the casualties will be replaceable strangers, aggression and brutality become more acceptable.

4) The availability of high-powered weapons has armed the gunmen as never before. While the exact amounts and percentages of U.S.-sourced weapons that are being used by the CEs are the subject of some debate, it is beyond dispute that the CE gunmen have no shortage of weaponry and that U.S. sources account for some portion of these arms. Any weapons in this context are too many.

5) In the United States, it is widely understood that marijuana, cocaine, and methamphetamine come largely from or through Mexico. It is also common knowledge that Mexican drug organizations are engaging in atrocities, murders, and wide-spread corruption. Nevertheless, it does not appear to be widely understood that continued consumption of Mexico-sourced drugs is the direct root cause of the erosion of the free democracy in Mexico and ultimately of the economy of North America. Our young people are acutely aware of the indirect consequences of their consumer decisions. Yet they continue to buy Mexico-sourced drugs as if there were no consequences for these decisions. This can only be explained by a lack of knowledge of the linkage between these particular consumer choices and the long term effects of those choices.

In Mexico, popular support for the representative government’s desperate efforts to control the growing power of the CEs appears to be flagging as the death toll and violence mounts. The misunderstanding that these are simply drug or human smuggling organizations persists despite the general knowledge that the CEs are also engaged in many non-drug, non-human smuggling criminal activities. As in the U.S., it appears that the populace in Mexico is not aware that the uncontrolled rise in the power of the CEs foreshadows the potential failure of the Mexican economy.

THE DANGER TO COMMERCE PRESENTED BY CRIMINAL ENTERPRISE DIVERSIFICATION

The CEs are increasingly engaging in diversified organized criminal activity, such as diverting petroleum products, agricultural crop theft, hijacking truck and train cargo, extorting major businesses, import/export fraud, intellectual property theft, and targeted intelligence-driven kidnappings of business and societal leaders. They are uniquely situated for attacks on trade because most of them grew out of smuggling organizations, so they can exploit their deep roots on the key trade routes between the U.S. and Mexico. Apart from the direct injury to the immediate victims, these diversified criminal activities are strategically significant in two ways. Most obviously, they are sources of income and therefore sources of power to the CEs. Most important, these crimes allow the CEs to infiltrate, burden, and ultimately destroy trade-related activity and investment.

The diversified CEs are fundamentally different from their predecessor smuggling-based organizations. The former passive bribery-for-amnesty stance of the smuggling organizations is now largely a thing of the past. The CEs are shifting to an aggressive stance, actively asserting primacy over the elected representative government in their respective geographic areas. Attacks on police headquarters, assassinations of high governmental anti-organized crime law enforcement officials, murders of journalists, mass jail breaks, and ultimatums stating that a CE will unleash terrorist acts unless the government gives its members amnesty for their crimes, all signify assertion of power unchecked by the rule of law.

Taking advantage of non-smuggling criminal opportunities requires immunity of a fundamentally different kind than that accorded to smuggling organizations in the past. Past impunity was for smuggling, which is regarded as mostly victimless from the Mexican point of view. Present crimes are far from victimless. So immunity cannot be bought, and therefore must be coerced. Diversification necessarily requires and encourages intimidation. Because the crimes are not victimless, law enforcement and the populace at large must be discouraged from taking action by means other than mere bribery. In this context, open and notorious cruelty and inhuman atrocities serve an economic purpose. They terrorize the general public with two complementary messages: 1) the CE will show horrible cruelty to any who stand against them (such as by having the wife who thought she was bringing ransom money to rescue her husband forced to watch as his head is cut off); and 2) the representative government is powerless to do anything effective about it. This is one explanation for the apparent escalation in the level of atrocity. Murders escalated to beheadings and mutilation. Beheadings became commonplace, so killers are now skinning the victim and ripping the heart from the chest, leaving the corpse so grotesque that responders can barely stand to look at the remains. The diversification of the criminal activity and the decline of representative government authority are complementary—one escalates as the other declines. As organized criminal activity succeeds—success defined as being accomplished at a profit without countervailing consequences for the perpetrators—it is repeated and expanded. The diversification means that all economic activity in the particular area is increasingly at risk of victimization.

The societal impact of the CEs’ campaign of terror is well encapsulated in the presence of .50 caliber machine guns mounted in CE SUVs patrolling the streets of Mexican border cities. This weapon, in the hands of a CE, is a brazen assassination about to happen.

The mere existence of such CE war wagons speaks volumes. Most significant for strategic purposes, such weapons signify the vulnerability of legitimate business because no business can stand against extortion and victimization when the perpetrators are this cruel, have this kind of firepower, and have the impunity to display it. The war wagon is a rolling advertisement that business must capitulate—or else—and that investment in Mexico includes the associated risks.

SEARCHING FOR ALTERNATIVES TO ECONOMIC CRISIS
Internal Limiters within CEs

If the Mexican CEs could be relied upon to recognize the economic consequences of their depredations and desist before it is too late, then the potential strangulation of commerce would not be an inevitable consequence of the growth and evolution of diversified CEs.
Organized crime leaders operate in a treacherous high-risk environment in their daily lives. They stay in charge by inspiring, fostering, and demanding the loyalty of an immediate inner circle. Keeping a loyal inner circle involves several strategies, the most important of which is making financial opportunities available to the most loyal. If the dominant figure turns away apparent economic opportunities for his CE, and therefore for his inner circle, he invites that inner circle to look to another contender for leadership. There is always another contender waiting in the wings for a shot at the top spots. When traditional U.S. Mafia dons balked at trafficking in narcotics, they were replaced by leaders who would condone it because the profits were high. Whenever criminal opportunities are identified and prove successful, leaders must exploit them or risk being replaced (which often involves their death).

This analysis applies to the potential for strangulation of U.S./Mexico commerce. The CEs continue to exploit and expand their ability to engage in criminal opportunities because there is no internal limiter. The CEs may not intend to strangle commerce. Indeed, they may have no thought that this could happen and no desire for this result. But a pack of wolves may decimate a deer population without a thought about what that may mean to future wolves years hence. They act like wolves because that is their nature. CEs act like CEs because that is their nature. They will continue to escalate their parasitic criminal conduct without regard to whether their crimes will ultimately kill the host. They will continue unless and until they are stopped. So the diversification of the Mexican CEs’ criminal conduct will continue as long as the economic opportunities are there and will take whatever advantage of those opportunities that they can get away with.

Governmental Retreat

If the capitulation of the Mexican government would end the bloodshed, perhaps the threat to commerce would abate. Some observers of the present violence have written that President Calderon’s decision to call in the military was the initial cause of the present violence. This is worth mentioning only because if that was the cause, then reversal of the decision could be seen as a possible way to end the violence. However, the rise of the newly aggressive and power-acquiring CEs was not caused by Calderon’s administration, and in any event, to the extent that increased law enforcement has some violent repercussions, the Mexican government cannot reverse that course of action.

The Zetas arrived on the scene in the late 1990s, bringing their military tactics and new ruthlessness and opportunism. For example, drug violence in Nuevo Laredo increased dramatically in 2004 and over 100 people died in Nuevo Laredo alone in January-August 2005. This was long before Calderon’s inauguration.

The frequent references to the number of murders in Mexico since the start of the Calderon administration in late 2006 create the unfounded and unfair impression that the violence began with his administration. This is not true. They also create the incorrect impression that his policies are a cause of the violence. Since the violence began before his administration, this is patently false.

The CEs’ tactics are rooted in the CEs’ diversification and their need to avoid prosecution for crimes beyond drug and human smuggling. The violent tactics have the effect of undermining representative government by instilling lack of confidence and fear in the Mexican people. These outrages to civil life include murders of reporters, murders of mayors and a gubernatorial candidate, postings of murder threats and actual videos of murders (including beheadings) on the Internet, ads for criminal gang recruitment in the newspapers, murders of and death threats to clergy, ―taxation‖ (extortion) of city residents, car bombings, and horrific mutilations. While torture has always been a part of criminals’ intelligence gathering, torture for the purpose of getting information is different than wanton mutilation of the already-dead bodies and the public desecration of their remains, such as by hanging mutilated bodies in public, skinning corpses, or delivering severed heads with messages. These are not responses to law enforcement. If they were responses to law enforcement, they would be done in the U.S. by the representatives of these same CEs in U.S. cities in response to even more effective law enforcement. They are not done in the U.S. for the simple reasons that the CEs are not presently contending for control of cities or areas of the U.S., as they are in Mexico, and they do not believe they could avoid prosecution for such crimes in the U.S., as they do in Mexico. Erroneous attribution of the violence to the law enforcement efforts to control the CEs and the resulting erroneous understanding of the reasons for the CEs’ tactics leads to the erroneous idea that law enforcement accommodation would end the escalation of CEs’ criminal power.

In any event, in the present circumstances, it is not really possible for the Mexican government to back down. Mexican smugglers have operated with relative amnesty, but that was in the context of the crimes of drug and human smuggling. The crimes have changed. They now include diversion of petroleum (owned by the government and therefore by the people), hijacking cargo, kidnapping business people, extorting insurance companies, extorting whole cities, and atrocious murders, including of clergy, journalists, and political leaders. No government can look the other way in connection with such conduct, no matter what bribe is offered, so there is no ―back down‖ solution.

Nor would the CEs accept a return to the former order, even if could be offered. The scenario suggested by some is that with a new president and new administration, the CEs could return to the prior order, agree to limit criminal activities to drug and human smuggling, perhaps consolidate to a more manageable smaller set of CEs with agreed territories, and pay bribes for peace with the government. This scenario rests on three unsupported foundations.
First, as explained above, once the CE has enjoyed the criminal benefits of operating with impunity in a governmentally challenged area by exploiting new criminal opportunities, and parceled out those additional income streams to the inner circle, its nature does not permit unforced retreat. A leader who proposed to his inner circle that the group henceforth limit itself to drug and human smuggling and abandon the other criminal opportunities would not remain the leader for long. The evolution of the drug smuggling organizations into diversified organized criminal enterprises was an evolution, not a simple temporary switch of one set of tactics for another.

Second, there is no reason that the present CEs would accept the limited role suggested by this scenario. Mexican law enforcement and military efforts have so far proven inadequate to slow the diversified criminal conduct. They have had some success at lopping off top participants and at making some activities more difficult, particularly drug activities, and a great many gunmen have been eliminated by the authorities or by each other, but there is no evidence that the CEs’ combined net income has declined. Because there is no existing credible threat of appropriate consequences, the hypothetical government suggestion of peace terms would offer nothing to the CEs that the CEs don’t already have.

Third, this scenario supposes tight control throughout the ranks of the CEs, such that an order from top CE leadership to forego income from non-drug, non-human smuggling activities would be effective. The CEs have recruited many young guns, and many of those recruits are now forever changed by having adopted the macho high-risk, high-spending values of their peers. They are unlikely to accept any such order. Faced with their own gunmen’s desire to continue to engage in profitable crimes, a cartel leader who had given such an order would have no incentive to spend the lives and resources necessary to enforce the order, even if the leader had the power to do so.

Legalization of Drugs

Some argue that the legalization of drugs may be a panacea by which the violence could be stopped and the strength of Mexico’s representative government restored, deflecting the threat to the economy. This is simply not possible. The fulcrum is economics, not politics. Please consider the economics of, say, a hypothetical ―National Cocaine Corp.‖ (―NCC‖), a new business formed to sell hypothetically recently legalized cocaine in the U.S. As the first order of business, NCC must undertake the expense of getting an FDA permit after showing the purity of the product and the conditions of its manufacture in a clean plant under closely monitored conditions, under the watchful eyes of various doctors, chemists, and quality control experts. Next, NCC must pay for insurance against the inevitable lawsuits a la the massive suits against Big Tobacco. Next, NCC must set its prices based on its payment of enormous taxes, like alcohol and tobacco, but undoubtedly much higher. But the Mexican CEs won’t have any of these expenses. In addition, legalization will no doubt deem some young people; say those under 21, too young to use the drugs legally, again like alcohol and tobacco. This market would not be available to NCC, but the CEs would keep selling to this market. Bottom line: there is no legal product that can match the price of smuggled drugs. So the Mexican CEs would stay in business and would continue smuggling the same products, but for a larger market because the products are approved by the government as ―legal

Sealing the Border

Taking this suggestion at even its most perfect vision, sealing the border cannot resolve the threat to commerce. Assuming for the sake of this discussion that the U.S. could somehow erect a perfect, miraculous wall through which no illegal drugs, aliens, guns, or money could flow, this would not stop the CEs in Mexico from operating. They would continue to develop diversified criminal activities, in addition to selling more drugs in Mexico. They would complete the escalation of their dominance over the representative government, strangling U.S./Mexico trade from the south side of the perfect wall. They would still cause economic collapse. The collapsed Mexican representative government would then have little control of the growth of the CEs. The CEs would turn their attention to penetrating the U.S. with diversified criminal activities, using the collapsed northern Mexican areas as staging grounds. After economic ruin, Mexico would become a staging area for CE diversified criminal attacks on the U.S.
Abandonment of Mexico

It is also tempting to some to suggest that the U.S. hide behind Mexico’s sovereignty to continue our role. But this is not an option. Certainly sovereignty is an issue that the U.S. must deal with in true partnership against our common enemy, but abandonment of our neighbor and trading partner is not a proper way to recognize and honor its sovereignty. Nor would it be effective to avert economic catastrophe.

The Hard Reality

In addition to the massive invasion of illegal aliens, and the extremely serious problem of criminal enterprises invading through the Tucson Sector and the rest of the border and spreading throughout the United States, there is the problem of terrorism from the Middle East. A terrorist seeking to enter the United States to do mass destruction could get to Mexico and blend in among the 400,000 people crossing illegally every year through the Tucson Sector.

The Obama administration could do in the Tucson Sector what the Bush administration did in the Yuma Sector, but it has chosen not to do so.

In the beginning of World War II, the French discovered that a chain is no stronger than its weakest link, when German troops poured through an unguarded section of the Maginot Line, and the whole Maginot Line proved to be useless. All of the work the United States has done to control illegal immigration in California, Texas and New Mexico, and in the Yuma Sector, are useless, if it simply increases the number of illegal aliens pouring through the Tucson Sector.
The best plan that I know of to achieve control over the Tucson Sector is the 18 point plan prepared by the Arizona Cattle Growers Association. It includes additional technology and infrastructure, an additional 3,000 Border Patrol Field Agents in Arizona, and forward operating bases immediately adjacent to the U.S. border with Mexico, approximately one every 12 miles. Some of the Arizona Cattle Growers Association provisions are included in the McCain Kyl Bill currently before Congress.

Most immediately, the National Guard should be increased, not removed, as currently planned by the administration. There are 500 there now, and there were 6,000 there in 2006 when the Bush Administration obtained control over the Yuma Sector. Removing the Guard from its role on the border is the exact wrong thing to do. It will leave a gaping hole in law enforcement efforts, put more innocent lives at risk, and it sends a message –whether intentionally or not – that the administration is not serious about border security.

The sober truth is that the U.S. faces a substantial and immediate risk that the Mexican criminal enterprises will drive the U.S.’s neighbor and second largest trading partner into economic ruin in the next few years. There is no easy ―back down‖ solution, no ―legalize drugs‖ solution, and no ―seal the border‖ solution. Mexican CEs pose a serious threat to U.S./Mexico commerce, which in turn poses a serious threat to the economic health of Mexico and therefore of North America.

It is going to be a very difficult and costly road. It will require careful assessment of the options, none of which are easy or attractive, in an atmosphere unclouded by simplistic rhetoric relating to such things as hoping that organized criminals will give up lucrative criminal lines of business to get impunity from prosecution that they already have, hoping that they will show selfless patriotism, legalizing drugs, or sealing the border. It is time to put these impossible, ineffective, or irrelevant agendas aside and consider what must be done for the survival of North America’s economic health. There is no easy way around it.

CONCLUSION

Mr. Chairman and Members, there are people in the U.S. and Mexico living in fear. They are victims of our nation’s appetite for drugs; victims of the Mexican cartels’ thirst for power fueled by innocent blood; and they are victims of negligence by the federal government at the border. This must end. I am doing my best in the courts, but sometimes courts decline to enter into what they view as political issues that need to be dealt with by Congress. I ask you to please deal with this issue that is so crucial to our country.

Subcommittee Hearing: “On the Border and in the Line of Fire: U.S. Law Enforcement, Homeland Security and Drug Cartel Violence”

Subcommittee on Oversight, Investigations, and Management | 311 Cannon House Office Building Washington, DC 20515 | May 11, 2011 10:00am

On Wednesday, May 11, 2011, the Committee on Homeland Security’s Subcommittee on Oversight, Investigations, and Management will hold a hearing entitled “On the Border and in the Line of Fire: U.S. Law Enforcement, Homeland Security and Drug Cartel Violence.”  The Subcommittee will meet at 10:00 a.m. in 311 Cannon House Office Building. 
 

Chairman Michael McCaul (TX) on the hearing:

“This administration is not giving the American people a complete picture of security on our border with Mexico. It is not ‘better now than it has ever been’ and the data on spillover crimes and violence is deceiving and underreported. Our state and local law enforcement on the front lines need help. Their firsthand accounts tell the real story of how we are outmanned, overpowered, and in danger of losing control of our own communities to narco-terrorists.”

Witnesses

Panel 1

The Honorable Grayling Williams, Director, Office of Counter Narcotics Enforcement, Department of Homeland Security
[full text of testimony]

Ms. Amy Pope, Deputy Chief of Staff and Counselor to the Assistant Attorney General, Criminal Division, Department of Justice
[full text of testimony]

Panel 2

Col. Steven McCraw, Director, Texas Department of Public Safety
[full text of testimony]

The Honorable Thomas Horne, Attorney General, State of Arizona
[full text of testimony]

Sheriff Sigifredo Gonzales, Jr., Sheriff, Zapata County, Texas
[full text of testimony]

Chief Victor Rodriguez, McAllen Police Department, State of Texas
[full text of testimony]

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See   Mexico…a partly failed state

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MORE articles and commentaries about the border

The following are articles and commentaries on border issues and SB 1070 that have appeared in the View From Baja Arizona since May, 2010.

Most recent….

Napolitano promises to change the way “border security” is measured

Cochise County Sheriff Tells Congress That Border Patrol Agents Ordered to Reduce Arrests

California Gulch..one of those places along the border wide open to drug smugglers

If the border is so secure why are there dead bodies all over the place?

Republicans Introduce Bill to Secure Border on Federal Lands, Protect Environment

Apprehensions of illegal aliens at the border are way down…why?

GAO confirms federal environmental laws and federal land managers hinder securing our border

Senators Kyl and McCain propose new border security plan

DHS testifies at same hearing as border rancher…compare the view of the border situation

Rancher tells Congress the way it really is down at the border

What does “securing the border” really mean?

Illegal entry and drug smuggling in perspective…what if all this was going on in your front yard?

Probationary Presence…another Immigration Law Reform Proposal

Arizona Republic trashes claim by Pinal Sheriff Babeu that Pinal is the number 1 pass-through county for drug and human trafficking in America

Drug cartels have made Nogales the tunnel capital of the Southwestern border

GOP drafts legislative assault on illegal immigration

Arizona would go broke if all the illegal immigrants left the state

230,000 displaced in Mexico by drug war

Janet Napolitano: Border security better than ever

Birthright citizenship debate…is the solution worse than the problem?

Immigration enforcement efforts damaging to community, police group says

10 million more illegal aliens coming to America?

Border officials say security is improving…and the tooth fairy is real

US Census Report on Arizona…Hispanic population increases dramatically

Utah avoids mistakes Arizona made on immigration laws

Cops don’t want to be junior Border Patrol agents (except in Maricopa County)

CBS News reports on ATF scandal…was Border Patrol Agent Brian Terry murdered by a gun being tracked by ATF?

Inside ATF…an ugly picture …how many dead bodies are out there as a result of Project Gunrunner?

Senator Grassley struggles to get to the bottom of Border Patrol Agent Brian Terry’s death and the role of ATF

FBI: Friendly fire ruled out in Tucson border agent’s slaying …so which gun fired the bullet that killed Brian Terry?

Grassley blasts Department of Justice on coverup of guns used in Agent Terry’s murder

Dept. of Justice denies gun claim about Border Patrol Agent Brian Terry’s death

Is there a cover-up on Border Patrol Agent Brian Terry’s murder?

Senator Grassley letters accusing BATFE of letting guns be sold that may have been used in the murder of Border Patrol agent Brian Terry

Was Border Patrol agent Brian Terry killed by a gun bought in Phoenix?

DHS chief Napolitano living in a fantasy land about border security

Guns and Mexico … be very afraid my friends

More on the coverup of the truth about the guns that killed Border Patrol Agent Brian Terry

Secure the border at the border

Border safe and secure, CBP commissioner Bersin proclaims

Dept. of Justice denies gun claim about Border Patrol Agent Brian Terry’s death

Think things are bad for illegal aliens in Arizona…don’t go to Escondido, California if you are an illegal alien and have any kind of criminal record (including a traffic ticket)

Is there a cover-up on Border Patrol Agent Brian Terry’s murder?

Arizona ranchers question Napolitano’s claims the border is safer

Napolitano touts Homeland Security’s border efforts

Guns from Arizona going to Mexican drug cartels according to Mayors Against Illegal Guns

Senator Grassley letters accusing BATFE of letting guns be sold that may have been used in the murder of Border Patrol agent Brian Terry

Was Border Patrol agent Brian Terry killed by a gun bought in Phoenix?

11.2 million illegal immigrants in US according to Pew Research Center

Arizona legislators determined to keep Arizona as the center of anti-immigrant efforts

Arizona’s harsh immigration law cancer not spreading across nation

Murdered Border Patrol Agent’s mom still in the dark about what really happened

Birthright citizenship bill unveiled by Arizona lawmakers — 2011′s version of SB 1070

McCain willing to seek immigration overhaul bill when the border is secure

Mexican cartel violence prompts calls for bigger National Guard deployment along the border

Mexico headed to collapse?

Celebrating the New Year in the borderlands with automatic weapon gunfire

An NPR report: Nogales, Sonora — Once A Mexican Tourist Town, Now No Man’s Land

Mexican drug cartels killing their border cities

More rumors and few facts regarding the death of Border Patrol Agent Brian Terry

Texas border ranchers face same unsolved problems as Arizona’s border ranchers

Does America hold children responsible for the crimes of their parents?

Feds making a big mistake in secrecy over death of Border Patrol agent Brian Terry

Battling the border bandits

Green Valley News Reports Border Patrol Agent Brian Terry was shot in the back

Border Patrol agent death a wake up call to many

Nogales International report on BORTAC and Peck Canyon

Dream Act dead because a majority isn’t a majority in the US Senate

Napolitano confirms bandit gang killed border agent

Borderlands a war zone

Some ideas about how to really secure the border

Tucson Sector U.S. Border Patrol Agent Killed in Line of Duty

The Border is NOT Secure !!!

Mexico a powder keg about to explode

Militia shows up in Sasabe

A 14 point proposal for immigration law reform –”probationary presence” instead of amnesty

Humanitarian crisis on our border must be addressed

Special law enforcement task force needed to prosecute crimes against illegal immigrants

Drug cartels fight over control of northern Sonora

Are the Mexican drug cartels taking over Mexico? Is there any doubt?

Border wildlife refuge turns into battleground over humanitarian aid to illegal immigrants

Broken immigration law fuels illegal entry

What to do about drug cartel “spotters” on the US side of the border?

Napolitano says border is largely controlled

Border Patrol agents in shootout near Nogales — what’s wrong with this story?

Why isn’t the border secure?

Sealing the border is unrealistic says border boss

Marijuana fuels Mexican drug cartel profits

Do people deliberately come to the US to have babies who will be citizens?

Illegal immigration trashes wildlife refuge

Tohono O’odham Reservation deadly place for migrants

Are there fewer drug tunnels in Nogales?

Immigration law reform—overstaying a visa should be a crime

12 million illegal immigrants…a resource that should not be wasted

Some difficult issues in the “amnesty” debate

Border tours offer opportunity to see border realities

Sovereignty and a secure border

The difficulty of securing the border

A Cochise County rancher’s view of the border

Is the effort to secure the border deliberately designed to fail?

Alice in Wonderland and border security

Out in the desert on immigrant trails

Are there some areas near the border that are too dangerous for the Border Patrol?

Mexican drug cartels are not listed as official terrorist organizations

Rumors on the border? What about the truth? Mexican drug cartels are seeking to control the Mexican side of our border

Is the Border Patrol avoiding some areas of the border because “it is too dangerous”?

Posse Comitatus and the Mexican border

Legalize drugs to bankrupt the cartels…Pfizer versus the Aztecas…the ultimate “smack down”.

_____________________

Major posts…..

We need immigration law reform — Opinion

What does “no amnesty” really mean?

Secure the border or immigration law reform first?

Life on the border — the residents of Nogales, Rio Rico and Tubac

Life on the border — the ranchers

Life on the border — Entering the US illegally

More horses needed to secure the border – Commentary

More on the cartel attack on a border ranch

Border ranch attacked by drug cartel

Ranchers report smuggler scouts on the border area hilltops

Send in the US Cavalry

Has the federal government abandoned land to the Mexican drug cartels?

Abolish the Border Patrol and replace it with a new Border Security Agency

The lost border

The lost border part 2

Is racism on the rise in Arizona?

Has Arizona become the “cracker state”?

Klan types ride again … only on electron beams

Guide to Border Patrol Checkpoints

Are there human rights for people who cross the border illegally?

Who will stand up against the racism in Arizona?

Poll results show politicians the way on border issues…if they’ll listen

Background on why SB 1070 even exists

More blame to share on illegal immigration

Who is at fault for illegal immigration?

How would you deport 11 million illegal aliens?

Securing the border and immigration law reform

What is your definition of a “secure border”?

__________________________________

More….

“Attrition through enforcement”…SB 1070 attempts to make Arizona the “bouncer” of illegal aliens

59 dead in the desert in July due to killer coyotes

Why Americans Think (Wrongly) That Illegal Immigrants Hurt the Economy

Law enforcement discretion and SB 1070

Commentary on the judge’s decision to stop parts of SB 1070 from going into effect

Do politicians have the will to work together to stop illegal immigration and drug smuggling?

Should SB 1070 have been enjoined?

Was SB 1070 worth it? Commentary

SB 1070 enjoined by federal judge  July 27, 2010

Read full text of SB 1010

Arpaio takes 50 caliber machine gun out into desert hunting cartel smugglers

Is it safe to visit Southern Arizona ?

Arizona Republic Poll: Most Arizonans would let immigrants stay in U.S

Would you allow illegal immigrants to remain in the United States if…

Feds’ suit raises stakes for Arizona’s immigration law

Feds sue Arizona on SB 1070

US sues Arizona over SB 1070 — Justice Department Press Release

Full text of Complaint filed against Arizona on SB 1070 by US

US Brief in support of injunction against SB 1070

Statement of Santa Cruz County Sheriff in support of suit against SB 1070

Statement of Tucson Police Chief in support of suit against SB 1070

What if a state said “welcome” to immigrants?

The immigration debate — it never ends

Recipe for making an American

What’s wrong with SB 1070

Pinal County Sheriff: Mexican drug cartels now control parts of Arizona

SB 1070 does nothing to stop drug cartel gunmen

Can you qualify to be a US citizen?

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