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N. American Oil – ‘Caught Between The Sands And The Pipelines’

The two biggest sources of oil in North America produce significantly different types of oil, and the lack infrastructure to link those sources to proper refineries results in higher costs and less competitiveness on the global oil market.

A great piece from ZeroHedge, Oil Price Differentials: Caught Between The Sands And The Pipelines, will provides useful background to US energy infrastructure, and how it is impacting (impeding) the vast flow of Canadian oil. I give a brief summary of the article below, and will likely reference this post in the future.

A “range of oil qualities and a raft of infrastructure issues are creating record price differentials. And with no solution in sight, [the authors] think those differentials are here to stay.” Historically, United States oil infrastructure has been built to refine large quantities of imported oil – essentially from the perimeter of the lower 48 states, and shipping it towards the interior – but this is the opposite of present day needs, which require oil from the interior of the country to be moved to outlying refineries.

http://jpinfluence.com/2012/06/28/news-n-american-oil-caught-between-the-sands-and-the-pipelines/

What happens when 620,000 lenders fund 615,000 entrepreneurs, students, and other microfinance borrowers around the world?

Five+ years of Kiva loan activity, in full color. Thanks to all the lenders, borrowers, partners, and team members who brightened this map - and helped to change lives in the process.

[PEUS]: Oil Drilling Advocates Drive Presidential Debate With Ads

Oil Pump in Baku by Gulustan

This is part of the INFLUENCE series “The Politicization of Energy in the US” [PEUS]. For other related topics, follow the associated tag and stay tuned for the development of this series’ page.

The article (Oil Drilling Advocates Drive Presidential Debate With Ads- Bloomberg) starts: “While polls show the economy as the top concern of voters, a review of political attack ads suggests a different issue dominates: energy” – and I think to myself, what a great way to speak about this ‘mysterious connection’ between energy and politics.

Americans for Prosperity, an organization backed by oil interests, last week began airing its third television commercial since November, a campaign worth $6.1 million, attacking Obama’s green energy policies.

The latest round brings the group’s total ad buys to $12.5 million this year, compared with a combined $5.7 million total spent on ads of all sorts by Obama and Priorities USA Action, a Washington-based super political action committee supporting him. Priorities on April 24 teamed with the League of Conservation Voters to begin a $1 million commercial run that accuses presumed Republican presidential nominee Mitt Romney, the former governor of Massachusetts, of being a protector of the oil industry.

It should be no surprise that different groups are going to support different candidates based off of their affiliations. But this intense political effort and campaigning dominates most mainstream discussion of energy. Continue reading

A Strategy to Advance the Arctic Economy

Author: Captain Melissa Bert, USCG, Military Fellow, U.S. Coast Guard

A very important article in that it addresses what is happening in the arctic… I’m honestly not sure what to say about arctic policy in general; I’m sure other countries, as mentioned, are taking more initiative, though.

The ice melts as the planet warms at the north pole, and more transportation and other ventures is likely to take place. It seems like a curious case study to follow, that’s for sure. …

EDITORIAL: Afterthoughts from Foreign Affairs Book Review (Kissinger v Friedberg) 'What China Wants: Bargaining With Beijing', by Andrew J. Nathan

A very interesting review essay by Andrew J. Nathan. Kissinger and Friedberg present two different takes on how Chinese-US relations and its outlook. Kissinger advocates an acceptance of China’s rising, and Friedberg proposes a more defiant US stance.

I’ll let you read the article, and perhaps we’ll all be lucky enough to read the related texts — in addition to Nathan’s own forthcoming book on Chinese security.

The thought in my head, after reading Nathan’s conclusion regarding US strategy (below), has to do with why US may not emphasize human rights as an means to best China…

It is no wonder that Chinese statecraft aims to establish the cultural relativity of human rights and to pose talk of human rights as the enemy of friendship. After all, the failure to respect human rights is a glaring weakness of Chinese power both at home and abroad, whereas promoting human rights has been among the United States’ most successful maneuvers on the wei qi board of world politics. What is surprising is that the United States’ master strategist wants to play this part of the game by Beijing’s rules. Would it not make more sense to emulate Chinese strategy than to yield to it? Emphasizing the principled centrality of the human rights idea to American ideology and keeping the issue active in bilateral relations even though it cannot be solved would seem to be — along with exercising the United States’ strengths in other fields — a good way to set the boundaries within which a rising Chinese power can operate without threatening U.S. interests.

It seems to me that there is not a great deal of unity within the US about how to best go about human rights celebration (or endorsement and support, in general). The country seems to have major rifts on several issues, such as: allowing homosexuals to be in the military, or become married; there is rampant disagreement about abortion (see the Susan G. Komen saga); continuing debate about immigration policy; and, perhaps less directly related, labor unions have come under scrutiny and in many states are facing heavy pressure to disband. This is not to say race relations and religious freedoms/tolerance are completely resolved, either. You could also argue that the economic struggles of the US have flared concerns about the growing wealth gap between rich and poor, and child poverty and related education issues linger (see end of article*).

Considering all these things, the US may not be in as much a position of human rights strength as it would like. Nathan agrees with Friedberg:

In a version of “we have met the enemy and he is us,” Friedberg says that in order to do all this, the United States must restore its economy, keep its scientific edge, protect its advanced technology, and maintain its margin of military advantage.

One can only say amen to the recommendation that the United States pull up its socks…

While I agree that those are worthy (and necessary) endeavors, I would add “strengthening human rights” to that list. It is not the time to rest on the laurels of the past. That said, making progress (or perhaps somehow working towards more national unity) on human rights issues is likely made easier with a robust economy; it’s easier to be enlightened when you are not starving. So perhaps the ultimate foreign policy recommendation for America is to figure out an economic policy that works, first and foremost, as it may be one of the best tools for having a positive influence towards the rest of the world.

(And if you were to ask me what that policy might highlight, I would suggest a very wise energy & resource strategy; a focus on combating structural unemployment; and retooling education - to develop research and technology for the globally competitive future, and for addressing domestic health and aging population. Easier said than done, of course.)

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Fareed Zakaria via Facebook: ….We know that we have an education problem with the poor. Seventy-seven percent of our kids who entered high school graduated. Compare that with other rich countries: 90% in Switzerland, 91% in the UK, 93% in Finland and 97% in Germany. Studies show that dropouts are twice as likely to slip into poverty than high school graduates.

Children in extreme poverty do badly even when they are smart. A recent U.S. study tracked a group of eighth-graders in 1988. It found that students who did very well on a standardized test but were poor were less likely to get through college than their peers who tested poorly but were well-off.

The sad part is, these statistics are reversible. Compare child poverty rates in America and the UK. You’ll see that the UK’s rates were halved within a decade from the mid-1990s. The U.S. has actually risen since then.

There’s no secret sauce. Tony Blair’s Labour government simply made reducing child poverty a priority through various programs.

… (See Zakaria’s GPS Blog here)

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