To understand what WikiLeaks has done, we must understand economic cause and effect. Let us begin with a comparable market: the market for gambling.

Governments have laws against gambling. Why? The justification is moral principles. This reason is less persuasive once the government sets up state lotteries and also licenses taxable gambling, such as horse racing. The real reason is the governments want to monopolize the vice. They expect greater tax revenues.

Governments arrest bookies. But bookies are merely providers of the service. The source of demand is the individual gambler, the guy who is placing the bets. The infrastructure that delivers the service is surely basic to the process, but it is the individual citizen who is the prime mover. Why? He is paying for it.

Want to understand the process? Follow the money. It ends with the customer.

Six Illinois House Republicans voted with 55 Democrats last week to approve a civil-unions bill. But a few of the Democratic "yes" votes were a bit more surprising.

All but one of the six Republicans were suburbanites. Bill Black, who is retiring later this month, was the only Downstater. Representatives Suzi Bassi and Beth Coulson were suburban "yes" votes who are not returning next year. Representatives Mark Beaubien, Rosemary Mulligan, and Skip Saviano were the other Republican "yes" votes, and all three are suburban legislators. None of those was a particularly huge surprise. Black has been a more traditionally liberal Republican for years, endorsed by labor unions and backed by many Democrats in his district. Black quoted late U.S. Senator Everett Dirksen during the debate, citing Dirksen's crucial vote for civil-rights legislation in 1964 as the basis for his own position.

Governor-elect Terry Branstad has picked Siouxland Chamber of Commerce President Debi Durham to be the new director of the Iowa Department of Economic Development.

As Branstad introduced her, the two of them began outlining how they plan to change the department into a public/private partnership and create the 200,000 new jobs in Iowa that Branstad promised on the campaign trail.

"That takes legislation," Branstad said of the transformation to a public/private partnership. "We're going to work from the present framework that exists, but we are going to envision where we want to go and we're going to lay that out. We did some of that during the campaign, and we're now going to move forward very aggressively on this even during the transition before we take office. But we will then need to work through the legislative process to get the changes made that we want to get made."

One of the consequences of Governor Pat Quinn's laser-like focus on Chicago and Cook County during this fall's campaign was that he won just 20 to 22 of the state's 59 Senate districts, according to recent estimates by the Illinois Senate Democrats. That's not even close to half.

There's been plenty of hand-wringing in the Downstate media about the fact that Quinn only won three counties in their region, which comprises the vast majority of the state's geography. That's mostly irrelevant as far as statewide races go; a win's a win, period.

But it is legitimate to look at the totals when it comes to legislative districts. The lack of public support in a majority of districts can have a major impact on the coming legislative session, especially because Quinn lost quite a few Democrat-held districts by wide margins.

Former Republican National Committee (RNC) political director and Iowa native Gentry Collins says he is weighing a bid for chair of the organization.

The announcement came one week after Collins announced his departure from the RNC with a scathing letter directed at current RNC Chair Michael Steele.

"I have been encouraged by many friends, both on the committee and from outside the committee, to take this step as the RNC prepares to elect a chairman in January," Collins said in a statement.

Republican National Committee member and former Michigan GOP state chair Saul Anuzis is the only candidate to publicly announce he's running for RNC chair.

To Federal Reserve Chair Ben Bernanke, deflation is regarded as Public Enemy Number One.

In the words of New York Times columnist and Nobel Prize-winning economist Paul Krugman, the "real [economic] threat is deflation." Krugman advocates additional and even more aggressive government deficit spending.

The normally on-target Ambrose Evans-Pritchard, international business editor of The London Telegraph, favors more "quantitative easing" (i.e., a policy whereby the Fed would create trillions of new dollars with which to buy government bonds and other financial junk) to prevent deflation.

Why is deflation - by which Bernanke et al. mean "widespread declining prices" - so feared?

"Live every day as if it were your last ... and then some day you'll be right." - H.H. "Breaker" Morant

History is not likely to speak well of today's Americans. While the people of nations around the globe stand up to their oppressors, Americans sit idly by as their government runs roughshod over their life, liberty, and property.

As we speak, large-scale protests and mass demonstrations continue in more than a dozen countries as citizens strike back against injustice, criminality, and brutal austerity measures imposed by their corrupt governments.

In the UK, more than 50,000 students recently took to the streets to protest a spike in tuition costs.

In Greece, workers clashed with police outside the Finance Ministry over frozen pensions and cuts in their salaries.

In Germany, tens of thousands demonstrated to protest government policies and social inequities in advance of Merkel's Democrat party's national meeting.

What started out as a slow state-legislative veto session suddenly accelerated last Thursday.

Senate President John Cullerton formed two new bipartisan committees and charged them with reforming workers compensation and Medicaid. The catch is that the committees must finish their work by Monday, January 3.

That means votes could be taken on workers-comp and Medicaid reform before the new General Assembly is sworn in about a week later. The Republicans have been clamoring for those very reforms for years. So that means, if all goes well, the Republicans will have two fewer excuses to refuse to put votes on the big bills the Democrats really want, like borrowing to make the state's pension payment, gaming expansion, and even a tax hike.

Iowa House and Senate Democrats voted this week to stick with their leaders, despite losses in the 2010 election.

Representative Kevin McCarthy (D-Des Moines) was re-elected the leader of House Democrats but will now serve as the minority leader instead of the majority leader. He said the caucus saw its losses in the 2010 election as part of a nationwide setback for Democrats, and did not blame individual decisions made by legislative leaders here.

"There was not a lot we could do in this campaign environment to stop that trend," McCarthy said. "Some serious setbacks were dealt to Democrats nationally, really pretty epic in scope in what occurred around the country. We are very united as a caucus and hopeful and optimistic about the future because when you have setbacks politically like occurred recently in the election, the opportunity for moving the ball down the field for future success is much, much greater."

The Davenport aldermen's and mayor's "hold the line" position is at best typically disingenuous political spin. More accurately, especially to residential taxpayers, it is simply dishonest. Even if they "hold the line" on the city's tax rate, the residential taxpayers will have a 3.41-percent increase in their property-tax bills. In the current economy, with no inflation, no reasonable basis exists for Davenport to impose a tax increase on its citizens. Adding an insult to this tax increase, the city will use the increase to pay $3 million more for public-employee costs when private-sector income is dropping. Every (non-union-sponsored) study comparing private-sector to public-sector pay shows our public employees are considerably overpaid. If the city truly wants to "hold the line," then follow the private sector's lead - start aggressively outsourcing the overpaid city jobs.

Mark Nelson
Davenport

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