Posts tagged with: politics

Blog author: lglinzak
posted by on Thursday, July 7, 2011

Political news changes quickly, and now reports are coming out of Washington DC that Senator Dianne Feinstein, who has been leading the way in killing the ethanol subsidy and tariff, has struck a deal with Senators Amy Klobuchar and John Thune, two stalwarts for protecting ethanol. While the rumored deal does not indicate the repeal of the blending mandate it is a step in the right direction.

However, while we wait on Congress and the President for action, the Brazilian ethanol industry is eying the U.S. ethanol market. Repealing the tariff will allow Brazil to expand its ethanol industry. Many questions need to be answered before ethanol is imported into the U.S. from Brazil.

In a previous post I posed concerns about whether ethanol can meet both U.S. and Brazilian demands. Furthermore, what are the environmental consequences of ethanol? Reports are showing deforestation in the rainforest. Finally, what will happen to food prices?

It is unfortunate that there are even more questions that need to be answered.

Like the corn based ethanol in the U.S., Brazil’s sugar based ethanol is a false market created by the government. Brazil doesn’t subsidize ethanol; instead it resorts to high taxes. Brazilian gasoline taxes are at 53 percent while the tax placed on ethanol is much lower making ethanol cheaper than gasoline. The question is how long can an industry last and actually be sustainable when it is propped up by the government and is a false market?

It is also important to note that the Brazilian ethanol industry needs a large sum of new investment, about $80 billion worth in the next ten years, to meet global demand. In an industry that is heavily dependent on the government one must wonder, who will pay for these new investments?

Another potential hazard of relying on ethanol is crop shortages. Such crop shortages may occur for a variety of reasons, one of which is out of our control: the weather. What happens when fuel relies on crops, and there is actually a shortage in the harvest? How much of the crop goes to fuel and how much goes to the food supply? Both are important. Food nourishes, however, fuel gets people to their jobs where they earn a salary which they use to purchase food. Brazil may be forced to answer these questions this year as sugarcane production is currently down 25 percent as compared to last year. The lack of production is due to bad weather and aging plants.

However, because of the lack of production sugar prices are on the rise as they saw a 14 percent surge in June. While some are sounding the alarm, other analysts are remaining calm, such as Eli Mamoun Amrouk of the United Nations’ Food and Agriculture Organization:

El Mamoun Amrouk, sugar analyst at the Rome-based FAO, said: “It’s difficult to predict exactly what’s going to happen to the sugar price because the market’s so volatile and so any new information can have a big effect on price. The speculation is still there, exacerbating the trend and changes in the dollar also play a part.

“But the signs are that production is growing significantly and, especially in India and Thailand, the prospects are very positive, so we should see the price start coming down in the summer,” he said.

Whether sugar prices do come down or not, we still face a critical question. If we continue to pursue an energy plan based on biofuels, what happens when we do face a shortage in crop production? The world will be faced with not just rising food prices but also with rising fuel prices. How do people in developed countries, who already have a difficult time affording food, feed themselves when the food supply is actually going into the fuel supply?

The future of corn ethanol is up in the air, and while the Senate gave signs of repealing both the subsidy and the tariff on imported ethanol, the bill the repeal was attached to failed and Congress is back to square one in the ethanol debate. The uncertain future of corn ethanol has brought forth discussion on the possibility of importing sugar cane based ethanol from Brazil.

Before the U.S. begins importing ethanol from Brazil, a broad cost benefit analysis needs to be taken by the government to decide if it is actually a smart decision to begin importing and using sugar cane based ethanol from Brazil.

A concern of many critics of alternative fuels is whether or not alternative fuels can meet demand. According to the Energy Tribune, corn ethanol cannot meet U.S. demand whereas even the country turned all of its corn into ethanol only 6 percent of its total annual oil needs would be met.

This leaves ethanol supporters looking for another energy source to help close the gap. They may be looking no further than the sugar cane based ethanol produced in Brazil. However, even importing Brazilian ethanol will leave the U.S. looking for another energy resource.

In 2010 the U.S. consumed 138.6 billion gallons of gasoline and Brazil currently produces about 7.4 billion gallons of sugar cane based biofuels. Importing sugar cane based ethanol from Brazil while still consuming corn ethanol does not even get the U.S. close to meeting its energy demands especially when 75 percent of Brazil’s ethanol output is sold within its borders, and it experienced a shortage earlier this year.

And the simplistic answer to this problem, planting more sugar cane, may not be the best solution. The Brazilian government has been surprised by the deforestation of the Amazon rainforest. According to Brazil’s space research institute, deforestation of the Amazon rainforest increased from 103 sq km in March and April 2010 to 593 sq km during the same period this year. This surprised the Brazilian government which reported that deforestation had fallen to its lowest rate in 22 years when actually there was a 27 percent jump in deforestation from August 2010 to April 2011. The biggest rise in deforestation was in Mato Grosso, a state in Brazil, which produces more than a quarter of Brazil’s soybean harvest. However, what does that have to do with sugar cane causing deforestation?

A 2010 article by Foreign Policy explains how sugar cane based ethanol fosters “agricultural displacement” resulting in the deforestation of the rainforest:

Public officials declare that ethanol will not lead to deforestation in the Amazon or exacerbate climate change. They say that the particular soils and rainy weather characteristic of the rainforest are not suitable for the growth of sugar cane. Agriculture minister Reinhold Stephanes has been quoted as saying that “Cane does not exist in Amazonia.” In a withering blow to Stephanes’s credibility, however, authorities recently raided a sugar cane plantation in the state of Pará where 1,000 workers were laboring under appalling debt slavery conditions. In all, environmentalists claim, hundreds of thousands of acres of sugar cane have been planted in the Amazon.

Even if there are only a few cane plantations operating in the Amazon, ethanol may exert an indirect impact on the rainforest through a phenomenon known as “agricultural displacement.” Though the state of São Paulo is located far from the Amazon rainforest, the sugar cane there can drive other crops toward the agricultural frontier. In the state of São Paulo, sugar cane has been planted on former pastureland and this has pushed cattle into Mato Grosso. Hundreds of thousands of cattle are moving into the Amazon every year as a result of displacement by ethanol in the state of São Paulo alone, say environmentalists. This migration is becoming all the more likely since one can purchase 800 hectares of land in the Amazon for the price of just one hectare in São Paulo. Additionally, some soy plantations in the center of the country have been turned over to ethanol production, prompting concern among environmentalists that this will lead soy producers to move into the Amazon. And local observers say that sugar cane plantations are already pushing soy farmers and ranchers into the rainforest.

The same article by Foreign Policy states that sugar cane crops have also led to the deforestation in the Atlantic rainforest.

There are still many unintended consequences and factors the United States needs to take into account before importing sugar cane based ethanol. CNNMoney published an article stating that, “Some experts say the Brazilian formula gets even less gas mileage than its corn ethanol counterpart, which itself gets lower mileage generally than gasoline.” Furthermore, biofuels will have an adverse effect on food prices. According to the Organization for Economic Cooperation and Development, which is the UN’s Food and Agriculture Organization, biofuels will absorb 13 percent of global coarse grain production, 15 percent of vegetable oil, and some 30 percent of sugar by 2020. Again, what is more important, food or fuel? How are the poor and vulnerable expected to purchase food when it is being shipped to prosperous countries for fuel?

Just like corn based ethanol, sugar cane based ethanol also has its consequences. Experts continue to debate whether sugar cane based ethanol is a viable option. However, before jumping on the bandwagon, policy makers need to take a pragmatic approach when discussing the energy future of the U.S.

Earlier this year I was invited to participate in a seminar sponsored by the Institute for Humane Studies and Students for a Free Economy at Northwood University. In the course of the weekend I was able to establish that while I wasn’t the first theologian to present at an IHS event, I may well have been the first Protestant theologian.

In a talk titled, “From Divine Right to Human Rights: The Foundations of Rights in the Modern World,” I attempted to trace the development of the concept of “rights” in the West historically, from the ancient world to modern times. A corollary purpose was to show the students that liberty and religion are not inimical or diametrically opposed.

Shawn Ritenour, a faculty presenter at last month’s Acton University, pursues a similar purpose in a recent post at his blog, Foundations of Economics (after his book of the same name. Timothy Terrell reviews Ritenour’s book in issue 13.2 of the Journal of Markets & Morality). Ritenour writes, “While it is true that many non-believers embrace and promote the free society and many libertarians despise Christ[, i]t does not follow, however, that Christianity and liberty have nothing to do with one another.” He goes on to provide some more resources for this point, particularly arguing that “a close study of God’s Word reveals that social institutions that promote liberty are positively mandated.”

Human rights are one of these social institutions that promote liberty and are positively mandated by the Bible. In my presentation at the Northwood seminar, I drew on some resources from the Acton film, The Birth of Freedom. In particular, I shared this video featuring John Witte Jr. that addresses the question, “How Has Judaism Contributed to Human Rights?”

As Lord Acton puts it, in ancient Israel “the throne was erected on a compact; and the king was deprived of the right of legislation among a people that recognised no lawgiver but God, whose highest aim in politics was to restore the original purity of the constitution, and to make its government conform to the ideal type that was hallowed by the sanctions of heaven.”

Black men and women in America are faced with many problems. Only 47 percent of black males graduate from high school on time compared to 78 percent for white males. In America between 1970 and 2001, the overall marriage rate declined by 17 percent; but for blacks, it fell by 34 percent. These are just a few of the many daunting statistics.

These are problems that make can make even the strongest person tired.

Often we look to government to solve our problems, and it has been the government who has falsely been the “beacon of hope” for black men and women. Instead, government has been keeping generations of those suffering addicted to social services. I call for wedding good intentions with sound economic principles. More money has been doled out, but it is hasn’t fixed any of the problems. Throwing cash at broken systems do not fix the systems. Black men and women face moral problems, but money can not solve moral problems; moral problems require moral solutions.

In my new book, Black and Tired: Essays on Race, Politics, Culture, and International Development, I provide the moral solutions to these problems by connecting theology and economics through a Christian perspective of loving the poor. In these essays, drawn from my years of work with and writing for the Acton Institute, I tackle issues of race, politics, contemporary culture, globalization, and education, and argue how moral formation, rather than government intervention, provide the solutions to these issues.

Marvin Olasky, Acton senior fellow and Editor-in-chief of WORLD, was kind enough to endorse the book: “Dr. Thomas Sowell, black and eighty years old, displays no signs of tiredness in writing columns–but when he does, Anthony Bradley shows in Black and Tired why he should be Sowell’s successor. Dr. Bradley trumps liberal opponents with facts and wit, and does so within a Christian worldview that allows him to go deeper than conventional economics allows.”

Essential reading on Jim Wallis by long-time observer Mark Tooley of the Institute on Religion & Democracy:

How does Wallis—the old Students for a Democratic Society agitator who touted the Vietcong in the 1970s and the Sandinistas in the 1980s, who denounced welfare reform in the 1990s as a betrayal of the poor, and whose funding by George Soros was exposed last year—enlist Catholic bishops and mainstream evangelicals in his endless political campaigns? “We’re frankly challenging leadership on both sides of the aisle on this one,” he recently told reporters. “If you’re going to come after the poor, you have to go through us first.” Famously a name dropper, Wallis mentioned his impending White House visit. He’d urged evangelicals to support Obama in 2008 and has carefully not burned bridges, despite passage of the ultimately bipartisan 2011 budget cuts against which he fasted.

Read Mark Tooley’s “Our Savior, the Democrats” on WeeklyStandard.com.

Long-time Acton Institute friend and Markets and Morality contributor Jean-Francois Orsini has a new book out. In Fight the Left (yes, it has a polemical edge!), Orsini argues that there are essentially two approaches to the world: liberalism and conservatism. His use of liberalism is decidedly contemporary (i.e., modern, not classical liberalism). His conservatism is sympathetic to the free market but, more importantly, it is “first principled,” meaning that he lays out the foundation on which conservatism must be based. In particular, it must recognize the truth about man: a being, created by God, endowed with the ability to choose good or evil. From this anthropology flows the rest of Orsini’s discussion, including a brief historical survey of conservative giants (Buckley, Goldwater, Reagan); an exposition of Catholic social teaching; and a few policy applications.

If you’re looking for a brief, easy, but nonetheless thought-provoking read, check out Fight the Left.

Doubtful, at least on these terms. Does the institutional church have to officially advise the government in order to have influence?


European institutions “more open than ever” to church co-operation
By Jonathan Luxmoore

Warsaw, Poland (ENInews)–A senior ecumenist has welcomed growing co-operation between leaders of European institutions and churches, and predicted a growing advisory role for religious communities.

“I think we’re seeing a greater openness today than ever before,” said Rudiger Noll, director of the Church and Society Commission of the Conference of European Churches (CEC). “Our latest meeting was triggered by the Arab uprisings and European response, and by Europe’s financial and economic crisis, and in both areas the institution presidents were very clear. What’s needed is a new value-based, community approach in Europe, rather than just an economic system. They’re turning to the churches for this.”

The United Church of Westphalia pastor was speaking after a Brussels meeting on 30 May between 20 religious leaders and the Portuguese president of the European Union’s governing commission, Jose Manuel Barroso, as well as the European Council’s Belgian president, Herman van Rompuy, and the Polish president of the European Parliament, Jerzy Buzek.

In an ENInews interview on 30 May, he said religious leaders now had regular “institutionalized meetings” with senior European officials, including the EU’s rotating presidency, and “dialogue seminars” on issues of common concern, in line with Article 17 of the EU’s 2008 Lisbon Treaty, which guarantees churches an “open, transparent and regular dialogue” with EU institutions. However, he added that church leaders also hoped to strengthen the structural contacts with a “deeper culture of dialogue.”

“EU leaders have said they didn’t need the Lisbon Treaty to have a relationship with us,” said Noll, whose organization, founded in 1959, groups 125 Orthodox, Protestant, Anglican and Old Catholic churches, and 40 associated organizations.

“Although it would be naive to believe all our member-churches speak the same language, we should at least singing, at the end of the day, from the same hymn sheet – playing different instruments, but making up a single orchestra.”

In his address to the annual meeting, the religious leaders’ seventh with European institution presidents, CEC’s Orthodox president, Metropolitan Emmanuel of France, said the world of faith could “prove a powerful ally in efforts to address issues of democratic rights and liberties.”

A 30 May CEC press release said the mostly Orthodox and Protestant representatives had reiterated their commitment to promote “the rights of minorities and migrants, economic justice, participation, solidarity, freedom of speech and expression as well as religious freedom.”

The meeting followed a 25-28 May annual plenary of CEC’s Church and Society Commission in Brussels, which was attended by religious affairs specialists from the EU’s European External Action Service, Bureau of European Policy Advisors and European Parliament presidency.

A 27 May CEC statement said the commission had agreed to finalize a human rights training manual for European churches and join the Sunday Alliance network, adding that member-churches were committed to operating as “responsible and competent partners for the European institutions,” while seeking to “speak with a common voice and make sure this voice is heard.”

The inclusion of the Church and Society Commission on a new EU Transparency Register, requiring companies and organizations lobbying the EU to have their activities publicly recorded, would “allow for regular and non-bureaucratic exchanges to complement the formal dialogue process,” the statement said.

In his ENI interview, Rudiger Noll said the current openness to churches and faiths was a “common sentiment among EU officials,” but added that CEC also counted on the appointment of a “permanent facilitator” in the 736-seat European Parliament, to ensure dialogue was maintained during an upcoming change of leadership from the center-right European People’s Party to the Progressive Alliance of Socialists and Democrats.

“When it comes to relations with the institutions, the churches are always surprised to see how much they have in common–the context in which we live is much more important than any theological or confessional divergences,” the CEC Commission director told ENInews.

David Bahnsen and Douglas Wilson have engaged in a fascinating conversation about Ron Paul. To follow the threads of critique and concern on either side, first read Bahnsen’s “The Undiscerning and Dangerous Appreciation of Ron Paul.” Then read Wilson’s “Bright Lights and Big Bugs.”

Much of the conversation focuses on the role of government (or lack thereof), from a biblical perspective (or lack thereof), specifically with regard to foreign policy. As Bahnsen puts it, “As I got older and wiser, I began to realize that the heir of Friedrich Hayek was Milton Friedman, not Murray Rothbard, and that this ‘Austrian economics movement’ was a front for an extremist form of anti-war zealotry. Every single conference break was filled with the most radical of conspiracy theorists you have ever heard, and the political intentions of the major brains behind their operation were not hidden: Utter anarchy.”

A critical component of Bahnsen’s argument is the connection he draws between Ron Paul and Lew Rockwell: “Ron Paul and Lew Rockwell are joined at the hip.” Read the whole thing to see the implications that Bahnsen draws.

Wilson’s response is worth looking at closely as well. In discussing the implications of a “guilt by association” approach, Wilson writes, that “all these concerns come to a practical head when you think about the reconstructionist movement.”

Thus, concludes Wilson,

a lot of the associational difficulties that attend Ron Paul’s crowd are exactly the same as those which attended the recons. We are talking in many cases about the very same people. I believe that if we were to cross check the subscription lists for the various newsletters concerned, the results would be informative and edifying. Gary North writes for Lew Rockwell, and Gary North also worked with Jim Jordan, who has worked with Gary Demar, who worked with Peter Leithart, who works alongside me, who is friends with David Bahnsen, who works with Andrew Sandlin, who was a successor to Rushdoony, who was North’s father-in-law, who worked on Ron Paul’s staff, and on it goes.

One of the few scholarly treatments of the engagement between Christian Reconstruction and libertarian political and economic thought appears in the Journal of Markets & Morality. Read “One Protestant Tradition’s Interface with Austrian Economics: Christian Reconstruction as Critic and Ally,” by Glenn Moots and Timothy Terrell for some worthwhile background to the conversation between Bahnsen and Wilson on Ron Paul.

As Moots and Terrell write, “Christian Reconstruction is in no small sense the gateway for libertarianism and Austrian economics to make its way into the thinking of the religious right. While there are clearly points of disagreement, libertarianism’s link to Christian Reconstruction is much stronger than its link to other groups within the religious right.”

I have noted, in various blogs and comments, the value and importance of the Acton Institute for several years. I have been a blogger for Acton, attended a number of their events as a guest, and assisted them in several ways in public ventures. In general I have been an open supporter of Acton’s vision of freedom and virtue in public theology. Acton provides a unique partnership for ACT 3 since it is a think tank that includes wide religious participation (Catholic/Protestant/Orthodox/Jewish) while it embraces what I call missional-ecumenism as one of its core values. The specific mission of Acton Institute is “to promote a free and virtuous society characterized by individual liberty and sustained by religious principles.”

Now I have personally been given an opportunity to work with Acton. On April 1 I became a Senior Advisor, with particular emphasis on reaching the Protestant evangelical community. grabill I work very closely with Dr. Stephen Grabill, an accomplished scholar and wonderful brother in Christ. A Christian foundation recently gave Acton a generous gift to expand its work among evangelicals. This project makes it possible for me to serve even more effectively with Acton. I will be an active participant in conversations, planning and development with certain members of the Acton staff in order to shape content, tools, programming and messaging for the evangelical community. I will also recruit evangelical leadership from seminaries, universities, denominations and local churches who will become Acton participants. In this role I will find and network leaders, especially younger leaders, for participation in special Acton events and one-day seminars. I will also use email and other social means to converse with these leaders and future leaders.

front-kuyper One of the truly important components of this new Acton evangelical initiative is the translation of the remaining (un-translated) written work of the famous Dutch minster, theologian and public servant, Abraham Kuyper. His work on common grace, so important for Protestant thought, will soon be available in English because of this Acton initiative. Another good friend, Dr. Nelson Kloosterman, is doing the translation. This will prove to be a huge resource for recovering a robust and orthodox Protestant social theology.

In April I represented Acton at the Mission America Coalition in the affinity track on marketplace theology and mission. God willing, I will do more of the same in similar contexts. The really neat thing about this special partnership is that I am already ministering in these contexts thus adding Acton to my missional network is both logical and uncomplicated. I will still do the same ACT 3 work that I’ve been doing for nearly twenty years but now I will do it as a defined partner with Acton Institute. I will cultivate relationships, develop institutional networks and strategically expand the missional-ecumenical vision by equipping leaders for unity in Christ’s church, a unity that has at its core both orthodoxy and orthopraxy.

I hope you will become more familiar with Acton Institute in the coming months. I will be saying more about my partners and more about my work with them as ACT 3 and Acton forge a new relationship for better serving the whole Christian church.

au2011-promo I will be a teacher at the Acton University June 14-17. I teach a class titled: “Introduction to Protestant Social Thought.” I call this public theology and I believe one of the greatest needs of our time is a deep, thoughtful and contextually rigorous social (public) theology. My generation was raised on a thoughtless, partisan political theology without a solid foundation and the next generation has rightly reacted against this ideological mix. I will attempt to show, on June 16, a better way to understand Protestant contributions to this debate. Check out the Acton site for information on the Acton University. I hope some of you will attend in June. (If you qualify then check out the scholarships available, but first be sure to make formal application.) I would love to see some of you in Grand Rapids. This is a wonderful event and the people you will meet are wonderfully diverse and come from all over the world.

That’s the subject of my most recent article at CrisisMagazine.com.

The new Crisis web site is a reinvigoration of the old Crisis magazine. Editor Brian Saint-Paul summarizes the history in his inaugural editorial. His statement of the vision of the new Crisis includes this:

In the name of Catholic Social Thought, many in the Church continue to promote ideas of political economy that would hurt the very people they intend to help, and often do so with the suggestion that their policies are required of the faithful. With the economy as it is, and Americans looking for the cause, this effort has only increased — as has its effectiveness.

And that’s why we’ve returned. In the days and months ahead, we will lay out a cumulative case that the principles of Catholic Social Teaching are best achieved through democratic capitalism, and that the rapid growth of the state is their greatest obstacle.

Confirmation of the importance of this initiative comes by way of this report on Catholic professors arguing that cuts to welfare programs contradict Catholic social teaching.

I look forward to being an occasional contributor to the Crisis site and I hope you’ll join me there (when you’re not spending time at the PowerBlog…)