Global Report - 17-September -2008

http://www.instablogs.com/ US Federal reserves rescues AIG from collapse The Federal Reserve has finally managed to turn the tide that could have could have shook the very foundations of the global market system. All the talk of near imminent collapse of AIG has been put to rest after Fed's $85b loan rescue. However the most radical intervention in central bank's history to save private business is bound to raise fresh controversy. The government put taxpayers hard earned at risk protect bad investments made by AIG and other firms. Besides why only AIG and not Lehman Brothers and Bear Stearns who were allowed to fade out? With a precedent already established the Federal reserve should probably brace itself for other possible bailouts. Finally, the deregulated financial system of the U.S stands badly exposed for its inefficiency and unavailability. The governments must introduce safety measures to keep a tab on the functioning of private financial businesses. Rest apart; the financial crisis is definite to ensure an intense political debate during Presidential campaign. Political parties in India demand implementation of repressive laws After the Delhi bombings voices advocating implementation of repressive laws are afloat like never before. Undoubtedly, India needs a security mechanism which can effectively fight the terror threat but we certainly do not require a set of demonic laws that infringe all human rights. Repressive laws such as TADA and POTA cannot be the antidote to terror. Such laws based on ethnic profiling are counter productive and have done more harm than good in the past. Our report card on human rights violation is already dismal and replete with incidents of fake encounters, custodial deaths etc. Implementation of such draconian laws will only push the radicalization of the moderates and recruitment drive of the extremists. The government should not therefore consider the implementation of such laws. It is time to drop all partisan politics and devise concrete measures that ...