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It's the Economy: Why Are Harvard Graduates in the mailroom?

  In Their book "Freakonomics," Stephen J. Dubner and Steven D. Levitt explain, Among Other Things, the odd Economic Behavior That guides Many drug dealers. THEY Described in one gang, the typical street-corner guy made less Than Minimum wage still aim Worked Extremely hard in Hopes of Becoming some day one of the FEW Kingpins wildly rich. Behavior Is not this illegal activity to isolated. There are a number of professions in Which Paid workers are, in part, with a figurative lottery ticket. The worker accepts a lower-Paying job in exchange for a slim chance of a real goal wide, future payday.

This more or Less Explains Hollywood. Yes, the Oscars may Be absurd spectacle of year Remarkably Successful people congratulating Themselves for Work That barely nudges at the borders of Meaningful human achievement. Purpose aussi it's a celebration of a form of meritocratic capitalism. I'm not talking about the fortunes lavished on Extremely good looking people, no, I mean the Economic System That compels lots of young people to work hard for little pay Extremely so That It's possible to lavish wealth on the good-looking people . That's the spirit of meritocratic capitalism!

Hollywood is, In Some Ways, the lottery industry model. For MOST companies in the business, It Does not make sense to économique, as Google does, could Promising young applicants has-through series of tests and then hire only the small number Who pass. Instead, it's cheaper for Talent Agencies and studios to hire a lot of young workers and run 'em-through A Few Years of low-Paying drudgery. (Actors are Another Story altogether. Many never get steady jobs in the first place.) This allows workers to occupational centrifugal Themselves Effectively spell out based on skill and drive. Over time, Some Will Lose Their Commitment; Others Will Realize That They Do not Have the right skills set, Others Will Find That they're better at something else.

When it's time to choose who gets the top job Becomes Gold partner, managers subsequently Have a lot more information to work with. In the Meantime, companies get the Benefit of aussi Several years of hard work from young people Determined at below-market pay. (Warner Brothers mailroom clerks countries icts $ 25,000 to $ 30,000, a Little More Than year apprentice plumber.) While far from perfect, this strategy HAS done a pretty decent job of pushing Those with real promise to the top. Barry Diller and David Geffen EACH history career started in the William Morris mailroom.  

Hollywood is Merely The Most Glamorous industry That puts new entrants - whether they're in the mailroom, picking up dry cleaning for a studio head or waiting on tables open-call auditions Between - through a lottery system. Even free-glamor industries offer economic-lottery systems. Young, ambitious accountants Who toil away at a Big Four firm may Have modest expectations of glory, they'll aim millionaires Be If They make partner. The Same goes at law firms, ad Agencies and Consulting Firms. Startups Explicitly use a lottery system, Known As stock options, to entice young people to work for nothing. Wall Street, however, is a special case. It offers Extremely high entry salaries and Enormous potential earnings.

Even occupations That Can not offer as much in the way of rich operate-as-a lottery system. Academia, nonprofit groups, book publishers and public-radio production companies could aussi Their New Recruits-through: various forms of low-paid hazing, holding out the promise of, well, more low pay in order That Provides a job, for some, something more important Than money: satisfaction Payday Loan for Bad Credit. In the language of economics, people are consuming thesis salaire Their potential in happiness. (Honestly, economists talk this way.)

This system is unfair and Arbitrary and Often Takes advantage of Many people do not really Who Have a shot at the big prize. Purpose it is far preferable to the share of our economy Where There are no big prizes waiting. That mailroom clerk at Warner Brothers may make less Than a post office clerk (maybe Even Half As Much), the purpose lath HAS less chance of a significant promotion. Workers in retail sales, clerical settings, low-skill manufacturing and Other fields tends to Have loose, uncommitted leaps to Their Industries, Employers and Their Commitments to Have Them Even looser. These jobs do not offer a bright future Because PRECISELY They Do not require a huge Amount of skill, and therefore there 's No need to do much merit-sorting.

Purpose of the American hand post-World War II miracle économique WAS MOST people That Did not Have to choose Between a high-stakes job-lottery gold lousy dead-end one. Steelworkers, midlevel corporate executives, plumbers and Shopkeepers Were All Able to make a decent Amount from the start of Their careers with steady, but never spectacular, Raises THROUGHOUT. These Two-thirds supported Actually Each Other. Strivers Were Able to dream bigger Because THEY HAD a solid Plan B. New York City and Los Angeles are buoyed by teachers, store owners, arts administrators and others Who cam to town to make it big in film or music or publishing, Eventually Gave up on that dream and ended up doing fine In Another field.

Now, Many economists fear That the Plan B jobs are comfortable disappearing. Technology and cheaper goods from overseas Have mittal Many of the not-Especially-creative professions. A tax accountant loses customers to TurboTax; Many graphic designers Have Been mittal by Photoshop, and the small shopkeeper by Home Depot, Walmart or Duane Reade. Though a lottery economy is Valuable to: various industries, the Thought of Entire year lottery-based economy, In Which A Few people win big while the rest are Forced to toil in year uncertain and not terribly remunerative dead-end Labor pool, is unfair and politically scary. If large numbers of people Believe They Have No shot at a better life in the future, They Will work less hard and generate new ideas and Fewer Businesses. The economy, as a Whole, Will Be Poorer.

It's not clear what today's eager 23-year-old Will do in five or 10 years When She RESOLVED That acting (That accounting or partnership) Is not going to work out After All. The best advice may Be That économique to accept success in America Will Come From The Labor as much as lottery from hard work and tenacity. The Oscars make clear That There Is only so much room at the top. In a lottery-based economy, you need some luck, too, now, Perhaps, More Than Ever. People Should Be Prepared to enter a FEW different lotteries, Because The New Plan B is just going To Be Another long shot in a different field. The role model of our time year actress Should Be Who Was Nominated For An Oscar never. Hedy Lamarr About did well enough on the goal screen, just in case, her free time she spent 'Developing Something Called frequency-hopping spread-spectrum. It'sa wireless-communication technology still in use in Bluetooth and Wi-Fi Not bad for a fallback.

Adam Davidson is the co-founder of NPR's Planet Money, a podcast, blog and radio series Heard on "Morning Edition," "All Things Considered" and "This American Life."

It's the Economy: Why Are Harvard Graduates in the mailroom?

Google Glasses Will Be Powered by Android

  SAN FRANCISCO - It Was not so long ago That Began legions of people walking the streets, talking to for themselves.

One closer inspection, Many Of Them Turned Out To Be wearing tiny earpieces wirelessly connected to That Their smartphones.

What's next? Perhaps throngs of people in thick-framed sunglasses lurching down the streets, cocking and twisting Their Heads in extras like a zombie movie.

Because that's later this year, Google is Expected to start selling eyeglasses That Will project information, and entertainment, this being has Google product, advertisements onto the lenses. The glasses are not worn Being Designed To Be Constantly - although Google engineers Some users expect Will wear em a lot - but more like Will Be smartphones, used When needed, with the lenses serving as a kind of see-through computer monitor.  

"It Will look very strange to onlookers When people are wearing glasses thesis," Said William Brinkman, director of the graduate computer science and software engineering department at Miami University in Oxford, Ohio. "You will not see What They Obviously Cdn from the behind the glasses. As a result, You Will See weird body language as people duck or dodge around virtual things. "

Mr. Brinkman, Whose work Focuses on augmented reality or the projection of a layer of information over physical objects, historical Said Students on Their Own HAD Experimented with virtual games and obstacle races. "It looks really weird to outsiders When You watch people navigate thesis spaces, 'he said.

They Have not seen the Google glasses. Few people have, Because They Are Being built in the Google X offices, a secretive laboratory near Google's main Mountain View, Calif., Campus Where engineers and Scientists are working on aussi robots and space elevators.

The glasses Will use the Android software Sami Powers That Android smartphones and tablets. Like smartphones and tablets, the glasses Will Be Equipped with GPS and motion sensors. They Will Contain a aussi camera and audio inputs and outputs bad credit payday advance.

Several people Who Have Seen the glasses, drank Who are not allowed to speak about Them Publicly, the location information Said That Was a major feature of the glasses. Through the built-in camera on the glasses, Google Will Be Able to stream pictures to computers ict rack and return augmented reality information to the person wearing 'em. For instance, a person looking at a historical landmark Could see detailed information about it and comments left by friends. If facial recognition software Becomes accurate enough, the glasses remind Could a wearer of When and How He met the vaguely familiar person standing in front of HIM at a party. They Might Be Used For aussi Games That virtual reality uses the real world as the playground.

Their arms flailing People As They play in midair Those games is a Potentially humorous outcome of the virtual reality glasses. In a more serious vein is The Almost Possibility of some privacy issues and ubiquitous advertisements. When Someone is meeting a person for the first time, for example, Google Could Hypothetically match the person's face and tell people THEY How Many friends we share in common social networks.  

This month, the Electronic Privacy Information Center, a research and advocacy group for Internet privacy, the FTC Asked to suspend the use of facial recognition software Until the government come up with adequate Could Safeguards and privacy standards to protect Citizens.

Said Mr. Brinkman was very excited ET by the possibilities of the glasses, the goal Acknowledged That Could augmented reality glasses Some poses ethical issues.

"In addition to privacy, it's going to change aussi real-world advertising, where 'Virtually Cdn companies place ads over Other People's ads,' he said. "I'm really seeing how intéressée in the Cdn government successfully Regulate augmented reality in this sense. Ltr; not really going to know what people are seeing behind Those glasses. "

Google Glasses Will Be Powered by Android

Frequent Flier: Landing the Puddle-Jumper to Ask Directions

  I've been traveling since about 1969, first as a student, then as travel agent, writer and producer, executive and international climate change have now a special adviser to the Carbon Disclosure Project, Which gathers data Environmental Risk On behalf of investors.

Travel Used To Be transcend. I loved it. Now, The Whole Process HAS Become really just a means clustering to year end. I might as well Be the baggage.

I find myself resenting more and more the structure of airports, Where you can barely find the gates to the planes amid all the shopping and restaurants. Some airports Actually force you to walk through the shopping arcade to get to the plane. And MOST of the shops are full of things people just did Could Easily buy at home without the hassle of lugging em.  

But I've Learned not to object to the scanning machine at security, Even Though I'ma rebel at heart, and I've Surrendered Numerous harmless items, Including honey and paper clips.

Despite my efforts to follow the rules, I've seen amazingly rude Some Behavior from staff.

On-one flight, I Noticed the unmistakable scent of vinaigrette dressing. I Looked up and saw Two attendants opening a Tupperware container and making a salad Themselves, Which THEY ate, while the rest of us passengers HAD nothing to eat at all. At a minimum, It Was a real statement about LACK of grace in flying today.

Although I've Traveled Extensively, I Have HAD A Few More than embarrassing travel-related experiences.

It was flight from Los Angeles back to New York, sitting next to II was Jacques Cousteau. He and I were chatting about the book I Was reading, "The Member of the Wedding," and He Was editing galleys for a book ET HAD written. We Were sitting in first class and served Were a very nice meal with some good wine, and Cousteau, ever the gentleman, Would refill my glass savings account payday advance.

Somewhere close to Newark, we Experienced a lot of turbulence and I Had That Little to use airsick bag in the seatback in front of me. I did it discreetly. Noticed if Cousteau, ET Certainly Did not let it. I, however, was very embarrassed, and Obviously, never forgot the incident.

A Few Years Later, ET Hired me to work at the Cousteau Society, where 'I stayed for Nearly 20 Years, Eventually Being Appointed vice president for international affairs. I Flew with Cousteau Many Times DURING Those years and we Passed the time talking about books and projects. But never did we ounces Discuss the episode airsick, for Which I Was grateful.  

HAD I Have Some amazing experiences, too.

Once while in the Amazon, I Had to take a small two-seater plane to get to a floating research station in the Rio Negro. The pilot and I were Trying to find the station. We Did Have the latitude and longitude, but no Other Details.

The Pilot Said That ET wanted to stop and ask directions, Which is something I never thought I'd hear. Goal ET landed the plane in a small village Where Some People Knew ET.

I Asked one of the Men Who Lived in the Village if ET Knew Where the station WAS. He Did. He Explained what we needed to do, and then I gave HIM a small notebook and Asked Him to draw us a map.

We Took off Followed history and detailed directions. We wound up right at the front door of the station, Which Proves That Sometimes really the best navigation system is just a pen, a piece of paper and Someone Who Can Help you find your way.

By Paula DiPerna, as Told to Joan Raymond. E-mail: joan.raymond @ nytimes.com.

Frequent Flier: Landing the Puddle-Jumper to Ask Directions

Murdoch Visits With The Sun Newsroom Lachlan

  LONDON - In a gesture Aimed at Restoring morality in history battered newspaper empire in Britain, Rupert Murdoch Walked the floor of historical flagship British tabloid, The Sun, on Friday with his history Lachlan, Ordered end-to-year suspension of the reporters and editors Who Have Been Arrested in Corruption Scandal has Scotland Yard and Announced a new Sunday edition.

The presence of Lachlan signaled to turn on the APÉNDICE of the Murdoch family's internal dramas That James - the heir apparent overalls and head of British newspaper operations Until the phone hacking scandal erupted last summer That - may Have place to CEDED history history older brother. Lachlan, a one-time heir apparent Himself, Had a falling out with News Corporation executives in 2005.The scandal rocking Mr. Murdoch's media empire Took A new turn last weekend When The Police Arrested five senior newsroom staff members from The Sun and Questioned em on charges of police officers Paying and Other Public Officials for confidential information. With the raids, the focus of the investigation Shifted Somewhat from the accusations of illegal cellphone hacking by reporters International News Some That Have Dogged corporate history for months.

The newsroom of The Sun, Britain's highest-circulation daily newspaper, erupted in outrage on learning the names That of the Sun and Their sources employed Were Given to the police by a special committee Appointed by Mr. Murdoch That Reported Directly to history News Corporation headquarters in New York.

Mr. Murdoch, who is 80, puts in a characteristically Those charges direct Manner, flying to London on historical corporate jet on Thursday and going straight to the headquarters of British newspaper history operations in London on Friday morning. After Distributing an e-mail message to Sun staff members combinée That year unapologetic defense of the special committee with reinsurance about the Future of The Sun, the tabloid-through ET strolled newsroom's history in shirtsleeves greeting Individual staff members. Some Described it as a royal tour.

Mr. Murdoch Sun employed Told That Would Be News International Sunday tabloid starting a new, on Sunday The Sun, "very soon," and That It Would Aim To Capture Many of the readers lost with the demise of the weekend's News of the World, closed Because of the hacking scandal. "Our duty is to expand one of the world 's most Widely read newspapers and Reach Even More Than Ever Before people," He Said In The e-mail.

He aussi Lifted suspensions are employed Arrested in the raids. "Everyone is innocent UNLESS Provencal Otherwise," He Said, According To the e-mail.

His praise for The Sun WAS fulsome and feisty, Suggesting That ET saw the crisis as new year to begin a counterattack Opportunity Against wide circle of historical antagonists in Britain. "Having a winning paper is the best answer to our Critics, 'he said. "I am Even More Determined To See The Sun continues to fight for readers ict and Its Beliefs."

However, the crisis shows signs of abating FEW, Said current form and employed Sun, Those with knowledge of the investigation and company insiders in interviews.  

The meticulous Notes Kept by Glenn Mulcaire, the private detective at the center of the News of the World phone hacking scandal, aussi Contain five references to The Sun, two people familiar with the investigation said direct payday lenders. It is not clear whether reporters for The Sun Assigned Mr. Mulcaire to hack phones or whether, as a lawsuit filed late last year Claimed, News of the World reporters Passed information on to Their sister newspaper. Purpose the names open The Possibility That The Sun Will Be Costly named in legal actions further Top.

Employed newsroom at The Sun, aware of the connections Between Those Arrested and others on the staff, are bracing for further Top Arrests. "People are pretty much in a state of shock at what Has Happened and are wondering When All of This Will End," Said a member of staff.  

Meanwhile, Within the company, a person familiar According To with internal discussions, plans to bring Rupert Murdoch's eldest son Lachlan Back Into The operation stepped up Have, As Was evident in Lachlan's presence on the newsroom tour. Mr. Murdoch's youngest sound, James, 39, head of history father's European and Asian operations, has-been the executive Directly overseeing the British newspaper operations since 2007. He Has faced allegations in Parliament and Elsewhere in participante of a cover-up of the phone-hacking scandal - He Has something vigorously denied - or, at least, of bungling the company's handling of the crisis.

Lachlan Murdoch HAD oz beens groomed as Successor father's history, particularly Closely working in Australia with John Hartigan, chairman and form the chief executive of the Australian arm of history father's business, News Limited. Purpose Lachlan left the company in 2005 After a feud with Roger Ailes, the chairman of Fox News, and Peter Chernin, the then president and chief operating officer of News Corporation. He Was particularly galled to find Mr. Hartigan is unwelcoming Toward HIM historical return to Australia, said this person, Who spoke anonymously in order to Discuss internal family matters.

Mr. Hartigan stepped down in November. The unexpected resignation announcement of historical Was Made Personally by Rupert Murdoch on a visit to Australia. "His going," the person Said, "Is Another step to clearing the way for Lachlan." A Spokeswoman for News Corporation Declined to how the matter.

Mr. Murdoch Pledged aussi, history in email, that 'ET Intended to Remain in Britain "for the next Several weeks, to Give you my unwavering support." To some, That Suggested That Mr. Murdoch HAD lost faith in the Ability of News International executives in Britain to steer the company out of the crisis. In Particular, it Seemed like a tacit recognition of the damage That has-been done to the reputation of James.

Mr. Murdoch Will Have to work to quiet further Top Concerns Among the staff at The Sun, Several said. Worry HAD beens Heightened by Mr. Murdoch's snap decision last summer to close The News of the World, at the cost of Nearly 200 newsroom jobs. Like The Sun, The News of the World WAS hugely profitable and have served with The Sun The Financial mainstay of the Two up-market newspaper titles in the Murdoch stable in Britain, The Times and The Sunday Times, both, of heavy run at Which Losses . In effect, any, move to close The Sun Would Have Three imperiled all publications, Which Occupy together a central role in British newspapering.  

Murdoch Visits With The Sun Newsroom Lachlan

Stocks and Bonds: Economic Data Pushes Wall Street Higher

  The stock market Jumped ahead on the strength of the American job market Thursday and barreled icts Toward Highest Levels of the Year. The Dow Jones industrial average to within 100 points Pushed of 13.000.

The Dow closed up 123.13 points to 12,904.08, a gain of 1 percent. The index Above 13.000 HAS not closed since May 19, 2008.

General Motors WAS Among the best-performing stocks of the day. Two Years After It Was Almost Wiped Out, Turned the company has record one billion $ 7.6 profit last year, Even Bigger Than When Americans stop buying Could not trucks and sport utility vehicles.

The Standard & Poor's 500-stock index rose 14.81 points, or 1.1 percent, to 1,358.04, and the Nasdaq composite was up 44.02 points, or 1.5 percent, at 2,959.85.  

Good news about the job market Overshadowed Continuing Uncertainty about the Greek debt crisis.

The Labor Department Said weekly applications for Unemployment Benefits dropped for the fourth time in five weeks to the Lowest Point since March 2008. That Was When The jobless rate just 5.1 percent WAS, far below the current rate of 8.3 percent.

The Stronger reading on the job market led traders to sell Treasury bonds, a sign That They Are more comfortable plowing money Into riskier assets like stocks. That Pushed Prices leap and lower agricultural yields even higher. The yield on the 10-year Treasury note WAS sharply higher, at 1.99 percent from 1.93 percent Wednesday.

Investors Have shaken off Fears about Europe and last summer's Concerns about the United States economy and steadily driven stocks this year Higher.  

John Burke, president of Burke Financial Strategies, says ET Some of the think-has-been calm Caused by the Federal Reserve flooding the market with cheap money no faxing pay day loans. The Fed HAS Promised to keep interest rates near zero for the next Several years.

Mr. Burke purpose Warned That Could the low rates allow the Federal Government to put off budget deficit Reducing icts.

"They're pushing the problem off, 'he said. "We're fine today, we'll AVOID recession, what's that goal going to do to us When The term is up?"

European Markets fired, return not fare as well. Stock indexes in Britain, Spain and Germany slid, though the Athex index climbed 1.1 percent in Greece.

The Greek crisis plodded along for another day without clarity. Negotiating for Greece is leaps and breaks it icts year for international bailout Aimed at Preventing a bankruptcy next month.

Portugal, Another That troubled country uses the euro, 14 percent Reported chômage, The Highest on record - a reminder the European Crisis That Was Not Confined to Greece.

The euro rose 0.7 percent, to $ 1.3154, a sign of Improving confidence in Europe. The steadily rising euro HAD beens since mid-January Stalled goal late last week around $ 1.33.

Gasoline Prices Could Be a Threat for the American economy, particularly as Iran threatens to cut exports. The average price for a gallon of gasoline is $ 3.52, The Highest on record this time of year, and Could climb to $ 4.25 a gallon by late April.

A barrel of benchmark crude rose 56 cents to $ 102.36.  

Stocks and Bonds: Economic Data Pushes Wall Street Higher

Obama's Budget: Government still getting bigger

  

WASHINGTON - Taking a pass on reining in government growth, President Obama Unveiled a record $ 3.8 trillion election-year budget plan Monday, calling for stimulus-style Spending on roads and schools and tax hikes on the wealthy to help pay the Costs. The landed with a thud ideas on Capitol Hill.

Though the Pentagon and a number of Cabinet Agencies Would get squeezed, Obama Would leave the spiraling growth of health Care Programs for the elderly and the poor Largely unchecked. The plan claims $ 4 trillion in deficit savings over the coming decade, goal MOST of it-through tax Increases Would Be Republicans opposed, lower Costs Already in motion war and Budget Cuts Enacted last year in a debt pact with GOP lawmakers.

Many of the ideas in the White House plan for the budget year 2013 Will Be Thrashed Out DURING this year's election Campaigns have the Republicans try to oust Obama from the White House and Senate control to add Their command of the House.

"We can not just cut our way Into growth," Said Obama at a campaign-style rally at a community college in the vote-rich Northern Virginia suburbs. "We Can Cut back on the Things That We Do not Need, Purpose We Also Have to make sure everyone That is Paying Their fair share for the Things That Need we do."

Republicans Were unimpressed.

"It Seems Like the president to campaign again Decided HAS INSTEAD of Govern and That he's just going to duck this country's fiscal problems," Said House Budget Committee Chairman Paul Ryan, R-Wis.

By the administration's reckoning, the deficit drop to $ 901 Would one billion next year - still requiring the government to borrow 24 cents of Every Dollar it Spends - Would settle in and the $ 600 one billion-plus range by 2015.The budget deficit for the current year, Which ends Sept. 30, Would hit $ 1.3 trillion, a near record and the fourth straight year of red ink trillion-plus.

Obama's budget blueprint included a long roster of prior proposals: raising taxes on couples making more Than $ 250,000 a year; Eliminating tax breaks for oil Numerous and gas companies and Approving a series of smaller tax and fee Proposals. Similar Proposals failed Even When the Democrats controlled Congress.

The Pentagon Would Cut Purchases of Navy ships and F-35 Joint Strike Fighters - 100.000 troops and trim from icts rolls over coming years - while NASA Would scrap Two missions to Mars.

There are Spending Increases purpose, too: The Obama Plan Seeks $ 476 one billion for transportation projects Including roads, bridges and a much-Criticized high-speed rail initiative. Grants for better performing schools get a big Would Increase Under Obama's "Race to the Top" initiative, and There Would Be $ 8 a year to fund one billion train community college students for high-growth industries.

Republicans accusé the president of failing yet again to do anything to Reduce deficits Meaningful That Could Threaten the country with a European-style debt crisis UNLESS They Are Wrestled under control.

As a politique document, the Obama plan blends a handful of jobs-boosting initiatives with poll-tested tax hikes on the rich, Including Higher taxes on dividends and Income Earned by hedge fund managers. That Would Obama allow to draw a contrast with GOP front-runner Mitt Romney, Whose wealth and personal Relatively low tax rate Would Be in the year after general election campaign.

Another contrast with Republicans on Medicare Will Come, the enormously popular health Care Programs for the elderly. Obama leaves the program mostly alone, while Republicans are on record in favor of gradually Replacing the current system in the government Which country doctor and hospital bills with a voucher-like plan That Would Have Purchases of government subsidize health insurance.

Nor Does Obama tackle Social Security's fiscal imbalance. Payroll Taxes Paid Into the programs fall well short of what's needed to cover benefits; the shortfall is made up by tapping Into a $ 2.7 trillion trust fund that's built up since the last overhaul of the program in the early 1980s bad credit pay day loans.

Said Romney: "We Can Save Social Security and Medicare with commonsense A Few Reforms, and - unlike President Obama - I'm not afraid to put 'em on the table."

The president's tax Proposals and Most Of His New jobs initiatives are Likely to happen as dead letters on Capitol Hill, where 'the immediate focus is on Obama's Proposal to renew a two centage point cut in Social Security payroll taxes and jobless Benefits for the long-term unemployed. House GOP leaders DID abrupt about-face year on Monday and Declared That They Are Willing to add to the deficit the $ 100 billion cost of payroll tax Renewing the cut.

While Obama and Congress APPEAR headed for deadlock over big-picture issues Such as Medicare cuts and tax hikes, there 's still the work of filling in the details of last summer's budget and debt pact, Which set tight caps on Annual appropriations bills Funding the day- to-day operations of government.

Those caps are putting MOST Agencies, except the Department of Veterans Affairs, in a pinch.

The Pentagon, Which Used To HAD grown Budget Increases in excess of inflation well Until recently, outright Would absorbed icts first budget cut since the post-Cold War "peace dividend" of the early 1990s, Including cuts to major weapons systems, combat ships Fewer and the reduction in troops.  

It taxes, Obama proposed allowing the Bush tax cuts-era to expire at the end of this year for families making $ 250,000 or more per year.

Obama, as He Has in the past, aussi Proposed capping tax deductions taken by the wealthy and Would aussi put in place a rule named for billionaire Warren Buffett That Would seek to make sure That Households making more than $ 1 Million Annually pay at least 30 percent of Their Income in taxes. The "Rule Buffett" would replace the alternative minimum tax, Which was Originally Designed to Ensure That wealthy families pay at least Some tax.

Obama Would aussi imposes a new $ 61 one billion tax over 10 years on big banks Aimed at Recovering the Costs of Providing and The Financial bailout money to help homeowners facing foreclosure. The Proposal Would aussi raise $ 41 one billion over 10 years by Eliminating tax breaks for oil, gas and coal companies.  

The plan contains a host of Other Proposals Whose Budget Impact Would Be modest goal Would Be Almost everyone felt by, Among Them year end to Saturday mail delivery. There's aussi a plan to raise $ 593 one million by Eliminating deductions for golf course conservation easement and a Plan That Would raise the one-way security fee on airline tickets to $ 7.50, up from fees That Are now as low as $ 2.50 for a nonstop flight.

To spur job creation in the short term, Obama is Proposing a $ 50 billion "upfront" investment for transportation, $ 30 billion to modernize schools and at least 35.000 $ 30 billion to help states hire teachers and police and fire department rescue workers. Republicans in Congress, further Top Opposed to stimulus spending, blocked thesis Proposals Have In The Past.  

The Obama Budget Seeks $ 360 one billion in savings in Medicare and Medicaid payments Mainly Reduced-through to health care providers, Avoiding Tougher measures, Advocated by House Republicans and the deficit commissions, Which Said Were critical supporters to the cause of restraining health care component costs.

The projections in Obama's budget show That ET is doing little to restrain the surge in Programs that thesis is Expected with the retirement of baby boomers. Obama's budget projects Medicare Spending That Will double over the coming decade from $ 478 one billion this year to Almost $ 1 trillion in 2022.

Medicaid, the government health care program for the poor and disabled, Would more Than $ 255 double from one billion to $ 589 this year one billion by 2022.  

___

Associated Press Economics Writer Martin Crutsinger Contributed to this story.

Obama's Budget: Government still getting bigger

Progress on Greek deal lifts euro, global shares

  

LONDON (Reuters) - The Greek parliament's austerity Approval of Measures to secure a much-needed bailout Lifted the euro and European shares on Friday, although with further Top steps needed Before the shadow of a debt default Can Be Lifted, gains may Be Limited.

Greece must still find a further Top 325 million euros ($ 428.6 million) of Spending cuts and binding assurances the plan Give Will Be Implemented Before Wednesday When Eurozone Finance Ministers Meet to decide on a new 130 billion-euro bailout.

The euro was up 0.4 percent at $ 1.3250 recouping Some of the Losses made on Friday and about a hundred below a two-month high of $ 1.3322 hit last week fast payday loan no faxing.

"The tense situation politique in Greece continued to Dominate Markets FX price action is," UBS economist Reto Huenerwadel said. 

Share Markets Were aussi Recovering After Fears about the Lack of progress in Greek debt talks Helped the S & P 500 Suffer the year's biggest loss on Friday. The FTSEurofirst 300 (. FTEU3) of top shares, Which Fell 0.9 percent to a one-week low at the end of last week, 0.3 percent Higher Opened at 1066.76 points.

($ 1 = 0.7582 euro)

(Additional reporting by Catherine Bosley. Editing by Jeremy Gaunt.)

Progress on Greek deal lifts euro, global shares

Greece warns bailout of unknown rebels, dangerous path

  

ATHENS (Reuters) - The Greek government Told rebellious lawmakers on Thursday to back a deeply unpopular EU / IMF rescue in parliament or send the nation down "an unknown, dangerous path" to default and économique international isolation.

Officials hammered home the message That Greece's future in the euro WAS at stake, and Dismissed Any suggestion That leaving the common currency Offered annually easy way out of Greece's more Than Two Year crisis.

In theory the coalition of Prime Minister Lucas Papademos HAS majorité huge, Which Should Ensure That parliament on Sunday APPROVES Package Including a one billion euro has further Top 3.3 in budget cuts this year, Which is needed to Ensure a one billion euro bailout 130.

However, six members of history Have Already cabinet resigned over the deep austerity Measures Which the European Union and International Monetary Fund are demanding work as the price of the fund, Which Needs by Greece next month to Avoid bankruptcy. 

"The consequences of disorderly default Would Be incalculable for the country - not just for the economy ... Will it lead us onto an unknown, dangerous path, "Deputy Finance Minister Filippos Sachinidis said.

Year in the newspaper interview with Imerisia, ET ET Described the disaster Believes Greece Would Suffer if it failed to debt repayments of 5.14 Meet one billion euros due on March 20.

"Let's just ask what Ourselves It Would mean for the country to lose icts banking system, To Be cut off from imports of raw materials, pharmaceuticals, fuel, basic Foodstuffs and technology, 'he said.

Late on Friday the firm approuvé the bailout bill and a draft plan to ease the state's huge debt burden Which HAS deepened the nation's Political and Social Crisis and Thousands Brought out on the streets in protest. 

PROTEST ON THE ACROPOLIS

As a 48 hour protest strike Went Into icts second day, about 50 Communist Party activists draped Two huge banners on the ramparts of the Acropolis, reading: "Down with the Dictatorship of the Monopolies (and the) European Union." .. ......

Government Spokesman Pantelis Kapsis Acknowledged That Parliamentary Deputies, Who face elections as early as April Possibly, Were Under intense pressure of public opinion, still THEY HAD Said aim to save the nation by voting for the bill.

"Tomorrow, Deputies Will Be Called upon to bear a heavy burden Under intense pressure from society, 'he Told the state TV channel NET.

Analysts expect parliament to pass the package, Which Involves heavy pay, pensions and job cuts, on Sunday After A Parliamentary Committee Discusses it on Saturday.

However, the situation is unstable and politique a number of lawmakers Would Have Said THEY Voting Against it. The smallest party in the coalition, the far-right LAOS, quit the government on Friday, ordering icts oven cabinet members to resign. Two members of the Socialist PASOK party Have aussi quit the firm.

Said Kapsis Greeks faced a hard decade Any suggestion and rejected leaving the euro That Might Be An Easier option.

"Staying in the euro area Requires discipline for 10 years, 'he said. "It is difficulty Moments That Has Such nations are put to the test ... we must at all costs AVOID bankruptcy, 'he said.

Some economists Have Suggested That if Greece defaulted and left the euro area, ict new national currency Would dive in value and allow the Greek economy to Become Internationally competitive payday loan no faxing.

However, Kapsis said: "We'll Have to Reduce the Deficit, REGARDLESS of whether the euro We Have or Not."

Eurozone Finance Ministers Have Told That It Greece must explain how 325 million euros ($ 430 million) out of this year's total budget cuts Before It Will Be Achieved Chartered to bailout.

EU Exasperation

The EU and IMF Have Been exasperated by a series of broken promises and weeks of disagreement over the terms of the bailout, Which would Be Greece's second since 2010. They Will not release the aid without clear Commitments by the party leaders hand the Reforms That Will Be Implemented, REGARDLESS of Who wins the elections.  

The Uncertainty HAS upset World Financial Markets, with stocks snapping a five-day winning streak on Friday and the slumping euro as Planned wage and pension cuts in Greece hit a new obstacle.

Outside Greece's parliament, Police Teargas fired on Friday at black-masked protesters Who Threw petrol bombs, stones and bottles at the start of the 48-hour General Strike Against the Cuts Ordered by the "troika" of international lenders.

Aim the street protests against-the austerity - which Many Greeks blame on Germany - Were Relatively small Compared to last year's mass rallies.

EXACT AMOUNT LEFT OUT

The bill, approuvé by the firm along with Hundreds of pages of documents Accompanying, Including Reforms sets out a 22 percent cut in the minimum wage, pension cuts worth 300 million euros this year, as well as health and Defense Spending cuts.

Purpose Does not it spell out the exact Amount of the bailout, Which is left blank. Euro zone Officials Have Said one billion euros Another 15 needed for may Be the recapitalization of Greek banks the after the debt swap.

"The government Believes That Sustained implementation of this policy program, complemented by debt restructuration, Will put the public debt was clear downward path," it says in a draft letter to EU and IMF chiefs, attached to the bill.

In The Same letter, the government promised to speed up implementation of the Reforms in Labor, product and service Markets, cut spending, and push through a Privatization Plan.

Papademos, Who Was parachuted in last November to clinch deals on the bailout and a debt-swap deal, firm history Told That anyone Who fired, return not back the bill HAD to go.

"It goes without Saying That Does not whoever disagrees and vote for the new program can not Remain in the government, 'he Said in Televised remarks.

Who Took A minister from the Cabinet meeting later in the draft bill Said WAS approved. The text aussi Lays out the legal groundwork for a debt swap plan bondholders Private Sector In Which Will Agree to take a real loss of 70 percent to help bring down the country's debt.

One of the attached documents, Which spells out the Greece Reforms Will Have to undertake in return for the aid, says the target of cutting the debt to "about" 120 percent of GDP by 2020 from about 160 percent now Will Be Achieved. ($ 1 = 0.7582 euros)

(Reporting by Harry Papachristou and Lefteris Papadimas; Writing by Ingrid Melander; Editing by Jon Boyle)

Greece warns bailout of unknown rebels, dangerous path

Hot News: Consumer mood worsens in early February it worries revenu

Source: No extended deadline for Greek pensions cut

  

BRUSSELS - A person close to Greece's international debt Inspectors Denying That is the country's Politicians Have Been Given 15 days extra year to Agree to a euro300 one million cut in pensions.

Earlier Thursday greek party leaders failed to AGREE on the cuts in all-night talks. A Greek parliamentarian Later That Claimed the Politicians HAD beens Given 15 days to find an alternative way to save year this amount.

Personal goal was close to the So-Called troika Said That claim Was "not correct."

He Said the country INSTEAD HAS APPROVED euro325 to one million in savings on top of the euro300 one million in pension cuts and That It Has Been Given three weeks to Identify How To Do That.

The person speaking on condition of WAS anonymity Because of the sensitivity of the talks.

The cuts are key requirements for a second, euro130 one billion bailout for Greece.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further Top information personal loans for people with bad credit. Earlier AP's story is below.

ATHENS, Greece (AP) - Greek Labor Unions Have Called a two-day general strike starting Friday to protest cutbacks new Decided to secure the country's vital rescue loan program.

A senior official in the ADEDY civil servant union says protest rally outside Parliament Will Be Held in central Athens on the Two Days, and on Sunday When lawmakers are Expected to vote on the new austerity Measures.

Ilias Iliopoulos the AP Thursday Told That WAS the decision taken together with the Private Sector GSEE labor union.

Greek Politicians approuvé job cuts and wage reductions in exchange for a crucial euro130 billion ($ 173 billion) bailout. The deal hit a snag on pension cuts, however. Finance Minister Evangelos Venizelos headed to Brussels to EU Officials Meet top, Hopping to the rescue agreement and stave off bankruptcy.

Source: No extended deadline for Greek pension cut

Euro zone sales tumble at Christmas, no sign of growth

  

BRUSSELS (Reuters) - Retail sales in the euro zone tumbled unexpectedly in December, the biggest drop in the Christmas période in Three Years, Data Showed on Tuesday, with rising joblessness and stubborn inflation has undercut signs of stabilization in Europe's economy.

Sales across the 17-nation single currency area Fell 0.4 percent in December from November, well down from the 0.3 percent rise forecast by economists in a Reuters poll.

They Were down by 1.6 percent year on Annual Basis, the European Union's statistics office Eurostat said.

That Was The Biggest Annual drop since December 2008 retail sales aussi When Fell 6.1 percent in the month at what Turned Out To Be the Start of the world's biggest post-1930s recession.

European Households cannot yet be relied Be the euro area to help pull out of ict latest slump. Reached joblessness has euro-era high of 10.4 percent in December, while inflation restes near recent peaks of 3 percent.

Even in Germany, the bloc's biggest economy, dirty Fell 4.1 percent Compared with November and shoppers stayed away from the malls in France and Spain, where 'sales slid 0.3 percent and 0.8 percent respectively. Consumer confidence aussi weak, despite rising Slightly in January from a 26-month low in December.

"We're not expecting miracles from Any Consumer Spending this year, Simply Because We have not got a high enough growth rate to generate jobs and Stabilize The Labor Market," Said Guillaume Menuet, an economist at Citigroup.

"The issue is to what extents Their Households draw down savings to maintain to consommation, 'he said.

EU leaders at a summit on Monday Promised to free funds to Promote jobs and try to revive the euro zone economy, a shift In Their mantra That Spending cuts are the only way to recover from the euro zone's two-year sovereign debt saga.

The European Central Bank's decision late last year to provide statement cheap three-year loans to banks HAS aussi Helped to avert a freeze in lending That Could have deepened the downturn instant credit report. 

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NOT SO wobbly?

In one hopeful sign, industry data and business surveys Suggest the collapse in confidence last year HAS Largely stabilized and Germany Will Probably AVOID recession in 2012.

The euro zone economy's Private Sector snapped a four-month decline in January and expanded, albeit very weakly, According To a survey released separately on Friday. [ID: nL9E7IK061]

"There's some momentum, as the first quarter is starting from a less negative from the fourth quarter footing of 2011, aim it is not telling us there 's Going to be growth, just a stabilization," Citigroup's Menuet said.

At the EU leaders' summit, the bloc's 27 Countries Sending a mixed message risked to Households by signing up to a German-inspired pact for stricter budget discipline That Could stifle Policies Aimed at sparking growth, economists say.

Entered Belgium recession territoire After Two quarters of falling output at the end économique of 2011 and the euro area is WIDER Expected to struggle-through a mild recession this year.

The International Monetary Fund forecasts a 0.5 percent contraction for the euro zone in 2012 That the Washington-based lender says Could Drag Into the world recession.

High Energy Prices, Pushed up by Iranian Supply Concerns, Have made life aussi difficulties for Consumers.  

Consumer price inflation in the euro area Remained at 7.2 percent for the second straight month in January, above-the ECB's target of below, close to 2 percent goal, Which the Frankfurt-based bank judges to be right for Price Stability.

(Reporting By Robin Emmott. Editing by Jeremy Gaunt.)

Euro zone sales tumble at Christmas, no sign of growth