Tag Archives: political economy

God’s Earth Heats Up Against Tyranny: Climate Change to Kill Billions this Century

26 May

http://wattsupwiththat.com/2009/05/25/global-warming-of-7c-could-kill-billions-this-century/

 

MIT: Global Warming of 7°C ‘Could Kill Billions This Century’

25 05 2009

By Steven Goddard

File:Earthcaughtfire.jpg

Some readers may remember the 1961 film “The Day the Earth Caught Fire”. It could be viewed as the original “climate alarmist” film as it contains all of the plot elements of our current climate alarmism scenarios: exaggerated images of a dying planet, a mainstream media newspaper reporter, technology that is feared, the Met Office, and last but not least, junk science.

You can read about the whole wacky plot here.
Back to the present.

A new study out of MIT predicts “a 90% probability that worldwide surface temperatures will rise at least 9 degrees by 2100.
This is more than twice what was expected in 2003. The Telegraph reports

Global warming of 7C ‘could kill billions this century‘. Global temperatures could rise by more than 7C this century killing billions of people and leaving the world on the brink of total collapse, according to new researchA similar 2003 study had predicted a mere- but still significant- 4 degree increase in global temperatures by 2100, but those models weren’t nearly as comprehensive, and they didn’t take into consideration economic factors.

So what has changed since 2003 to cause the scientists at MIT’s “Centre for Global Climate Change” to believe the world is going to boil over this century and send billions of us directly to a toasty demise similar to our featured movie?  

Since 2003, global temperatures have been dropping.

Arctic ice extent is at the highest late May levels in the AMSR-E satellite record. 
https://i2.wp.com/www.ijis.iarc.uaf.edu/seaice/extent/AMSRE_Sea_Ice_Extent.png 
Antarctic ice has broken the record for greatest extent ever recorded.
http://arctic.atmos.uiuc.edu/cryosphere/IMAGES/current.area.south.jpg
http://arctic.atmos.uiuc.edu/cryosphere/IMAGES/current.area.south.jpg
January, 2008 broke the record for the most snow covered area ever measured in the Northern Hemisphere.

http://climate.rutgers.edu/snowcover/png/monthlyanom/nhland01.png
I added a red line below showing the reported projected rise in temperatures from the MIT models, compared with the actual observed temperature trends since the previous 2003 report. Their projections show a correlation of essentially zero.WFT_goddard_mit_temptrendGiven that the observed trends are exactly opposite what the MIT models have predicted, one might have to ask what they have observed since 2003 to more than double their warming estimates, and where their 90% confidence value comes from? 

 

The study, carried out in unprecedented detail, projected that without “rapid and massive action” temperatures worldwide will increase by as much as 7.4C (13.3F) by 2100, from levels seen in 2000.

This study has a strong scent of GIGO (garbage, in garbage out.) MIT has one of the world’s preeminent climatologists Dr. Richard Lindzen in their Department of Earth, Atmospheric and Planetary Sciences. I wonder if the scientists at the “Centre for Global Climate Change” checked with him before firing this remarkable piece off to the press?

During the Phanerozoic, CO2 levels have at times been more than 1,500% higher than present, but temperatures have never been more than 10C higher than present. So how does a projected 30% increase in CO2 produce a 7C temperature rise in their models? During the late Ordovician, there was an ice age with CO2 levels about 1000% of current levels. Hopefully the newspaper headlines don’t accurately represent the content of the article.

https://i0.wp.com/ff.org/centers/csspp/library/co2weekly/2005-08-18/dioxide_files/image002.gif
http://climate.rutgers.edu/snowcover/png/monthlyanom/nhland01.png

Finally, does their name (”Centre for Global Climate Change“) hint at a possible inherent bias in their raison d’être? What rapid and massive actiondo they want us to engage in?

 

 

Advertisements

Islamic Banks Relatively Safe During Global Financial Crisis

15 May

 

http://www.ft.com/cms/s/0/4894b482-1d44-11de-9eb3-00144feabdc0.html

 

Islamic finance must resolve inner tensions

By Roula Khalaf

Published: March 30 2009 18:22 | Last updated: March 30 2009 18:22

A small idea is developing into a big hope in the Middle East. It is that the answer to the global financial crisis lies in Islamic finance.

Proponents of the $800bn industry argue that the prohibition on dealing in interest has saved Islamic institutions, preventing them from investing in all the dubious structures that have brought down high-flying international institutions.

“But I’m pleasantly surprised. The inquiries we’ve been receiving are numerous,” he says.

On the surface, the story of Islamic banking as a haven in a world torn by financial mayhem is an attractive tale. But is it more than what one analyst describes as “good marketing”?

To be clear, many of the Gulf’s Islamic banks have not been immune to the financial crisis – the liquidity squeeze in the region has put pressure on these banks just as much as their conventional counterparts. The volume of sukuk, or Islamic bonds, has dramatically declined, though predictions abound that it will take off again later this year.

But it is true that Islamic banks have been relatively protected because they had no exposure to securitised debt-based assets.

This fortunate condition, however, may be due to the immaturity of the industry. The financial wizards who flocked to Islamic banks in recent years had not yet engineered the synthetic structures that would pass muster with sharia (Islamic law) scholars, whose job is to sign off on the probity of products.

As Emmanuel Volland, analyst with Standard & Poor’s, the rating agency, says: “Islamic banks were not caught by toxic assets as sharia law prohibits interest. At the same time, you can create and invest in very risky assets and be sharia compliant.”

In fact, Islamic banking is all about taking risk. Depositors keep their money in profit-sharing accounts and so, in theory at least, they participate in both the profits and the losses of the banks. In practice, however, banks have consistently given depositors returns that are on a par with the interest rates that conventional banks deliver.

Now, as their profits decline, banks are dipping into “profit equalisation reserves” to keep depositors satisfied. But they will face a dilemma if the economic downturn continues. Devout Muslims have increasingly migrated to Islamic banks in recent years, but will the trend survive if some of them start losing their money?

Islamic banking has always struggled to balance the pressure to safeguard deposits against the need to abide by religious principles. Now the balancing act is more difficult to manage.

Last year a leading sharia scholar questioned a popular type of sukuk that promised to pay back the face value of the bond at maturity or in case of default. The scholar argued – and others had to agree – that this guarantee ran counter to the spirit of Islamic finance, which stipulates that risk must be shared.

For those who closely watch the industry, there are more pressing concerns. As a recent S&P report noted, because of a lack of liquid sharia-compliant asset classes, some Islamic banks invested in equities, exposing themselves to the correction of recent months. The leading risk today, however, comes from the exposure to the real estate market. The rating agency estimates that this amounts to 20 per cent of total loans.

When the short-term risks and the longer-term uncertainties are put together, the outlook for the Islamic finance industry looks less rosy than its supporters claim.

It may have been lucky so far, and perhaps it will learn lessons from the troubles of conventional banks. But Islamic bankers will also have to think harder about how the industry can develop, and how it can resolve the tensions within.

 

 

 

http://www.nation.com.pk/pakistan-news-newspaper-daily-english-online/Business/10-Feb-2009/Islamic-banks-less-affected-in-global-recession

 

Islamic banks less affected in global recession

Published: February 10, 2009

LONDON (APP) – Islamic banks have been less affected than many conventional banks in the current global recession as they are prohibited from activities that have contributed to the credit crunch such as investment in toxic assets and dependence on wholesale funds.

The International Financial Services London report notes that the industry has felt the influence of the credit crunch and downturn in the global economy with Sukuk issuance being more than halved and the fall in the value of equity funds.

In 2007, the global market for Islamic financial services rose by 37% to US $ 729 billion but by 2008 the industry began to feel the impact of the credit crunch as it enveloped the globe.

Nevertheless, London has been consolidating its position as the key western centre for Islamic finance in 2008. Two Islamic banks, Gatehouse Bank and European Finance House, have been granted licences bringing to five the number of fully Sharia compliant banks in the UK .

Principal Insurance became the first Shariah compliant independent company authorised to offer Takaful to UK residents. In capital markets, four new exchange traded funds and two new equity funds were launched.

IFSL’s report indicates that the UK ‘s offering includes a total of 22 banks, far more than in any other Western country. Professional services are provided by 18 law firms and the Big Four accounting firms.

A cumulative total of 18 Sukuk issues raising $10bn have been listed on the London Stock Exchange, second only to Dubai. With 55 institutions offering educational and training products in Islamic finance, the UK has more providers than any other country worldwide.

Duncan McKenzie, IFSL’s Director of Economics said: The UK has benefited considerably from supportive government policies intended to put Islamic services on the same footing as conventional services. Evidence of London’s growing role in Islamic finance is shown in the UK being the only western country to feature prominently, 8th with assets of $18bn, in a global ranking of Sharia compliant assets by country. Added Sir Andrew Cahn, UK Trade & Investment’s Chief Executive Officer:  Despite its origins overseas, Islamic finance has found a natural home in the UK. Though no sector is immune to the global financial crisis, Islamic finance has shown great resilience. It is important we continue to work with our Islamic finance partners to maintain our position as the leading western centre for Islamic finance service providers.

Qur’anic Inspiration for the Great Recession

8 May

Would the Great Recession quell the American lust for war? Let’s see what the Qur’an says:

 

…Only some offspring among his own folk believed in Moses because of fear for Pharaoh and his councillors, lest he might put them to some test. Pharaoh was so haughty on earth and besides he was a dissipated man. Moses said: “My people, if you believe in God, then rely on Him if you are Muslims.” They said: “On God do we rely. Our Lord, do not turn us into a trial for wrongdoing folk! Save us through Your mercy from such disbelieving folk!”

 

So We inspired Moses and his brother [as follows]: “Settle your people down in houses in Egypt and turn your houses into shrines; keep up prayer and announce good news to believers.” Moses said: “Our Lord, You have given Pharaoh and his councillors splendor and wealth during worldly life. Our Lord, is it so they may lead [us] off from Your way? Our Lord, wipe out their wealth and firm up their hearts so they may not believe until they see painful torment.” He said: “Your appeal has been answered, so act straightforward and do not follow along the way of those who do not know.”

Muhammad said, Seek knowledge even unto China

22 Apr

He also never fought with bombs and machine guns.

 

Muhammad’s Lord, Allah said that peace is better. He will fight the aggressors Himself. He doesn’t like those who incite aggression.

 

Muhammad said women must be respected.

 

Prophet Muhammad was good to women.

 

Muhammad said trade is good. He was an honest businessman.

 

Allah asked him to pray, My Lord, give me more knowledge.

 

Prophet Muhammad does not like terrorists.

 

Muslims also believe in Jesus Christ, the Messiah.

 

Jews are brothers in faith, too.