December 2003 - cypherpunks-legacy

Lycos Acquires Wired Digital
by James Glave 17 Dec '03

17 Dec '03

http://www.wired.com/news/news/business/story/15437.html Lycos Acquires Wired Digital 6:00 a.m. 6.Oct.98.PDT In a move that continues the trend of consolidation in the Internet industry, Web search and community firm Lycos has acquired Wired Digital, the parent company of Wired News, for approximately US$83 million in Lycos stock. Lycos said in a statement that the combined traffic of both companies will allow Lycos, already the second most visited Web index service, to reach more than 40 percent of Web users. Tuesday's acquisition coincides with the introduction of "The Lycos Network," a collection of service, news, and community sites that now includes Wired Digital properties Wired News, the HotBot search engine, and the Webmonkey developer site, in addition to existing Lycos sites Lycos.com, WhoWhere, Tripod, and others. According to Relevant Knowledge, Wired Digital attracts nearly five million unique visitors a month. The acquisition is scheduled to close by the end of the calendar year and is subject to Wired shareholder approval. Lycos (LCOS) will also assume Wired Digital's stock option plan. Under the deal, Wired Digital will continue to operate from its San Francisco, California, office as a business unit of Lycos, and Beth Vanderslice, president of Wired Digital, will report to Lycos CEO Bob Davis. The Wired Digital brands will remain distinct operating units of Lycos, which Lycos said would allow the company to reach multiple Web audience segments. For example, Lycos said in a statement that Wired Digital's HotBot search engine attracts a "tech-savvy Web veteran," while Lycos.com serves a broader audience. According to Media Metrix, the two search engines attract distinct audiences, with only 20 percent overlap between the two. The Lycos Network and Wired Digital have already taken steps to share each other's content and services. Wired News is available on the headline page of Lycos.com, while Lycos' Angelfire home pages and MailCity e-mail applications are now being offered to HotBot users. Lycos search offers links to HotBot and other Wired Digital properties through top keyword searches. Further, Webmonkey's Web developer tutorials and resources will be available to Tripod and Lycos.com homepage communities. In May of this year, Wired Ventures, the former parent company of Wired Digital, sold Wired magazine to Advance Magazine Publishers. Copyright © 1994-98 Wired Digital Inc. All rights reserved. James Glave, News Editor, Wired News, http://www.wired.com (415) 276-8430

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RE: I thought of an initialy regulated industry!... (fwd)
by Jim Choate 17 Dec '03

17 Dec '03

Forwarded message: > Date: Tue, 6 Oct 1998 19:22:31 -0500 (CDT) > From: Mac Norton <mnorton(a)cavern.uark.edu> > Subject: RE: I thought of an initialy regulated industry!... (fwd) > that both sides of this thread are deep into it. I stay on this > list because, just maybe, one of these days, one of you guys > is gonna crack the code of anarchy v. contract enforcement. Until > then, it's cogdis. What makes you thing anarchy eliminates contracts and the concomitent need for enforcement? The question is: "Who does the contract enforcement and arbitrage?" ____________________________________________________________________ The seeker is a finder. Ancient Persian Proverb The Armadillo Group ,::////;::-. James Choate Austin, Tx /:'///// ``::>/|/ ravage(a)ssz.com www.ssz.com .', |||| `/( e\ 512-451-7087 -====~~mm-'`-```-mm --'- --------------------------------------------------------------------

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Re: Web TV with 128b exported
by Information Security 17 Dec '03

17 Dec '03

> From: SDN <sdn(a)divcom.slimy.com> > William H. Geiger III wrote: > > David Honig said: > > >http://biz.yahoo.com/prnews/981005/ca_microso_1.html > > > > >MOUNTAIN VIEW, Calif., Oct. 5 /PRNewswire/ -- Microsoft Corp.'s (Nasdaq: > > >MSFT - news) WebTV Networks today announced it is the first U.S. company > > >to obtain government approval to export nonkey recovery-based > > >128-bit-strength encryption for general commercial use. WebTV Networks > > >pioneered low-cost access to the Internet, e-mail, financial services and > > >electronic shopping through a television set and a standard phone line. > > > > I have my doubts on this. I find it highly unlikely that the FEDs would > > approve this without some form of GAK built in even if it is not in the > > form of "key recovery". > > It's probably a lot closer to the "private doorbell" scenario. The only > thing that a WebTV unit will communicate with is the WebTV service (or > the Japanese variant thereof). > > Since all traffic goes through a point that will likely cooperate with > law enforcement (and has remote control of the boxes, too.), this doesn't > represent much of a loosening in the export controls. Hmmm... # http://biz.yahoo.com/prnews/981005/ca_microso_1.html # # ...without fear of interception by unauthorized parties. Said with a lawyer's precision. # http://biz.yahoo.com/prnews/981005/ca_microso_1.html # # William Reinsch, U.S. undersecretary for export administration: # ``The WebTV Network provides secure communications for its # customers and partners without posing undue risks to # national security and law enforcement.'' Either it is interceptable and decodable or it isn't. If it isn't, then software browsers (Netscape/IE) should be allowed to do it too. Perhaps Declan could investigate and get a story out of it. ---- Can someone with control of a 128-bit HTTP server see if it can identify 128-bit keys from WebTV terminals? ---guy

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Re: Another potential flaw in current economic theory... (fwd)
by Jim Choate 17 Dec '03

17 Dec '03

Forwarded message: > Date: Tue, 6 Oct 1998 11:19:54 -0600 (MDT) > From: Jim Burnes <jvb(a)ssds.com> > Subject: Re: Another potential flaw in current economic theory... (fwd) > Hmmm. You imply that the employees and employers interests are not > the same. Obviously this so. > The whole idea is to make a profit. There is MUCH more involved than simply making a profit. [irrelevant material deleted] > Any other sort of interest would simply induce a market distortion > in the cost of investment capital. Demonstrate please. > The market detects socialism as damage and routes around it. Whoa horsey. I didn't say a damn thing about any third party regulatory agency getting invovled here. Don't start trying to change the rules in the middle of the game. > The entire market would never do this voluntarily, so by definition any > distortion would have to be induced in a centrally managed economy. Demonstrate. > By definition socialism. Wrong. Socialism is the belief that property is best managed and owned by the government. This is within the context of a free market. This means that the *ONLY* two parties involved are the producers and consumers. I am discussing an alternative approach to business management. Fascism is the belief that property should be owned by private individuals but managed by governments. Capitalism is the belief that property should be owned and managed by the individual. Note that this definition doesn't prevent 3rd party regulatory bodies, but they neither own or manage the activity, only limit its' scope. ____________________________________________________________________ The seeker is a finder. Ancient Persian Proverb The Armadillo Group ,::////;::-. James Choate Austin, Tx /:'///// ``::>/|/ ravage(a)ssz.com www.ssz.com .', |||| `/( e\ 512-451-7087 -====~~mm-'`-```-mm --'- --------------------------------------------------------------------

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Netscape e-mail 128 bit Encryption
by Rod Munch 17 Dec '03

17 Dec '03

I just wantid to know if there is any to Crack The Encryption in Netscapes e-mail program for sending messages cause my computer teacher thinks hes all big and bad cause no one can read his shit so i want to show him up.

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No Subject
by Anonymous 17 Dec '03

17 Dec '03

At 08:31 PM 10/5/98 -0700, Alan Olsen wrote: >>Why are bananas quantized in the presense of camels? Is this >>a quantum-computing thing? > >No, it's a Perl thing. ]:> > You need to download the Camel extension library..

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money parable
by Vladimir Z. Nuri 17 Dec '03

17 Dec '03

------- Forwarded Message Date: Mon, 5 Oct 1998 23:30:57 +0000 From: Paul Swann <pswann(a)easynet.co.uk> Subject: I Want The Earth Plus 5% I Want The Earth Plus 5% Fabian was excited as he once more rehearsed his speech for the crowd certain to turn up tomorrow. He had always wanted prestige and power and now his dreams were going to come true. He was a craftsman working with silver and gold, making jewelry and ornaments, but he became dissatisfied with working for a living. He needed excitement, a challenge, and now his plan was ready to begin. For generations the people used the barter system. A man supported his own family by providing all their needs or else he specialised in a particular trade. Whatever surpluses he might have from his own production, he exchanged or swapped for the surplus of others. Market day was always noise and dusty, yet people looked forward to the shouting and waving, and especially the companionship. It used to be a happy place, but now there were too many people, too much arguing. There was no time for chatting - a better system was needed. Generally, the people had been happy, and enjoyed the fruits of their work. In each community a simple Government had been formed to make sure that each person's freedoms and rights were protected and that no man was forced to do anything against his will by any other man, or any group of men. This was the Government's one and only purpose and each Governor was voluntarily supported by the local community who elected him. However, market day was the one problem they could not solve. Was a knife worth one or two baskets of corn? Was a cow worth more than a wagon and so on. No one could think of a better system. Fabian had advertised, "I have the solution to our bartering problems, and I invite everyone to a public meeting tomorrow." The next day there was a great assembly in the town square and Fabian explained all about the new system which he called "money". It sounded good. "How are we to start?" the people asked. "The gold which I fashion into ornaments and jewelry is an excellent metal. It does not tarnish or rust, and will last a long time. I will make some gold into coins and we shall call each coin a dollar." He explained how values would work, and that "money" would be really a medium for exchange - a much better system than bartering. One of the Governors questioned, "Some people can dig gold and make coins for themselves", he said. "This would be most unfair", Fabian was ready with the answer. "Only those coins approved by the Government can be used, and these will have special marking stamped on them." This seemed reasonable and it was proposed that each man be given an equal number. "But I deserve the most," said the candle-maker. "Everyone uses my candles." "No", said the farmer, "without food there is no life, surely we should get the most." And so the bickering continued. Fabian let them argue for a while and finally he said, "Since none of you can agree, I suggest you obtain the number you require from me. There will be no limit, except for your ability to repay. The more you obtain, the more you must repay in one year's time. "And what will you receive?" the people asked. "Since I am providing a service, that is, the money supply, I am entitled to payment for my work. Let us say that for every 100 pieces you obtain, you repay me 105 for every year that you owe the debt. The 5 will be my charge, and I shall call this charge interest." There seemed to be no other way, and besides, 5% seemed little enough charge. "Come back next Friday and we will begin." Fabian wasted no time. He made coins day and night, and at the end of the week he was ready. The people were queued up at his shop, and after the coins were inspected and approved by the Governors the system commenced. Some borrowed only a few and they went off to try the new system. They found money to be marvelous, and they soon valued everything in gold coins or dollars. The value they placed on everything was called a "price", and the price mainly depended on the amount of work required to produce it. If it took a lot of work the price was high, but if it was produced with little effort it was quite inexpensive. In one town lived Alan, who was the only watchmaker. His prices were high because the customers were willing to pay just to own one of his watches. Then another man began making watches and offered them at a lower price in order to get sales. Alan was forced to lower his prices, and in no time at all prices came down, so that both men were striving to give the best quality at the lowest price. This was genuine free competition. It was the same with builders, transport operators, accountants, farmers, in fact, in every endeavour. The customers always chose what they felt was the best deal - they had freedom of choice. There was no artificial protection such as licences or tariffs to prevent other people from going into business. The standard of living rose, and before long the people wondered how they had ever done without money. At the end of the year, Fabian left his shop and visited all the people who owed him money. Some had more than they borrowed, but this meant that others had less, since there were only a certain number of coins issued in the first place. Those who had more than they borrowed paid back each 100 plus the extra 5, but still had to borrow again to carry on. The others discovered for the first time that they had a debt. Before he would lend them more money, Fabian took a mortgage over some of their assets, and everyone went away once moreto try and get those extra 5 coins whichalways seemed so hard to find. No one realised that as a whole, the country could never get out of debt until all the coins were repaid, but even then, there were those extra 5 on each 100 which had never been lent out at all. No one but Fabian could see that it was impossible to pay the interest - the extra money had never been issued, therefore someone had to miss out. It was true that Fabian spent some coins, but he couldn't possibly spend anything like 5% of the total economy on himself. There were thousands of people and Fabian was only one. Besides, he was still a goldsmith making a comfortable living. At the back of his shop Fabian had a strongroom and people found it convenient to leave some of their coins with him for safekeeping. He charged a small fee depending on the amount of money, and the time it was left with him. He would give the owner receipts for the deposit. When a person went shopping, he did not normally carry a lot of gold coins. He would give the shopkeeper one of the receipts to the value of the goods he wanted to buy. Shopkeepers recognised the receipt as being genuine and accepted it with the idea of taking it to Fabian and collecting the appropriate amount in coins. The receipts passed from hand to hand instead of the gold itself being transferred. The people had great faith in the receipts - they accepted them as being as good as coins. Before long, Fabian noticed that it was quite unusual for anyone to actually call for their gold coins. He thought to himself, "Here I am in possession of all this gold and I am still a hard working craftsman. It doesn't make sense. Why there are dozens of people who would be glad to pay me interest for the use of this gold which is lying here and rarely called for. It is true, the gold is not mine - but it is in my possession, which is all that matters. I hardly need to make any coins at all, I can use some of the coins stored in the vault." At first he was very cautious, only loaning a few at a time, and then only on tremendous security. But gradually he became bolder, and larger amounts were loaned. One day, a large loan was requested. Fabian suggested, "Instead of carrying all these coins we can make a deposit in your name, and then I shall give you several receipts to the value of the coins." The borrower agreed, and off he went with a bunch of receipts. He had obtained a loan, yet the gold remained in the strong-room. After the client left, Fabian smiled. He could have his cake and eat it too. He could "lend" gold and still keep it in his possession. Friends, strangers and even enemies needed funds to carry out their businesses - and so long as they could produce security, they could borrow as much as they needed. By simply writing out receipts Fabian was able to "lend" money to several times the value of gold in his strong-room, and he was not even the owner of it. Everything was safe so long as the real owners didn't call for their gold and the confidence of the people was maintained. He kept a book showing the debits and credits for each person - the lending business was proving to be very lucrative indeed. His social standing in the community was increasing almost as fast as his wealth. He was becoming a man of importance, he commanded respect. In matters of finance, his very word was like a sacred pronouncement. Goldsmiths from other towns became curious about his activities and one day they called to see him. He told them what he was doing, but was very careful to emphasize the need for secrecy. If their plan was exposed, the scheme would fail, so they agreed to form their own secret alliance. Each returned to his own town and began to operate as Fabian had taught. People now accepted the receipts as being as good as gold itself, and many receipts were deposited for safe keeping in the same way as coins. When a merchant wished to pay another for goods, he simply wrote a short note instructing Fabian to transfer money from his account to that of the second merchant. It took Fabian only a few minutes to adjust the figures. This new system became very popular, and the instruction notes were called "checks". Late one night, the goldsmiths had another secret meeting and Fabian revealed a new plan. The next day they called a meeting with all the Governors, and Fabian began. "The receipts we issue have become very popular. No doubt, most of you Governors are using them and you find them very convenient." They nodded in agreement and wondered what the problem was. "Well", he continued, "some receipts are being copied by counterfeiters. This practice must be stopped." The Governors became alarmed. "What can we do?" they asked. Fabian replied, "My suggestion is this - first of all, let it be the Government's job to print new notes on a special paper with very intricate designs, and then each note to be signed by the chief Governor. We goldsmiths will be happy to pay the printing costs, as it will save us a lot of time writing out receipts". The Governors reasoned, "Well, it is our job to protect the people against counterfeiters and the advice certainly seems like a good idea." So they agreed to print the notes. "Secondly," Fabian said, "some people have gone prospecting and are making their own gold coins. I suggest that you pass a law so that any person who finds gold nuggets must hand them in. Of course, they will be reimbursed with notes and coins." The idea sounded good and without too much thought about it, they printed a large number of crisp new notes. Each note had a value printed on it - $1, $2, $5, $10 etc. The small printing costs were paid by the goldsmiths. The notes were much easier to carry and they soon became accepted by the people. Despite their popularity however, these new notes and coins were used for only 10% of transactions. The records showed that the check system accounted for 90% of all business. The next part of his plan commenced. Until now, people were paying Fabian to guard their money. In order to attract more money into the vault Fabian offered to pay depositors 3% interest on their money. Most people believed that he was re-lending their money out to borrowers at 5%, and his profit was the 2% difference. Besides, the people didn't question him as getting 3% was far better than paying to have the money guarded. The volume of savings grew and with the additional money in the vaults, Fabian was able to lend $200, $300, $400 sometimes up to $900 for every $100 in notes and coins that he held in deposit. He had to be careful not to exceed this nine to one ratio, because one person in ten did require the notes and coins for use. If there was not enough money available when required, people would become suspicious, especially as their deposit books showed how much they had deposited. Nevertheless, on the $900 in book figures that Fabian loaned out by writing checks himself, he was able to demand up to $45 in interest, i.e. 5% on $900. When the loan plus interest was repaid, i.e. $945, the $900 was cancelled out in the debit column and Fabian kept the $45 interest. He was therefore quite happy to pay $3 interest on the original $100 deposited which had never left the vaults at all. This meant that for every $100 he held in deposits, it was possible to make 42% profit, most people believing he was only making 2%. The other goldsmiths were doing the same thing. They created money out of nothing at the stroke of a pen, and then charged interest on top of it. True, they didn't coin money, the Government actually printed the notes and coins and gave it to the goldsmiths to distribute. Fabian's only expense was the small printing fee. Still, they were creating credit money out of nothing and charging interest on top of it. Most people believed that the money supply was a Government operation. They also believed that Fabian was lending them the money that someone else had deposited, but it was very strange that no one's deposits ever decreased when a loan was advanced. If everyone had tried to withdraw their deposits at once, the fraud would have been exposed. When a loan was requested in notes or coins, it presented no problem. Fabian merely explained to the Government that the increase in population and production required more notes, and these he obtained for the small printing fee. One day a thoughtful man went to see Fabian. "This interest charge is wrong", he said. "For every $100 you issue, you are asking $105 in return. The extra $5 can never be paid since it doesn't exist. Farmers produce food, industry manufacturers goods, and so on, but only you produce money. Suppose there are only two businessmen in the whole country and we employ everyone else. We borrow $100 each, we pay $90 out in wages and expenses and allow $10 profit (our wage). That means the total purchasing power is $90 + $10 twice, i.e. $200. Yet to pay you we must sell all our produce for $210. If one of us succeeds and sells all his produce for $105, the other man can only hope to get $95. Also, part of his goods cannot be sold, as there is no money left to buy them. He will still owe you $10 and can only repay this by borrowing more. The system is impossible." The man continued, "Surely you should issue 105, i.e. 100 to me and 5 to you to spend. This way there would be 105 in circulation, and the debt can be repaid." Fabian listened quietly and finally said, "Financial economics is a deep subject, my boy, it takes years of study. Let me worry about these matters, and you look after yours. You must become more efficient, increase your production, cut down on your expenses and become a better businessman. I am always willing to help in these matters." The man went away still unconvinced. There was something wrong with Fabian's operations and he felt that his questions had been avoided. Yet, most people respected Fabian's word - "He is the expert, the others must be wrong. Look how the country has developed, how our production has increased - we must be better off." To cover the interest on the money they had borrowed, merchants were forced to raise their prices. Wage earners complained that wages were too low. Employers refused to pay higher wages, claiming that they would be ruined. Farmers could not get a fair price for their produce. Housewives complained that food was getting too dear. And finally some people went on strike, a thing previously unheard of. Others had become poverty stricken and their friends and relatives could not afford to help them. Most had forgotten the real wealth all around - the fertile soils, the great forests, the minerals and cattle. They could think only of the money which always seemed so scarce. But they never questioned the system. They believed the Government was running it. A few had pooled their excess money and formed "lending" or "finance" companies. They could get 6% or more this way, which was better than the 3% Fabian paid, but they could only lend out money they owned - they did not have this strange power of being able to create money out of nothing by merely writing figures in books. These finance companies worried Fabian and his friends somewhat, so they quickly set up a few companies of their own. Mostly, they bought the others out before they got going. In no time, all the finance companies were owned by them, or under their control. The economic situation got worse. The wage earners were convinced that the bosses were making too much profit. The bosses said that their workers were too lazy and weren't doing an honest day's work, and everyone was blaming everyone else.The Governors could not come up with an answer and besides, the immediate problem seemed to be to help the poverty stricken. They started up welfare schemes and made laws forcing people to contribute to them. This made many people angry - they believed in the old-fashioned idea of helping one's neighbour by voluntary effort. "These laws are nothing more than legalised robbery. To take something off a person against his will, regardless of the purpose for which it is to be used, is no different to stealing." But each man felt helpless and was afraid of the jail sentence which was threatened for failing to pay. These welfare schemes gave some relief, but before long the problem was back and more money was needed to cope. The cost of these schemes rose higher and higher and the size of the Government grew. Most of the Governors were sincere men trying to do their best. They didn't like asking for more money from their people and finally, they had no choice but to borrow money from Fabian and his friends. They had no idea how they were going to repay. Parents could no longer afford to pay teachers for their children. They couldn't pay doctors. And transport operators were going out of business. One by one the government was forced to take these operations over. Teachers, doctors and many others became public servants. Few obtained satisfaction in their work. They were given a reasonable wage, but they lost their identity. They became small cogs in a giant machine. There was no room for personal initiative, little recognition for effort, their income was fixed and advancement came only when a superior retired or died. In desperation, the governors decided to seek Fabian's advice. They considered him very wise and he seemed to know how to solve money matters. He listened to them explain all their problems, and finally he answered, "Many people cannot solve their own problems - they need someone to do it for them. Surely you agree that most people have the right to be happy and to be provided with the essentials of life. One of our great sayings is "all men are equal" - is it not?" Well, the only way to balance things up is to take the excess wealth from the rich and give it to the poor. Introduce a system of taxation. The more a man has, the more he must pay. Collect taxes from each person according to his ability, and give to each according to his need. Schools and hospitals should be free for those who cannot afford them " He gave them a long talk on high sounding ideals and finished up with, "Oh, by the way, don't forget you owe me money. You've been borrowing now for quite some time. The least I can do to help, is for you to just to pay me the interest. We'll leave the capital debt owing, just pay me the interest." They went away, and without giving Fabian's philosophies any real thought, they introduced the graduated income tax - the more you earn, the higher your tax rate. No one liked this, but they either paid the taxes or went to jail. Merchants were forced once again to raise their prices. Wage earners demanded higher wages forcing many employers out of business, or to replace men with machinery. This caused additional unemployment and forced the Government to introduce further welfare and handout schemes. Tariffs and other protection devices were introduced to keep some industries going just to provide employment. A few people wondered if the purpose of the production was to produce goods or merely to provide employment. As things got worse, they tried wage control, price control, and all sorts of controls. The Government tried to get more money through sales tax, payroll tax and all sorts of taxes. Someone noted that from the wheat farmer right through to the housewife, there were over 50 taxes on a loaf of bread. "Experts" arose and some were elected to Government, but after each yearly meeting they came back with almost nothing achieved, except for the news that taxes were to be "restructured", but overall the total tax always increased. Fabian began to demand his interest payments, and a larger and larger portion of the tax money was being needed to pay him. Then came party politics - the people started arguing about which group of Governors could best solve the problems. They argued about personalities, idealism, party labels, everything except the real problem. The councils were getting into trouble. In one town the interest on the debt exceeded the amount of rates which were collected in a year. Throughout the land the unpaid interest kept increasing - interest was charged on unpaid interest. Gradually much of the real wealth of the country came to be owned or controlled by Fabian and his friends and with it came greater control over people. However, the control was not yet complete. They knew that the situation would not be secure until every person was controlled. Most people opposing the systems could be silenced by financial pressure, or suffer public ridicule. To do this Fabian and his friends purchased most of the newspapers, T.V. and radio stations and he carefully selected people to operate them. Many of these people had a sincere desire to improve the world, but they never realised how they were being used. Their solutions always dealt with the effects of the problem, never the cause. There were several different newspapers - one for the right wing, one for the left wing, one for the workers, one for the bosses, and so on. It didn't matter much which one you believed in, so long as you didn't think about the real problem. Fabian's plan was almost at its completion - - - the whole country was in debt to him. Through education and the media, he had control of people's minds. They were able to think and believe only what he wanted them to. After a man has far more money than he can possibly spend for pleasure, what is left to excite him? For those with a ruling class mentality, the answer is power - raw power over other human beings. The idealists were used in the media and in Government, but the real controllers that Fabian sought were those of the ruling class mentality. Most of the goldsmiths had become this way. They knew the feeling of great wealth, but it no longer satisfied them. They needed challenge and excitement, and power over the masses was the ultimate game. They believed they were superior to all others. "It is our right and duty to rule. The masses don't know what is good for them. They need to be rallied and organised. To rule is our birthright." Throughout the land Fabian and his friends owned many lending offices. True, they were privately and separately owned. In theory they were in competition with each other, but in reality they were working very closely together. After persuading some of the Governors, they set up an institution which they called the Money Reserve Centre. They didn't even use their own money to do this - they created credit against part of the money out of the people's deposits. This Institution gave the outward appearance of regulating the money supply and being a Government operation, but strangely enough, no Governor or public servant was ever allowed to be on the Board of Directors. The Government no longer borrowed directly from Fabian, but began to use a system of I.O.U.'s to the Money Reserve Centre. The security offered was the estimated revenue from next year's taxes. This was in line with Fabian's plan - removing suspicion from himself to an apparent Government operation. Yet, behind the scenes, he was still in control. Indirectly, Fabian had such control over the Government that they were forced to do his bidding. He boasted, "Let me control the nation's money and I care not who makes its laws." It didn't matter much which group of Governors were elected. Fabian was in control of the money, the life blood of the nation. The Government obtained the money, but interest was always charged on every loan. More and more was going out in welfare and handout schemes, and it was not long before the Government found it difficult to even repay the interest, let alone the capital. And yet there were people who still asked the question, "Money is a man-made system. Surely it can be adjusted to serve, not to rule?" But these people became fewer and their voices were lost in the mad scrabble for the non-existent interest. The adminstrations changed, the party labels changed, but the major policies continued. Regardless of which Government was in "power", Fabian's ultimate goal was brought closer each year. The people's policies meant nothing. They were being taxed to the limit, they could pay no more. Now the time was ripe for Fabian's final move. 10% of the money supply was still in the form of notes and coins. This had to be abolished in such a way as not to arouse suspicion. While the people used cash, they were free to buy and sell as they chose - they still had some control over their own lives. But it was not always safe to carry notes and coins. Checks were not accepted outside one's local community, and therefore a more convenient system was looked forward to. Once again Fabian had the answer. His organisation issued everyone with a little plastic card showing the person's name, photograph and an identification number. When this card was presented anywhere, the storekeeper phoned the central computer to check the credit rating. If it was clear, the person could buy what he wanted up to a certain amount. At first people were allowed to spend a small amount on credit, and if this was repaid within a month, no interest was charged. This was fine for the wage earner, but what businessman could even begin? He had to set up machinery, manufacture the goods, pay wages etc. and sell all his goods and repay the money. If he exceeded one month, he was charged a 1.5% for every month the debt was owed. This amounted to over 18% per years. Businessmen had no option but to add the 18% onto the selling price. Yet this extra money or credit (the 18%) had not been loaned out to anyone. Throughout the country, businessmen were given the impossible task of repaying $118 for every $100 they borrowed - but the extra $18 had never been created at all. Yet Fabian and his friends increased their standing in society. They were regarded as pillars of respectability. Their pronouncements on finance and economics were accepted with almost religious conviction. Under the burden of ever increasing taxes, many small businesses collapsed. Special licenses were needed for various operations, so that the remaining ones found it very difficult to operate. Fabian owned and controlled all of the big companies which had hundreds of subsidiaries. These appeared to be in competition with each other, yet he controlled them all. Eventually all competitors were forced out of business. Plumbers, panel beaters, electricians and most other small industries suffered the same fate - they were swallowed up by Fabian's giant companies which all had Government protections. Fabian wanted the plastic cards to eliminate notes and coins. His plan was that when all notes were withdrawn, only businesses using the computer card system would be able to operate. He planned that eventually some people would misplace their cards and be unable to buy or sell anything until a proof of identify was made. He wanted a law to be passed which would give him ultimate control - a law forcing everyone to have their identification number tattooed onto their hand. The number would be visible only under a special light, linked to a computer. Every computer would be linked to a giant central computer so that Fabian could know everything about everyone. ________________________________________________________ The story you have read is of course, fiction. But if you found it to be disturbingly close to the truth and would like to know who Fabian is in real life, a good starting point is a study on the activities of the English goldsmiths in the 16th & 17th centuries. For example, The Bank of England began in 1694. King William of Orange was in financial difficulties as a result of a war with France. The Goldsmiths "lent him" 1.2 million pounds (a staggering amount in those days) with certain conditions: a.The interest rate was to be 8%. It must be remembered that Magna Carta stated that the charging or collecting of interest carried the death penalty. b.The King was to grant the goldsmiths a charter for the bank which gave them the right to issue credit. Prior to this, their operations of issuing receipts for more money than they held in deposits was totally illegal. The charter made it legal. In 1694 William Patterson obtained the Charter for the Bank of England. © Larry Hannigan, Australia ~Quotations~ Encyclopaedia Britannica, 14th Edition - "Banks create credit. It is a mistake to suppose that bank credit is created to any extent by the payment of money into the banks. A loan made by a bank is a clear addition to the amount of money in the community." ~ Lord Acton, Lord Chief Justice of England, 1875 - "The issue which has swept down the centuries and which will have to be fought sooner or later is the People v. The Banks." ~ Mr Reginald McKenna, when Chairman of the Midland Bank in London - "I am afraid that ordinary citizens will not like to be told that the banks can, and do, create and destroy money. And they who control the credit of the nation direct the policy of governments, and hold in the hollow of their hands the destiny of the people. ~ Mr Phillip A. Benson, President of the American Bankers' Association, June 8 1939 - "There is no more direct way to capture control of a nation than through its credit (money) system." ~ USA Banker's Magazine, August 25 1924 - "Capital must protect itself in every possible manner by combination and legislation. Debts must be collected, bonds and mortgages must be foreclosed as rapidly as possible. When, through a process of law, the common people lose their homes they will become more docile and more easily governed through the influence of the strong arm of government, applied by a central power of wealth under control of leading financiers. This truth is well known among our principal men now engaged in forming an imperialism of Capital to govern the world. By dividing the voters through the political party system, we can get them to expend their energies in fighting over questions of no importance. Thus by discreet action we can secure for ourselves what has been so well planned and so successfully accomplished." ~ Sir Denison Miller - During an interview in 1921, when he was asked if he, through the Commonwealth Bank, had financed Australia during the First World War for $700 million, he replied; "Such was the case, and I could have financed the country for a further like sum had the war continued." Asked if that amount was available for productive purposes in this time of peace, he answered "Yes". ~ >From "Hand Over Our Loot, No. 2, by Len Clampett: "There are four things that must be available for paid work to take place: *The work to be done. *The materials to do the work. *The labor to do the work. *The money to pay for the work to be done. If any of those four things are missing, no paid work can take place. It is a naturally self-regulating system. If there is work to be done, and the material is available and the labour willing, all we have to do is create the money. Quite simple." Ask yourself why it was that depressions happened. All that went missing from the community was the money to buy goods and services. The labour was still available. The work to be done was still there. The materials had not disappeared, and the goods were readily available in the shops, or could be produced but for the want of money. ~ Extract from a letter written by Rothschild Bros of London to a New York firm of bankers on 25 June 1863: "The few who can understand the System (Cheque Money and Credits) will either be so interested in its profits, or so dependent on its favours, that there will be no opposition from that class. While on the other hand, the great body of people mentally incapable of comprehending the tremendous advantage that capital derives from the system, will bear its burdens without complaint and perhaps without even suspecting that the system is inimical (hostile, hurtful) to their interests. ~ The following quotation was reprinted in the Idaho Leader, USA, 26 August 1924, and has been read into Hansard twice: by John Evans MP, in 1926, and by M.D. Cowan M.P., in the Session of 1930-1931. In 1891 a confidential circular was sent to American bankers and their agents, containing the following statements: "We authorise our loan agents in the western States to loan our funds on real estate, to fall due on September 1st 1894, and at no time thereafter. On September 1, 1894, we will not renew our loans under any consideration. On September 1st we will demand our money - we will foreclose and become mortgagees in possession. We can take two-thirds of the farms west of the Mississippi and thousands of them east of the great Mississippi as well, at our own price. We may as well own three-fourths of the farms of the west and the money of the country. Then the farmers will become tenants, as in England." ~ >From "Hand Over Our Loot, No. 2" "In the United States, the issuing of money is controlled by the Federal Reserve Board. This is not a government department but a board of private bankers.Most of us would believe that the Federal Reserve is a federal arm of the national government.This is not trueIn 1913 President Woodrow Wilson signed the document that created the Federal Reserve, and committed the American people to debt slavery until such time as they awake from their slumber and overthrow this vicious tyranny." The understanding of this issue of money into the community can be best illustrated by equating money in the economy with tickets in a railway system. The tickets are printed by a printer who is paid for his work. The printer never claims the ownership of the tickets And we can never imagine a railway company refusing to give passengers seats on a train because it is out of tickets. By this same token, a government should never refuse people the access to normal commerce and trade by claiming it is out of money." Suppose the government borrows $10 million. It only costs the bankers a few hundred dollars to actually produce the funds, and a little more to do the book-keeping. Do you think it is fair that our citizens should struggle to keep their homes and families together, while the bankers grow fat on these profits? Credit created by a Government-owned bank is better than credit created by private banks, because there is no need to recover the money from people by way of taxes, and there is no interest attached to inflate the cost. The public work completed with the credit by the Government bank is the asset that replaces the money created when the work is finished. None of our problems will disappear until we correct the creation, supply and circulation of money. Once the money problem is solved, everything else will fall into place. Each of us can help to turn this ship around: *The first thing is to teach people. VERY FEW know about or understand this information yet. Please pass this information on to those on and off the net. *Research this subject for yourself to increase your understanding. *Join with others who want to return the control of government to the people. Remember - they are 'public SERVANTS'! We are not their servant. They should do OUR bidding. *Regardless of your political leanings, encourage your local Member to investigate and correct our money system. (They probably need to be educated too!). You can do this by email, letter, telephone or personal discussion. *Legislators receive an average of only 100 letters on any given issue. So if you write you opinion and get others to write, say 25 letters, you send a strong message. (Have a letter writing evening). *To contact members of Congress or the House of Representatives go to http://www.hugnet.com/Congress.htm FURTHER INFORMATION All You Were Never Told About the US Monetary System http://www.moneymaker.com/money/frbhist.htm Billions for the Bankers www.parascope.com/mx/fedm.htm Please advise us of other noteworthy links that you know of. "None of our problems will disappear until we correct the creation, supply and circulation of money. Once the money problem is solved, everything else will fall into place." I Want The Earth Plus 5% http://health.microworld.com/html/plus_5_.html "None of our problems will disappear until we correct the creation, supply and circulation of money. Once the money problem is solved, everything else will fall into place." I Want The Earth Plus 5% http://health.microworld.com/html/plus_5_.html - - --------------29E97873D749AEAF8665B844-- - ------- End of Forwarded Message ------- End of Forwarded Message

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IP: New Surveillance Face Mapping System
by Vladimir Z. Nuri 17 Dec '03

17 Dec '03

From: believer(a)telepath.com Subject: IP: New Surveillance Face Mapping System Date: Tue, 06 Oct 1998 08:54:09 -0500 To: believer(a)telepath.com Source: The London Independent U.K. Section http://www.independent.co.uk/ New spy system to 'map' suspects By Jason Bennetto, Crimes Correspondent A REVOLUTIONARY surveillance system that allows the police to automatically identify the faces of wanted criminals and suspects in seconds is to be tested on the streets of Britain for the first time. The "facial mapping" computer will be used to catch muggers, burglars and shoplifters, but it is expected to be extended to target other cases including wanted killers, terrorists and missing children. The Football Association is also interested in using the technology to help pick out known hooligans at matches. The system, known as Mandrake, is to be tested by Scotland Yard and Newham borough council in a six-month trial in east London, starting next week. A computer data base of faces of offenders will be compared with film taken by local authority surveillance cameras in shopping centres, streets and housing estates. The computer automatically "matches" the faces of suspects and triggers an alarm, warning the operator who then contacts the police. More than 1,000 images can be examined per second. It automatically ignores beards and moustaches so offenders cannot hide under disguises. Photo-fit images can also be included on the data base but tests show they are less accurate than photographs. The system was criticised yesterday by the civil rights organisation Liberty, which said it could fall foul of human rights and data protection legislation. However the developers of Mandrake, the police and local councils, believe the system could revolutionise CCTV and, if it proves successful, is likely to be used nation-wide. Facial recognition systems are already used in Texas to stop sham marriages and on the Mexican border to prevent illegal immigration. Under the trial, Scotland Yard is providing dozens of photographs of wanted offenders, often taken by surveillance cameras in shops and banks. It will also supply pictures of convicted criminals, mostly for offences such as street robbery, burglary, and repeat shoplifting. The images will be placed on the computer which measures dozens of key facial characteristics, such as the eye shape and size. The computer then scans all the faces picked out on CCTV and will sound an alarm if it makes a match. The picture of suspect and the person they supposedly resemble then automatically appear on the CCTV operator's screen along with a secret code number. The police are then sent the pictures and the number via computer. The product, which has been developed by Software and Systems International in Slough, west of London, can be used to catch criminals on the run or missing persons. More controversially, it can also be used to track suspects who the police believe may commit offences. In future the police, customs, and immigration officers could use it at ports to identify known terrorists, smugglers and other criminals attempting to enter the country. A Scotland Yard spokesman said the system had an 80 per cent "hit" rate. On the question of civil liberties, he argued: "If you are innocent you have nothing to worry about." It has been tested at Watford football ground, but the poor quality of the surveillance equipment made it difficult for the computer to make matches. ----------------------- NOTE: In accordance with Title 17 U.S.C. section 107, this material is distributed without profit or payment to those who have expressed a prior interest in receiving this information for non-profit research and educational purposes only. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml ----------------------- ********************************************** To subscribe or unsubscribe, email: majordomo(a)majordomo.pobox.com with the message: (un)subscribe ignition-point email@address ********************************************** www.telepath.com/believer **********************************************

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IP: Worth Reading: Fwd from Gary North: Y2K
by Vladimir Z. Nuri 17 Dec '03

17 Dec '03

From: believer(a)telepath.com Subject: IP: Worth Reading: Fwd from Gary North: Y2K Date: Mon, 05 Oct 1998 09:46:30 -0500 To: believer(a)telepath.com Forwarded from Gary North: ------------------- By now you know my concern over the Year 2000 Problem: the collapse of the division of labor. As Leonard Read wrote in "I, Pencil," no one knows how to make a pencil. It's too complicated: cut wood, carbon, paint, rubber, metal. A pencil can exist only because the division of labor exists. But if a pencil is too difficult to make, what about replacement parts for a dam? What about an automobile? But could this really happen? Wrong question: How will this not happen? There is not one compliant bank on earth, not one compliant public utility, not one compliant industry. Yet we have only 15 months to go. And in between now and then, worldwide panic will hit, making code-correction very difficult. Also, the latest estimate of embedded chips is 70 billion. The latest estimated failure rate for embedded systems is 10% to 20%. All of our management systems rely on mainframe computers. The people who ran the pre-computer management systems in 1965 have been fired or have retired. The knowledge they had went with them. They were replaced by digital idiot savants. These idiot savants are not flexible. Dustin Hoffman's character in Rainman was a model of flexibility compared to a computer. Computers do exactly what they were programmed to do. They do not listen to reason. They do not hear your screams. Their attitude is best expressed by Rhett Butler as he walked away from Scarlett for the last time. Look ahead. It's Friday, January 14, 2000. You are standing in front of a bank teller. You have stood in line for three hours. There is a line of 200 people behind you. You have your bank statement from last month. It says you have $4,517.22 in your checking account. But your checks have all bounced: "Account closed." Every account is automatically closed after two years of no activity, and your account had no activity from 1/1/1900 (00) to 1/1/1902 (02). Now you want your bounced checks cleared. The teller says, "I'm sorry. Our computer shows the account is closed." "Well, then, re-open it." "Are you making a deposit?" "No." "Then I can't re-open it." Problem: you now have no money. The account is closed. Your printed records are for last month. Maybe you spent all that money on Christmas. She has no idea. "I am not authorized to give you cash." (Well, maybe $200, by government decree.) What are you going to do? It will take many months to fix this for every depositor on earth. The banks will not survive for weeks. She has no authority to veto the computer. Nobody does. There is no alternative management system in place that will enable a bank's employees to fix the accounts and clear all checks and credit card transactions. All banks must stop accepting checks and credit card accounts until there is a way to clear the accounts. There is no way. Their management systems must be redesigned to go back to 1965, all over the world: a paper and ink system. But there is no time to do this. This would take years even if all the banks stayed up. But they will all go down. Any bank that is forced out of the capital markets for a week will go bankrupt -- two weeks, for sure. But if they are all out of the capital markets, there will be no capital markets. That means Western civilization will shut down: "Account closed." "Our computer is down." These four words may kill you. Literally. If you do not have financial reserves that are not electronic, these four words will strip you of your ability to buy and sell. And not just you: everyone. The division of labor will collapse. How will society produce a pencil? Or repair parts for a power generation plant? Think ahead. Sit down with a pen and paper. (It's good practice for the future.) Think of every situation in which your life would be disrupted by the words, "Our computer is down." If you could not get your immediate problem solved because of these for words, for just 60 consecutive days, what would happen to you? Think this through. Which local systems are threatened? Here is a preliminary list: banks, paychecks, supermarkets, drug stores (all prescriptions on computer), the water/sewer company, the electric utility, telephone service. If you lack imagination here, rent The Trigger Effect. Now let's move outward toward local emergency institutions. Think of the another missing 9 and two more 1's: 9-1-1. The police, the fire department, hospitals, ambulances. The phones may or may not be down, but 911 switchboards are only rarely compliant today. Now let's move farther outward into the world of capital: money market fund, mutual fund, pension fund, bond fund, insurance, second mortgages, Social Security, Medicare, Medicaid, IRS refunds. You just lost your retirement money. If your home burns down, you'll not get a replacement unless you have gold coins or cash to buy a used one. If you die, your wife will get nothing that isn't close at hand, i.e., in hand. "Our computer is down." This phrase will serve nicely as an epitaph for our civilization. Only if the computers don't go down, and also don't make bad calculations, can the West avoid this epitaph. But if they are not fixed, they will go down or go nuts. A BILLION LIVES LOST, IF THINGS GO FAIRLY WELL I have been writing for over a year on this with all the skill I have. I simply cannot get it across to all of you, or even to most of you. I am never at a loss for words, but I am at a loss for persuasion. I have been unable to persuade the vast majority of my readers, after almost two years, that if the division of labor collapses, we will lose millions of lives. Joe Boivin, who was the y2k director for Canada's Imperial Bank and Commerce until he quit, estimates that a billion people will die in 2000. He limits his discussion to the third world. I think we could lose half a billion in the urban West. Unthinkable? All right, show me how any large city will survive if the power goes off for 60 days, all railroad deliveries of grain and coal stop, all gasoline station pumps shut down, and there are no banks. Go on. I'm serious. Sit down and outline a scenario that will keep an urban population alive without mainframe computers. The army? There are 120 U.S. cities that the government has targeted as vulnerable to cyberwarfare. There are 1.4 million people in the entire U.S. military. Few have any training for riot control and food delivery. The government cannot provide such training without creating a panic. The military is dependent on the civilian communications system. How will 1.4 million untrained military personnel -- including the Navy -- police a destitute population of 60 million urban residents, not counting the suburbs? That's 11,666 people per city. But the large cities will get the lion's share. What about where you live? The bands of arsonists and rioters are loose in your city. What will your police do? I'll tell you: they will stay home if they are not being paid. And if the banks are down, they will not be paid. I know what you're thinking. "They just can't let this happen." What can "they" do to stop it? The United States is short 500,000 to 700,000 mainframe programmers. Roberto Vacca wrote The Coming Dark Age in 1973. He did not forecast y2k. If he had, the book would have been far more persuasive. His point was that our technology has extended beyond what we can understand. I was not impressed because that is true of the free market at all times. This is the genius of the free market. No one understands all of the interconnections, yet we prosper. So, I dismissed the book's thesis. What I did not see, and he did not see, was y2k. We have transferred to digital idiot savants all authority to make decisions that men found either too boring or too complex to make. We removed this decision-making authority from people and delegated it to machines. FROM ANALOGICAL TO DIGITAL AND BACK It's time to talk theology. Cornelius Van Til argued that men must think God's thoughts after Him -- analogically. God is a person. He's also three persons. We are persons. Our universe reflects God's personality. We don't live in an impersonal world. The biblical doctrine of the creation forces us to accept the doctrine of cosmic personalism. Modern computers do not think. They count. But modern man since the Renaissance has believed that number, not God's written revelation, is the touchstone of truth. He has believed that mankind's inability to comprehend (surround mentally) the infinitely complex universe can be compensated for. Man can use numerical formulas to substitute for omniscience. He can take a shortcut to omniscience. He can develop numerical formulas that allow him to control the external world, which is controlled by number. Why a capacity of the mind -- numerical coherence -- should also control the external realm is a great mystery. In fact, as Nobel Prize physicist Eugene Wigner said in a 1960 essay, the effectiveness of number in science is unreasonable. But it does work within creation's limits. Men have sought numerical shortcuts to cosmic knowledge and cosmic power. They have found many shortcuts, and on these shortcuts modern science rests. But then, in the 1950's, programmers took another shortcut -- a digital shortcut. They saved two holes out of 80 in IBM punch cards. This seemingly minor shortcut has brought society to the brink of destruction. We are not lemmings rushing to destruction. We are sheep being driven toward a cliff by idiot savants, to whom we have delegated control over our affairs. Man worships science and its shortcuts. He worships the creations made by his own hands and mind. We will soon find that such idolatry is always deadly. Modern man thinks he has shoved God out of the universe. He has used Darwinism and a theory of vast cosmic impersonal time to remove Him from man's newly acquired domain. Natural selection has replaced God's purpose. Cosmic time has replaced the six-day creation. But now we face the institutional monstrosity of the digital impersonalism of the idiot savants. Computers can count. Can they ever count! But the dates they use after '99 will be wrong. WHAT WILL YOU DO? You should now have a list of services and goods that will no longer be provided if the computers go down. It's a long list. You need a second list. What items must you buy now that can substitute for these lost services? You can't afford to buy them all. There will be a panic to buy such goods next year. It has already begun (e.g., Chinese diesel generators). Where will you get the fuel for a generator? Electricity for a well pump? Propane for a cook stove? Heat in the winter? Think of Montreal last January. But will the computers go down? Senator Robert Bennett said it well on July 14 at a National Press Club speech. If 2000 were the next day, this civilization might collapse. But, he said, we can save it between July 15 and Jan. 1, 2000. To which I reply: How? What is being done, worldwide, to avoid the death of the computers? Not just in the U.S. -- worldwide? Almost nothing. There are not enough skilled programmers. I suppose you get tired of reading about this. I am surely tired of writing it. But until I can no longer mail this newsletter, or until all the computers are fixed in late 1999, I will continue to nag you . . . not to death -- to life. As it stands today, if tomorrow were 2000, we would see the end of this civilization in 60 days. If you think I'm wrong, jot down those life-support systems that are 2000- compliant today. It's an empty list. How will we get from empty to fixed, worldwide, in the next 15 months? This is not a trick question. It's a life-and-death question. Do you have an answer and a contingency plan? Don't wait for leadership on this matter. Leaders are in y2k denial. You must lead. If you won't, who will? You are responsible for you. What will you do? How soon? Sincerely, Gary North ********************************************** To subscribe or unsubscribe, email: majordomo(a)majordomo.pobox.com with the message: (un)subscribe ignition-point email@address ********************************************** www.telepath.com/believer **********************************************

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IP: Y2K- a futurist view: Society not resilient enough to withstand
by Vladimir Z. Nuri 17 Dec '03

17 Dec '03

From: "A.C." <angie(a)computerhut.net> Subject: IP: Y2K- a futurist view: Society not resilient enough to withstand Date: Sun, 04 Oct 1998 21:26:27 -0700 To: ignition-point(a)majordomo.pobox.com change + 2 more related articles. Sender: owner-ignition-point(a)majordomo.pobox.com Precedence: list Reply-To: "A.C." <angie(a)computerhut.net> "However, he warns that our present economic and institutional=20 structures have milked communities and individuals of their=20 resilience to handle major and abrupt change such as Y2K may unleash." >> > >Watershed for life as we know it >By JOHN MACLEAY >29 Sep '98 > >ROBERT Theobald is a futurist who sees the year 2000 computer glitch=20 >as a potential watershed for global civilisation.=20 > >Theobald, a British-born economist based in the US, says the year=20 >2000 - or Y2K - computer bug will have as big an impact on the global=20 >economy as the oil shocks of the 1970s.=20 > >On a more sobering note, Y2K is already shaping up as the biggest=20 >technological fix in history. It will cost the US alone at least=20 >$US600 billion ($1034 billion) and possibly $US1 trillion - double=20 >what it spent on the Vietnam War when adjusted for inflation.=20 > >Theobald, who for 37 years has advocated the need for change to a=20 >more sustainable economy, says Y2K just might be that catalyst, given=20 >the "inertia" of the current system.=20 > >But he says that how Y2K will change our lives will depend largely on=20 >the degree to which governments and individuals prepare themselves=20 >between now and December 31 next year.=20 > >"For me, Y2K is only the beginning of the shocks that are going to=20 >come as we begin to realise that technology does not resolve all of=20 >our problems," Theobald says.=20 > >Theobald, who is in Australia to promote his latest book, Reworking=20 >Success, says that if handled successfully, Y2K could lead to a more=20 >decentralised economy and political decision-making process.=20 > >However, he warns that our present economic and institutional=20 >structures have milked communities and individuals of their=20 >resilience to handle major and abrupt change such as Y2K may unleash.=20 > > >Theobald says community resilience will determine whether Y2K is=20 >treated as a natural disaster or whether it will be seen as another=20 >technological blunder by those above.=20 > >Theobald's big fear is that large-scale anger caused by Y2K=20 >disruptions could lead to a breakdown in social order, especially in=20 >the larger US cities, which will be the hardest areas to organise for=20 >Y2K at a neighbourhood and sub-neighbourhood level.=20 > >"I believe the core issue on (handling) this Y2K thing is to start at=20 >the sub-neighbourhood level so that you can say you know who will=20 >need things.=20 > >"If we don't do anything, the chances of a major breakdown in public=20 >order, which has already been seen in Indonesia and elsewhere around=20 >the world in one way or another, is a very real threat.=20 > >"And without far more intelligence being put in to handle this, I'd=20 >say a global slump is a very real possibility, and a significant=20 >collapse is not off the cards either."=20 > >However, while Theobald canvasses the dark side of the millennium=20 >glitch, he also dissociates himself from the so-called cyber- >survivalists. These are people, mostly in the US, who are prepared to=20 >ride out the Y2K bug by stocking food and hiding away in isolation.=20 > >Theobald has been putting his words into action by working closely=20 >with his local neighbourhood in Spokane, Washington State, on Y2K=20 >preparedness.=20 > >His efforts were recognised last year by the Institute for Social=20 >Innovation in Britain, which awarded him a prize.=20 > >The institute's other recipient was former computer programmer Paloma=20 >O'Reilly, founder of the Cassandra Project, a community-based Y2K=20 >preparedness group that has been examining and preparing for self- >sufficiency in all areas that could be millennium-glitch affected,=20 >including power, water and food distribution.=20 > >"What we do as individuals, as societies and communities over the=20 >next few months will make an enormous difference to how serious Y2K=20 >becomes," says Theobald.=20 > >"This is a fairly established position. I'm one person among many.=20 > >"When you consider the very well established companies and the=20 >enormous sums of money being spent on this, what I say is not out of=20 >the ordinary.=20 > >"But what disturbs most is that the dominant message in our culture=20 >at the moment is not about Y2K preparedness."=20 --------------------------------------------------------------------- Boston Top Stories Spotlight Boston October 2, 1998 =A0=20 Texas city stages test of `Y2K' doomsday effects=20 By Chris Newton/Associated Press=20 A cold front was icing streets and causing power outages. A riot at a=20 prison outside town was using up valuable police resources. To make=20 matters worse, the 911 emergency system was broken. The nightmare scene didn't really happen, but Lubbock officials=20 imagined it did Wednesday as part of a test of how the city could=20 react if, as many fear, computers driving vital public systems fail=20 to recognize the year 2000. The west Texas city of more than 180,000 people didn't test any=20 equipment but rather conducted a drill to see how city personnel=20 responded to mock crises. It was called the first such citywide=20 simulation of the problem in the nation. City manager Bob Cass, scheduled to testify about the experience=20 Friday before a U.S. Senate committee, said the clear lesson was that=20 cities risk being blindsided if they don't work on contingency plans=20 for the worst-case ``Y2K'' scenario. ``This is the one disaster that we know exactly when it could occur,=20 but it's also the one disaster that we have no idea how bad it will=20 be,'' Cass said. ``One thing that sticks out in my mind is that there=20 is the potential for so many things to go wrong all at once.'' Some computer scientists fear the Y2K bug could cause water systems=20 to shut down, traffic lights to go haywire or life-support systems to=20 fail. When a Chrysler plant ran a Y2K test on a computer system, it=20 was discovered that security doors were stuck closed. The Lubbock experiment coupled such effects with mock emergencies=20 that would make for an extra-busy night at the police department. ``Our simulation took into account things like slick roads and=20 traffic accidents that would be standard fare for New Year's Eve,''=20 Cass said. The test was essentially a role-playing game. Exactly what or when the ``disasters'' would occur was kept secret=20 until the drills started Wednesday evening. The only thing announced=20 was a four-hour window, starting at 5 p.m., when anything could=20 happen. Test conductors sent e-mail messages to city officials notifying them=20 of mock natural disasters or failed systems. Emergency officials,=20 including police, fire and utility workers, then had to react. A=20 system was set up to judge response times. At emergency management headquarters, officials frantically practiced=20 deploying police officers to deal with problems and posted red flags=20 on a giant city map to highlight emergency areas. The illusion was made complete with reporters summoned for ``news=20 conferences'' and mock reports from a National Weather Service=20 official. As the drill began, officials were told the city's 911 emergency=20 system had failed. Officials quickly switched over to a county system=20 and broadcast two new police and fire department emergency numbers on=20 television. Cass said city workers improvised well when unexpected problems arose. ``We pulled together and acted like a team,'' he said. ``A lot of=20 these agencies aren't used to dealing with each other like they had=20 to tonight.'' Mayor Windy Sitton said the test revealed that Lubbock needs to study=20 how to better respond to natural gas shortages. When fake gas outages=20 left hundreds of homes without heat, officials had to devise a plan=20 to set up shelters in the parts of town that still had power. ------------------------------------------------------------------ The Kansas City Star=20 Y2k Nervous world seeks ways to exterminate the year 2000 bug By DAVID HAYES and FINN BULLERS - Staff Writers Date: 09/26/98 22:15 Marilyn Allison has spent the last three years making sure computers=20 at Blue Cross and Blue Shield of Kansas City don't fail after the=20 ball drops on New Year's Eve 1999.=20 Allison is confident Blue Cross has the problem well in hand. And she=20 thinks most of Kansas City does, too.=20 But she still is planning to sock away enough food, water, cash and=20 firewood to last a couple of weeks in case everything does go haywire=20 on Jan. 1, 2000.=20 There's the rub of the year 2000 bug, a glitch that could cause some=20 computers, machinery, medical equipment, utilities and VCRs to quit=20 working, or spit out bad information, when the 1900s become the 2000s. Nobody really knows what's going to happen.=20 The problem stems from computer systems and billions of embedded=20 computer chips that might read the "00" in a computer program as 1900=20 rather than 2000.=20 Edward Yardeni, one of the nation's leading economists, forecasts a=20 70 percent chance of global recession because of the bug. Another=20 leading forecaster, David Wyss, chief economist for Standard & Poor's, doesn't expect significant disruption. He even contends the=20 resulting fallout might be fun -- if we keep a sense of humor about=20 it.=20 But everyone acknowledges something is coming down the tracks, said=20 Leon Kappelman, a university professor and author who is spending=20 much of his time these days talking about the year 2000 problem.=20 "The uncertainty is whether it's a locomotive or a bicycle,"=20 Kappelman said. "And it's difficult to get definitive evidence."=20 Until now there hasn't been much information to rely on. Some credit=20 cards with "00" expiration dates have been rejected. A 104-year-old=20 Minnesota woman was invited to report to kindergarten, and a computer=20 docked an Olathe couple $17,800 for insurance premiums.=20 But those are just scattered hints of the trouble to come. The real=20 warning lies in our growing reliance on vast networks of technology -- a single misfire in the wrong place can sabotage lives in far-flung=20 places.=20 For example, when just one satellite malfunctioned in May, millions=20 of pagers and automated teller machines went out for two days. An ice=20 storm in eastern Canada knocked out part of the country's power grid=20 and shut off power to millions of people for more than a week.=20 Think if all of that -- and more -- happened on one day: Jan. 1, 2000, a Saturday.=20 American businesses rely on computers to do almost everything. They=20 run huge manufacturing machines, answer telephones, pay employees and=20 control alarm systems.=20 Federal government computers track airliners, generate Social=20 Security checks, and control satellites in space and missiles on the=20 ground. Cities use computers to run traffic lights and dispatch=20 police officers.=20 Utilities use them to operate water and sewage systems. Grocery=20 stores use them to keep track of stock and place orders.=20 Even more important than the software that runs those computers are=20 the tiny, embedded computer chips buried in the guts of technological=20 gadgets, heavy machinery, airliners and even granddad's pacemaker.=20 There are 40 billion of the chips, most of them hard or impossible to=20 test, said Dave Hall, an expert with the CABA Corp. in Oak Brook, Ill. =20 Estimates vary on how many of those chips will fail. Hall says 1=20 percent. Others say failures could go as high as 10 percent -- and=20 even higher in some medical equipment.=20 Even a 1 percent failure rate means 400 million chips would fail.=20 Kappelman, the University of North Texas professor, thinks the=20 interrelationships between all those elements will cause serious=20 disruptions.=20 For instance, it's unlikely that America's electric utilities will be=20 caught unprepared on the last New Year's Eve of the 1900s. In fact,=20 an industry report released last week said utility problems seemed to=20 be fewer -- and easier to fix -- than expected.=20 But if only a few plants shut down on Jan. 1, 2000, the strain on the=20 rest of the power grid could trip a cascading failure that causes=20 widespread brownouts or blackouts.=20 "This will change the way we see the world," Kappelman said. "We'll=20 see our dependence on technology in a whole new way."=20 The fix is in?=20 Even if embedded chips are hard to check, the software problem=20 shouldn't seem too difficult to fix -- on the surface, at least.=20 For decades, computers have been programmed to recognize dates using=20 six digits: today's date is 09/27/98. When the calendar rolls over at=20 midnight on New Year's Eve 1999, computers that haven't been taught=20 differently will see the year as 1900 or some other date entirely. If=20 they work at all.=20 So solve the problem. Add a couple of numbers to the programming code. No big deal, right?=20 It's become a very big deal. For Sprint Corp., that small fix means=20 programmers must pore over 80 million lines of code. The fix will=20 take two years.=20 Big business thinks the problem is so significant that fixing it has=20 become a big business.=20 Sprint Corp. is spending $200 million on year 2000 repairs; Hallmark=20 Cards, $25 million; Blue Cross in Kansas City, $25 million; UMB Bank,=20 $22 million; Yellow Corp., $17 million. Johnson County taxpayers will=20 pay $17.2 million to fix that county's year 2000 problems.=20 All told, the fix in the Kansas City area will easily top the $400=20 million mark. Worldwide, the total is estimated at $300 billion to=20 $600 billion. Entire companies have sprouted just to deal with the year 2000 bug.=20 More than 140 public companies, ranging from Acceler8 Technology to=20 Zmax Corp., are touting their solutions.=20 Where there's a problem, there's a lawyer. Law firms have established=20 special teams just to handle potential litigation from the year 2000=20 problem.=20 Companies that cater to survivalists are hawking canned or dried food=20 and survival gear to those with year 2000 angst.=20 That type of hype is spreading across the Internet on hundreds of=20 year 2000 Web sites. A few of the most radical year 2000 worriers=20 already have moved to rural areas to get away from what they think=20 will be urban chaos when the lights go out and the food supply chain=20 breaks down.=20 Cynthia Ratcliffe of Pleasant Valley, a disabled former office worker, can't afford to move. But she's worried.=20 "I'm figuring at least six months of everything being messed up,"=20 said Ratcliffe, who's stocking up on canned food and kerosene lamps.=20 She's worried that those who have prepared will become targets for=20 those who haven't.=20 "I'm contemplating whether I should get some 2-by-4s to put bars over=20 the doors and windows," Ratcliffe said. "I'm trying to decide whether=20 I should buy a weapon."=20 One expert sees self-interest driving much of the panic.=20 Consultants benefit from the year 2000 fear that helps pay their=20 skyrocketing fees, said Nicholas Zvegintzov, president of Software=20 Management Network of New York and a programmer for 35 years.=20 Politicians also benefit from a puffed-up problem they can fix=20 without much effort.=20 "Unfortunately, there's no political clout in common sense,"=20 Zvegintzov said.=20 Sen. Bob Bennett, a Utah Republican who coordinates the Senate's year=20 2000 efforts, isn't doing anything to add to the national calm.=20 In a July 15 speech to the National Press Club in Washington, Bennett=20 told journalists to expect electrical brownouts and regional=20 blackouts. He predicts some banks will go bankrupt and some water=20 systems will break down.=20 Such alarm might actually be good, said Heidi Hooper, year 2000=20 director for the Information Technology Association of America. She=20 said the general public could use a serious wake-up call.=20 "These huge Fortune 100 companies are spending, collectively,=20 billions and billions of dollars. I don't think that's hype," she=20 said. "They are not going to spend that money for no reason. They=20 know, bottom line, that if they are going to make money they have to=20 stay in business."=20 But for some businesses to stay afloat, other businesses will have to=20 drown, she said.=20 "What we need, unfortunately, is examples of failures," Hooper said.=20 "That's going to start soon enough in 1999. And the private sector is=20 not going to share that information, so it's going to have to be up=20 to the federal government to step in."=20 But the federal government is in no shape to provide leadership.=20 Overall, one congressman gave the federal government a "D" on its=20 most recent year 2000 preparedness report card, up from the "F" it=20 received in June.=20 "This is not a grade you take home to your parents," said Rep. Steve=20 Horn, a California Republican and chairman of the House subcommittee=20 on government management of information and technology.=20 Horn predicts the government will not be able to fix a substantial=20 number of "mission critical" systems by 2000. And the price tag to=20 fix the 24 governmental departments surveyed is $6.3 billion, up $1=20 billion from the estimate given by the Office of Management and=20 Budget.=20 "The executive branch has a deadline that cannot be extended," Horn=20 said. "There is no margin for error."=20 Closer to home, Kansas City is requiring all city departments to=20 submit contingency plans by October for dealing with the year 2000=20 problem.=20 What to look for: Will traffic lights work? Will prisoners be=20 released early if a computer mistakenly thinks an inmate has been=20 jailed for more than 100 years? Will fire trucks start, and what is=20 the backup plan if they don't?=20 "You don't want to overreact, and we're not," said John Franklin,=20 assistant city manager. "But there is a real issue here for public=20 managers that's kind of scary."=20 Elsewhere, Water District No. 1 of Johnson County will spend $1.56=20 million to fix 4,109 computer programs and 701,021 lines of code by=20 the end of next summer. The district says the job is 75 percent=20 complete, and General Manager Byron Johnson said he was confident the=20 district would be prepared.=20 But experts aren't prepared to declare victory.=20 "My whole theme from day one is we need answers," said Yardeni, the=20 Yale economist and managing director of Deutsche Bank Securities.=20 "I'm not trying to foment panic. I'm not trying to create revolution.=20 But you have to be a naive optimist to think things are going to be=20 pretty relaxed Jan. 1, 2000."=20 ********************************************** To subscribe or unsubscribe, email: majordomo(a)majordomo.pobox.com with the message: (un)subscribe ignition-point email@address ********************************************** www.telepath.com/believer **********************************************

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