India vs Colgate on Biopiracy

SUBHEAD: India has declared traditional medicinal recipes are un-patentable and Colgate claims one on their herbal toothpaste.

Image above: Neem twigs for sale, photo: Meena Kadri/Creative Commons

By Bonnie Alter on 22 October 2010 for TreeHugger.org - (http://www.treehugger.com/files/2010/10/did-colgate-steal-tootpaste-recipe.php) It's the battle of the toothpaste titans: In the red corner we have Colgate Palmolive, the the world's largest producer of toothpaste, who have taken out a patent for an Indian herbal toothpaste. In the blue corner we have the Ayurvedic medicine manufacturers who are disputing the patent, calling it an act of biopiracy. Who will strike the knock out blow?

The president of the Association of Manufacturers of Ayurvedic Medicine says that the patent is bogus because the ingredients date back to antiquity and have been used in traditional medicine for thousands of years--clove oil, camphor, black pepper and spearmint.

Colgate Palmolive claims that their groundbreaking "red herbal dentifrice" uses red iron oxide, which is different than the ingredients in the traditional toothpaste.

It's a battle of big business: The toothpaste sales to a huge country like India could be worth billions of dollars. But to the Indians it is a battle for their culture. Who owns India's folk medicines and how can you patent something that has been around for thousands of years?

More info: Daily Mail

India Has Declared Traditional Medicinal Recipes Un-Patentable As a developing country, India has long been concerned about intellectual property rights and the ownership of knowledge. A few years ago, Indians were shocked when an American company tried to patent turmeric--a spice and healing powder that is widely available in markets across the country.

The country also fought a 10-year battle to overturn a patent for an anti-fungal product, derived from neem that was awarded to a multinational company. The government successfully argued that the medicinal neem tree is part of traditional Indian knowledge.

In an attempt to head off further acts of biopiracy and patenting of traditional knowledge and remedies, in 2009 India legally declared all traditional medicinal recipes "public property".

So, should it be determined that Colgate's recipe has indeed existed as a traditional medicine in India, or that red iron oxide is not different enough from traditional recipes, Colgate may well have a fight ahead.

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Nations Band Together Against Biopiracy India is not the only country worried about their folk heritage and its worth. Seventeen countries have come together to form the Group of Like-Minded Megadiverse Countries. The group which includes Bolivia, Brazil, Indonesia and Kenya, has been created to "act as a mechanism of cooperation to promote their interests regarding biological diversity and in particular the protection of traditional knowledge, access to genetic resources and the fair and equitable sharing of benefits derived from their use."

More on Herbal & Natural Remedies Herbal Remedies for Stress Mountain Rose Herbs Organic Essential Oils

The Tombstone Blues

Bottom line is that banks are toast. The Fed is toast. The Dollar is toast.
Image above: Haunted house in a graveyard. From (http://bobbypotter.com/wallpaper/34271-haunted-house-screen-saver.jpg).
The latest version of Pretend - going on a couple of weeks now - is the nation whistling past the graveyard of mortgage documentation fraud while skeletons dance around everything connected with the money system. Halloween came early this year. The USA is getting to look like one big Masque of the Red Death, so I suppose it's convenient that our pop culture has been saturated with vampires, zombies, and werewolves for a decade, coincident with the self-cannibalizing of our economy. Something in the zeitgeist told us to get with the program of a twilight existence. We're well-schooled now in the ways of the undead, operating under cover of darkness, going for the neck at every opportunity, even eating our young - if you consider the debt orgy, both private and public, as a way to party like it's 1999 by consuming your children's' future.
The big banks leading the charge of the anthropophagi are making like it's no big deal that notes representing money lent have become mysteriously dissociated from the mortgages that secure them. In the good old days, these things traveled in pairs, like boy-and-girl, Laurel and Hardy, a horse and carriage. It made for straight-forward property transfers, where Person A could be confident he was buying something free and clear from Person B. What a quaint concept, free and clear!
Nowadays, these documents can hardly be located at all - not such a surprise, really, since they were ground out like e-coli infested bratwursts in strip-mall boiler rooms run by former used car salesmen, and pawned off wholesale (literally) on banks who served them up sliced-and-diced, sloppy Joe style, on CDO buns to credulous pension funds, cretinous insurance company yobs, double-digit IQ college endowment managers, and other such nitwits bethinking themselves the reincarnation of Bernard Baruch, not to mention foreign sovereign nations who bought this smallpox-blanket-grade investment paper by the container-ship-load and, finally, the innovative geniuses at the very banks who engineered the stuff and got stuck with tons of it themselves when, as they say, the music stopped.
The Big Picture looks even worse when you figure in the mischief of so-called synthetic CDOs that represent the multiple securitizations of single underlying mortgages - God knows how many times each - which mean, curiously, that a lot of real estate is everywhere and nowhere at the same time, plus the Ponzi universe of credit default swap black holes just sitting out there waiting to suck whole civilizations into oblivion. Ollie to Stan: Well, here's another fine mess you've gotten me into....
But I stray a little from my point, which is the massive systematic monkeyshines involving legal documents relating to American real estate. The bankers say, just bring a "lost note" letter to the closing. "The dog ate it." Signed, Mom. Like, that's an okay substitute for the rule of law. Oh, and, by the way, the dog ate the title, too. Congress even tried to get in on the act last week with a bill that would have essentially negated the significance of notarization - that is, of witnessing and attesting to the veracity of documents - in order to mitigate the fiasco of robo-signing, which was endemic in places like the mortgage mills of Nevada and Florida where due diligence went AWOL and Burger King-quality employees just threw some contracts in the trash out of sheer boredom. "Oh, the dog also ate my signature...." President Obama vetoed the damn thing, which was passed in the US Senate unanimously by the human dung-beetles who work that manure pile. The dog ate your financial system.
This is hardly to say that the people who bought property based on those improperly processed and/or scam-a-lama-ding-dong mortgages deserve to avoid foreclosure and get to keep and live in million dollar houses they never could have really afforded to buy in an economy run by grown-ups. But they might, because there are an awful lot of hungry lawyers out there who will demand that the agents of foreclosing parties produce the relevant documents. And some of these foreclosing parties may not have the nerve to hand over forged instruments in a court proceeding once everyone is going over them with scanning electron microscopes looking to find one molecule out-of-order.
Bottom line is that we've reached the point where nobody in that particular racket can get away with much anymore. That string is played. The banks are toast. Not only won't they be able to recover the collateral on a lot of loans, but the MBS related crap sitting in their own vaults goes to zero, not thirty cents on the dollar or some mark-to-fantasy number that has kept them in the zombie zone for two years, like cancer victims desperately eating apricot pits in hopes of a cure. And if the banks are toast then the Federal Reserve is toast, because the Fed has been acting as a dumpster for so much of the smallpox-blanket-grade securities off-loaded by the banks since TARP, with a balance sheet that must look like a suicide note, and if the Fed is toast then the dollar is toast because they are promissory notes issued by the Fed.
Anyway, the states themselves are temporarily shutting down foreclosures, and the upshot will be a paralyzed property sales industry. Who will want to buy property when there is any question about owning it free and clear? You can be sure the sickness will spread into commercial real estate, with its much shorter-term loans and its desperate rollover deadlines. Things begin to look a bit gruesome. But 'tis the season for it! The night of the Blood Beast comes Sunday, just in time for the All Souls Day open of the equity markets. That's the day when the costumes come off and we stop pretending. That's the day that the skeletons dance on the real estate destined to be our graves. .

Food in Uncertain Times

SUBHEAD: Having food resiliency is as much about learning how to store and use food properly as it is about growing it. Image above: Apple pie judging at the 2009 Pennsylvania State Farm Show. From (http://blog.pennlive.com/life/2010/01/farm_show_includes_baking_cont.html). By Makenna Goodman on 21 October 2010 in AlterNet - (http://www.alternet.org/food/148562/food_in_uncertain_times%3A_how_to_grow_and_store_the_5_crops_you_need_to_survive/?page=entire)

In an age of erratic weather and instability, it's increasingly important to develop a greater self-reliance when it comes to food. And because of this, more than ever before, farmers are developing new gardening techniques that help achieve a greater resilience. Longtime gardener and scientist Carol Deppe, in her new book The Resilient Gardener: Food Production and Self-Reliance in Uncertain Times, offers a wealth of unique and expansive information for serious home gardeners and farmers who are seeking optimistic advice. Do you want to know more about the five crops you need to survive through the next thousand years? What about tips for drying summer squash, for your winter soups? Ever thought of keeping ducks on your land? Read on.

Makenna Goodman: Many gardeners (both beginners and more serious growers) come across obstacles they might not have planned for. In your new book, The Resilient Gardener: Food Production and Self-Reliance in Uncertain Times, you talk about the need for real gardening techniques for both good times and bad. What is the first step toward achieving this kind of resilience?

Carol Deppe: The basic issues are getting more control over our food, getting lots higher quality and more delicious food, and enhancing the resilience of our food supply. There are three ways to do that. The first is through local buying patterns and trade. A second is through knowing how to store or process food that is available locally, whether we grow it ourselves or not. The third is gardening. In The Resilient Gardener, I talk as much about storing and using food as growing it. I love gardening, but not everyone is in a position to garden every year of their lives.

However the person who has learned to make spectacular applesauce or cider or apple butter or pies can often trade some of the processed products for all the apples needed. Buying local food supports local food resilience. A couple hundred pounds of gourmet-quality potatoes tucked away in the garage -- potatoes that you have learned to store optimally -- represent serious food security, whether you grew them or bought them from a local farmer right after the harvest. Our buying and trading patterns and our skill at storing and using food as well as gardening are all part of our food resilience. All can serve as the starting point to begin taking greater control over our food.

So the first thing I would say is, garden if you can and if you enjoy it. Whether you garden right now or not, though, learn more about how to store and use the food that is grown locally. Lots of times, it is storing and using that is more of the missing link than gardening. Most gardeners know how to grow field corn. But most don't have the knowledge to turn corn into gourmet-quality fast-cooking polenta or savory corn gravy or even cornbread (without using wheat or other things they can't grow), let alone fine-textured cakes. Most gardeners can grow potatoes. But most don't know how to store their potatoes optimally. Most can grow blue potatoes. But most try to prepare their blue potatoes just like whites or reds. Few know how to turn a blue potato into spectacularly delicious food. In The Resilient Gardener, I spend as much time on how to store and use food as how to grow it.

We humans trade. We enjoy it, and it greases the social wheels. Sometimes we use intermediaries like money, sometimes not. Sometimes the trades are formal. Sometimes we call it gifts. I trade or sell or gift part of the best I have. Part of the best of others comes back to me. My friends, neighbors, and exchange networks are part of my resilience. I aim for greater self-reliance. I like to enjoy doing more for myself. And I love to garden, and to grow food. But I don't aim at "independence." Healthy humans are never independent. We are interdependent. What we want is to be self-reliant enough to hold up our end of honorable interdependence. Our skill at growing, storing, processing, using, or trading food can all be part of our contribution to honorable interdependence.

Neanderthal stone tools, interestingly, are all found within a few miles of where the rocks originated. And the tools didn't change very much over time. But Homo sapiens that lived at the same time had tools made from rocks that were clearly traded over long distances. And H. sapiens tools changed and developed rapidly. We traded our ideas along with all our stuff. Any Neanderthal tribe that met a sapiens tribe was one tribe against an entire species. I'm a Homo sapiens, and I follow Homo sapien traditions. I aim for appropriate self-reliance, not for independence. Independence is for Neanderthals.

MG: It's kind of a relief, actually, to think about gardening outside the realm of those perfect photos so prevalent in other gardening books. For people who have day jobs taking them away from their farms and gardens, resilient gardening might seem like a miracle. How would you compare resilient gardening to more traditional forms?

CD: Much of our garden writing is about the gardens of rich people who have employees to do the work. Even non-rich people with full-time jobs and no hired help are encouraged to take the gardens of rich people as the model. Beauty and showing off and ornamental plantings and huge high-maintenance inedible lawns have mattered more than food, for example. I'm not rich enough and haven't the time or inclination for that sort of gardening. I delight in all the knowledge about plants, ecology, and gardening we have today. But I take peasants as my basic model. I aim to be a modern peasant. I focus primarily upon growing food, especially upon staple crops and crops of special nutritional value. And I want lots of delicious food for the least possible work.

In addition, in the real world, things are always going wrong. These can be private or personal, such as an injury or family emergency that removes your labor from the garden for a while. Or they can be financial. Loss of a job can mean you really need to know how to get most of your food from the garden, not just fruits and vegetables. I also look at things over a thousand years. Over that kind of period, humans experience mega-crises of various kinds.

On average, the Pacific Northwest experiences two or three mega-earthquakes per thousand years, for example, which would destroy our roads and bridges and cut us off for years. Many kinds of natural and societal disasters occur over such time frames. Gardeners who know how to grow food can be reservoirs of knowledge, skills, and seeds for their communities. For this, though, the gardeners need to know how to grow staple crops, that is, calories and protein, not just fruits and vegetables. In good times, gardeners don't necessarily need to grow all their staple crops. But in good times, resilient gardeners learn to grow and use some of their staple crops so that they at least know how.

The resilient gardener knows we have our ups and downs, as individuals, families, societies, and as a species. The resilient garden is designed and managed so that when things go wrong, they have less impact. Most gardens are good-time gardens. They self-destruct rapidly if deprived of our labor. They depend upon constant imports of fertilizer and seeds. They need relatively stable weather. The resilient gardener has learned to operate with minimal external inputs, and in a world where climate is changing and weather is more erratic. The resilient gardener knows how to save seeds. The resilient garden is one that thrives and helps its people and their communities survive and thrive through everything that comes their way, from tomorrow through the next thousand years.

MG: In an era with unpredictable climate conditions -- hurricanes, floods, droughts, etc -- what, in your opinion, is the most widespread condition today's gardeners face? Why do you think this is?

CD: The unpredictability itself is the greatest problem. This summer, for example, is the coldest summer I have ever experienced in Oregon in 30 years. By mid-August there had been only one week all summer that had any days above 90°. Many days in June and July didn't even make it to 80°. Meanwhile, much of the East Coast had a record-breakingly hot summer.

For the last fifty years, the weather patterns have generally been unusually stable. Our modern gardening and agricultural practices actually depend upon that stability. Our farms and gardens have become good-time farms and gardens. They are likely to fail just when we need them most. We now need gardens and farms that survive and thrive in the face of greater unpredictability.

Wild erratic weather is typical of climate change, and is much more important to gardeners and farmers than a fraction of a degree's change in average global climate. However, humanity has made it through the transition from relative stability to instability in climate before, for example, in our adjustment to the erratic weather of the Little Ice Age. There are agricultural patterns and methods we have developed in the past when we needed them that we can relearn and expand upon today.

MG: Gardening for resilience, as you discuss, also means choosing your crop varieties for optimum self-reliance and hardiness. What's the most fantastic quality of each of the five crops you talk about in your book -- potatoes, corn, beans, squash, and eggs?

CD: Potatoes are a great source of both carbohydrates and protein. They have protein levels comparable to the most protein-rich grains by the time you adjust for water. They yield more carbohydrate per square foot than anything we can grow in temperate climates. They yield more protein per square foot than anything we can grow except beans. They have good levels of vitamin C and significant amounts of calcium and other minerals. They are the easiest of all staple crops to grow. They yield much more carbohydrate and protein than anything else per unit labor. Small grains take fine seed beds, meaning tillers, tractors, or draft animals.

Anyone with a shovel can grow potatoes. And potatoes can be grown on rough land, land just converted from lawn or pasture or patch of weeds. Grains usually require special grinding equipment. Anyone who can build a fire can cook potatoes. Potatoes grow well in places too cold or wet for grains. Potatoes are far more impervious to nasty weather than grains. Cool or cold or wet stormy weather that can harm, delay, or even destroy, corn, squash, and other summer crops are likely to make the potatoes grow more happily than ever. So growing both potatoes and other crops provides a balance that provides resilience. Potatoes yield well on limited fertility, too. And in most areas of the country, they can be grown unirrigated, even where all other summer crops require irrigation.

People these days tend to remember the Irish Potato Famine, when late blight destroyed the entire Irish potato crop. But we should also remember that the potato was one of the major saviors of Europeans during the Little Ice Age, a crop that was central to their adjustment to the erratic weather associated with climate change, a crop that yielded year in year out, decade in decade out before there were any problems. European populations suffered famines and disease epidemics because their grain crops couldn't handle the colder, wetter, stormier, less predictable weather. After incorporating potatoes into their repertoire, European populations thrived and expanded, erratic weather, Little Ice Age, or no.

Potatoes are delicious. With all the varieties and flavors and cooking methods, we can eat potatoes every day and never get tired of them. Nate and I grow major amounts of potatoes. And with our sophisticated but low-tech storage methods, we have prime potatoes for eight or nine months of the year. Remembering the vulnerability of the potato to disease, though, unlike the Potato-Famine-era Irish, we grow many varieties, we have learned to save potato seed with near-certified-seed level of proficiency, and we use potatoes as only one among several staple crops.

Grains and beans are the ultimate survival crops because they are so long-storing. It is stored grains and beans we would need if a planet-wide disaster such as a comet strike or mega-volcano wiped out agriculture worldwide for an entire year or more. Grains are not as easy to grow as potatoes, though. We grow corn, the easiest of all grains to grow and process on a small scale. Corn is also, in areas where it grows well, by far the highest yielding of the grains. In addition, unlike the small grains, you can grow corn with nothing but a shovel or heavy hoe. You don't need a finely tilled bed as is needed for the small grains. We grow special people-food grade gourmet-quality corn that is completely unlike anything you can buy commercially. Cornbread and polenta are our major carbohydrate staples during late spring and early summer after the potatoes and winter squash are gone, and they provide variety year round.

Most of our corn is very early varieties that dry down during August instead of needing to be irrigated heavily then. They can make a crop on no irrigation, and a good crop on just two or three irrigations. We also grow a little late flint corn. It has to be watered all August and finishes late, full into the rainy season. We grow our pole beans on the late corn most years. And the pole beans need irrigation all season anyway.

Grain legumes, that is, beans, peas, teparies, garbanzos, cowpeas, lentils, soybeans, and others, keep well and are prime for a little beyond a year. There are many species that are associated with specific regions or growing patterns. So we plant fava beans in fall and overwinter them, for example, garbs in early spring, and common beans and cowpeas and teparies in spring to grow during summer.

We prefer to plant one variety of each of five species rather than five varieties of one species. This helps give us disease resilience. We grow one pole bean (common bean), one fava, one garb, one tepary, and one cowpea. Each is selected for spectacular flavor as well as resilience for its particular growing niche. This gives us five different species, which greatly facilitates saving pure seed; so we never have to buy seed. In addition, with winter, spring, and summer growing niches, a severe weather event is likely to wipe out only some, not all our beans.

We grow a lot of squash. We grow lots of winter squash of gourmet varieties that make spectacular food, and we know how to harvest, cure, and store it optimally. 'Sweet Meat-Oregon Homestead' is the line we use for our main winter squash food supply. It gives us prime winter squash through March. We also grow lots of delicatas, especially 'Sugar Loaf-Hessel' and 'Honeyboat' for fall eating.

We grow lots of summer squash for both fresh eating and drying. The dried summer squash is one of our major long-storing staples. Dried sliced summer squash of the right varieties makes wonderful soups and stews and chips. I have had a soup made mostly from six-year-old dried summer squash that was as delicious as it was the year I dried it.

Many people cannot make long-chain omega-3 fatty acids of the sorts we need from plant omega-3s. Some people can do the conversion reactions. Others cannot. So some people can be vegetarians. Others cannot. I'm one of the people who needs to have my long-chain omega-3s provided to me by eating animal products. Commercial animal products don't work. The omega-3s have been stripped out of them by the unnatural ways the animals are raised. I need grass-fed meat or milk, or cold-water wild fish, or free-range eggs. Of these, it's the laying flock that is easiest to keep on a home scale. So to create a full diet, in addition to my garden, I need a home laying flock. So there is a chapter in The Resilient Gardener on keeping the home chicken or duck laying flock, integrating them with your gardening, and feeding them as much as possible on garden produce and home-grown feed.

MG: Talk more about slicing and drying your squash -- which is a delicious idea. How did you decide to store your squash this way?

CD: I stole the basic idea from a peasant, naturally. In this case it was Buffalo Bird Woman, the Hidatsa Indian whose expert gardening is described in Gilbert Wilson's book, Buffalo Bird Woman's Garden. We grow plenty of delicious gourmet-quality winter squash and use them as one of our main staples. But we also grow lots of zucchinis and other summer squash, eat them as summer squash, and slice and dry the oversized squash to produce an additional long-storing staple. For Buffalo Bird Woman, it was this sliced dried summer squash that was the main product of the squash patch, with fresh summer squash and mature winter squash being delicious but minor components. Buffalo Bird Woman had specially shaped knives, special squash sticks, and big drying racks -- an elaborate sophisticated technology -- all designed to produce huge amounts of dried summer squash as efficiently as possible.

I studied, tried, and created modern variants of Buffalo Bird Woman's methods. Then I evaluated dozens of different modern summer squash varieties for flavor and usefulness as dry squash.

Most dried summer squash actually don't taste like much. Some actually taste bad. However, some varieties have powerful, delicious, unique flavors when dried as summer squash slices, flavors so good that I would be happy to grow the squash just for drying. These varieties can be dried to be the basis for delicious soups and stews in winter. Different varieties give different flavors. In addition, some varieties make great dipping chips. Others make great sweet chips.

Delightfully, the fruits that are best for drying are bigger than those that are optimal for eating as summer squash. This means that with the right varieties, you can have all the stir-fried zucchini you want, and you can dry all those that escape you and get past the optimal stage for green eating. In this way, our summer squash patch produces both the fresh crop and an additional crop that is a long-storing staple. It also means that never again do we have to creep out in the dead of night to leave anonymous baskets of oversized zuchs on the doorsteps of our neighbors.

MG: Can you take us on a verbally illustrated tour of your garden? What does it look like? What do you have planted next to each other, and how do you space your rows?

CD: I've gardened in many ways in different years and eras, and I talk about them all in The Resilient Gardener. Sometimes I've had a few raised beds of tomatoes and greens in the back yard and a bigger patch of potatoes, corn, beans, and squash at the home of a friend. These days, my farm partner Nate and I garden on a couple of acres of good soil a few miles from home, a real luxury. Much of what is going on is determined by the fact that it is just our second season on that land.

About one acre is tilled. It's divided into six sections. One section we're turning into permanent garden beds to grow a big variety of garden crops, everything from amaranth greens and garlic to lettuce and strawberries. The rest is field crops that get rotated around each year. The field crops are all in rows spaced at 3'. (Or 7' for the big squash.) The basic 3' spacing is what is needed to get our rototiller between the rows, that is, when the rototiller works. Which it doesn't always. The acre of crops is as much as we want to tend by hand when the rototiller is uncooperative. In addition, it's as much as we want to water. This kind of spacing means we need to water the most water needy crops only once per week in August, the most water-short month, and less the rest of the time. And with this spacing, the potatoes don't have to be watered at all. And everything could at least survive a good while if it didn't get watered at all, even in August.

The permanent beds are 4' across, the biggest we can reach across comfortably, with aisles between them that are alternating 3' and 1'. That space is a compromise. Nate, being 32, can tend and harvest a garden by bending over or squatting. So if the garden was just his, he would space the beds with aisles 1' wide. That way, he would have the most possible planting area for the total area that needs to be watered. And there would be as little aisle space that needs to be weeded as possible. I'm 64. My back and knees rebel against squatting or bending over for very long. I can hoe comfortably using the right kinds of tools that permit me to work standing upright with my back straight. I can also tend and harvest comfortably on my hands and knees, but that takes aisles 3' across. If we split the difference, I wouldn't be able to harvest from any of the rows. With alternating aisle widths, and Nate tending and harvesting preferentially from the narrow aisles, we can both tend and harvest. And we have lots more bed space than if we used 3' aisles for everything.

We don't put sides on our beds, incidentally. If we did that, we would have to tend all the space near the sides by hand, squatting or on hands and knees. With no sides on beds, the beds can mostly be tended by hoeing from a comfortable standing position, with a straight back. In The Resilient Gardener, I talk a good bit about the labor implications of various gardening styles and practices as well as what tools and methods to use if you have back problems. Most people garden in a way that strains or trashes their backs or knees. That is totally unnecessary if you match gardening styles and tools to your physical needs. When gardening bigger areas, this matching is especially important.

In our field, one major section is potatoes, about 23 varieties. Yellows, blues, reds, whites, bakers, boilers, early varieties, late varieties. The number of varieties gives us some resilience with respect to diseases as well as potatoes that are great for every possible cooking method, and that have many different flavors. We choose varieties based primarily upon spectacular flavor, but also upon storage ability and yield and disease resistance when grown under our conditions.

We grow our spuds organically, with no irrigation, and with only the modest levels of fertility of the sort that can be obtained simply by turning under a legume cover crop. Our spud patch should give us at least a thousand pounds of spuds, which will be prime eating quality through February, through April for certain varieties. Part of that long storage is appropriate choice of varieties. The rest of it is our method of storage, which is "sophisticated low tech." We store the potatoes in our attached garage. That's low tech. What is sophisticated is that we have figured out exactly what containers to use for optimum storage, and a maximum-minimum thermometer-hygrometer sits in the storage area. We occasionally open the garage door or the door to the house as needed in winter to control temperature or humidity.

Our potatoes don't get irrigated. We grow them at 16" in the rows instead of the 8 -- 12" so as to have one important staple crop that doesn't require irrigation. That cuts down our water use and gardening labor. In addition, if the electricity failed and we couldn't irrigate, our practice of growing potatoes without irrigation would really matter. Not irrigating also gives us especially clean, disease-free spuds. In addition, the flavors are much more intense than when the potatoes are irrigated. Water and fertility needs are very much affected by spacing. If we crowded the spuds more, we would need more fertile soil, probably imported fertilizer, and irrigation.

The tomatoes are at one end of the potato patch for purposes of rotation, since they are potato relatives. We water the tomato end.

About 1/6 of the garden is in legumes, but not in one section because we plant different species that are grown at different times of year, a common trick for spreading many kinds of risks and enhancing resilience. In addition, overwintering cool-season legumes don't require watering. Staple crops that don't require watering (or electricity) cuts the labor in good times and might be essential in bad times. So we plant 'Iant's Yellow', in fall and overwinter them. Winter is our rainy season. 'Iant's Yellow' is delicious as a dry bean (but not as a shelly). It usually overwinters well. It was an unusually cold winter, though. Most of our favas died out. These things happen. That's why overwintered favas is just one of our beans and overwintering is just one of our patterns of growing beans.

We planted 'Hannan Popbean', a garbanzo, in early spring. It was unusually cool and wet, but they did fine. I've selected 'Hannan' to grow well when grown organically, to germinate cheerfully in cold mud, to be highly resistant to all the aphid-borne legume diseases that are rampant in the Willamette Valley, and to finish a crop in late July and without irrigation. We harvested the 'Hannan' yesterday. This year, there has been almost no summer heat, and everything is delayed. So the 'Hannans' took until mid-August. But they still did fine. The fact that they finish so early gives us resilience that we called upon this year.

Our vetch cover crop died out instead of growing last winter because of the unusual cold. So we're short of fertility in the patch for summer-grown legumes. In addition, we didn't get that area tilled during the short spring tilling window before an unusually wet spring ensued. (We got the ground tilled for the potatoes, garbs, and one corn planting, but didn't have enough of a weather break for the rest.) So we got a late start planting the warm-season legumes. And it was already looking like a cool summer. This meant that any summer-grown beans might not mature until the rainy season. Common dry beans (Phaseolus vulgaris) tend to mold, rot, or split if they are asked to dry down in the rainy season. So we planted 'Fast Lady Northern Southern Pea' on all the land for summer grown legumes.

'Fast Lady', our Northern -- and maritime-adapted cowpea, is very fine in texture and delicious, and like other cowpeas, doesn't need to be soaked before cooking. Cowpeas are much better at making their own nitrogen than P. vulgaris dry beans, so our cowpea should be less affected by the fertility problem. Also, cowpeas are less harmed by getting rained upon when drying down than common beans. Cowpeas are also more drought resistant and better at scrounging water. That means we don't have to water them as often as most summer grown beans. And we can eat the shoots, leaves, green pods, and shelly beans during the summer as well as harvest the dry seed. It adds flexibility when your main staple crops give you good summer green crops as well. And I've harvested 'Fast Lady' right in the middle of the rainy season before, and it was fine. The drying pods shed rain very nicely instead of absorbing it. In addition, being a cowpea, we can save pure seed from 'Fast Lady' even if we are growing pole beans, since the cowpea and common beans are different species. And 'Fast Lady' is by far the easiest to thresh of any bean I have ever grown.

We did an early planting of 'Magic Manna', the early corn that provides our parching corn, savory corn gravy, sweetbreads, some flavors of cornbread, and cakes. I'm talking about fine-grained cakes, such as angle food cake or sponge cakes. Real cakes. True flour corns can give you a flour almost as fine in texture as commercial wheat flour. 'Magic Manna' is a flour corn that gives us four different colors of ears, each with different flavors and cooking characteristics, all from one patch. Red and pink ears make great parching corn and sweetbreads. Pancake ivory and white ears make great pancakes, sweetbreads, and cakes. And brown ears make a delicious gravy as well as savory (non-sweet) cornbreads. 'Magic Manna' is very early. I bred it by selecting for flavor, and culinary characteristics from 'Painted Mountain'. I designed the genetics so that one variety could produce corns with several flavors and culinary niches all from one patch. 'Magic Manna' should also be a great ornamental corn.

Then there is a much later planting of a late flint corn. Usually I grow pole beans on late corn, but we put the corn in too late for that this year.

We planted our early flint sister varieties 'Cascade Creamcap', 'Cascade Ruby-Gold', and 'Cascade Maple-Gold Polenta' on the farm of a cooperating grower. It pollinates at the same time as 'Magic Manna', so we don't grow both on our land. The Cascade sister lines are so designed genetically that they can be planted in adjacent patches and still allow for saving seed. The Cascade planting will give us all our polenta, johnny cakes, and five different colors of ears for five more different flavors of cornbread, all from a single patch. Corn is my basic grain staple. I'm gluten intolerant. With these corns, I can make cornbread that holds together well enough to make sandwiches, and that requires only corn, water, eggs, butter or fat or oil of some sort, salt, baking powder, and water. I've bred these Cascade lines to be the ultimate survival corns as well as to be spectacularly delicious.

The squash patch provides winter squash, summer squash, and dry squash.

Then there is a huge patch of brassicas, mostly kale but also cabbage, broccoli, and others. We plant those mostly in late July and eat them all fall and winter and spring. Nate and I both love kale. Nate also makes lots of sauerkraut.

The backyard is now heavily shaded by trees on neighboring properties. I gardened there when I first moved into the house. At this point, we garden on our leased land, and the back yard is duck pasture. My flock of 35 laying ducks (Anconas) provides all the eggs we want as well as some to sell to cover the feed bills. They also provide all our breeding stock as well as generate ducklings for sale to others in the area. The Anconas eat commercial chow and forage in summer, but in fall, winter, and spring they eat mostly cull and small potatoes and winter squash, and such goodies as worms, sowbugs, and slugs. Ducks are a better choice for free-range layers in the maritime Northwest than chickens. In our climate, they are the ultimate ecologically well-adapted livestock. Compared with chickens, ducks lay better (especially in winter), are happy outdoors year round, can scrounge a much large portion of their feed, eat even big banana slugs, and are the best at yard and garden pest control. And they love our weather.

One of our friends is a melon grower. We trade potatoes for melons. We also sell potatoes to the duck egg customers. And starting in December this year, we plan to start selling seeds of some of the varieties I've been breeding for the last two decades. We forage wild cherries and serviceberries and sometimes hazelnuts. And we buy huge amounts blueberries from a blueberry farm down the street.

Ideally, we would like to have a small farm with some sheep and maybe water buffalo for milk, meat, and draft, and a full orchard, and of course, a pond for the ducks in addition to land for our garden and seed crops. But resilience is about just doing something now, making a start, doing what you can with what you have. And what we can do at the moment is lease some good gardening land that isn't too far from our home, and grow lots of food, and breed new varieties selected specifically for flavor and resilience. And we can just play around and try things and have fun.

MG: For gardeners who are just starting out, do you think there's something intimidating about the idea of the "perfect" garden?

CD: The issue of how to get a garden as perfect as possible -- that isn't my issue. My issue is, how can I get the highest yield of the most delicious food for the least possible time and effort? I'm lazy. I want to garden efficiently. Perfectionism really gets in the way of gardening efficiently. I don't talk about very much about perfectionism. Instead, I talk about what I call "selective sloppiness." I have spent a lot of time figuring out what I can get away with not doing. I even have a section in The Resilient Gardener that lists lots of things gardeners are frequently told to do that are unnecessary or even counterproductive.

Then, of those things that actually do matter, the question is, exactly how sloppy can I be about them and still get the results I want? What is the most appropriate level of sloppiness? What is, if you will, perfect sloppiness?

While I'm at it, I have to bring up that old adage that goes "Anything worth doing is worth doing well." Nonsense! Most things worth doing are not worth doing well. They are only worth doing sloppily. And lots of what most of us spend much of our lives doing is not worth doing at all. Anything not worth doing at all is certainly not worth doing well.

Forget perfectionism! I'm not perfect. You're not perfect. The rest of our lives aren't perfect. Why should our gardens be? Let's make practical gardens, resilient gardens. And let's manage our resilient gardens with cheerful, unapologetic selective sloppiness.

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Ragnarok - a post-collapse novel

SUBHEAD: Interview of Tony (“Tuna”) Cole, author of Ragnarok, A Plausible Future, 2009. Image above: Painting by Eckersberg (1817). Norse god Baldr lays dead in front of his father Odin, before the time of Ragnarok. From (http://commons.wikimedia.org/wiki/File:Baldr_dead_by_Eckersberg.jpg). By Jerry Erwin on 6 October 2010 for CultureChange.org - (http://www.culturechange.org/cms/content/view/678/1/) Ragnarok, A Plausible Future by Tuna Cole is a non-chronological, near-future projection. In it, a small group of people, alarmed by the descending/contracting spiral apparent in a broad range of global trends, decide to pool resources in rural, arable property toward a self-sustainable, agrarian lifestyle conducive to survival. When key connections unravel (economic? energy shortfall? biospheric disruption?), civilization as we know it crumbles. The narrative recounts the struggle to reinvent social constructs and recreate the means to provide the group’s livelihood, culminating in their violent defense against desperate marauders in the post-petroleum world.

The term Ragnarök refers to the "final destiny of the gods,"says Wikipedia. Ragnarök "is a series of future events, including a great battle foretold to ultimately result in the death of a number of major figures (including the gods Odin, Thor, Týr, Freyr, Heimdall, and the jötunn Loki), the occurrence of various natural disasters, and the subsequent submersion of the world in water. Afterward, the world will resurface anew and fertile, the surviving and reborn gods will meet, and the world will be repopulated by two human survivors." Four out of seven days of the week in English are named after Norse gods, so perhaps they still matter to modern people on some level. What did these warrior gods, or rather the culture that worshiped them, bequeath to us?

Jan Lundberg, publisher of Culture Change, says this about the book Ragnarok:

Many futuristic novels provoke thought, but not necessarily from anything more than an imaginative and artistic urge to write stories. Two that transcended mere novels, 1984 by George Orwell and Ecotopia by Ernest Callenbach, were among the most visionary, based on a well informed analysis of society and where it could head "some day." Welcome to the new state of non-innocence and fewer options: Ragnarok makes you feel the gritty, imminent and not so nebulous side of our probable post-collapse world -- with a practical bent.self-published.

Culture Change: When asked by Jan Lundberg to do a review of your book Ragnarok, I informed him that I would not be able to objectively help sell the book, as it is technically a novella, or short novel, that seemed somewhat pricey at $17.00 + shipping, through Lulu.com. However, I did enjoy the story very much, particularly as a “wake up call,” regarding our converging catastrophes. What ultimately drove you to write this story?

Tony (“Tuna”) Cole: I recognize that my book is a little “short” relative to many other popular works of fiction. It matters little to me, though, whether it is considered a novel or a novella; I characterize it as speculative fiction. In writing, as in any art valuation, it is often a mistake to measure quality in terms of quantity. But the pricing is an issue worthy of discussion.

As you may know, the publishing industry has undergone significant changes in the last decade or two in an attempt to stay competitive/profitable. There are now something like four major publishers, and scads of independents. It is the dream of every writer to have her/his work accepted by one of the giants with their fat wallets to advertise, promote, and distribute to all booksellers. The catch 22 is you must already be known and marketable -- or come with rave reviews -- before they will take the risk. The small independent publishers, with minuscule budgets, look for manuscripts that conform to their niche of previous successes. I did submit Ragnarok to a couple of regional publishers; one hung onto it for months and then issued a rejection without any critique as to how I’d failed to meet their expectations; the other simply declined to respond at all. As you can imagine, after spending three years writing a book, it is sheer agony to dangle month in, month out, while publishing bureaucrats dither to their own drummer. So it was that I chose Option Three: self-publishing. The exigencies of publishing one’s own book, however, make the price-per-book more expensive, since the print runs are measured in tens, or hundreds if you are very confident, but not thousands. It’s a familiar story: the process minimizes the chances of a newcomer by making everything more expensive.

By 2005 I was starting to tune into the likes of Jan Lundberg, Jim Kunstler, Jared Diamond, Paul Roberts, David Korten, Alan Weisman and others, regarding the converging vectors of peak oil, climate change, burgeoning human population, imperiled environment, and a willfully oblivious dominant narrative; but when I tried to engage my peers in a discussion of these issues, I’d get the ol’ fish eye: “Boy, wouldja look at the time? It’s been good chattin’ witcha, but I gotta run!” Ragnarok is the product of my frustration to communicate my growing concerns in my spoken voice. It is a near-term projection of how some people might create a viable community in the midst of the old paradigm’s collapse.

CC: Was there any particular reason why you kept Ragnarok a short story? I noticed that you kept a cap on developing the characters in your story, for instance.

TC: At 240 pages, even with 1 ½ line spacing, I’m not sure I’d call it a “short story”, but there are a couple of, to me, compelling reasons why I launched the book when I did. The book’s theme is “time sensitive.” I care deeply about getting this message out prior to the mechanisms of collapse kicking in. In addition to the importance of the message in the near term, I’m gradually becoming aware of my own looming “pull date” -- not so near as to read the specific date, but imagine it to be not distant, owing to entropy, in the guise of decrepitude -- wages of sin? -- and the vicissitudes of 69 years. Hence, a sort of double urgency.

I thought I gave the central characters adequate “flesh.” It’s not War and Peace; my intent was to present a horrific, game-changing sequence of events as survivable by people, if they were highly adaptable, resourceful, cooperative, and very lucky -- kind of from that perspective. It’s probably wrong-headed, but there was an element of design in keeping the protagonists muted. I meant for the story to be replicable. I wanted readers, all three of you!, to be able to identify with the context and this or that person at any given time.

CC: The main characters in this book form an intentional community, wanting to exist cooperatively with their neighbors. Eventually, they have to face an outside violent threat. Do you sense that there is currently a disconnect between the current “eco-community” culture, and the more immediate threats facing such groups during the transition of a “fast crash” scenario?

TC: Reluctantly, I’d have to say there is indeed a disconnect, a suspension of rationale/conclusions regarding urban life in any kind of rapid-descent scenario -- of course among the general society, but within the Eco-community, as well. Having been raised with opulence as our “birthright,” it is very hard to imagine, let alone accept, the plausibility of a fundamental, draconian shift to subsistence living for the survivors. Why would anyone willingly entertain such a notion? Alas, because the more one looks, the more evident it becomes that such a Crash is unavoidable. Look, I cherish my city, Portland, as much as anyone -- in the petroleum economy. But how are 1.6 million people going to eat, say, within a couple weeks of the semi’s no longer hauling groceries to the markets? A mantra of Ragnarok is “Desperate people do desperate things.” For people stuck in a city, locked into the way we’ve always done things, it’s going to get ugly.

CC: I also noticed that you kept the general location the story takes place completely unreferenced, other than being in the Pacific Northwest. Why was that?

TC: We who live in the Pacific Northwest have a benign climate and abundant water (so far!), unlike many other areas in the US. I wanted to portray the consequences of a Collapse in any urban center, thus the ambiguity, even one which began with natural advantages.

CC: What plans do you have for future writing?

TC: Thank you for asking, Jerry! In the very near future -- weeks, perhaps a few months -- I will self-publish Shards, a collection of essays from before, during, and since Ragnarok, and, I think, Ragnarok’s non-fiction bookend. This is bare-your-soul interrogation -- as much of myself -- I’m definitely psychically bare-nekkid in some of these pieces -- as the world I encounter. But it’s also whimsical and literary at times.

And just so you don’t think I’m slacking off, I’m deeply engaged in a multi-voice narrative of our commune experience in Eugene, starting summer of 1968, the Yellow Submarine. Stay tuned.

• To order Ragnarok, A Plausible Future, use print-on-demand ordering at Lulu: lulu.com or write to the author via email: tcole "at" cnnw "dot" net.

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Preparing a Community

SUBHEAD: It should not come as a surprise, then, if the United States wraps up its existence by invading itself. Image above: "Checkpoint K" near the abandoned Kekaha Sugarmill. Mashup by Juan Wilson 2004. From PMRF Land Grab 5 (http://www.islandbreath.org/2004Year/04-military/military14PMRF5.html) By Dmitry Orlov on 23 October 2010 in ClubOrlov - (http://cluborlov.blogspot.com/2010/10/how-not-to-to-organize-community.html)
Dire predictions made by authoritative figures can provide the impetus to attempt great things: establish community gardens and farmer's markets;lobby for improved public transportation; bike lanes and sidewalks; promote ride-sharing initiatives; weatherize existing homes and impose more stringent construction standards for new ones; construct of windmill farms and install solar panels on public buildings; promote the use of composting toilets and high-efficiency lighting and so on. In the midst of all this organizational activity neighbors get a chance to meet, perhaps for the first time, and discover a commonality of interests that leads them to form acquaintances and perhaps even friendships. As neighbors get to know each other, they start looking out for each other, improving safety and reducing crime. As the community becomes more tight-knit, it changes in atmosphere and appearance, becoming more fashionable and desirable, attracting better-educated and more prosperous residents while pricing out the undesirable element. News of these vast improvements spreads far and wide, and the community becomes a tourist mecca, complete with food festivals, swank boutiques and pricy bric-à-brac shops and restaurants.
The undesirable element is forced to decamp to a less desirable neighborhood nearby. There, it has no choice but to suffer with high levels of crime, but is typically afraid to ask the police for help, having learned from experience that the police are more likely to harass them then to help them, to arrest them for minor offenses and to round them up and deport them if they happen to be illegal immigrants. They also learn to be careful around members of local gangs and drug dealers. Since official jobs in the neighborhood are scarce, they seek informal, cash-based employment, contributing to an underground economy. Seeking safety in numbers, they self-organize along racial and ethnic lines, and, to promote their common interests, form ethnic mafias that strive to dominate one or more forms of illegal or semi-legal activity. Growing up in a dangerous, violent environment, their children become tough at a young age, and, those that survive, develop excellent situational awareness that allows them to steer clear of dangerous situations and to know when to resort to violence.
When the fossil fuel-based national economy shuts down due to the increasingly well understood local ramifications of the global phenomenon of Peak Oil, both of these communities are harmed, but to different extents and in different ways. Other countries may continue to function for another decade or even longer: these are the countries that have enough oil of their own, as well as those that were far-sighted enough to enter into long-term barter agreements with the few remaining oil producers that still have a surplus of oil for export. But suppose that our two communities are in an English-speaking country, which is likely to be afflicted with the irrational belief that the free market can solve all problems on its own, even problems with the availability of critical supplies such as oil. Just as one would expect, the invisible hand of the market fails to make itself visible, but it is plain to see that fuel is no longer delivered to either of these communities, although in the second one some fuel is likely to still be available on the black market, at prices that very few people can afford. Sooner or later, due to lack of supplies and maintenance at every level, electricity shuts off, water pumping stations cease to function, sewage backs up making bathrooms unusable, garbage trucks no longer collect the garbage, which piles up, breading rats, flies and cockroaches. As sanitary conditions deteriorate, diseases such as cholera, dysentery and typhoid reappear and spread. The medical system requires fuel for the ambulances and running water, electricity and oil-based pharmaceuticals and disposable supplies for the hospitals and clinics to operate. When these are no longer available, the surviving residents are left to care for each other as best they can and, when they fail, to bury their own dead. Along with the other municipal and government services, police departments cease to function. Particularly important installations are guarded by soldiers or by private security, while the population is left to fend for itself.
The effect on the two communities is markedly different. The first community is superficially better prepared, being better equipped for emergencies and perhaps even having laid in emergency supplies of food and water. But being more prosperous at the outset makes a sudden transition to squalor, destitution and chaos much more of a shock. It also makes it a much more desirable target for looters. Used to living in safety and enjoying the protection of a benign and cooperative police department, the residents are not acculturated to the idea of countering violence with violence. Their response is more likely to take the form of a fruitless policy discussion rather than a spontaneous decision to go out and prophylactically bash some heads, causing the remaining heads to think twice. Unaccustomed to operating outside the law and having few connections with the criminal underworld, they are slow to penetrate the black market, which now offers the only way to obtain many necessary items, such as food, cooking fuel and medicines, including the items that had been previously looted from their own stockpiles. Worse yet, they once again become estranged from one another: their acquaintances and friendships were formed within a peaceful, civilized, law-abiding mode of social behavior. When they are forced to turn to scavenging, outright theft and looting, prostitution, black market dealing and consorting with criminals, they can no longer recognize in each other the people they knew before, and the laboriously synthesized community again dissolves into nuclear families. Where neighbors continue to work together, their ties are likely to be weak, based on altruistic conceptions of decency, mutual benefit and on personal sympathies—a far cry from the clear do-or-die imperatives of blood ties or clan or gang allegiance.
The second community is already accustomed to hardship and, not having quite so far to fall, can take the transition to mayhem, destitution and squalor in stride. The prevalence of illegal activity prior to collapse smooths the transition to a black market economy. Already resistant to the idea of relying on police protection, the residents are relieved when the police disappear from the streets, and a great deal of unofficial and illegal activity that previously had to be conducted in secret bursts out into the open. With the police no longer stirring the pot with their invasive arrests and confiscations, local criminal gangs now find themselves operating in a more stable environment and are able to carve up the neighborhood into universally recognized zones of influence, avoiding unnecessary bloodshed. The children, who are already in the habit of roaming the streets in gangs and harassing and mugging strangers, now come to serve as the community's early warning system in case of an organized incursion. (Not that too many people would want to venture into this area in any case, given its fearsome reputation). Lastly, the prevalence of illegal drug dealing means that it already has a trained cadre of black market dealers who, now that official commerce has collapsed, can diversify away from drugs and branch out into every other kind of commerce. Their connections with the international narcomafia, whose representatives tend to be well organized and heavily armed, may turn out to provide certain benefits, such as an enhanced ability to move people and contraband through the now highly porous national borders. If the narcomafia ties are sufficiently strong, a narcobaron may take the community under his cartel's explicit protection, founding a new aristocracy to replace the now disgraced and powerless former ruling class.
Community organizing is quite wonderful, and can provide some of us with a perfectly pleasant way to while away our remaining happy days. As a useful side effect, it can provide individuals with valuable training, but it does next to nothing to prepare the community for collapse. A safe and congenial environment for you and your children is obviously very nice, much better than trying to survive among social predators. But humanity is not immune to the laws of nature, and in nature one can usually observe that the fewer are the wolves, the lamer, fatter and more numerous are the sheep. The central problem with community organizing is that the sort of community that stands a chance post-collapse is simply unacceptable pre-collapse: it is illegal, it is uncomfortable, and it is unsafe. No reasonable person would want any part of it. Perhaps the best one can do is to gather all the unreasonable people together: the outcasts, misfits, eccentrics and sketchy characters with checkered pasts and nothing better to do. Give them the resources to provide for their own welfare and keep them entertained. Keep the operation low-key and under the radar, and put up some plausible and benign public façade, or your nascent community will be discovered, shut down and dispersed by the pre-collapse officialdom. And if through some indescribable process all of these undesirable, unreasonable people manage to amalgamate and self-organize into some sort of improvised community, then you win. Or maybe they win and you lose. Either way, you would deserve credit for attempting to do something unusual: something that might have actually worked.
There may be a few people who would be willing to tackle such an assignment. If they are serious about it, they will stay well hidden, and we will never know how many of them have succeeded, because we will only learn of their existence when they fail. As for the rest of us, who are itching to do something useful within the confines of existing legal framework and economic reality, there is just one path: the path of emergency preparation, with the added twist that the emergency in question has to be accepted as permanent. Community emergency preparation is about the only type of officially sanctioned activity that may allow us to prepare for collapse.
The first and obvious part of preparing for the permanent emergency is to construct systems that will allow some, ideally most, of the population to survive in the long run without access to transportation fuels, or to any of the technology that comes to a standstill when starved of transportation fuels. The second, equally important part involves laying in sufficient emergency supplies of food, medicine, cooking fuel, temporary shelter for displaced persons, and so on, to allow some, ideally most, of the population to survive in the short run, while the transition non-fossil-fuel-based existence is taking place. Yet another task is to organize streamlined, military-style control structures that can step in to maintain order and to provide security.
But the most important element of preparing for the permanent emergency is to devise a plan to force through a swift and thorough change of the rules by which society operates. Under emergency conditions, the current rules, laws and regulations will amount to an essentially lethal set of unachievable mandates and unreasonable restrictions, and attempting to comply with them or to enforce them is bound to lead to an appalling spike in mortality. The current way of changing the rules involves lobbying, deliberation, legislation and litigation—time-consuming, expensive activities for which there will be neither the time nor the resources. There are no non-destructive ways to decomplexify complex systems, and while systems that have physical parts fall apart by themselves, the legal framework is a system that, even in an undead state, can perpetuate itself by enslaving minds with false expectations and hopes. By default, the procedure for those who wish to survive will be to universally ignore the old rules, but this is bound to cause mayhem and much loss of life. The best case scenario is that the old rules are consigned to oblivion quickly and decisively. The public at large will not be the major impediment to making the necessary changes. Rather, it will be the vested interests at every level—the political class, the financial elite, professional associations, property and business owners and, last but not least, the lawyers—who will try to block them at every turn. They will not release their grip on society voluntarily. There is just one institution with enough power to oppose them, and that is the US military. It would be most helpful if enough high-caliber military types with lots of stars on their epaulets could step up and lay down the new law: henceforth anyone who wants to litigate their orders will do so before a military tribunal. It is heartening to see that many of the world's militaries, the Pentagon included, have recently woken up to the reality of Peak Oil, and are taking steps to prepare for it, while our craven and feckless politicians and businessmen continue to wallow in denial. Clearly, many Americans would rather not live under military rule, but then beggars can't be choosers, and, in any case, the alternative is bound to be even worse. The United States has not been invaded since 1812, but in its short history it has managed to invade other countries over 30 times. It should not come as a surprise, then, if the United States wraps up its existence by invading itself.
When taking part in community organizing activities, if your envisioned community is to survive the transition to a non-fossil-fuel-based existence, it is important to keep in mind a vital distinction: is this community going to operate under the old rules or under the new rules. The old rules will not work, but the new ones might, depending on what they are. You might want to give the new rules some thought ahead of time, perhaps even test them out, as part of your community's permanent emergency preparation program. See also: Ea O Ka Aina: President for Life Petraeus 10/19/10 .

Getting Food Stamps

SUBHEAD: More working families getting government food aid in Hawaii and the United States. Image above: Donations to the Kauai Food Bank. From (http://www.flickr.com/photos/batzarazzi/3323405520/). By Mark Niesse on 22 October 2010 in CBS - (http://www.cbs6albany.com/news/food-1279605-stamps-states.html) Lillie Gonzales does whatever it takes to provide for three ravenous sons who live under her roof. She grows her own vegetables at home on Kauai, runs her own small business and like a record 42 million other Americans, she relies on food stamps. Gonzales and her husband consistently qualify for food stamps now that Hawaii and other states are quietly expanding eligibility and offering the benefit to more working, moderate income families. Data from the U.S. Department of Agriculture reviewed by The Associated Press shows that 32 states have adopted rules making it easier to qualify for food stamps since 2007. In all, 38 states have loosened eligibility standards. Hawaii has gone farther than most, allowing a family like Gonzales' to earn up to $59,328 and still get food stamps. Prior to an Oct. 1 increase, the income eligibility limit for a Hawaii family of five was $38,568 a year. "If I didn't have food stamps, I would be buying white rice and Spam every day," said Gonzales, whose Island Angels business makes Hawaiian-style fabric angel ornaments, quilts, aprons and purses. Eligibility for food stamps varies from state to state, with the 11 most generous states allowing families to apply if their gross income is less than double the federal poverty line of $22,050 for a family of four on the U.S. mainland. The threshold is higher in Alaska and Hawaii. With more than 1 in 8 Americans now on food stamps, participation in the program has jumped about 70 percent from 26 million in May 2007, while the nation's unemployment rate rose from 4.3 percent to 9.2 percent through September of this year. "We've seen a huge increase in participation due to the economic downturn," said Jean Daniel, a spokeswoman for the USDA's Food and Nutrition Service. "That's the way this program was designed." In addition to helping alleviate economic pressures, many states embrace the popularity of food stamps because their cost - $50 billion last year - is paid entirely by the federal government. States are only responsible for paying half of their programs' administrative costs. Food stamps have been blasted by some Republicans in this midterm election season as just another federal entitlement program, with former House Speaker Newt Gingrich framing the vote as a choice between "the party of food stamps" and Republican policies that create jobs. Participants in the food stamp program, technically called the Supplemental Nutrition Assistance Program, receive a per person average of $133 per month to buy staples including milk, bread and vegetables. Shortly after Hawaii announced it was raising its eligibility limits starting this month, three carloads of 10 seniors drove to the Kauai Independent Food Bank to ask if they qualified. Nine of them did, said Judy Lenthall, executive director for the food bank, which helps people apply for food stamps. "We saw an immediate and overwhelmingly wonderful response," Lenthall said. "It surprised us how fast it's spreading." States that have relaxed food stamp eligibility did so by moving to a system where applicants could qualify based on their income, and their other assets such as real estate, vehicles and savings accounts could be ignored. Basing food stamps on income alone allows the newly unemployed and the elderly to seek government food aid without having to first sell their property or exhaust every dollar they've earned, said Sue McGinn, director of the food stamp program in Colorado, which will expand eligibility beginning in March. "They won't have to wipe out their savings to apply for benefits," McGinn said. Many of these states also raised income limits, although applicants still have to show they're essentially living at the poverty line after accounting for allowable deductions, including elder medical expenses and child support. "It helps moderate and low-income people who are struggling," said Stacy Dean of the Washington-based Center on Budget and Policy Priorities. "They're doing everything we want: they're working, paying all their bills, taking care of their kids, and they still don't have enough money at the end of the month to put food on the table." Since 2000, the only states that haven't enacted the lower food stamp eligibility requirements are Alaska, Arkansas, Indiana, Iowa, Kansas, Missouri, Nebraska, South Dakota, Tennessee, Utah, Virginia and Wyoming. In Hawaii, where everything from milk to gasoline is typically the highest in the nation, the changes are welcomed by Gonzales and others. "As long as my kids have good food, that's all I care about," Gonzales said. "It makes a tremendous difference." See also: Food and Nutrition Service: http://www.fns.usda.gov/snap .

Wikileaks Iraq War Diaries

SUBHEAD: Wikileaks releases almost 400,000 pages of military reports on Iraq War. Image above: Photo of Julian Assange, founder of Wkileaks.org. From (http://www.overoll.com/Content/WikiLeaks-founders-rape-case-dropped-/2010/8/28/322436.news). Press release on 22 October 2010 by Wikileaks.org - (http://warlogs.wikileaks.org)

At 5pm EST Friday 22nd October 2010 WikiLeaks released the largest classified military leak in history. The 391,832 reports ('The Iraq War Logs'), document the war and occupation in Iraq, from 1st January 2004 to 31st December 2009 (except for the months of May 2004 and March 2009) as told by soldiers in the United States Army. Each is a 'SIGACT' or Significant Action in the war. They detail events as seen and heard by the US military troops on the ground in Iraq and are the first real glimpse into the secret history of the war that the United States government has been privy to throughout. The reports detail 109,032 deaths in Iraq, comprised of 66,081 'civilians'; 23,984 'enemy' (those labeled as insurgents); 15,196 'host nation' (Iraqi government forces) and 3,771 'friendly' (coalition forces). The majority of the deaths (66,000, over 60%) of these are civilian deaths. That is 31 civilians dying every day during the six year period. For comparison, the 'Afghan War Diaries', previously released by WikiLeaks, covering the same period, detail the deaths of some 20,000 people. Iraq during the same period, was five times as lethal with equivalent population size.

Iraq War Logs

Diary Dig (href="http://warlogs.wikileaks.org/iraq/diarydig) Browse the diaries and make complex searches.

War Logs (http://warlogs.owni.fr/) Browse the diaries, rate and comment the reports.

Image above: Video above: Democracy Now covers the Wikileaks release. from (http://www.youtube.com/watch?feature=player_embedded&v=z1pTl8KdREk). See also: Ea O Ka Aina: Afghanistan War Diaries 7/25/10 .

The Monster

SUBHEAD: How a gang of predatory lenders and bankers fleeced America, and launched a global crisis. Image above: Photograph of the late Roland Arnall. From (http://ocbiz.ocregister.com/2009/01/16/ameriquest-founders-brother-says-he-was-stiffed-of-47-million/8276/). By Michael Hudson on 22 October 2010 in Alternet - (http://www.alternet.org/books/14857/the_monster%3A_how_a_gang_of_predatory_lenders_and_bankers_fleeced_america%2C_and_launched_a_global_crisis/) The following is an excerpt from Michael Hudson's THE MONSTER: How a Gang of Predatory Lenders and Wall Street Bankers Fleeced America – And Spawned a Global Crisis

A few weeks after he started working at Ameriquest Mortgage, Mark Glover looked up from his cubicle and saw a coworker do something odd. The guy stood at his desk on the twenty-third floor of downtown Los Angeles's Union Bank Building. He placed two sheets of paper against the window. Then he used the light streaming through the window to trace something from one piece of paper to another. Somebody's signature. Glover was new to the mortgage business. He was twenty-nine and hadn't held a steady job in years. But he wasn't stupid. He knew about financial sleight of hand -- at that time, he had a check-fraud charge hanging over his head in the L.A. courthouse a few blocks away. Watching his coworker, Glover's first thought was: How can I get away with that? As a loan officer at Ameriquest, Glover worked on commission. He knew the only way to earn the six-figure income Ameriquest had promised him was to come up with tricks for pushing deals through the mortgage-financing pipeline that began with Ameriquest and extended through Wall Street's most respected investment houses. Glover and the other twentysomethings who filled the sales force at the downtown L.A. branch worked the phones hour after hour, calling strangers and trying to talk them into refinancing their homes with high-priced "subprime" mortgages. It was 2003, subprime was on the rise, and Ameriquest was leading the way.

The company's owner, Roland Arnall, had in many ways been the founding father of subprime, the business of lending money to home owners with modest incomes or blemished credit histories. He had pioneered this risky segment of the mortgage market amid the wreckage of the savings and loan disaster and helped transform his company's headquarters, Orange County, California, into the capital of the subprime industry. Now, with the housing market booming and Wall Street clamoring to invest in subprime, Ameriquest was growing with startling velocity. Up and down the line, from loan officers to regional managers and vice presidents, Ameriquest's employees scrambled at the end of each month to push through as many loans as possible, to pad their monthly production numbers, boost their commissions, and meet Roland Arnall's expectations. Arnall was a man "obsessed with loan volume," former aides recalled, a mortgage entrepreneur who believed "volume solved all problems." Whenever an underling suggested a goal for loan production over a particular time span, Arnall's favorite reply was: "We can do twice that."

Close to midnight Pacific time on the last business day of each month, the phone would ring at Arnall's home in Los Angeles's exclusive Holmby Hills neighborhood, a $30 million estate that once had been home to Sonny and Cher.On the other end of the telephone line, a vice president in Orange County would report the month's production numbers for his lending empire. Even as the totals grew to $3 billion or $6 billion or $7 billion a month -- figures never before imagined in the subprime business -- Arnall wasn't satisfied. He wanted more. "He would just try to make you stretch beyond what you thought possible," one former Ameriquest executive recalled. "Whatever you did, no matter how good you did, it wasn't good enough." Inside Glover's branch, loan officers kept up with the demand to produce by guzzling Red Bull energy drinks, a favorite caffeine pick-me-up for hardworking salesmen throughout the mortgage industry. Government investigators would later joke that they could gauge how dirty a home-loan location was by the number of empty Red Bull cans in the Dumpster out back. Some of the crew in the L.A. branch, Glover said, also relied on cocaine to keep themselves going, snorting lines in washrooms and, on occasion, in their cubicles. The wayward behavior didn't stop with drugs. Glover learned that his colleague's art work wasn't a matter of saving a borrower the hassle of coming in to supply a missed signature. The guy was forging borrowers' signatures on government-required disclosure forms, the ones that were supposed to help consumers understand how much cash they'd be getting out of the loan and how much they'd be paying in interest and fees. Ameriquest's deals were so overpriced and loaded with nasty surprises that getting customers to sign often required an elaborate web of psychological ploys, outright lies, and falsified papers.

"Every closing that we had really was a bait and switch," a loan officer who worked for Ameriquest in Tampa, Florida, recalled. " 'Cause you could never get them to the table if you were honest." At companywide gatherings, Ameriquest's managers and sales reps loosened up with free alcohol and swapped tips for fooling borrowers and cooking up phony paperwork. What if a customer insisted he wanted a fixed-rate loan, but you could make more money by selling him an adjustable-rate one?

No problem. Many Ameriquest salespeople learned to position a few fixed-rate loan documents at the top of the stack of paperwork to be signed by the borrower. They buried the real documents -- the ones indicating the loan had an adjustable rate that would rocket upward in two or three years -- near the bottom of the pile. Then, after the borrower had flipped from signature line to signature line, scribbling his consent across the entire stack, and gone home, it was easy enough to peel the fixed-rate documents off the top and throw them in the trash. At the downtown L.A. branch, some of Glover's coworkers had a flair for creative documentation. They used scissors, tape, Wite-Out, and a photocopier to fabricate W-2s, the tax forms that indicate how much a wage earner makes each year. It was easy: Paste the name of a low-earning borrower onto a W-2 belonging to a higher-earning borrower and, like magic, a bad loan prospect suddenly looked much better. Workers in the branch equipped the office's break room with all the tools they needed to manufacture and manipulate official documents. They dubbed it the "Art Department." At first, Glover thought the branch might be a rogue office struggling to keep up with the goals set by Ameriquest's headquarters. He discovered that wasn't the case when he transferred to the company's Santa Monica branch. A few of his new colleagues invited him on a field trip to Staples, where everyone chipped in their own money to buy a state-of-the-art scanner-printer, a trusty piece of equipment that would allow them to do a better job of creating phony paperwork and trapping American home owners in a cycle of crushing debt. Carolyn Pittman was an easy target. She'd dropped out of high school to go to work, and had never learned to read or write very well. She worked for decades as a nursing assistant. Her husband, Charlie, was a longshoreman.In 1993 she and Charlie borrowed $58,850 to buy a one-story, concrete block house on Irex Street in a working-class neighborhood of Atlantic Beach, a community of thirteen thousand near Jacksonville, Florida. Their mortgage was government-insured by the Federal Housing Administration, so they got a good deal on the loan. They paid about $500 a month on the FHA loan, including the money to cover their home insurance and property taxes. Even after Charlie died in 1998, Pittman kept up with her house payments. But things were tough for her. Financial matters weren't something she knew much about. Charlie had always handled what little money they had. Her health wasn't good either. She had a heart attack in 2001, and was back and forth to hospitals with congestive heart failure and kidney problems. Like many older black women who owned their homes but had modest incomes, Pittman was deluged almost every day, by mail and by phone, with sales pitches offering money to fix up her house or pay off her bills. A few months after her heart attack, a salesman from Ameriquest Mortgage's Coral Springs office caught her on the phone and assured her he could ease her worries. He said Ameriquest would help her out by lowering her interest rate and her monthly payments. She signed the papers in August 2001. Only later did she discover that the loan wasn't what she'd been promised. Her interest rate jumped from a fixed 8.43 percent on the FHA loan to a variable rate that started at nearly 11 percent and could climb much higher. The loan was also packed with more than $7,000 in up-front fees, roughly 10 percent of the loan amount. Pittman's mortgage payment climbed to $644 a month.

Even worse, the new mortgage didn't include an escrow for real-estate taxes and insurance. Most mortgage agreements require home owners to pay a bit extra -- often about $100 to $300 a month -- which is set aside in an escrow account to cover these expenses. But many subprime lenders obscured the true costs of their loans by excluding the escrow from their deals, which made the monthly payments appear lower. Many borrowers didn't learn they had been tricked until they got a big bill for unpaid taxes or insurance a year down the road. That was just the start of Pittman's mortgage problems. Her new mortgage was a matter of public record, and by taking out a loan from Ameriquest, she'd signaled to other subprime lenders that she was vulnerable -- that she was financially unsophisticated and was struggling to pay an unaffordable loan. In 2003, she heard from one of Ameriquest's competitors, Long Beach Mortgage Company. Pittman had no idea that Long Beach and Ameriquest shared the same corporate DNA. Roland Arnall's first subprime lender had been Long Beach Savings and Loan, a company he had morphed into Long Beach Mortgage. He had sold off most of Long Beach Mortgage in 1997, but hung on to a portion of the company that he rechristened Ameriquest. Though Long Beach and Ameriquest were no longer connected, both were still staffed with employees who had learned the business under Arnall. A salesman from Long Beach Mortgage, Pittman said, told her that he could help her solve the problems created by her Ameriquest loan. Once again, she signed the papers. The new loan from Long Beach cost her thousands in up-front fees and boosted her mortgage payments to $672 a month. Ameriquest reclaimed her as a customer less than a year later. A salesman from Ameriquest's Jacksonville branch got her on the phone in the spring of 2004. He promised, once again, that refinancing would lower her interest rate and her monthly payments. Pittman wasn't sure what to do. She knew she'd been burned before, but she desperately wanted to find a way to pay off the Long Beach loan and regain her financial bearings. She was still pondering whether to take the loan when two Ameriquest representatives appeared at the house on Irex Street. They brought a stack of documents with them. They told her, she later recalled, that it was preliminary paperwork, simply to get the process started. She could make up her mind later. The men said, "sign here," "sign here," "sign here," as they flipped through the stack. Pittman didn't understand these were final loan papers and her signatures were binding her to Ameriquest. "They just said sign some papers and we'll help you," she recalled. To push the deal through and make it look better to investors on Wall Street, consumer attorneys later alleged, someone at Ameriquest falsified Pittman's income on the mortgage application. At best, she had an income of $1,600 a month -- roughly $1,000 from Social Security and, when he could afford to pay, another $600 a month in rent from her son. Ameriquest's paperwork claimed she brought in more than twice that much -- $3,700 a month. The new deal left her with a house payment of $1,069 a month -- nearly all of her monthly income and twice what she'd been paying on the FHA loan before Ameriquest and Long Beach hustled her through the series of refinancings. She was shocked when she realized she was required to pay more than $1,000 a month on her mortgage. "That broke my heart," she said. For Ameriquest, the fact that Pittman couldn't afford the payments was of little consequence.

Her loan was quickly pooled, with more than fifteen thousand other Ameriquest loans from around the country, into a $2.4 billion "mortgage-backed securities" deal known as Ameriquest Mortgage Securities, Inc. Mortgage Pass-Through Certificates 2004-R7. The deal had been put together by a trio of the world's largest investment banks: UBS, JPMorgan, and Citigroup. These banks oversaw the accounting wizardry that transformed Pittman's mortgage and thousands of other subprime loans into investments sought after by some of the world's biggest investors.

Slices of 2004-R7 got snapped up by giants such as the insurer MassMutual and Legg Mason, a mutual fund manager with clients in more than seventy-five countries. Also among the buyers was the investment bank Morgan Stanley, which purchased some of the securities and placed them in its Limited Duration Investment Fund, mixing them with investments in General Mills, FedEx, JC Penney, Harley-Davidson, and other household names. It was the new way of Wall Street. The loan on Carolyn Pittman's one-story house in Atlantic Beach was now part of the great global mortgage machine. It helped swell the portfolios of big-time speculators and middle-class investors looking to build a nest egg for retirement. And, in doing so, it helped fuel the mortgage empire that in 2004 produced $1.3 billion in profits for Roland Arnall. In the first years of the twenty-first century, Ameriquest Mortgage unleashed an army of salespeople on America. They numbered in the thousands. They were young, hungry, and relentless in their drive to sell loans and earn big commissions. One Ameriquest manager summed things up in an e-mail to his sales force: "We are all here to make as much fucking money as possible. Bottom line. Nothing else matters."

Home owners like Carolyn Pittman were caught up in Ameriquest's push to become the nation's biggest subprime lender. The pressure to produce an ever-growing volume of loans came from the top. Executives at Ameriquest's home office in Orange County leaned on the regional and area managers; the regional and area managers leaned on the branch managers. And the branch managers leaned on the salesmen who worked the phones and hunted for borrowers willing to sign on to Ameriquest loans.

Men usually ran things, and a frat-house mentality ruled, with plenty of partying and testosterone-fueled swagger. "It was like college, but with lots of money and power," Travis Paules, a former Ameriquest executive, said. Paules liked to hire strippers to reward his sales reps for working well after midnight to get loan deals processed during the end-of-the-month rush. At Ameriquest branches around the nation, loan officers worked ten- and twelve-hour days punctuated by "Power Hours" -- do-or-die telemarketing sessions aimed at sniffing out borrowers and separating the real salesmen from the washouts.

At the branch where Mark Bomchill worked in suburban Minneapolis, management expected Bomchill and other loan officers to make one hundred to two hundred sales calls a day. One manager, Bomchill said, prowled the aisles between desks like "a little Hitler," hounding salesmen to make more calls and sell more loans and bragging he hired and fired people so fast that one peon would be cleaning out his desk as his replacement came through the door.

As with Mark Glover in Los Angeles, experience in the mortgage business wasn't a prerequisite for getting hired. Former employees said the company preferred to hire younger, inexperienced workers because it was easier to train them to do things the Ameriquest way. A former loan officer who worked for Ameriquest in Michigan described the company's business model this way: "People entrusting their entire home and everything they've worked for in their life to people who have just walked in off the street and don't know anything about mortgages and are trying to do anything they can to take advantage of them." Ameriquest was not alone. Other companies, eager to get a piece of the market for high-profit loans, copied its methods, setting up shop in Orange County and helping to transform the county into the Silicon Valley of subprime lending. With big investors willing to pay top dollar for assets backed by this new breed of mortgages, the push to make more and more loans reached a frenzy among the county's subprime loan shops.

"The atmosphere was like this giant cocaine party you see on TV," said Sylvia Vega-Sutfin, who worked as an account executive at BNC Mortgage, a fast-growing operation headquartered in Orange County just down the Costa Mesa Freeway from Ameriquest's headquarters. "It was like this giant rush of urgency." One manager told Vega-Sutfin and her coworkers that there was no turning back; he had no choice but to push for mind-blowing production numbers. "I have to close thirty loans a month," he said, "because that's what my family's lifestyle demands." Michelle Seymour, one of Vega-Sutfin's colleagues, spotted her first suspect loan days after she began working as a mortgage underwriter at BNC's Sacramento branch in early 2005. The documents in the file indicated the borrower was making a six-figure salary coordinating dances at a Mexican restaurant. All the numbers on the borrower's W-2 tax form ended in zeros -- an unlikely happenstance -- and the Social Security and tax bite didn't match the borrower's income. When Seymour complained to a manager, she said, he was blase, telling her, "It takes a lot to have a loan declined." BNC was no fly-by-night operation. It was owned by one of Wall Street's most storied investment banks, Lehman Brothers. The bank had made a big bet on housing and mortgages, styling itself as a player in commercial real estate and, especially, subprime lending. "In the mortgage business, we used to say, 'All roads lead to Lehman,' " one industry veteran recalled.Lehman had bought a stake in BNC in 2000 and had taken full ownership in 2004, figuring it could earn even more money in the subprime business by cutting out the middleman.

Wall Street bankers and investors flocked to the loans produced by BNC, Ameriquest, and other subprime operators; the steep fees and interest rates extracted from borrowers allowed the bankers to charge fat commissions for packaging the securities and provided generous yields for investors who purchased them. Up-front fees on subprime loans totaled thousands of dollars. Interest rates often started out deceptively low -- perhaps at 7 or 8 percent -- but they almost always adjusted upward, rising to 10 percent, 12 percent, and beyond.

When their rates spiked, borrowers' monthly payments increased, too, often climbing by hundreds of dollars. Borrowers who tried to escape overpriced loans by refinancing into another mortgage usually found themselves paying thousands of dollars more in backend fees -- "prepayment penalties" that punished them for paying off their loans early. Millions of these loans -- tied to modest homes in places like Atlantic Beach, Florida; Saginaw, Michigan; and East San Jose, California -- helped generate great fortunes for financiers and investors. They also helped lay America's economy low and sparked a worldwide financial crisis. The subprime market did not cause the U.S. and global financial meltdowns by itself. Other varieties of home loans and a host of arcane financial innovations -- such as collateralized debt obligations and credit default swaps -- also came into play. Nevertheless, subprime played a central role in the debacle. It served as an early proving ground for financial engineers who sold investors and regulators alike on the idea that it was possible, through accounting alchemy, to turn risky assets into "Triple-A-rated" securities that were nearly as safe as government bonds. In turn, financial wizards making bets with CDOs and credit default swaps used subprime mortgages as the raw material for their speculations. Subprime, as one market watcher said, was "the leading edge of a financial hurricane." This book tells the story of the rise and fall of subprime by chronicling the rise and fall of two corporate empires: Ameriquest and Lehman Brothers. It is a story about the melding of two financial cultures separated by a continent: Orange County and Wall Street. Ameriquest and its strongest competitors in subprime had their roots in Orange County, a sunny land of beauty and wealth that has a history as a breeding ground for white-collar crime: boiler rooms, S&L frauds, real-estate swindles. That history made it an ideal setting for launching the subprime industry, which grew in large measure thanks to bait-and-switch salesmanship and garden-variety deception. By the height of the nation's mortgage boom, Orange County was home to four of the nation's six biggest subprime lenders. Together, these four lenders -- Ameriquest, Option One, Fremont Investment & Loan, and New Century -- accounted for nearly a third of the subprime market. Other subprime shops, too, sprung up throughout the county, many of them started by former employees of Ameriquest and its corporate forebears, Long Beach Savings and Long Beach Mortgage. Lehman Brothers was, of course, one of the most important institutions on Wall Street, a firm with a rich history dating to before the Civil War. Under its pugnacious CEO, Richard Fuld, Lehman helped bankroll many of the nation's shadiest subprime lenders, including Ameriquest. "Lehman never saw a subprime lender they didn't like," one consumer lawyer who fought the industry's abuses said.Lehman and other Wall Street powers provided the financial backing and sheen of respectability that transformed subprime from a tiny corner of the mortgage market into an economic behemoth capable of triggering the worst economic crisis since the Great Depression. A long list of mortgage entrepreneurs and Wall Street bankers cultivated the tactics that fueled subprime's growth and its collapse, and a succession of politicians and regulators looked the other way as abuses flourished and the nation lurched toward disaster: Angelo Mozilo and Countrywide Financial; Bear Stearns, Washington Mutual, Wells Fargo; Alan Greenspan and the Federal Reserve; and many more. Still, no Wall Street firm did more than Lehman to create the subprime monster. And no figure or institution did more to bring subprime's abuses to life across the nation than Roland Arnall and Ameriquest. Among his employees, subprime's founding father was feared and admired. He was a figure of rumor and speculation, a mysterious billionaire with a rags-to-riches backstory, a hardscrabble street vendor who reinvented himself as a big-time real-estate developer, a corporate titan, a friend to many of the nation's most powerful elected leaders. He was a man driven, according to some who knew him, by a desire to conquer and dominate.

"Roland could be the biggest bastard in the world and the most charming guy in the world," said one executive who worked for Arnall in subprime's early days. "And it could be minutes apart."

He displayed his charm to people who had the power to help him or hurt him. He cultivated friendships with politicians as well as civil rights advocates and antipoverty crusaders who might be hostile to the unconventional loans his companies sold in minority and working-class neighborhoods. Many people who knew him saw him as a visionary, a humanitarian, a friend to the needy. "Roland was one of the most generous people I have ever met," a former business partner said.

He also left behind, as another former associate put it, "a trail of bodies" -- a succession of employees, friends, relatives, and business partners who said he had betrayed them. In summing up his own split with Arnall, his best friend and longtime business partner said, "I was screwed."Another former colleague, a man who helped Arnall give birth to the modern subprime mortgage industry, said: "Deep down inside he was a good man. But he had an evil side. When he pulled that out, it was bad. He could be extremely cruel." When they parted ways, he said, Arnall hadn't paid him all the money he was owed. But, he noted, Arnall hadn't cheated him as badly as he could have. "He fucked me.But within reason." Roland Arnall built a company that became a household name, but shunned the limelight for himself. The business partner who said Arnall had "screwed" him recalled that Arnall fancied himself a puppet master who manipulated great wealth and controlled a network of confederates to perform his bidding. Another former business associate, an underling who admired him, explained that Arnall worked to ingratiate himself to fair-lending activists for a simple reason: "You can take that straight out of The Godfather: 'Keep your enemies close.' "

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