 
American People Need Donald Trump: Here is Why

Copyright 2016 Bhaskar Sarkar Published at Smashwords

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Dedication

This book is dedicated to the ordinary people of the United States;May God give them the wisdom to see through misinformation campaign by the Super rich and politicians and learn to protect their interest

# Contents

Prologue

Chapter 1. Mr. Donald Trump

Chapter 2. Mr. Bernie Sanders

Chapter 3. Politician Corporate Nexus

Chapter 4. Growing Economic Inequalities and Poverty

Chapter 5. Immigration and Loss of American Jobs

Chapter 6. Globalization, Free Trade and American Manufacturing

Chapter 7. Tax Laws and Tax Evasion and its effect of American People

Chapter 8. More Government or Less

Chapter 9. America and the Muslim World

Chapter 10. Foreign Policy and American Interventionism

American Interventions

Saudi Arabia

China

China's Neighbours around South China Sea

Iran

US and NATO

Pakistan

Syria

Islamic State

Russia

Author's Suggestions on US Foreign Policy

Epilogue

Bibliography

Author Profile

Other Books by Bhaskar Sarkar

Connect Bhaskar Sarkar

#  Prologue

Democracy is supposed to be a government "Of the People, by the People and for the People". But in reality, the people or the masses are totally excluded from the government and government formation. Governments are run by professional politicians who are elected by the people. The process of election is elaborate. It involves huge sums of money spent by the government on the conduct of the election. The candidates use money power, muscle power, character assassination, party image and salesmanship to confuse and woo the electorate and the masses. Money power is required by politicians to advertise their manifestos, organize campaigns and sometimes to buyoff opponents. Muscle power is more in use in developing countries than in the US. Party image is highlighted by the candidates and the "moneybags" who support them. Salesmanship takes the form of speeches and advertisements highlighting past performance and a plethora of promises, never meant to be fulfilled. Money is provided by the corporations and the rich investors, and promises are made to them for passing legislations which increase their profitability. Politicians also promise to pass resolutions or dilute laws to reduce the liability of the corporations and the super rich for tax evasion, causing environmental damage, using unfair labour practices including economic slavery and inadequate safety standards at the workplace have to be kept. However, promises made to the people to reducing economic inequality, creating jobs, increasing incomes, stopping unfair labour practices are promptly forgotten after the elections.

Every effort is also made by the politicians to confuse the fundamental issues of economic prosperity and wellbeing of the masses with non- issues like gay marriage and abortion rights, religious freedom, race relations and foreign policy. Induction of cheaper foreign workers, shifting jobs outside the country by moving manufacturing and business process out-sourcing which increase corporate profits is supported. The misery of the American people is allowed to continue unchecked. Poor Americans, especially daily wage earners and contract workers, are prevented from voting by not allowing them paid time off to vote. They are discouraged from voting by restricting the number of voting centres and thereby making voting time consuming and making commuting to the voting centres as difficult as possible.

The masses have very little trust in the professional politicians. But what can they do? The Republican and the Democrat Parties have identical attitudes when it comes to dealing with corporate excesses, economic inequality, unemployment, punishing tax evasion and environmental degradation, dealing with tax havens, profiteering and so on. They only differ on non-issues like foreign policy, abortion and gay rights.

The 2016 presidential election is not a contest between Republicans and Democrats. It is a contest between the super rich, corporations and their favoured politicians on one side and politicians who dare to talk about income inequality, creation of quality jobs, reviving American manufacturing and stopping cheap imports of goods and foreign workers which lead to job losses for Americans on the other. Donald Trump and Bernie Sanders have provided a chance to the American people to get even with the professional politicians. Are the American people capable of taking the chance? Or will they be again taken for a ride by Hillary Clinton exhorting them to elect the first woman president of the US and allow the cosy relationship between corporate America and its politicians to continue for ever.

This book is an appeal to the American voters to vote for Donald Trump in the primaries and in the presidential election to follow. It is also an appeal to Mr. Trump to pick Mr. Bernie Sanders as his running mate so that all the anti-establishment and anti-corporate forces in both the political parties are on the same side and can defeat the establishment's favoured candidate, Mrs. Hillary Clinton. Trump must contest the elections with Bernie Sanders as his running mate even if he is denied nomination by the Republican Party.

Author

### Chapter 1: Donald Trump

Donald John Trump, the irrepressible Republican Presidential candidate needs no introduction to the American people. For the information of the outside world, the 60 year old billionaire businessman, politician and TV personality is the son of a real estate developer. He is from New York. He is the chairman and President of the Trump Organization and the founder of the gaming and hotel enterprise Trump Entertainment Resorts which he has since sold offTrump the Politician

Donald Trump's political leanings are ambiguous. He was a Democrat till 1987. He became a Republican between 1988 and 1999 and was a supporter of Ronald Regan for US president. He switched to Reformist Party between 1999 and 2001. After his stint in the Reformist party, he became a Democrat from 2001 to 2009. In 2005, the Clintons attended Trump's marriage. In 2008, he wrote that Hillary Clinton would make a great president or vice president. In February 2012 he returned to the Republican Party and endorsed Republican Mitt Romney for president. Trump first expressed interest in running for office of US president in 1987, when he spent $100,000 to place full page ads criticising U.S. defence policy. He floated the idea of running for president in 1988, 2004, and 2012, and for Governor of New York in 2006 and 2014, but did not enter those races.

Trump first ran for the U.S. presidency in 2000 and won two Reform Party primaries. But he left the Reform party due to infighting and citing that he did not want to share a platform with Mr. David Duke, an ex Klu Klux Klan leader, Mr. Buchanan, a neo-Nazi and M/s Fulani, a communist. However, the ideology and beliefs of the Reform Party remained with him. On June 16, 2015, Trump again announced his candidacy for president as a Republican. He eventually emerged as the front-runner for the Republican nomination. As of April 26, 2016, he has won most of the contests in the 2016 Republican presidential primaries which are designed to select the 2,472 delegates to select the Republican Party's presidential candidate. The winning candidate requires a simple majority of 1237 delegates. Trump has 961 of these and needs just another 276 delegates to win the nomination. Should he fail to do so, the Republican Party leadership, who do not like Trump, may try to nominate someone else. Republican Party and their "money bags" are openly trying to prevent Trump from reaching the magic figure of 1237 delegates.

Political Positions

Trump's politics have been described as populist, anti-immigration, protectionist and authoritarian. On social issues, Trump is anti-abortion except in case of rape, incest or ill health. He supports the Second Amendment and is opposed to gun control. He supports Federal background check system so that criminals and persons with mental health records cannot legally own guns. Trump opposes legalizing recreational marijuana but supports legalizing medical marijuana. He supports traditional marriage but is tolerant of same-sex marriage. Trump supports capital punishment. He favours replacing "Obamacare" with a free market plan. Trump's views against immigration, free trade, and military interventionism, as well as his support for social security, have put him in conflict with Republican Party establishment consensus and the Party's corporate supporters. He supports free trade but believes that trade must be "reasonably fair". He calls for reducing the corporate tax rate to 15 percent concurrent with the elimination of various loopholes and deductions. He has said that if he won the election, illegal immigrants are going to be deported but some could return. Trump regards the Environment Protection Agency as an impediment to both growth and jobs. Trump supports increased fracking. He has called global warming "a total hoax."

Trump has at various times said he favoured and opposed sending US troops to fight abroad. In 2002 he had supported invading Iraq but by 2003 he had become an opponent. In 2008, Trump said that George W Bush should have been impeached for the Iraq War. Trump has been critical of Pakistan and described it as "probably the most dangerous country" in the world, and that Pakistan's nuclear weapons posed a "serious problem." He has advocated improving relations with India as a "check" to Pakistan. Trump has called for aggressive bombing of the Middle East terrorist group "Islamic State" and has supported surveillance of mosques in the US.

In December 2008, Trump supported the 2009 Obama government-backed rescue plan for the U.S. auto industry. It clearly shows that he is sympathetic to the American blue collared workers. Trump's immigration policy calls for deportation of the estimated approximately 11 million illegal immigrants in the US and the erection of a substantial wall on the Mexico-US border. However, he has proved himself to be a pragmatic person and one need not worry too much on the issue.

Trump supports Christian groups in the US and has promised that he will reverse unfavourable tax treatments supposedly preventing them from expressing themselves. He has promised to revive a more widespread use of the supposed politically-incorrect phrase "Merry Christmas" in department stores.

He has called for a temporary ban on Muslims entering the US and has linked Muslims with terrorism. This has resulted in widespread outrage around the world. To support his views on Muslims, Trump gave the example of Belgium and France where the Muslim immigrants have failed to integrate with local population and created unbearable social tensions.

Other issues he highlights include taking care of military veterans, making the military "strong," and getting trade agreements more favourable to American workers. He is supportive of increasing import duties on Chinese exports to the US to protect American manufacture.

### Trump Supporters

### American blue coloured workers are the core supporters of Donald Trump. Trump's presidential bid has been endorsed by many reputed individuals including by Republican Governors Chris Christe of New Jersey and Paul Le Page of Maine, former Governor Sarah Palin of Alaska, Republican Senator Jeff Sessions of Alabama, Republican Representatives Chris Collins of New York and Duncan D Hunter of California and former Republican presidential candidate Ben Carson. The author believes the silent majority is with him.

### Why I Recommend Trump for being US President

### Firstly, Donald Trump is his own man with the ability to finance his campaign and is not dependant on corporate or PAC financial support. He is unlikely to succumb to corporate pressure to take anti-labour and anti-middle class policy decisions.

### Secondly, Donald Trump is the people's candidate. His sympathies are with the American people.

### Thirdly, Donald Trump has been a Democrat, a Republican and a member of the Reformist Party. He understands the need to reduce the influence of corporate lobbying on the government for benefiting the ordinary American people.

### Fourthly, he is not dogmatic. He can change with the need of situation and learn from mistakes. He will carry out mid-course corrections in American Policy where necessary.

### Fifthly, his economic policies are intended to bring high paying jobs back to America and bring prosperity to the American people and not restrict financial benefits to the top 3 percent.

Sixthly, his non-interventionist foreign policy based on real issues rather than Cold War and unconditional support to fundamentalist Muslim countries like Saudi Arabia, Kuwait, Qatar, Pakistan and Turkey will bring an end to many conflicts in the world.

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#  Chapter 2: Mr. Bernie Sanders

Bernard "Bernie" Sanders is a senator from Vermont and a candidate for Democratic nomination for president. He also needs little introduction to the American people. However, for the benefit of others, he is the longest serving independent senator in US history and only joined the Democratic Party in 2015. He was born in New York. He entered the House of Representatives in 1990 and served as a congressman for 16 years before being elected to the US Senate in 2006. Sanders describes himself as a democratic socialist. Many journalists have likened his policies to the "New Deal" that followed the Great Depression. Sanders had vehemently opposed Bush Tax Cuts and has built a reputation as a leading progressive voice on issues such as campaign finance reforms, global warming, income inequality and LGBT rights. Sanders has long been critical of US foreign policy and was an early and outspoken opponent of the Iraq War.

Sanders began his presidential bid by saying, "I don't believe that the men and women who defended American democracy fought to create a situation where billionaires own the political process." This has been a central idea throughout his campaign. Sanders has not relied on corporate donations or PACs for funding his presidential bid. He has raised adequate funds through small donations to continue his bid till the bitter end. Sanders has used social media to help his campaign gain momentum. He posts content to online platforms such as Twitter and Facebook. Sanders has a large grassroots organizational following online. Sanders has received over one million individual online donations. In February 2016, Sanders objected to the Democratic National Committee's reversal of President Obama's 2008 decision to ban political contributions from lobbyists and PACs and asked Hillary Clinton to do the same.

As of April 2016, Bernie Sanders is trailing Hillary Clinton by a very large number of delegates. It is very unlikely that he will be able to get the required number of delegates to get the Democratic Party's presidential nomination. He may be the people's choice and the most deserving but he is not the choice of Democratic Party leaders, corporate America or the top 3 percent of the American people.

### Political Positions

Sanders is a self-described "democratic socialist" or a socialist who believes in the democratic process. He admires the Nordic model of social democracy that is practised in Northern Europe. In defining what democratic socialism means to him, Sanders said: "I don't believe government should take over the grocery store down the street or own the means of production, but I do believe that the middle class and the working families who produce the wealth of America deserve a decent standard of living and that their incomes should go up, not down. I do believe in private companies that thrive and invest and grow in America, companies that create jobs here, rather than companies that are shutting down in America and increasing their profits by exploiting low-wage labour abroad."

Sanders called international trade agreements a "disaster for the American worker". Sanders has voted against NAFTA, CAFTA and PNTR with China, saying that these treaties have resulted in American corporations moving abroad. He also strongly opposes the Trans-Pacific Partnership promoted by President Obama, which he says was "written by corporate America and the pharmaceutical industry and Wall Street."

Sanders focuses on economic issues such as income and wealth income and wealth inequality, raising minimum wages, providing universal healthcare, reducing the burden of students debt and making public colleges and universities tuition-free by taxing financial transactions on Wall Street. He wants to expand Social Security benefits by eliminating the cap on the payroll tax on all incomes above $250,000. He is a prominent supporter of laws requiring companies to give their workers parental leave, sick leave and vacations. He points out that such laws have been adopted by nearly all other developed countries. He also supports legislation that would make it easier for workers to join or form a union.

Sanders, like Trump has advocated campaign finance reforms. He also advocates comprehensive financial reforms, such as breaking up "too big to fail" financial institutions, restoring Glass-Steagall Banking Act of 1933 which separates commercial and investment banking, reforming the Federal Reserve Bank and allowing the Post Office to offer basic financial services in economically marginalized communities.

Sanders strongly opposed American interventionism including the US invasion of Iraq and has criticized a number of policies instituted during the "War on Terror" which followed 9/11 terror strikes by Al Qaeda including intervention in Afghanistan and particularly mass surveillance and the USA Patriot Act.

Sanders has liberal stances on social issues like LGBT rights. He supports abortion and opposes the de-funding of Planned Parenthood program. He calls for criminal justice reform to reduce the number of people in prison and advocates a crackdown on police brutality. He supports abolishing the death penalty. Sanders supports legalizing marijuana at the federal level.

Sanders has cautioned against "Islamophobia" and said, "We gotta be tough, not stupid" in the war against ISIL. He feels the US should continue to welcome Syrian refugees.

Sanders advocates bold action to reverse global warming and substantial investment in infrastructure and job creation. Sanders considers climate change as the greatest threat to national security.

### Sanders Supporters

Sanders supporters are the working class Americans, student and jobless young men and women with Democratic Party leanings.

Why I want Trump and Sanders to team up together and Contest 2016 Presidential Election

Firstly, both have the welfare of 97 percent of the American people uppermost in their priority.

Secondly, both are independents at heart and can finance their campaign without the financial support of corporate America and the PAC's.

Thirdly, both want to bring in campaign funding reforms and to reduce the influence of the rich billionaires in the economic policies.

Fourthly, both want better paid jobs to be created within the US so that the American middle class and workers can prosper and income and wealth inequalities are reduced.

Fifthly, both are against globalization and free trade agreement which move manufacturing and lucrative job overseas.

Sixthly, both have similar support base, blue collar workers and young people.

Seventhly, both support better deal for war veterans.

Eighthly, both are against American military interventionism abroad.

Lastly, both are adept at using the social media in their campaign.

They have some differences. The most important ones are on climate change and increasing minimum wages. Here they would need to discuss and find common ground or simply maintain status quo. If the supporters of Donald Trump and Bernie Sanders can come together and vote for them as a team, the money power of corporate America can never defeat them.

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#  Chapter 3: Politician Corporate Nexus

Most blue collared working Americans and their families or the bottom 97 percent of the American people would have no hesitation in admitting that their economic condition is becoming worse, day by day and year by year. Many with well-paying jobs in the manufacturing or service sectors like banking or energy related industries have had their jobs moved overseas to China and various countries in the developing world or to robots or machines deployed in their places. All this started when Ronald Regan crushed the strike by air traffic controllers and encouraged American corporations to shift manufacturing overseas. Incomes have since dropped and economic inequality continues to increase. Any attempt to correct the situation, rare as they may be may be, are nipped in the bud by the politician corporate nexus. Occasional protests like those by the "Occupiers of Wall Street" are crushed.

### Example of Politician Corporate Nexus

The most glaring example of politician-corporate nexus in the US is lobbying. Lobbying is a paid activity in which interested parties, mostly multinational corporations and rich individuals hire well-connected professionals, lawyers, prominent personalities like ex- presidents, ex-prime ministers, bureaucrats and politicians to argue for specific legislation in decision-making bodies at every level of government, including federal, state, county, municipal, and even local governments, US Congress, state legislatures, municipalities etc. to pass legislations, issue contracts, make policies which benefit the commercial interests of the interested party. Lobbying is essentially a tool by which multinational corporations use the offices of elected politicians to enable them to economically exploit the common man and the ordinary tax payer and eliminate competition. Lobbying is seen in a negative light by some honest politicians like Bernie Sanders, journalists and the knowledgeable among the American public.

Attempts to thwart Lobbying has been defeated by court rulings on the plea that it is a part of constitutionally protected free speech and a way to petition the government for the redress of grievances, two of the freedoms protected by the First Amendment of the American Constitution. Lobbying has enhanced the power of elite groups and was a factor shifting the American political structure toward an oligarchy commonly seen in "Banana Republics" and ex-communist countries which were a part of the Soviet Union in which average citizens have "little or no independent influence". A report in "The Nation", the oldest continuously published magazine in the US, suggested in 2014 that there were over 12,000 lobbyists in Washington alone. Political analyst James A Thurber estimated that the actual number of working lobbyists was close to 100,000 and that the lobbying industry earns over $9 billion annually. Since the 1970s, there has been explosive growth in the lobbying industry, particularly in Washington DC. By one estimate, lobbying expenses in Washington increased from $1.4 billion in 1998 to $3.5 billion in 2010.

Lobbying is a practical necessity for firms that depend on government contracts for survival. A study done in 2006 by Bloomberg News suggested that lobbying was a "sound money making strategy" for the 20 largest federal contractors. The largest contractor, Lockheed Martin Corporation, received almost $40 billion in federal contracts in 2003-4, and spent $16 million on lobbying expenses and campaign donations. For each dollar of lobbying investment, the firm received $2,517 in revenues, according to the report.

### Anti-People Nature of Lobbying

Lobbying can kill pro-people initiatives. For example, the Obama administration pledged to stop "for profit" colleges from "luring students with false promises". The threat prompted the promoters of these colleges to approach the lobbying industry. The lobbying industry , won support from influential people including a number of Congressmen or senators turned lobbyist, Washington Post CEO Donald E. Graham and education entrepreneur and University of Phoenix founder John Sperling and others with a $16 million campaign. They submitted 90,000 public documents to the Education department advocating against changes and succeeded in watering down the proposed restrictions.

### Politicians and their Staffers carry out Lobbying

In July 2005, **"** Public Citizen", a non-profit, consumer rights advocacy group and think tank based in Washington D.C. published a report entitled "The Journey from Congress to K Street". K Street is a major thoroughfare in Washington D.C. known as a centre for numerous think tanks, lobbyists and advocacy groups. It is considered to be the home of American lobbying industry. The report analysed hundreds of lobbyist registration documents filed in compliance with the Lobbying Disclosure Act and the Foreign Agents Registration Act among other sources. It found that since 1998, 43 percent of the 198 members of Congress who left government to join private life have registered to lobby. A similar report from the Centre for Responsive Politics found 370 former members of the Congress or Senate were in the "influence-peddling business", with 285 officially registered as federal lobbyists, and 85 others who were described as providing "strategic advice" or "public relations" to corporate clients. The report included a case study of one particularly successful lobbyist, Bob Livingston, who stepped down as Speaker of the House and resigned his seat in 1999. In the six years since his resignation, the Livingston Group grew into the 12th largest non law lobbying firm, earning nearly $40 million by the end of 2004. During roughly the same time period, Livingston, his wife, and his two (PACs) contributed over $500,000 to the campaign funds of various candidates.

With Congressmen and Senator making hay by lobbying, their staffers followed suit. A 2011 estimate suggested that nearly 5,400 former congressional staffers had become federal lobbyists over a ten-year period. The lobbying option is a way for staffers and lawmakers to "cash in on their experience". Democratic Congressman Richard Gephardt represented a "working-class" district in Missouri for many years. After leaving Congress, he became a lobbyist. In 2007, he began his own lobbying firm called "Gephardt Government Affairs Group" and in 2010 it was earning close to $7 million in revenues with clients including Goldman Sachs, Boeing, Visa Inc., Waste Management Inc., etc. In 2010, former Congressman Billy Tauzin earned $11 million running the drug industry's lobbying organization called the Pharmaceutical Research and Manufacturers of America.

### Tackling Lobbying

"Occupy Wall Street" protesters have been critical of lobbying in government. Any friend of the American people should question whether multinational corporations with considerable financial clout should have greater power than students, blue coloured workers and their unions and consumer protection organizations and NGOs to influence government action. The present politician corporate nexus favours the rich. This nexus and lobbying has ensured that the rich get richer and the unemployed, part employed and blue collared workers get financially weaker.

One way to fight "for-profit lobbying" is to increase non-profit lobbying and boost their effectiveness. There are no anti-hunger lobbies or lobbies seeking serious solutions to the problem of poverty and economic inequality. Unfortunately, non-profit advocacy has been "conspicuously absent" from lobbying efforts. The occasional utterances of the present Pope fall on deaf years of the rich and the powerful. For every dollar spent on lobbying by labour unions and public interest groups put together, large corporations and their associations now spend $34. Of the 100 organizations that spend the most on lobbying, 95 consistently represent big business.

President Obama pledged during the election campaign to rein in lobbying. As president in January 2009, he signed two executive orders and three presidential memoranda to ensure his administration would be more open, transparent, and accountable. These orders attempted to bring increased accountability and limit the influence of special interests, and included a ban on gifts from lobbyists. He also recommended a cooling off period for congressmen and their staffers wanting to become lobbyist. The Executive Branch Reform Act was a bill which would have required over 8,000 Executive Branch officials to report into a public database nearly any "significant contact" from any "private party." The purpose was to identify lobbying activity. The bill was supported by groups such as Public Citizen. But the proposals were opposed by various groups including the lobbying industry. They argued that the proposed reporting rules would have infringed on the right to petition, making it difficult not just for lobbyists, but for regular citizens to communicate their views on controversial issues without having their names and viewpoints entered into a government database. The US Department of Justice raised constitutional and other objections to the bill. Opponents mobilized over 450 groups including the US Chamber of Commerce with letter writing campaigns against the proposed restrictions.

Mr. Howard Marlowe, President of All American League of Lobbyist wrote to Obama saying, "Since your announcement to seek the Presidency you have consistently attacked the honourable profession of lobbying ... Lobbyists play an important role in the legislative process, serving as educators to elected officials. It is in the best interest to government to have informed individuals who serve as experts in every arena of public policy. Our ability to access and navigate the legislative process and push issues forward through a bureaucratic cluster is a vital service to the nation. The Draft Order would inhibit one of the most vital tools in the advocate's arsenal by creating fear of retribution for political donations. Making this kind of disclosure a part of the bidding process tarnishes a competition based on qualifications, adds an unneeded level of bureaucracy, and endangers the protection of free speech afforded to all Americans by the First Amendment of the Constitution..." . President Obama failed to get enough support for his proposed measure to reduce the politician-corporate nexus.

Law in the United States is generally made by Congress. But, there are a sizeable number of federal agencies under the control of the US president. These agencies sometimes write industry-specific rules and regulations regarding such things as automobile safety and air quality. Unlike elected Congresspersons who are constantly seeking campaign funds, these appointed officials are harder to influence. But lobbyists will seek to expand their influence into the federal bureaucracy. Some states have considered banning government employees permanently from lobbying on issues they had worked on. For example, there was a proposal along these lines to prevent county employees in Maryland from ever lobbying on issues they had worked on. The proposal insisted that county officials post financial disclosures as well as prohibit gifts from contractors.

### Lobbying and US Presidential Elections

There is so much money with the rich and multinational that it has become difficult to check their corrupting influence. The US is flooded with lobbyists and interest groups. Hillary Clinton has been taking money from them under different pretexts. The entire Republican "money bags" and PACs are against Donald Trump. If elected, will these favourites of oligarchs increase corporate taxes; reduce exploitation of the unemployed, part employed blue collared workers and students? Or will they favour the multinational corporation, give them more tax breaks, and condone their acts of degradation of the natural and working environment.

### We have seen that Federal Agencies directly under control of the President can try to reduce the damage done to the American people by corporate lobbying. But they will do that only if the President and Vice President want them to. That will only happen if Donald Trump and Bernie Sanders are at the helm of affairs. So go all out and vote for them.

###  Conclusion

Corporations now spend about $2.6 billion a year on reported lobbying expenditures. They claim that they spend more than $2 billion a year, $1.2 billion on Congressmen and over $800 billion on senators. Corporate lobbying killed all attempts at major labour reforms, rolled back regulations that reduced their profiteering and lowered corporate taxes. 97 percent Americans are doomed to economic slavery and poverty if they do not have the vision and wisdom to elect politicians like Donald Trump or Bernie Sanders who are not dependent on corporate moneybags and PACs to fund their elections and re-elections and are the champions of the ordinary American people.

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#  Chapter 4: Growing Economic Inequality and Poverty

The U.S. was ranked the 41st in 2006 among 141 countries on income equality measured by the Gini index. It had one of the highest levels of income inequality among similar developed or high income countries. The New York Times reported in 2014 that most Americans are not keeping pace in income with their counterparts around the world. Income of middle class Canadians was higher than in the US. The poor in much of Europe get more financial assistance than their US counterparts. In the same report, the New York Times identified three key reasons why other industrialized countries have improved real median income relative to the United States over the 2000-2010 period.

The first reason is that over the last 30 years the American corporations have been laying off well qualified American workers and employing cheaper non-American temporary workers in their place.

The second reason is that companies in the US distribute less of their income as wages to their workers than other industrialized countries. US top executives have relatively more income than other industrial nations. The US has lower minimum wage and weaker unions than other industrialized countries.

The third reason is that other industrialized countries have tax policies that more aggressively redistribute income from rich to poor.

Bloomberg reported in August 2014 that only the wealthy in the US saw pay increases since the 2008 recession, while average American workers saw no boost in their paycheques.

### Policy Responses

The Centre for American Progress, a progressive public policy research and advocacy organization recommended a series of steps in September 2014, including tax reform, subsidizing and reducing healthcare and higher education costs, and strengthening labour influence. Such recommendations naturally cut no ice with the corporations and their politician friends, particularly in the Republican Party. To reduce the effects of income inequality, they recommend strengthening social safety net provisions such a Temporary Assistance for needy families, the food stamp program, Social Security, Medicare and Medicaid. Other measures suggested include increasing and reforming higher education subsidies, creating jobs by increasing infrastructure spending, increasing minimum wages and placing limits on rentals and taxing rent seeking. Tax reforms are also necessary so that the wealthy pay more tax and the additional revenue can be used to reduce the effects of income inequality.

### Funding Education

Percentage of children attending pre-school education in the US is lower than in other developed countries where 70 percent of three year olds go to preschool. In the US the figure is only 38 percent. Per pupil spending in state funded educational programs in the US has declined by 12 percent since 2010. Better teachers tend to migrate to higher income school districts. Pupil teacher ratio has also declined. The quality of education has been suffering. Higher education has become more expensive. College costs have risen much faster than income, resulting in an increase in student loan debt from $260 billion in 2004 to $1.1 trillion in 2014. From 1995 to 2013, outstanding education debt grew from 26 percent of average yearly income to 58 percent for the bottom 50 percent households in terms of net worth. College education is nearly free in many European countries and is often funded by higher taxes.

### Public Welfare and Infrastructure Spending

Currently, the U.S. has the weakest social safety net of all developed nations. The US corporations are worried that increased welfare spending may entice the poor away from being forced to work as economic slaves, raise wages and reduce profitability. They argue that increased welfare spending will make the poor more dependent on the government. The OECD asserts that public spending is essential in reducing the ever expanding income inequality.

### Taxes on the Wealthy

Recent policies like the American Taxpayer Relief Act 2012 and the Affordable Care Act enacted under President Obama increase taxes on the wealthy. These laws include several tax increases on individuals earning over $400,000 per year and couples earning over $450,000 per year. These changes are estimated to add $600 billion to federal revenue over 10 years. This reverses a long term trend of lower tax rates for higher income persons. This has marginally reduced after-tax income inequality. However, the increases are not adequate to make a major effect. Most CEOs paid less tax in percentage terms than their secretaries. Mit Romney, the 2012 Republican presidential candidate had declared that he had a Swiss account and paid only about 9 percent as income tax.

The some economists recommend much higher top marginal tax rates on the wealthy, up to 50 percent or even more. Ralph Nader, Jeffery Sachs, Bernie Sanders and the United Front Against Austerity, among others, call for a financial transaction tax to finance increases in the social safety net and the public sector. The Pew Centre reported in January 2014 that 54 percent of Americans supported raising taxes on the wealthy and corporations to expand aid to the poor. By party, 29 percent of Republicans and 75 percent of Democrats supported this action. But the corporate lobbies are doing their best to stop or dilute tax reforms which would reduce income inequality. The existence of tax loopholes, deductions, and credits for the corporate income tax is a major contributor to rising income inequality. Corporations also avoid tax by locating their head offices in tax havens or countries which give them tax breaks. They contribute nothing to society.

### Minimum Wages

In his 2013 State of the Union address, Barack Obama proposed raising the federal minimum wage. The fast food worker's strikes of 2013 were signs of the need to raise the minimum wage for all workers. The US minimum wage was last raised to $7.25 per hour in July 2009. As of December 2013, there were 21 states with minimum wages above the Federal minimum. The State of Washington has the highest minimum wage at $9.32. Ten states index their minimum wage to inflation. The Pew Centre reported in January 2014 that 73 percent of Americans supported raising the minimum wage from $7.25 to $10.10 per hour. By party, 53 percent of Republicans and 90 percent of Democrats favoured this action. In January 2014, six hundred economists sent a letter to the President and Congress urging for a minimum wage hike to $10.10 an hour by 2016. 16.5 million workers are likely to benefit from the increase if it does take place.

### Maximum Wage Implementation

There have been demands for a maximum wage law, which "would limit the amount of compensation an employer could receive to a specified multiple of the wage earned by his or her lowest paid employees. It is interesting to note that the CEO pay at the largest 350 U.S. companies was 20 times the average worker pay in 1965; 58 times in 1989 and 273 times in 2012.

### Labour Reforms

The working conditions and bargaining power of American working class has been weakened by the neo-liberal policies instituted by Ronald Regan. The working hours have increased. Earned leave, casual leave, maternity leave have been drastically reduced. Workers are forced to work on contract and are thereby denied perks and other benefits enjoyed by permanent employees. Their employment is often terminated without any notice or compensation. The exploitation of labour in the US surpasses that in the organized sector of even the developing world. Corporations and their crony politicians are against any kind of labour reforms that benefit the working class.

### Wealth Inequality

Wealth or net worth is defined to be what is owned minus what is owed. Net worth is affected by movements in the prices of assets, such as stocks, bonds, and real estate, which can fluctuate significantly over the short-term. Wealth inequality is also increasing. In 1978, the top 1 percent owned 23 percent of America's wealth. By 2012 they owned 40 percent. The lower 50 percent of households held 3 percent of the country's wealth in 1989. By 2013 it had fallen to 1 percent. The average net worth of the bottom 50 percent of households in 2013 was approximately $11,000. Since this figure includes the cost of their homes, it would be obvious that their financial wealth is negative and they are heavily in debt. As per the report of the Centre for American Progress published in September 2014, the net worth or wealth of the top 20 percent of families increased by 120 percent between 1983 and 2010. The middle 20 percent of families only saw their wealth increase by 13 percent during the same period. The bottom 20 percent of families, on average, saw debt exceed assets and reached negative net worth. Homeowners in the bottom 20 percent lost an astounding 94 percent of their wealth between 2007 and 2010. What will be the condition of the bottom 50 percent of the American population if this trend continues?

### Poverty in the US

As per the US Census Bureau reports titled "Income, Poverty, and Health Insurance in the US 2014" and "Income and Poverty in the US 2014", 47 million people lived in poverty in the US in 2014. That meant that 15 percent of the US population lives in poverty. The 2014 poverty rate was 2.3 percentage points higher than in 2007, the year before the 2008 recession. The numbers have remained unchanged for the last four years.

The Federal government's official poverty threshold is $12,000 per individual, $ 15,000 for a family of two, $ 19,000 for a family of three and $24,000 per year for a family of four. For a family of nine or more it is $ 49,000 per year. People who are working at minimum wage, even holding down several jobs, senior citizen living on fixed incomes, wage earners suddenly out of work can live in poverty. About 50 million families in America, from cities to rural communities, are living in poverty.

Poverty does not strike all demographics equally. For example, in 2014, 13 percent men and 16 percent of women lived in poverty. The poverty rate for married couples in 2014 was only 6 percent. The poverty rate for single-parent families with no wife present was up to 16 percent, and for single mother families was 31 percent. Poverty rate in metropolitan areas at15 percent is marginally lower than the poverty rate for people outside of metropolitan areas which is 17 percent. The poverty rate for people living with a disability was 29 percent. That's more than 4 million people living with a disability in poverty. In 2014, 21 percent of all children or 15.5 million kids or 1 in 5 children lived in poverty in the US. 1.6 million children are homeless. Though the official census data gives senior citizen a 2014 poverty rate of only 10 percent, the Supplemental Poverty Measure, which accounts for expenses such as the rising costs of health care, raises the senior's poverty rate to 14 percent. According to 2014 US Census Data, the highest poverty rate by race is found among Blacks (26 percent). Hispanics (of any race) have the second highest poverty rate (24 percent). Whites had a poverty rate of 10 percent, while Asians had a poverty rate at 12 percent. The saddest part of the situation is that 7 percent of the population or 21 million American people, citizens of the world's largest economy, live in deep poverty with incomes at only about half the official poverty thresholds. And about one third of the population or 105 million Americans live close to poverty, with incomes less than two times that of their poverty thresholds.

No one cares about poverty in America. The super rich and the multinational corporations are too busy increasing their wealth, evading taxes and manipulating the politicians and the political system to gain more benefits to care. The politicians are too busy raising money for elections and re-elections to look after the poor who have little to contribute. The present President is too busy in fighting the Congress and with world affairs to care. He goes around signing free trade agreements which shift more jobs overseas. He gives $4 billion a year to Israel to build new illegal settlements and abuse human rights in the Occupied Territories. He gives $4 billion a year to the Egyptian Army who have overthrown a democratically elected government and have no respect for press freedom or human rights. He gives $3 billion a year to the Pakistan Army so that they can arm and train Afghan Taliban who have been killing American soldiers and fighting the Afghan Government, which is supposed to be an ally of America. He handed over $90 billion per month to recapitalize banks so that they can lend money to speculators and big business. He has no money to fund education so that more and better teachers can be hired. He has no money to improve public transport and infrastructure which will create more jobs. When the President does not care about poverty in the US, why should the administration care?

American media also does not care. CNN, Fox News, Bloomberg and all the other channels carry programs about poverty in Asia and Africa. How many programs do they air which highlight the plight of the American poor, American single mothers, America's homeless children?

What is astonishing is that even the poor themselves do not seem to care. Instead of highlighting their plight and protesting against government apathy to their plight, austerity, layoffs for increasing profit and shipping jobs overseas, they seem to have given up and decided to suffer in silence.

### Poverty, Inequality and the Presidential Election

At least 80 percent of the voters eligible to vote in the next presidential elections are either blue collared workers, unemployed or part employed. They are struggling to live with dignity and educate their children. They must take advantage of this opportunity and elect those who are sympathetic to their plight. Hillary Clinton is the darlings of the wealthy, the corporations and their PACs. Voting for her will not improve the lot of the working American. These champions of the privileged class are also not going to raise their little finger to fight poverty. Why vote for her?

Primary reason for poverty is lack of employment. Donald Trump has at least talked of getting rid of illegal immigrants, reducing foreign temporary workers and giving jobs to American. Bernie Sanders has talked of reducing the cost of education and students debt. The only way to reduce poverty in the US is to create jobs and get jobs back to America. America must raise taxes on the wealthy and the corporations; ensure tax compliance and destroy tax havens of the world by imposing sanctions on all companies and individuals who deal with them.

###  Conclusion

Donald Trump and Bernie Sanders are the only presidential candidates who may take action to create jobs, reduce poverty and help reduce income and wealth inequality and help the cause of the American people. All victims of income inequality must vote for them.

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#  Chapter 5: Immigration and Loss of American Jobs

Immigration policy has been a subject of much debate in the US. The administration of Barack Obama has deported more than two million undocumented immigrants, more than former President George W. Bush did in his two terms. Obama has also attempted to grant a reprieve to five million undocumented immigrants. The matter is in court.

The first thing we need to do is to understand the situation. Immigrants are of two types, legal immigrants and illegal immigrants.

### Legal Immigrants

Legal immigrants are those who have entered the US legally on a valid visa. These can be of two types, short term immigrants who are in the US on work or study visa and long term immigrants who have been given the Green Card and will be granted citizenship after a period of time. The United States issues 140,000 to 200,000 employment based immigrant visas each year. Most of these go to high-skilled workers. Approximately 41 million legal immigrants lived in the US in 2013. This is an all-time high. The US remains one of the most popular destinations for immigrants. It attracts about 20 percent of the world's international migrants. Immigrants accounted for 13 percent of the total 316 million U.S. residents. If the U.S. born children (of all ages) of immigrants are added, the number will be approximately 80 million people. This means one-quarter of the overall U.S. population, is either a first or second generation immigrant.

Since 1970, the share and number of foreign born US citizen have increased rapidly, mainly as a result of large scale immigration from Latin America and Asia made possible by changes to admission rules adopted by Congress in 1965. Since 1970, the number of US immigrants more than quadrupled as it grew from 9.6 million in 1970 to 41 million in 2013. In 1960s, the immigrants largely originated from Europe. Italian born immigrants made up 13 percent of all foreign born in 1960, followed by those born in Germany and Canada (accounting for about 10 percent each). In the 1960s no single country accounted for more than 15 percent of the total immigrant population.

In 2013, Mexican-born immigrants accounted for approximately 28 percent of the 41 million foreign born in the United States, making them by far the largest immigrant group in the country. India was the second largest, closely trailed by China (including Hong Kong but not Taiwan), which both accounted for about 5 percent, while the Philippines (4 percent) was the fourth largest sending country. Vietnam, El Salvador, Cuba, and Korea (3 percent each), as well as the Dominican Republic and Guatemala (2 percent each), complete the top ten countries of origin. Together, immigrants from these ten countries made up close to 60 percent of the U.S. immigrant population in 2013.

In 2013, close to 47 percent of immigrants (19 million) were naturalized US citizens. The remaining 53 percent (22 million) included lawful permanent residents, unauthorized immigrants, and legal residents on temporary visas, such as students and temporary workers. About 70 percent of the 11 million immigrants from Mexico ages 16 and older were in the civilian labour force in 2013.

### Illegal Immigrants

According to the Office of Immigration Statistics (OIS), an estimated 11.4 million unauthorized immigrants resided in the United States as of January 2012. The number is more or less static. About 8 million (71 percent of the total unauthorized population) unauthorized immigrants in the 2008-12 period were born in Mexico and other Central America countries. About 1.5 million (13 percent) were from Asia; 817,000 (7 percent) from South America; 455,000 (4 percent) from Europe, Canada, or Oceania; 317,000 (3 percent) from Africa; and 225,000 (2 percent) from the Caribbean. About 660,000 illegal immigrants were apprehended in 2013. Most illegal immigrants entering the US are from Mexico, Guatemala, Honduras, and El Salvador. They make up about 93 percent of apprehended illegal immigrants. Mexican nationals constitute the overwhelming majority, 64 to 70 percent. About 610,000 were returned or removed in 2013.

### Immigrants in the Work Force

Immigrants accounted for nearly 17 percent (26 million) of the 158 million workers in the civilian labour force in 2013. Between 1970 and 2013, the percentage of foreign born workers in the civilian labour force more than tripled, from 5 percent to 17 percent. Of the 24.2 million _employed_ foreign-born workers ages 16 and older in 2013, 30 percent worked in management, professional, and related occupations; 25 percent in service occupations; 17 percent in sales and office occupations; 15 percent in production, transportation, and material moving occupations; and 13 percent in natural resources, construction, and maintenance occupations.

### Unemployment Scenario in the US

In trying to understand the figures put up by the Bureau of Labour Statistics (BLS), it is important to understand who is considered unemployed. Any person who has not applied for a job for more than 12 months is not considered unemployed or a part of the work force. Thus mothers who cannot work because they have to look after small children are not considered unemployed for statistical purposes. Chronically ill or old persons are also not considered unemployed. A person is not considered unemployed if he has not searched for and applied for a job 4 weeks preceding the survey.

### Total Unemployed

I am against use of percentages and averages as these figures tend to impersonalize the truth and will only use it occasionally. The unemployment rate fluctuated wildly, from a low of 4.7 percent in 2008 to a peak of 10.1 percent in 2009, after the US housing bubble burst and Wall Street collapsed to 5.9 percent in February 2016.

The number of unemployed was 12.2 million in 2012. As per the BLS report for February 2016, the number of unemployed persons in the US was 7.8 million. The number of long-term unemployed (those jobless for 27 weeks or more) was 2.2 million. The number of persons forced to accept part time employment for economic survival (also referred to as involuntary part-time workers) was 6.0 million and has shown little movement since November 2014. These individuals, who would have preferred full-time employment, were working part time because their hours had been cut back or because they were unable to find a full-time job.

1.8 million persons were "marginally" attached to the labour force. These individuals were not in the labour force, but wanted to work and were available for work. They had looked for a job sometime in the prior 12 months. They were not counted as unemployed because they had not searched for work in the 4 weeks preceding the survey. Among the marginally attached, there were 599,000 discouraged workers. Discouraged workers are persons not currently looking for work because they believe no jobs are available for them. The remaining 1.2 million persons marginally attached to the labour force in February had not searched for work for reasons such as school attendance or family responsibilities.

### Unemployment by Category

Unemployment rates predictably vary based on education levels, since individuals with greater education tend to be more qualified for a wider array of jobs. In December 2012, those without high school diplomas had the highest unemployment rate at 11.7 percent. High school graduates with no college were at 8.0 percent. Individuals with some college or an Associate's Degree had an unemployment rate of 6.9 percent. And those with Bachelor's Degrees or higher were the most likely to find work, with an unemployment rate of just 3.9 percent. Among the major worker groups, the unemployment rates for adult men and adult women was 4.5 percent; for youth below 25 it was 15.6 percent; the ethnic distribution was Whites 4.3 percent, Blacks 8.8 percent, Asians 3.8 percent and Hispanics 5.4 percent.

### Job Growth in the US

Total non farm payroll employment increased by 242,000 in February 2016. Job growth occurred in health care and social assistance, retail trade, food services and drinking places, and private educational services. Mining employment continued to decline. Health care and social assistance added 57,000 jobs. Health care employment increased by 38,000 over the month. Over the past 12 months, hospitals have added 181,000 jobs. Employment in social assistance rose by 19,000. Retail trade added 55,000 jobs. Employment grew in food and beverage stores by 15,000 and other general merchandise stores by 13,000. Retail trade has added 339,000 jobs over the past 12 months. Restaurants and bars have added 40,000 jobs. Over the year, employment in the food services industry has grown by 359,000. Employment in private educational services rose by 28,000 in February, after falling by 20,000 in January. Employment in construction industry grew by19,000. Employment in construction industry was up by 253,000 over the past 12 months. Employment in mining continued to decline in February with 19,000 with job losses. Since a recent peak in September 2014, mining has shed 171,000 jobs, with more than three-fourths of the loss in support activities for mining. Employment in other major industries, including manufacturing, wholesale trade, transportation and warehousing, financial activities, professional and business services, and government, showed little change over the month.

### Effect of Immigration on Jobs and Earning

Competition with low-wage workers from less-developed countries has driven down wages for other workers in manufacturing and reduced the wages and bargaining power of similar workers throughout the private sector workforce. The annual income of a median wage earner in the US has been reduced by $1500 to $2000 due to illegal immigrants and foreign temporary workers being ready to work for less pay and perks than Americans. The corporations and their politician friends are laughing all the way to the bank. According to 2014 US Census Data, the highest poverty rate by race is found among Blacks (26 percent). Hispanics (of any race) have the second highest poverty rate (24 percent). Whites had a poverty rate of 10 percent, while Asians had a poverty rate at 12 percent. They are all affected by illegal immigrants who are working on jobs they could have done if illegal immigrants were not available. These communities will greatly benefit if Donald Trump is elected president and throws out illegal immigrants.

### Effect on Americans without High School Diploma

American citizen without high school diplomas have the highest unemployment rate at 11.7 percent. They are the worst affected by illegal immigration and naturalized refugees entering the job market because these categories are often willing to work longer hours and below the minimum wages. This group will substantially benefit if Donald Trump has his way and deports illegal immigrants and reduces entry of foreign workers.

### High School Graduates

American high school graduates with no college degree have the second highest rate of unemployment at 8.0 percent. They are also badly affected by illegal immigration and naturalized refugees entering the job market because these categories are often willing to work longer hours and below the minimum wages. This group will substantially benefit if Donald Trump has his way and deports illegal immigrants and reduces entry of foreign workers.

### Some College or Associate Degree

Individuals with some college or an Associate's Degree had an unemployment rate of 6.9 percent which is more than the current rate of unemployment. They are affected by legal immigrants who are working on various visas like L1, TN, OPT etc. and naturalized refugees entering the job market because these categories are often willing to work longer hours and below the minimum wages. This group will substantially benefit if Donald Trump has his way and reduces the number of foreigners working in the US and follows the employ Americans first policy.

### Bachelors or Higher Degree

And those with Bachelor's Degrees or higher were the most likely to find work, with an unemployment rate of just 3.9 percent which is less than the national average. They are the worst affected by legal immigrants who are working on various visas like H1B, L1, TN etc. and naturalized refugees entering the job market through H-1B and various other temporary foreign worker programs like L-1, TN, O-1 and OPT.

An L-1 visa is a non-immigrant visa used to enter the US for the purpose of work. It is valid for three months to seven years. L-1 visas are available to employees of an international company with offices in both the United States and abroad. The visa allows such foreign workers to relocate to the corporation's US office after having worked abroad for the company for at least one continuous year. The US and non-US employers must be related in one of four ways: parent and subsidiary; branch and headquarters; sister companies owned by a mutual parent; or 'affiliates' owned by the same or people in approximately the same percentages. Spouses of L-1 visa holders are allowed to work without restriction in the US (using an L-2 visa). This increases unemployment of American citizens. L-1 visa may legally be used as a stepping stone to a Green Card and to naturalise as US citizen and perpetuate the loss of jobs to American citizen.

TN status or TN visa is a special non-immigrant status in the US only for citizens of Canada and Mexico. It allows Canadian and Mexican citizens the opportunity to work in each other's countries in certain professional occupations. The Canadian or Mexican can work for up to three years at a time, but may be renewed indefinitely.

Optional Practical Training (OPT) is a period during which under graduate and graduate students with F-1 visa status who have completed or have been pursuing their degrees for more than nine months are permitted to work for one year on a student visa towards getting practical training to complement their education. On April 2, 2008, the U.S. Department of Homeland Security announced a 17-month extension to the OPT for students in qualifying STEM fields. To be eligible for the 12-month permit, any degree in any field of studies is valid. For the 17-month OPT extension, a student must have received a science, technology, engineering, or mathematics degree as listed on the USCIS.

H1B Visa was intended to serve US employers who could not find skilled workers they needed in the US. The employers are required to prove to the Department of labour that they tried to find American workers but failed. But misuse of the provisions of the law with official and political connivance by technology firms has made this visa a tool for US corporations to bring in cheaper foreign labour and increase corporate profits and suppress American wages. According to the editorial boards of the New York Times speaking in June 2015, loopholes and lax enforcement of the H-1B visa program has resulted in exploitation of both visa holders and American workers, especially American graduates and post graduates with a technical degree. High-tech companies often cite a tech-worker shortage when asking Congress to raise the annual cap on H-1B visas, and have succeeded in getting various exemptions passed.

Senators Dick Durbin and Charles Grassley of Iowa introduced "The H-1B and L-1 Visa Fraud & Prevention Act" in 2007. Durbin said in 2009 that "The H-1B visa program should complement the U.S. workforce, not replace it;" "The...program is plagued with fraud and abuse and is now a vehicle for outsourcing that deprives qualified American workers of their jobs." The proposed legislation has been opposed by "Compete America", a tech industry lobbying group. Outsourcing firms, many based in India, are major users of H-1B visas. The out-sourcing firm contracts with an employer, such as Disney, to perform technical services. Disney then closes down its in house department and lays off its employees. The outsourcing firm then performs the work. The H-1B program, in reality, acts as a subsidy for corporations. There has been no shortage of qualified American citizens to fill American computer-related jobs. The United States General Accounting Office found in a report in 2000 that controls on the H-1B program lacked effectiveness. H1B workers can also be sponsored for Green Card and thus perpetuate job losses for American citizen.

Studies have established that the US has been employing only 30 percent to 50 percent of its newly qualified, able and willing STEM workers to work in STEM fields. Only about half of those with under-graduate STEM degrees actually work in the STEM related fields after college, and after 10 years, only some 8 percent still do". Foreign workers, legal and illegal immigrants, willing to accept lesser pay and work longer hours push them into less paying no STEM fields.

### Wage Depression

Wage depression is a chronic complaint critics have about the H-1B program. Some studies have found that H-1B workers are paid significantly less than US workers they replace. The National Bureau of Economic Research found that a 10 percent immigration induced increase in the supply of immigrant worker in any category lowers the wage of competing American workers by about 3 to 4 percent. "Hire Americans First" has posted several hundred first hand accounts of individuals negatively impacted by the program, many of whom are willing to speak with the media. The politicians faithful to their corporate mentors ignore these reports. The President and the administration do not care.

### American Workers are Ordered to Train Their Foreign Replacements

There have been cases where employers like Disney World, and Southern California Edison have used the program to replace their American employees with H-1B employees, and in some of those cases, the American employees were even ordered to train their replacements.

###  **Lawful Permanent Residents (LPR)**

13.3 million Lawful Permanent Residents (LPRs or Green Card Holders) resided in the United States as on January 1, 2012. Of them, about 8.8 million were eligible to naturalize. It takes an average of about 7 years for a green card holder to naturalize. The number of Green Card holders has been steadily increasing over the years. About 140,000 LPRs became citizens each year in the 1970s, about 200,000 per year in the 1980s, about 500,000 per year in the 1990s, and about 700,000 per year during the 2000s. It rose to over 1 million in 2008 but has tapered off since. About 6000 to 7000 foreign born military personnel are also naturalised each year. The figure reached about 30,000 per year between 2012 and 2014. About 50 percent of Green Card holders (LPRs) are status adjusters or persons who were already living in the United States before their green-card applications were approved. Most status adjusters were formerly refugees, asylum seekers, temporary workers, and foreign students, family members of U.S. citizens or Green Card holders, or unauthorized immigrants.

This method of converting immigrant into US citizens is very unfair to naturally born American citizen. These foreign born immigrants are usually better educated, willing to work for less pay and make it difficult for home grown citizen difficult to get well paid jobs.

###  **Non-immigrant Admissions into US**

Temporary visitors (tourists and business travellers) account for an overwhelming majority of all non-immigrant admissions. About 48 million tourists and 6.3 million business travellers entered the US in 2013. Three million of the arrivals were temporary workers and trainees, their spouses and children including H-1B "specialty occupation" workers, registered nurses, temporary agricultural workers, North American Free Trade Agreement (NAFTA) professional workers, treaty traders, and intra company transferees. 1.7 million students including their family members entered the US to study at academic or vocational institutes in 2013. Fifty-two percent of the three million temporary visa holders were from Asia. Another quarter came from Europe and North America. The top five countries of origin India, China, South Korea, Canada, and Mexico accounted for 54 percent of the 1.9 million residents on temporary visas.

###  **Immigrants Entering as Refugees**

Refugees are people who have fled their countries due to war, civil war or ethnic cleansing by the majority clan, ethnic or religious majority. Each year, the president and Congress set the annual refugee admissions ceiling and regional allocations. For fiscal year 2014 and 2015 the ceiling was set at 70,000. The number was 80,000 between 2008 and 2011. The Near East/South Asia regions received 47 percent (33,000) of the total regional allocations in response to refugee crises in Iraq and Burma. Most of the refugees coming after 2008 are from Iraq, Burma, Somalia, Cuba, Iran, Democratic Republic of the Congo, Sudan, Eritrea, and Ethiopia. Syrians could be the next lot allowed in. Most of the refugees are Muslim.

Mr. Donald Trump is against letting Muslims into the US. The policy may not appeal to the righteous minded but makes sense. Why cannot the oil rich Gulf States who have low indigenous population and depend on immigrant workers from Asia and Africa accept Muslim refugees from neighbouring countries? Why should the US, which has no consideration of its struggling, economically exploited indigenous work force and unemployed young people, take it upon itself to solve the refugee problems of the world? The first duty of any US president should be to ensure the wellbeing of US citizens first.

###  **Immigrants Entering as Asylum Seekers**

**An asylum seeker is a person who has fled his country to avoid prosecution because of his political or religious beliefs. About 25,000 people including the asylum seekers and their family** were granted asylum after seeking protection upon arriving or after arrival in the United States. An additional 13,000 individuals _outside_ of the United States were approved for asylum status. China was the top country of origin, with 8,600 Chinese receiving asylums in 2013. The next four largest origin groups were from Egypt, Ethiopia, Nepal, and Syria.

### The Immigration Reform Debate

Comprehensive immigration reform has four aspects namely demand for high skilled and low skilled labour, grant of citizenship to most undocumented immigrants already in the country, toughen border and interior immigration checks and return or deportation of offenders and acceptance of political asylum seekers and refugees from war zones. The majority of Democratic lawmakers support comprehensive and liberal immigration reform. The Republican Party is deeply internally divided on liberal immigration policy. The establishment wing is in favour of reform and the populist wing led by Donald Trump opposes liberalizing immigration.

A number of laws related to immigration reforms are under consideration in the Congress. One proposal seeks to nearly double the number of visas for temporary high skilled workers, from 65,000 to 115,000 per year and do away with annual per country limits for employment-based green cards. Another seeks to create a STEM (Science, Technology, Engineering or Mathematics) visa for US educated foreign workers with advanced degrees in science, technology, engineering or mathematics, and eliminating per-country caps on employment-based immigration visas. A third proposal seeks to impose penalties against senior officers of the Department of Homeland Security for failure to check illegal immigration, allotting more funds for the purpose and use surveillance drone for detecting offenders.

President Obama has resorted to executive action on immigration reform. He has announced that the federal government would no longer deport undocumented immigrants who came to the United States before the age of sixteen and were younger than thirty at the time of the announcement, had been in the country for five continuous years, and had no criminal history. This executive action benefited about 1.7 million people. A second executive action known as Deferred Action for Parents of Americans benefited almost five million people, including an estimated four million undocumented immigrants who are the parents of U.S. citizens, deferring deportation and allowing them to work legally for three years. A Federal judge in Texas has placed an injunction against this executive action. The Administration has appealed against the order. Obama also increased efforts to secure the US border and deployed nearly 20,000 Border Patrol Agents.

### Who Support Liberal Immigration Laws

Most corporations, particularly tech industry leaders are prominent supporters of liberal immigration reform which will permit increase entry of high skilled foreign workers. They argue that their companies rely on foreign talent, particularly in high demand STEM (science, technology, engineering, and math) fields. They argue that if skilled workers, many of whom are educated in US universities, are not permitted to work in the US, some tech companies may be forced to move their operations offshore. However, the real motive is to suppress wages and reduce the bargaining power of indigenous equally qualified Americans.

Political establishment in both parties support liberal immigration reforms. Obama won 71 percent of the Hispanic vote in the 2012 presidential elections. Hispanics make up about 10 percent of the electorate and support more liberal immigration laws and regularisation of undocumented migrants. Political establishment of the parties are worried that the Hispanic vote will be lost if their candidate is against liberal immigration policy.

### Who are against Liberal Immigration Laws

The American work force, the unions, the unemployed, the students, some left oriented think tanks and a few politicians like Donald Trump and Bernie Sanders are against liberal immigration laws which increase American unemployment and depresses the wages and bargaining powers of the American workforce.

### Immigration and the Presidential Elections

Hillary Clinton is the darling of the corporate world who use immigration of foreign workers into the US to depress wages, reduce bargaining power of the American workforce and increase corporate profits and wealth of the wealthy. Electing Clinton will not alleviate the suffering and exploitation of the American workforce or the unemployed Americans. Donald Trump and Bernie Sanders with their America and Americans first policy and sympathies for the American workforce and young America are the best choices for the American president and vice president. May the ordinary Americans, employed or unemployed, young or old have the wisdom to vote them to power.

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#  Chapter 6: Globalization, Free Trade and American Manufacturing

"I hope we shall... crush in its birth the aristocracy of our moneyed corporations, which dare already to challenge our government to a trial of strength and to bid defiance to the laws of their country."  
\- Thomas Jefferson, letter to George Logan. November 12, 1816.

###  Globalization

Globalization is a process of integrating different countries, people, cultures, economies around the world. One may even say that this process started in ancient times through military conquests and trade which led to the interchange of products, ideas, slaves and cultures. Advances in transportation, communication systems, television, and internet have been major factors in modern day globalization. Globalization has increased interdependence of nations and people.

The term "globalization" is of recent origin. Spread of knowledge, technology including instant worldwide communication and economic migration has benefited people all around the world. Unfortunately, some effects of globalization are undesirable. There is the increasing economic interdependence of economies of countries across the world through an increase in movement of goods, services, technologies and capital from one part of the world to another. For example many developing countries with small domestic population and consumption like Taiwan, Malaysia, Thailand and South Korea depend on exports for economic growth and their foreign exchange requirements. Large manufacturing hubs like China, South Korea and Japan depend on imports of mineral and sources of energy from other countries. Crude oil rich countries like the Gulf Nations, Russia, Venezuela and Nigeria depend on crude oil exports for revenues.

### Economic Globalization

Economic globalization has been at the top of the agenda of developed nations led by the US, and the G7. Globalization of business is centred on the reduction of individual country's authority and ability to restrict foreign investment and imports of goods and services, raise tariffs, taxes, and other impediments that reduce free trade. Modern day globalization started when President Ronald Regan encouraged US multinational corporations to invest in China and other Asian countries in the 1980s by giving them various incentives including investment protection. Economic globalization was given a big boost by replacing the General Agreement on Trade and Tariff (GATT) by the World Trade Organization (WTO), NAFTA, and other trade treaties in the 1990s under the Clinton Administration. The latest is the US-Asia Pacific Free Trade Treaty negotiated by the Obama Administration.

#### WTO

The World Trade Organization or WTO came into being on January 1, 1995 and replaced the General Agreement on Trade and Tariff or GATT as the forum for world trade policy and a disputes settling body. The WTO deals with the rules of trade between nations at a global level. It is responsible for negotiating and implementing new trade agreements, and is in charge of policing member countries' adherence to all the WTO agreements, signed by the bulk of the world's trading nations and ratified in their parliaments. Most of the WTO's current work comes from the 1986-94 negotiations called the Uruguay Round, and earlier negotiations under the GATT. The organization is currently the host to new negotiations, under the Doha Development Agenda launched in 2001. The entire concept of WTO is based on promoting unrestricted trade across the globe. A creation of the Washington consensus of the IMF, World Bank and the United States treasury, it created the vision or perhaps illusion that free and unrestricted trade will benefit all nations and bring prosperity to all. The basic tenants of the WTO are given in the succeeding paragraphs.

All member countries will permit unrestricted imports of goods, industrial or agriculture based, and later services like banking, insurance, securities, shipping, telecommunication and information technology.

The countries will reduce import duties progressively over a period of time to almost zero levels. They will not be permitted to increase import duties to reduce imports.

Countries will not be permitted to use subsidies to protect domestic industries and agriculture.

Intellectual property rights as defined in the rules of WTO will be protected by the member countries which will pass appropriate laws within a laid down time frame in their countries to ensure that the aims are achieved.

Free movement of capital and investment across borders will be permitted by member countries.

All trade related disputes between the member countries related to the observation of WTO rules will be adjudicated by the WTO whose decision will be final and binding on the countries

#### Beneficiaries of Economic Globalization

The primary beneficiaries of Globalization are multinational corporations. The multinational corporations of the US and Europe shifted manufacturing from the high cost developed world to low cost developing world. They provided capital and technology to their subsidiaries and associate companies in selected developing countries to produce products bearing their brand names and sold them in US and Europe and to the rich all around the world. In the process they made enormous profits.

The governments of the developed countries benefited for some time as increased corporate profits meant increased tax revenues. But this joy was short lived. The multinational corporations shifted their corporate offices to low tax, offshore tax havens and avoided paying taxes they would have otherwise paid.

The wealthy were the next group to benefit. Liberal capital transfer regimes enabled them to take out their money to tax havens around the world by opening investment or holding companies in these countries where taxes were low and banking secrecy laws enabled them to hide their wealth and incomes from taxation and revenue authorities the world over. The recent disclosures of 11.5 million offshore accounts of kings and presidents, politicians and investors totalling over $9 trillion known as the Panama Papers has woken up the world to secret world of super rich tax cheats and corrupt politicians.

Some developing countries where the multi nationals have invested and shifted manufacturing have gained from globalization. China has gained the most. It has risen from a poor developing country in the 1980s to the second largest economy in the world by 2010. Other countries which have benefited are South Korea, Taiwan, Malaysia, Thailand, and Bangladesh. India, China and Philippines have benefited from out sourcing of information technology and other services.

Politicians around the globe have benefited from globalization. They have received generous contributions for campaign funds and charities they run and fees for lobbying from the multinational corporations they have helped. They have also been able to stash the bribes received abroad and out of reach of the revenue and tax authorities of their countries.

#### Losers from Globalization

Middle class, blue collared workers and youth of the developed world, particularly of the US, are the biggest losers. At least 5 million highly paid manufacturing jobs have moved from the developed world to the developing world. Immigrant workers from developing countries who are ready to work for less salaries and perks are taking away their jobs within their own countries, depressing wages and reducing bargaining power of unions. Almost 1 million foreign workers holding "Green Cards" are granted US citizenship every year making it almost impossible for home grown US citizens from getting high paying jobs.

Out sourcing of information technology and other services are also causing huge job losses in the US and EU. Poverty and unemployment stalk most young men in the developed world.

Economic globalization has harmed many farmers in the developing world. The production of coffee, coco, spices, and sugar is controlled by multinational corporations in most developing countries. The farmers are paid a pittance and the multinationals that have monopoly control over the market make huge profits.

Governments of developing countries are among losers. Under WTO and other free trade agreements that they have been coerced to sign, they are not allowed to restrict imports or raise duties and taxes to protect domestic manufacturing and farming. They are thus unable to create jobs or manage their foreign exchange reserves and are often forced to export minerals and other products at throw away prices to some how earn foreign exchange to buy essential items like food, medicine and petroleum products.

Governments of all countries are loosing from economic globalization. Large scale flight of capital and tax evasion has resulted in large and regular budget deficits. Countries in the developed and developing world are forcing austerity measures on their citizen while the consumptions of luxury items by the rich have increased manifold. More and more people around the world are depending on programs like food stamps to avoid hunger.

The American people are the worst victims of economic globalization. From the twenties to the eighties, the American middle class was the largest and most prosperous in the world. But globalization and shifting of highly paid manufacturing jobs to the developing countries has completely impoverished the American middle class and increased economic inequality hundred folds. The American dream of becoming prosperous has vanished for home grown Americans and become a reality for legal immigrants who are being granted citizenship.

Benefits of Getting out of WTOThe US will do well to get out of the WTO as early as possible. This will provide them many benefits. It will enable the US government to tax imports and generate much needed revenue and help generate money for infrastructure renewals and subsidize education. The US government will be able to use taxation of imports to provide subsidies for protection of domestic industries and agriculture. Taxing crude oil imports to raise the crude oil prices to a level that makes US shale oil industry viable will boost economy and create hundreds of thousands of well paid jobs. Taxing Chinese steel imports to a level that makes US steel industry viable will save tens of thousands of jobs and create new one. Taxing consumer products made in developing countries to make "Made in US" products economically viable will restore US manufacturing to its past glory and boost the American middle class. China will no longer be able to dump its products on American markets and enjoy a huge trade surplus. It will stop China from using its trade surplus with America to boost its military machine and flexing its muscles in East China Sea.

Every country, developed and developing, will benefit from disbanding of WTO. They will regain their economic sovereignty, restrict and tax import to protect domestic industries and agriculture and create jobs for their people. Only a few export oriented countries led by China and the Asian Tigers will face problems. But the well being and happiness of the people of most of the world cannot be sacrificed to benefit a few export oriented economies and to perpetuate exploitation by the multinationals.

#### Globalization and the Presidential Candidates

Hillary Clinton is the darlings of corporate America and their political friends in both the parties. Her husband started WTO. If she gets elected president, it will be business as usual. Globalization will be expanded. American middle class will become an endangered species. The only hope for the American people is to vote Donald Trump and Bernie Sanders to power. Only they have proclaimed that for them America and Americans come first. It is hoped that they will pull America out of WTO and re-negotiate all free trade treaties to ensure Chinese and other countries products are kept out and Americans use products made in America

### Free Trade Agreements

Free Trade Agreements have been promoted and continue to be promoted by the US under influence of the multinational corporations. The justification given for these agreements is increasing American exports. But the real reason is to increase corporate profits by exporting components to the partner country, assemble the product there using cheaper labour and then import back the product in the US market and make greater profits. For example, many US exports are simply being shipped to Mexican factories where they are assembled, and then shipped back to the U.S. as final products. These are not products destined for consumption by Mexicans. Only domestically produced exports are the ones that support American labour. The increases in imports ultimately displaced the production of goods that would have been made domestically by workers within the United States.

Opponents of Free Trade Agreements argue that the freedom for American firms to close down existing operations without adequate compensation and to move to another country has undermined the bargaining power of U.S. workers. In addition to enjoying lower tariffs for shipping goods from Mexico to the United States, multinational corporations also benefited from NAFTA's unprecedented section giving multinational corporations the right to sue governments for infringement of "investment rights". According to the Economic Policy Institute, these investor protections facilitated the movement of manufacturing plants to Mexico. Fifteen percent of employers in manufacturing, communication, and wholesale or distribution business shut down or relocated plants due to labour unions organizing drives since NAFTA's implementation. Ultimately, workers are faced with the dilemma of settling for fewer worker's rights because the firm will always have the ability to relocate to another country, notably Mexico, where they can employ cheaper labour and will face less resistance from workers to unfair exploitation, unsafe work practices and other forms of exploitation.

#### NAFTA's Effect on Jobs in the US

According to the Economic Policy Institute, a non- profit think tank in Washington D.C. rise in the trade deficit with Mexico alone since NAFTA was enacted (1993) led to the net displacement of over hundreds of thousands of American jobs. Direct job losses are due to closing of American manufacturing facilities and shifting of these facilities to Mexico. Indirect job losses are job losses to vendors and service providers to the manufacturing units. These services include maintenance of facilities, accounting, legal and other services. About 415,000 of the jobs were relatively high paying manufacturing jobs. Certain states with heavy emphasis on manufacturing industries like Michigan, Ohio, Pennsylvania, Indiana and California were significantly affected by these job losses. For example, in Ohio, Trade Adjustment Assistance identified 14,653 jobs directly lost due to NAFTA related reasons like relocation of US firms to Mexico. Although many of these workers laid off due to NAFTA were reallocated to other sectors, the majority of workers were relocated to the service industry, where average wages are less than that of the manufacturing sector.

TN status or TN visa is a special non-immigrant status in the US only for citizens of Canada and Mexico. It allows Canadian and Mexican citizens the opportunity to work in each other's countries in certain professional occupations. The Canadian or Mexican can work for up to three years at a time, but may be renewed indefinitely. The visa category is a part of the NAFTA. American corporations use this visa to bring in Mexicans who are ready to work for less pay. Unemployed Mexican professionals also take advantage of the law to find work in the US. The trade agreement increase unemployment of American citizen with high school or professional degrees.

#### Trade with China

Manufacturing jobs are the means to creating a strong middle class, especially among workers who lack college degrees. According to the Manufacturing Institute, an affiliate of the National Association of Manufacturers, employers paid workers in manufacturing jobs an average of almost $34 an hour in wages and benefits at the end of 2013 which was $3 to 4 more than for other jobs. But, according to data from the Bureau of Labour Statistics, American manufacturing jobs have fallen 22 percent of non-farm payroll in 1977 to about 9 percent today. Many of the Chinese made products imported into the US are produced by US corporations who have shifted their production facilities from the US to China to take advantage of lower labour costs and to make greater profits. Not only did the American Presidents and politicians connive with the corporations in shifting manufacturing jobs to China and other developing countries, the also signed investment protection agreements which for all practical purposes placed them out of reach of local laws.

China also manipulates its currency exchange rate which is not market driven and also subsidises exports to make them more competitive. In America, there is a bipartisan policy of ignoring China's unfair trade practices. This is of course done at the bidding of the American multinational corporations who benefit the most from the situation. The American workforce suffers the most. Made in America brands have disappeared from the markets except in fields of aviation, cars and military hardware.

Since China joined the World Trade Organization (WTO) in 2001, 2.4 million jobs have been lost or displaced in the United States. The states suffering the worst job losses were concentrated in states heavily exposed to growing trade deficits with China in computer and electronic products and such other industries as furniture, textiles and apparel. The worst affected are California where a total of 370,000 jobs have been lost. The worst hit region was located in the Silicon Valley region of the Bay area. 95,100 jobs have been lost state wide in North Carolina. 193,700 have been lost state wide in Texas. 72,800 jobs have been lost in Massachusetts. Oregon, Georgia and Alabama, each have lost more than 8,600 jobs.

Rapidly growing imports of computers and electronic parts accounted for more than 40 percent of the $186 billion increase in the trade deficit with China between 2001 and 2008. The $73 billion deficit in advanced technology products with China contributed to the elimination of the 628,000 jobs in computer and electronic products in this period.

#### Free Trade Treaties and the Presidential Candidates

Hillary Clinton if elected is likely to follow the policies of her husband and her predecessor, president Obama and continue with existing free trade treaties which benefit the American corporations and the super rich. If ordinary Americans are to prosper and manufacturing jobs are to be brought back, Donald Trump and Bernie Sanders must be elected. Only they have the well being and prosperity of indigenous American people in mind.

###  Conclusion

Not only have American politicians and presidents failed to full fill the hopes of the farsighted President, Thomas Jefferson, who foresaw the tyranny and power of the multinational corporations over two hundred years ago, we are allowing them to take control of our governments and our live. A large percentage of our leaders and government employees are on their covert pay rolls or accept funds for their election campaign or as bribes and do their biddings as corporate employees. Power and sophistication of the media produces evermore powerful ways of influencing how people think and what they believe. Big business distorts our perception of the truth. Corporate propaganda and some times even money power also tries to undermine democracy by supporting right wing leaders and dictators and conspire to overthrow left leaning leaders and governments. The purpose is to control the public mind. Big business realizes that that the public mind is the greatest hazard facing them and that democracy is its real threat to private tyranny just as it is a treat to state tyranny. The fact that democracy is a threat to private business helps to explain the extraordinary scale of the efforts made to indoctrinate the people with the capitalist story. If you are interested to know more about the crimes that multinational corporations commit or powers they wield, you may like to visit the internet site www.corporations.org. The impact of globalization so far has been to raise profits, strengthen the corporations and weaken the workforce and governments. But in the new capitalist world order, it is the super rich elite group, most of them investors in the Third World countries who are the real beneficiaries. The system of exploitation has not changed. Rather it has become more extreme through the rapid growth of inequality

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#  Chapter 7: Tax Laws and Tax Evasion and its effect of American People

Tax evasion by the super rich and the multinational corporations is a major problem in most countries in the world. Individual income tax and taxes on companies are the main sources of revenue for governments. Governments cannot fulfil their obligation to their people like maintain law and order, create and maintain essential infrastructure, subsidize school education and public health services etc unless there is enough revenue. When this revenue is inadequate, the governments are forced to borrow money. Austerity measures are imposed on the people as the government's debt increases. The poor and the middle class suffer.

The situation is no different in the US. The multinational corporations and the wealthy use a battery of lawyers to find loop holes in laws to avoid paying their fair share of taxes. Corporations and investors try to locate their offices in a tax haven and there by avoid paying taxes. Wealthy individuals move their money to tax havens and hide their wealth. Inability to collect adequate taxes and uncontrolled expenditure on wars has pushed the US public debt to over $19 trillion. The same is growing every minute. Most of the debt is held by China, Japan and Saudi Arabia. Trillions of dollars of taxes collected is paid to these countries as interest. If adequate taxes were collected and the budget balanced, trillions of dollars being paid to foreign countries could be used to subsidize education, improve infrastructure and create jobs.

A tax haven is a country where certain taxes are levied at a very low rate or not at all. These countries also have a system of financial secrecy which makes it difficult if not impossible for governments to access financial information about their citizen suspected of money laundering or tax evasion. Financial secrecy can be used by individuals to circumvent certain taxes such as inheritance tax or wealth tax. Earnings from income generated abroad from renting houses earnings from investments can also be eliminated this way.

Individuals or corporate entities seeking to avoid tax establish shell companies or subsidiaries or relocate themselves to countries or places called "tax havens" with reduced or zero tax regimes. The Tax Justice Network in its 2012 report estimated that $21 to $32 trillion lies untaxed in tax havens worldwide. If taxed, this hidden wealth could generate $200 to $300 billion. As per the Tax Justice Network, the avoidance system is designed and operated by a group of highly paid specialists from the world's largest private banks led by UBS, Credit Suisse, HSBC and Goldman Sachs and accounting firms. The tax avoidance is tolerated by international organizations such as Bank for International Settlements, IMF, World Bank, the OECD and the G 20. After all, all these organizations have been created by the super rich for the super rich. The amount of money hidden away has significantly increased since 2005 making the super rich richer and more powerful.

The main tax havens of the world are Switzerland, Luxembourg, Ireland, Netherlands; Jersey, Guernsey and Isle of Man in UK, British overseas territories like Bermuda, British Virgin Islands, Cayman Islands; US territories like Delaware and Puerto Rico; Hong Kong, Singapore, Macau etc.

Did you know that since the days of Clinton Administration, US IRS do not charge non residents various taxes including income tax on interest on US bank deposits. A study of 60 large US companies found that they deposited $166 billion in offshore accounts during 2012 and avoided US taxes on 40 percent of their profits.

### Exposures of Tax Avoidance

In February 2008, a former data archivist of a Liechtenstein bank, a well known tax haven, released a list of 1,250 customers of the bank and their accounts' details. Investigations and arrests by German and US tax authorities followed. The Liechtenstein authorities subsequently accused the German authorities of espionage. Such exposures have led to a call for crackdowns on tax havens. Recent "Panama Papers" leaked 11.5 million hidden accounts belonging to presidents, politicians, bankers, investors across the world. Whether the calls for such a crackdown on tax havens will take place are yet to be seen. No definitive announcements or proposals have yet been made by the EU or governments of the member states.

### Action to Check Tax Avoidance

#### Governments around the world have been reluctant to deal with the problem. After all many politicians and their financers around the world are getting rich by avoiding tax. NGOs are on the front line of fight against tax cheats. The Foreign Account Tax Compliance Act (FATCA) was passed by the US Congress to stop the outflow of money from the country into tax haven bank accounts in 2010. FATCA requires foreign financial institutions like banks, stock brokers, hedge funds, pension funds, insurance companies, trusts etc. to report directly to the IRS all clients who are US citizens. Starting January 2014, FATCA requires these institutions to provide annual reports to the IRS on the name and address of each US client, as well as the largest account balance in the year and total debits and credits of any account owned by a US person. There are penalties for failing to do so. It is a small step in the right direction. One wonders why the mighty US which can impose sanctions on large countries like Russia or Iran, does not impose sanctions on these small countries which act as tax havens and ban financial institutions which facilitate tax evasion.

### Tax Evasion and the Presidential Candidates

The position of the presidential candidates on the issue of tax evasion and tax havens is not clear. However, Hillary Clinton, the favourite of the super rich and the corporations is unlikely to pay any attention to this issue if elected. Donald Trump on the other hand has promised to wipe out the US public debt in one of his campaign speeches. He cannot do so without stopping tax evasion, money laundering and effective action against tax havens. The ordinary Americans, who are paying more taxes in percent terms than the super rich and corporations, will benefit immensely if this problem is solved once for all and the super rich and corporations are made to pay their fair share of taxes.

###  Conclusion

Amending tax laws will require the cooperation of Congressmen and senators to amend laws and plug tax loopholes. Given the close nexus between the super rich, corporations and the politicians, this may prove to be almost impossible. The president elect will have to use his executive powers to increase Minimum Alternate Tax on the super rich and corporations and place sanctions on individuals and corporations holding accounts in tax havens. Such individuals, corporations and financial institutions including banks and stock exchanges must be totally barred from doing any kind of business in the US.

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#  Chapter 8: More Government or Less

The Republican Party, particularly their Tea Party faction, is strongly against the US government getting involved in any kind of manufacturing or service providing activity. This is because their mentors, the super rich and the corporations are worried that government involvement in manufacturing or service providing will limit their ability to exploit the working class and the consumers and reduce their profit. The American government does not have any meaningful public sector. Thus public transport, low cost housing for the ordinary people and low cost educational institutions are not available in the US. These institutions are absolutely necessary to improve the quality of life of the American people. One has to just visit Singapore to understand be benefits of having a strong public sector.

### Importance of Public Sector

Under the neo-liberal economic system that prevails in the US, the "Government has no business to be in business" and the ordinary guy has to be satisfied with the crumbs that trickle down from big business. The Federal and State governments are unable to fulfil their responsibilities to the poor and the hungry because they are broke and their priorities are on improving the investment climate rather than improving the lot of the ordinary citizen.

The public sector is a very important player in the economy of a nation and ensuring the well being of the people. Public Sector played a vital role in the reconstruction of Europe after the devastation of the World War II. Public sector played an important role in UK and France till the early 80s when neo-liberal economic policies of President Regan and Premier Margaret Thatcher led to large scale privatization of the public sector in Europe. Public sector continued to play a significant role only in France and some Scandinavian countries.

Public Sector in the developed world is currently restricted to government departments, education and healthcare. As government deficit mounts and austerity measures are put into effect, tens of thousands of the once middle class government workers, bus drivers, police officers, fire fighters, nurses, teachers etc. in the US and EU have been losing jobs since 2008. But there are many public sector companies in the developing world which are engaged in a variety of commercial activities like operating banks, public transport systems, oil exploration and refining, mining, producing metals like steel, aluminium and producing medicines, vaccines etc. These companies are not government departments but limited companies run by professionals in which the government is the majority share holder. Public sector companies can be engaged in healthcare, insurance, infrastructure development, operating harbours etc. Public sector companies are anathema to neo-liberal economists and multinational corporations of the developed world. Such companies of the developed world like the railways, ports, industries and airlines run by the public sector have been sold off to the private sector. But public sector companies engaged in commercial activities have played a very important role in the growth of developing countries like China and India which enjoy the highest growth rates in the world today.

Public Sector companies have proved to be highly successful in combating high rate of unemployment, low levels of savings and lack of investment and weaknesses in infrastructural facilities in the developing world. The US economy needs a big push. This push is not coming from the private sector because of their unwillingness to invest funds in America and their unwillingness to take risk with large long gestation investments. Hence, government intervention through public sector is necessary for economic growth in the US to diversify their economies, to create jobs and to overcome economic stagnation and private sector excesses. The public sector companies can be set up to promote rapid economic activity through creation and expansion of infrastructure; to promote redistribution of income and wealth; to create employment opportunities; to encourage the development of small-scale and ancillary industries and to act as an important instrument of self-reliance and economic sovereignty.

### Usefulness of the Public Sector

The main usefulness of public sector companies to a country's economy lies in investing in areas of the economy which do not interest the private sector.

The first utility is filling the gaps in availability of capital and consumer goods and services. Serious gaps have been created in the US in availability of goods and services due to out sourcing and shifting of manufacturing and business processes to China and other developing countries. Private sector is not going to bring back their highly profitable business to the developed world. In America, steel, automobile and many other industries are going sick because of cheaper imports from China and other developing countries. Nationalization of such companies would ensure that jobs are protected and there is no disruption in availability of essential capital goods in time of war.

The second utility is to generate employment. Public sector companies have created millions of jobs in developing economies to tackle the unemployment problem in the country. The public sector accounts for about two-thirds of the total employment in the organized industrial sector in India. By taking over many sick units, the public sector has protected the employment of millions. Public sector has also contributed a lot towards the improvement of working and living conditions of workers by serving as a model employer and preventing exploitation of labour by private corporations. In the United States, the bailing out of General Motors, Chrysler and AGI saved hundreds of thousands of jobs. Nationalization of the Royal Bank of Scotland in UK also saved thousands of jobs which would have been lost if the bank had been allowed to fail. Nationalization of banks which fail in the United States could save jobs and payments by FIDIC. Such nationalized banks can turn profitable as we have seen in the case of General Motors and the Royal Bank of Scotland. They can be subsequently privatized by sale of shares and the taxpayer's money recovered.

The third utility is to generate income for public exchequer. Public sector companies which are well run generate cash reserves and pay dividends. Public sector enterprises in India have been making billions of dollars of contribution to the Government exchequer through payment of corporate taxes, excise duty, custom duty, dividends etc. The overall profits of all major Public Sector companies of India stood at about $20 billion during FY 2010 and the dividend declared by them stood at about $6 billion. These Public Sector companies earned foreign exchange equal to about $15 billion in FY 2010. In this way they help in mobilizing funds for financing the needs for the planned development of the country.

The fourth utility of the public sector is to reduce concentration of economic power in the private sector. We have seen that from the time of President Andrew Jackson, American corporations have been challenging the authority of the US Administration. A vibrant public sector in the United States would reduce concentration of economic power in private hands and increase government control over the US economy. This could help make the economy more people oriented than profit oriented. For example, India, with its nationalized banks can ensure that these banks lend at low interest rates to poor farmers and small scale industries and small businesses which private banks with their profit orientation and risk aversion may not be willing to do.

### Public Sector and the Presidential Candidates

It is unlikely that the presidential candidates have had much exposure to the benefits of having a strong public sector. Hillary Clinton has not shed even a crocodile's tear for the ordinary American. There is no way she is going to develop a vibrant public sector if elected. Donald Trump and Bernie Sanders are pro people presidential candidates. They are more likely to develop a vibrant public sector and improve the lives of the ordinary America.

###  Conclusion

Singapore is perhaps the best example of public and private sectors working hand in hand in the interest of the country and its people. One can only hope that the next American president will find time to study the benefits of the public sector. The people of America need and deserve an economic system that is people oriented rather than profit oriented. They cannot depend on the "trickle down" system which has only increased inequality, unemployment, exploitation and marginalization of the American people. They deserve better. They deserve a vibrant public sector in the US.

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#  Chapter 9: America and the Muslim World

Americans have very little understanding of Muslims and most do not care. Post 9/11, and after the rise of the Islamic State with the horrifying tales of their atrocities, suicide attacks in Europe, most Muslims are considered to be terrorists. That is not the case. A proper understanding of Muslims is essential if the American people and their presidential candidates are to have a proper relationship with Muslims.

The Muslim World consists of almost two billion people or about 30 percent of the world's population. They are spread over 100 countries located mainly in the continents of Asia, Europe and Africa. The Muslim majority countries are Pakistan, Bangladesh, Turkey, Iran, Indonesia, Afghanistan, Iraq, Saudi Arabia, Syria, Malaysia, Yemen, Jordan, Lebanon, Kuwait, Palestine, Oman, Egypt, Morocco, Algeria, Sudan, Tunisia, Nigeria, Libya and Mauritania. The other countries with significant Muslim population are India 112 million, China, Philippines, Thailand, Burma, Sri Lanka and Israel. Europe has about 32 million and Russia has about 56 million Muslims. European countries with over 10 percent Muslim population are Bosnia, Albania and Bulgaria. Latin-America has 1.5 million Muslims; North-America has 5.5 million and Australia about 400,000. Muslim population is growing faster than that of any other religion because many Muslims have as many as four wives, very few Muslim women are working and most do not believe in family planning.

### Internal Divisions

Muslims are divided into two main sects, the Sunnis and the Shias. Despite the differences in theology and politics, the two branches accept the basic tenets laid down in the Koran. The Schism lies in the succession struggle that followed the death of Prophet Mohammad. There are a few other sects of Muslims.

The Sunni Muslims are the followers of Caliph Abu Bakr. They are largest and the oldest of the Muslim groups. They are mostly found in the Arabian Peninsula and the Indian Sub Continent. They claim that they are the true followers of the faith. Wahabis of Saudi Arabia are the most fundamentalist. They are the "Puritans" of the Muslims, with the most strict, severely enforced moral standard of conduct. They reintroduced Shariah (Islamic) law to the Arabian Peninsula. Wahabis declared Jihad against Muslims (Shias and Sufis) who persist in acts of polytheism such as grave worship (worship at Mazars and Dargas of Sufi Saints). They are against many practices like listening to music, drawing or photographing human beings or other living things which contain a soul, praying at tombs and celebrating the birth of Prophet Muhammad. The royal dynasty of Saudi Arabia who controls Mecca and Medina, the Muslim holy cities support Wahabism. Vast oil revenues enabled the Wahabis to donate billions of dollar for the spread of conservative Islamic theology through creation of religious schools (madrasas), newspapers and fundamentalist organizations in India, Pakistan, Afghanistan, Russia and other Muslim countries.

The Shia Muslims are the second largest Muslim Group. The "Shias" are the followers of Ali, the cousin and son-in-law of the prophet who also was the third Caliph. They are concentrated mainly in Iran, Iraq, Indonesia and Syria but are also found in most Muslim majority countries. Shias are in turn divided into various sects like Ismailis, Druze, Alawites, **Sufis, Bhai etc.** Sufism is a mystic tradition of Islam. Sufism spread during the period 1200-1500 to Iraq, Persia, Pakistan, India, Mongolia, Malaysia, Indonesia and North Africa. Sufi Saints were responsible for large scale conversion of Hindus in India, South East Asia and Africans and the Buddhist Mongols into Islam. Sufis believe that loving God and one's fellow beings, irrespective of their race, religion or nationality, without consideration for any reward, is the key to ascending heaven. This makes the Sufis the most moderate and tolerant sect in Islam. Sufi songs or dances are performed as an appeal for the Presence of God and his blessings. Qawwali is a form of devotional Sufi music common in India, Pakistan, Afganistan, Iran and Turkey. The Sufis offer prayers at the graves (Mazars) of Sufi saints. Even Hindus and members of other religions offer prayers at "Mazars". The Sunnis do not accept Sufis as being Muslims. They consider certain Sufi practices like singing and dancing and worshiping at "Mazars" as being inconsistent with the Shariah.

###  Conversion

Muslims, like the Christians, lay great stress on converting people of other religion to Islam. In its early years or from 610 to about 1600, most of the population of the regions conquered by them were converted, often at the point of the sword. The Sufis were more subtle and were able to achieve great success in converting people of India, South East Asia and the Mongols without use of force.

### Muslim View of the US

It will be seen from above that Muslims come from different ethnic backgrounds, speak different languages, and practice different religious and social customs. It must therefore be appreciated that the perceptions of the various constituencies of the Muslim world about America will be different.

To the Muslims of Bosnia, Kurdistan and some parts of Afghanistan, particularly women, Americans are saviours and angels of God. To educated, moderate Muslims from Afghanistan, Syria, India and Pakistan, America is a land of opportunities. To feudal Muslim regimes in the Gulf Region, the US is an insurance against democratization of their countries. To poor Muslim countries like Egypt, Bangladesh, Indonesia, America is a source of economic aid and investment.

To the orthodox Muslim, the Wahabis of Saudi Arabia, the Salafis of the Islamic State, Al Qaeda, Taliban, and Muslim Brotherhood of Iraq, Syria, Turkey Afghanistan and Pakistan, America is the largest corrupting influence on the values and life styles of their societies. To these poor, illiterate and fundamentalist Muslim, America is immoral and evil, a country and a people that must be hurt at every opportunity. Same sex relationships are taboo in all Muslim countries. In some, the punishment is death.

To almost every Muslim and a large number of non Muslims, America is an unjust supporter of Israeli occupation of Palestine lands and a perpetrator of atrocities and crimes against humanity on the Palestine people. As long as this unconditional support remains, it is unlikely that there can be camaraderie between US and the Muslim world.

### Muslims and the Presidential Candidates

Except for Donald Trump, the other presidential candidates want to maintain status quo in US relations with Muslims. What that means is not clear. It is supposed that they would want the war on terror to continue. The war on Muslim terror has been going on for over 15 years in Iraq, Syria, Afghanistan, Pakistan, India, Somalia, Nigeria, Libya, Central African Republic, Russia and Europe. No one is winning. Almost a million civilians have died and at least 20 million civilians have been displaced and live in refugee camps in pathetic state. Hundreds of towns and millions of homes have been reduced to rubble. One is reminded to the famous saying by an American commander during the Mai Lai incident during the Vietnam War; "The only way to save the villagers from communism is to kill them." Can the US have pity on the civilians and stop taking sides. It accepts Shariah Law in Saudi Arabia. Why can it not accept the same in Afghanistan, Pakistan or Somalia? Why can it not allow the people of a country decide who should rule them and under which set of laws? Can it stop meddling in the affairs of other countries?

Donald Trump wants to stop Muslims entering the US and have surveillance of Mosques. That will certainly make America safer and help preserve its ethnic composition. But can Americans avoid stepping out of America? America must make peace with the Muslims. They must do two things to do that. They must be fair and just in resolving the Israel Palestinian conflict. They must impose economic sanctions on Saudi Arabia, Kuwait, Qatar, Bahrain and Pakistan as these countries are the main sponsors of Muslim fundamentalism and terrorism. That will make it difficult for these countries to continue to finance Islamic Terrorist activities all around the world.

###  Conclusion

Donald Trump may not like Muslims. Most non Muslims don't. But he and Americans cannot ignore two thirds of the countries of the world and one third of its population. The American President must end American role in the War on Terror and only provide financial, intelligence and military aid and let the countries fight their own battles without taking sides.

Lastly, America must make the impossible possible. It must force Israel to end its occupation of Palestine lands by imposing economic sanctions and stopping military aid to Israel. It must also motivate EU to do the same. As long as Israel occupies Palestinian lands and East Jerusalem, the spirit of "jihad" or holy war will not end. Islamic terrorism and attacks on US assets and people in the Muslim world will not end.

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### Chapter 10: Foreign Policy and American Interventionism

"I am not an Isolationist, I am an American first. We have been ripped off for many years by people and nations including allies that were smarter, shrewder, and tougher. No matter who it is, we defend everybody. When in doubt, they come to the US. We defend them. In most cases it is free of charge. We are the big bully but we are not smartly led. We were the big bully who were systematically ripped off by everybody"- Donald Trump US Presidential Candidate

A World View of America

Americans are a great people. Their nation has enshrined many noble concepts of human rights, human dignity and human freedom in their laws and constitution. They have made great sacrifices in fighting and defeating the cruel and evil regimes of Hitler, Mussolini and Japan. But their leadership today is corrupted by their military power and capitalist greed, forgetful of their great and glorious traditions and heritage and seeks a tyrannical path to world domination. It gives unconditional support to Israel that causes death, destruction, poverty and misery in the occupied territories. Even children are not spared.

This chapter hopes to make the great American people realize the folly of their foreign policy under past presidents in the hope that the readers will elect a president who will depart from the past and change the short sighted and disastrous foreign policies which originate in the Cold War, in unlimited ego and capitalist greed, and make the US a pragmatic, value based, benevolent world leader.

America is the most arrogant nation in the world. It does not accept the UN charter. It does not respect the sovereignty of nations which are not strong enough to defend it and interferes in their internal affairs. It bypasses the UN. It is unwilling to submit to the International Criminal Court.

America is the most unjust country having double standards for self and the others. It supports Israeli occupation of Palestine lands, destruction of homes, killing of women and children and human rights violations of the Palestine people while trying President Milosovic of Serbia as a war criminal. It condoned the genocide in Bangladesh by Pakistani military in 1970-71 because Pakistan is its military ally. It condones denial of women's rights and practice of Shariah Law in Saudi Arabia but opposes it in Somalia and Afghanistan. It destroyed Iraq which had no links with Al Qaida and Taliban but not Pakistan who is the creator and primary supporter of these organizations and world's largest manufacturer of tactical nuclear weapons. America points fingers at China and India for human rights violation while holding people without trial in its own country and condones torture during interrogation. America claims to cherish democratic values but has been the principal supporters of dictators and feudal rulers in all parts of the world as long as they support America.

America is the least compassionate of the governments of the developed world. It gives the least amount of aid to the developing countries when seen as a percentage of GDP. It gives the least development aid through UN. Most of its aid is bilateral with a quid pro quo. It has no hesitation in starving the people of North Korea, Iran and Palestine with sanctions.

America under President Bush was the most hated country in the world. President Obama brought great expectations of change. But the change is more in style than substance. It continues to focus on furthering American interests as ruthlessly as before without any regard for human lives, justice and fair play. America could have been the benevolent leader of the world. Instead, it is considered a big bully and a tyrannical selfish regime which has to be endured.

America Takes Over the World

The US emerged from World War II as the strongest economy in the world. In 1945, the US produced half the world's coal, two thirds of the world's oil, and more than half of the world's electricity. The US held 80 percent of the world's gold reserves and had not only a powerful army but also the atomic bomb. It was the world's greatest industrial power, and one of the few nations un-ravaged by the war. The US was not only able, it was also willing, to assume this leadership role over the world. Although the US had more gold, more manufacturing capacity and more military power than the rest of the world put together, U.S. capitalism could not survive without markets and allies. The US got these through the "Benton Wood" systems for the world economy which made the US Dollar the world "Reserve Currency"

Origin of Post War Foreign Policy

Though the undisputed number one power of the world, capitalist US had one great and all consuming fear; the fear of "Communism" or an economic system with fair and equitable distribution of wealth which was being practised in the Soviet Union. This fear led to hunting for communists in the US and to killing of 5 million Indonesians suspected of being Communists. It led to the "Truman Doctrine" which was the basis of the Cold War. Under the Truman Doctrine, the US was prepared to send any amount of money, equipment or military force to countries which it considered threatened by the communist government of Soviet Union and its allies. The doctrine led to a series of conflicts between the two super powers namely the Korean War; the Hungarian Revolution; the Bay of Pigs Invasion and Cuban Missile Crisis; the Vietnam War; the Afghan War; and US backed military coups against governments in Iran (1953), and Guatemala (1954) to name a few. Civil wars in countries such as Angola, El Salvador, and Nicaragua were some of the occasions when the tension related to the Cold War took the form of an armed conflict. In those conflicts, the major powers operated in good part by arming or funding surrogates, a development that lessened direct impact on the populations of the major powers, but brought the conflict and untold suffering to millions of civilians around the developing countries. Though the Soviet Union collapsed in 1991 and communism and socialism are endangered ideologies, containing Russia and Russian influence is still the cornerstone of US foreign policy.

The other cornerstones of US foreign policy are protecting Israel's legitimate and illegitimate interest at all cost, protecting the autocratic fundamentalist Islamic regime of Saudi Arabia, protecting its allies in Asia from aggression by China and North Korea and affecting regime change in all countries where the regime is perceived to be anti US or anti Israel.

###  American Interventions

#### Korean War

When Japan surrendered in 1945, half of Korea was in Russian hands and the other half with the US. So Korea had been partitioned along the 38th Parallel. Both North and South wanted to see Korea united but under their own ideology. On June 25, 1950 North Korea decided to settle the issue by force. But the North Koreans failed to accomplish their goal of a quick surrender by South Korea. The US still had substantial military forces in Japan. These and some forces from British Commonwealth joined battle on the side of the South Koreans under the UN flag. The US intervention in Korea was the first implementation of the "Truman Doctrine".

UN troops landed at Incheon on September 15, 1950 and quickly recaptured Seoul. The North Koreans retreated on finding their supply lines cut. The UN troops drove the North Koreans back past the 38th parallel. The goal of saving South Korea had been achieved. The People's Republic of China had issued warnings that they would intervene if any non-South Korean forces crossed the 38th parallel. The UN forces ignored the warnings. On October 25, 1950, the Chinese People's Liberation Army crossed the border between China and North Korea, and engaged the US forces. By January 4, 1951, Communist Chinese and North Korean forces defeated the UN forces and captured Seoul. In March 1951, a revitalized US Eighth Army repelled the North Korean and Chinese troops and recaptured Seoul. UN Forces managed to slowly drive back the opposing forces some miles north of the 38th parallel. Fighting continued till a cease-fire was established on July 27, 1953. About 36,000 Americans, 138,000 South Korean military personnel and 373,000 South Korean civilians died. North Korean and Chinese casualties were much higher.

The conflict remains frozen and can erupt at any time. No peace treaty has been signed to date. North Korea remains the world's only Communist regime. It has developed a number of missile systems and is trying to develop nuclear war-heads. The US still maintains a large military presence in Korea and has imposed sanctions on the North.

#### The Vietnam War

Before World War II, Vietnam was a French Colony. It was occupied by Japan during the World War II. The Japanese occupation was resisted by Communist Vietnamese Nationalists known as Viet Minh. At that stage the US had supported the Viet Minh. In 1945, the Viet Minh leader Ho Chi Minh persuaded Emperor Bao Dai to step down in his favor and became president. He also declared independence from France on September 2, 1945 and established the Democratic Republic of Viet Nam. At this stage France attempted to re-colonize Vietnam by reinstalling Emperor Bao Dai.

In 1950 Ho Chi Minh declared an independent Democratic Republic of Vietnam, which was recognized by the Communist governments of China and the Soviet Union. Bitter fighting started between the French and the Viet Minh and lasted until March 1954, when the Viet Minh won the decisive victory against French forces at the Battle of Dien Bien Phu. The War ended at the Geneva Conference where the partition of Vietnam into North, under Viet Minh control, and South under influence of France and the US, called the Republic of Vietnam was agreed to. The events of 1954 marked the end of French involvement in the region. Laos and Cambodia also became independent.

The South Vietnamese government, with the support of the US, blocked the scheduled elections for reunification which had been provided for in the Geneva Agreement. The Viet Minh refused to accept the new regime created by the Geneva Agreement and started an insurgency movement to overthrow the Diem regime and reunify the country. Large scale fighting began in 1957 when North Vietnam started aiding the Viet Cong and the US sent troops to support South Vietnam in pursuit of the Truman Doctrine. After fifteen years of protracted fighting and massive civilian and military casualties, US military involvement ended with the signing of the Paris Peace Accords in 1973. Fighting between Army of the South Vietnam and the combined People's Army of Vietnam and Viet Cong continued till the fall of Saigon on April 30, 1975. With the victory, North Vietnam united both North and South Vietnam on 2 July 1976, to form the Socialist Republic of Vietnam.

In 1994, US President Bill Clinton announced his desire to heal relations with Vietnam. His administration lifted economic sanctions on the country in 1994, and in May 1995 the two nations renewed diplomatic relations. Today, Vietnam is one of the fastest growing economies in the world, fueled by exports and foreign direct investment. In less than two years after the signing the bilateral trade agreement in 2001, the US became the largest export market for Vietnam.

About 58,000 American soldiers, about 250,000 South Vietnamese soldiers, and a total of about 4 million people including civilians died on all sides from 1950 to 1976 simply because of the Truman doctrine. Nothing was achieved. What 17 years of war, trillions of dollars and millions of casualties failed to achieve, President Clinton achieved through diplomacy. Vietnam is any ally of the US against China in the conflict in South China Sea.

#### Getting the Russians Out of Afghanistan

#### Till 1973, Afghanistan was a monarchy. A Communist party called People's Democratic Party was established there in 1965. In 1973, the king's cousin, overthrew the Afghan King and became President. In 1978, the President was overthrown and a pro Soviet Communist Government was formed. In December 1978, Moscow signed a bilateral Friendship Treaty with Afghanistan. The Soviet military assistance program increased and the Afghan regime became dependent on Soviet military equipment and advisers. However, by October 1979 relations between Afghanistan and the Soviet Union deteriorated and Soviet Troops entered Afghanistan and restored the communist regime. However, the Soviet troops were unable to establish authority outside Kabul. Muslim rebels or the Mujahideen held sway over the countryside.

#### In May 1985, the seven principal Mujahideen organizations formed an alliance to coordinate their military operations against the Soviet army. The US, UK, Saudi Arabia and Pakistan started aiding the Afghan Mujahideen. US provided military aid to the militants. Hundreds of thousands of AK 47 rifles, Stinger anti aircraft missiles, mines, machine guns and all kinds of military hardware were supplied. The US and Saudi Arabia provided billions dollars in financial aid to the militants. The CIA in association with the Inter Services Intelligence (ISI) of Pakistan trained the militants in the use of these weapons and in guerrilla warfare in bases in Pakistan and Afghanistan. Pakistani military officers were deputed as military advisers. The turning point in the Afghan War between the Soviets and the Islamic Fighters came with the supply of the Stinger shoulder fired anti aircraft missile system by the US to the insurgents. The Soviets lost air superiority. Use of helicopter gun ships became impossible and the tide turned against them. In 1991, after 12 years of savage fighting with the Afghan Mujahideen and the loss of about 15000 dead and 37000 wounded, the last Soviet tanks withdrew. It is estimated that 1 million Afghans died in the War. Another 5 million took refuge in neighboring countries mainly Pakistan and Iran and in Europe.

#### A civil war continued in Afghanistan after the Soviet withdrawal. The communist regime was able to remain in power until 1992. For some years thereafter, Afghanistan was ruled by a tribal council formed by the various tribes and resistance groups. Internal fighting amongst the groups continued till a group called Taliban, assembled and trained by Pakistan's intelligence agency the ISI and supported and led by the Pakistan Army captured Kabul in 1996. This brought back some unity into the non Pushtu speaking tribes like Shias in Western Afghanistan, Hazaras in central Afghanistan and Uzbeks and Tajiks in northern Afghanistan and an alliance called the "Northern Alliance" was formed under Rabbani and the revered warrior Ahmad Shah Masood to fight Taliban. Bitter fighting continued between the two groups. In 2000, Taliban managed to assassinate Ahmad Shah Masood in his own headquarters with the help of Al Qaeda suicide bombers posing as TV reporters taking an interview for a Muslim TV channel. In spite of the assassination the Northern Alliance did not collapse. In 2001 it assisted the US forces in recapturing Kabul and liberating Afghanistan from the Taliban.

#### Under Soviet influence, Afghanistan evolved as a moderate Muslim country with western values. Women had equal rights. There was professional education and health care. Infrastructure was developing. The economy was growing. There were however tribal and religious leaders who were against the Soviet backed regime, the secular trends and women's rights. Most of them were Islamic fundamentalists and waged war on the regime from the bases and refugee camps in Pakistan. They are still fighting US Forces in Afghanistan. By aiding Fundamentalist Islamic Forces in Afghanistan and Pakistan in defeating the Soviet occupation force in Afghanistan, the US were able, to some extent, to avenge their defeat in Vietnam and thus win a Cold War Victory. But it created a new problem for itself. Al Qaeda, Taliban and other Islamic terrorist organizations it had created to dislodge the Soviet Union from Afghanistan had changed colors. They are now the principal adversaries in the US "War on Terror". It is a classic example of America's Truman Doctrine creating more problems than solving them.

#### US War on Terror in Afghanistan (Al Qaeda and Taliban)

#### With the Soviets and the Communist regime gone, Afghanistan fell first into the hands of the tribal chiefs fighting the Soviets led by Burhanuddin Rabbani, Gulbuddin Hekmatyar, General Dostan and Ahmad Shah Masud. But power struggle between different tribes and regions continued. In 1996, the Taliban, a band of brutal, fundamentalist Islamic warriors trained, equipped and led by Pakistani military officers and ISI (Inter Services Intelligence, the Pakistani Military's intelligence organization) ousted the tribal leaders from Kabul and most of Afghanistan. Over the next 5 years from 1996 to 2001, they ushered in a totally Islamic regime in Afghanistan, introduced Shariah laws, confined women to the households and rolled back every visage of modern western society that had evolved under the Soviet influence. They also housed and supported Osama Bin Laden and his terrorist organization, Al Qaeda which had declared "Jehad" or holy war on Western interests and the Saudi Regime. So by 2001, the US had successfully created a formidable world wide Islamic terrorist organization (Al Qaeda), armed with US weapons, funded with US and Saudi dollars and trained by the Pakistani Military and its intelligence agency, the ISI. And they struck the US on 9/11, 2001.After 9/11, 2001, Americans invaded Afghanistan on October 7, 2001 and launched a war on its earlier allies, the Islamic Terrorists (Operation Enduring Freedom). Kabul was recaptured with the help of the Northern Alliance and Taliban and Al Qaeda were driven out from most parts of the country within months. But they could not be defeated or destroyed because they are supported and provided sanctuaries by Pakistani Army and ISI. The War on Terror still continues. As of 2015, tens of thousands of Afghan people have been killed in the war. Over 4,000 US and NATO soldiers and civilian contractors as well as over 15,000 Afghan national security forces members have been killed. In October 2014, British forces handed over their last bases in Helmand Province to the Afghan military, officially ending their combat operations in the war. On 28 December 2014, NATO formally ended combat operations in Afghanistan and transferred full security responsibility to the Afghan government. About 13,000 NATO troops including 9,800 Americans are still in Afghanistan. They have been active carrying out air strikes and providing close air support for the Afghan forces. American air strikes are estimated to have killed 1,300-1,800 militants since January 1 2015. The US has spent over a trillion dollars. But the resistance is not decreasing. As per officers in the war zone, the war against terrorism can go on for years. US have installed Hamid Karzai as president of Afghanistan. They had installed the President of South Vietnam but he did not survive after the Americans withdrew. Will Afghanistan survive a total American withdrawal? Time will tell.

#### Soviets came to Afghanistan with a couple of divisions and hundreds of tanks and helicopters (Initially 30,000 troops which finally increased to 100,000). They failed to subjugate the Islamic terrorists. Americans ousted the Taliban and Al Qaeda with the help of Afghan troops of the Northern Alliance in a matter of weeks. After the defeat of the Taliban, US troops took on the responsibility to destroy the remaining elements. They have been fighting in Afghanistan for over fifteen years but without success. Taliban is still a fighting force which dominates much of Southern and Eastern Afghanistan which border Pakistan. Can the US troops and its allies in Afghanistan do better than the Russians? The cost of the war in Afghanistan contributed substantially to the collapse of the Soviet economy and its collapse. What effect will the cost of this war have on the US?

American operational policy in Afghanistan is flawed. It refuses to admit in public that Afghan Taliban was created, armed and trained by Pakistan Army and ISI to takeover Afghanistan and thus ensure strategic depth for Pakistan in its war with India. They refuse to acknowledge that Pakistani military actions against Afghan Taliban are cosmetic and designed to buy time and get more and more financial and military aid which it can use against India. When the American went after Al Qaeda and Taliban following 9/11, it was not Pakistan but the Northern Alliance of the Tajiks, Uzbeks, Eastern Turks and Hazaras who fought alongside the American and drove the Taliban and Al Qaeda out of the country. Pakistani Army officers were actually leading the Taliban forces against the Northern Alliance. When the Americans and NATO leave Afghanistan the elements of the Northern Alliance and many in the Afghan Army will be massacred by the Taliban. But the blood of its allies has never been on the conscience of the Americans or NATO. Afghan Taliban cannot be defeated unless its bases in Pakistan are totally destroyed and Pakistan stops giving them money, weapons and shelter. And Pakistan is never going to destroy their creation, the Taliban, not for a trillion dollars. It is common knowledge that Osama bin Laden and Mullah Omar lived in safe houses organized by the ISI in Pakistan till their deaths. All Afghan Taliban leaders are living in comfort in safe houses in Pakistan curtsey Pakistan's ISI.

The US and NATO forces have fled from Afghanistan without a solution in place. The remaining US forces are too small to fight the Taliban. They can only provide some air support, advisers and trainers. The Afghan Army are demoralized. Some American trained members have defected to Taliban and are training them.

Afghanistan has been at war for 30 years from 1985 to date. Most of the educated professionals of the Soviet era have left the country. Those who worked for the US Army and NATO and waiting asylum abroad are being hounded out and killed. The economy has collapsed. There are no jobs. The Afghan government has no income. Unlike the Taliban and Al Qaeda, they cannot extort their own people. Nor can they grow opium and export it as Taliban and Al Qaeda do. Will the US and the world have pity on the Afghan people and end their ordeal by bringing peace?

There are two ways to bring peace to Afghanistan. The first is to divide the country into Pashto and non Pashto areas and give the Northern Alliance the military hardware and time to organize their defend themselves. The western and northern regions of Herat, Bamiyan, Mazar-e Sharif are inhabited by Hazaras, Turkmen, Uzbeks and Tajiks. They are Shias while the Pashto tribes in rest of Afghanistan are Shias. The Northern Alliance is friendly with Iran, Central Asian Countries and India. These countries will provide economic and military aid to the Northern Alliance and make it prosperous. Pakistan will take over Pashto Afghanistan through the Taliban and rule it by proxy. Peace and prosperity will prevail.

The second possible strategy for ending in the war in Afghanistan is to befriend Iran and shift the US logistics bases and routes into Afghanistan from Pakistan to Iran. Once done, US should destroy the Taliban bases in Pakistan by air and ground operations. Once Pakistan stops giving financial and military aid to Taliban, its fighting capabilities will shrink. The Afghan Army and the Afghan government will be able to defeat the Taliban or come to a negotiated settlement.

#### Iraq War 1991

Saddam was unhappy with Kuwait over its support to Iran during the Iraq–Iran War. Saddam also felt that Kuwaiti oil wells were illegally tapping into Iraqi oil fields. Amid growing tension Iraqi forces invaded Kuwait on 2nd August 1990 and quickly seized control of the small nation. Within days, the US and other UN member nations began deploying troops in Saudi Arabia and a world-wide coalition began to form under UN authority. By January of 1991, over half a million troops were deployed in Saudi Arabia and throughout the Gulf region under the UN Flag. Intense diplomacy between US and Iraqi officials failed to bring an Iraqi withdrawal. As a result, on January16, 1991, UN forces began the devastating bombing of Iraq and her forces in Kuwait. To counter the air attack, Saddam ordered the launching of his feared SCUD missiles at both Israel and Saudi Arabia. He hoped to provoke the Israelis into striking back at Iraq, which he theorized would split the Arab nations from the anti-Iraq coalition. Israel came very close to retaliating, but held back due to President George Bush's pledge to protect Israeli cities from the SCUDs. As a result of this promise, US Patriot missile batteries found themselves deployed in Israel to shoot down the SCUDs. Allied armies launched the ground war on February 23, 1991. By February 26, the US and Allied Arab forces, along with the underground Kuwaiti Resistance had liberated Kuwait. On February 27, President Bush ordered a cease-fire and the surviving Iraqi troops were allowed to escape back into southern Iraq. On March 3, 1991, Iraq accepted the terms of the cease-fire and the fighting ended. Most of American troops and equipment remained in the Gulf countries. Economic and trade sanctions imposed during the war continued. Saddam Hussein lost the war but remained a thorn in the side of the US and Israel.

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###  American Foreign Policy in the 21st Century

Americans profess to favour democracy but actually don't. To start with as a part of cold war and now in their effort to dominate the world, they are prepared to go any extent to ensure that all countries in the world are ruled by leaders who are pro-American. It does not matter whether the leader was democratically elected or not. In fact, Americans have always preferred to have autocratic leaders in power in the Third World countries because in the case of autocratic leaders, only one person has to be convinced that American military and economic interests are also the same as that of their country. The US favours "regime change" when the head of a country is not ready to toe the American line in world political or economic affairs. The regime change can be engineered by overt military operation or covert action (assignations or coup de tat) engineered by the CIA or US Multinational Corporations or both working together, some times in association with elements of other western powers.

The American Forces along with their allies have withdrawn from Afghanistan and Iraq as they did from Vietnam, Cambodia, Somalia, Lebanon and Iraq, defeated again and again by ill armed barbarians who do not understand that they have been defeated and who have no fear of death and deprivation. America and Europe can neither afford the War on Terror in economic terms nor in term of casualties. Why does history repeat itself again and again?

We enter the 21st Century with the US dominating the world with their military and economic power, spreading death, destruction and misery around the world in the name of spreading democracy and free trade. It uses its power to advance its interests in the same way as other empires of history had done. The present level of US power is highly dangerous, particularly because the US nation has such a strong and largely unquestioned belief in its own virtuousness and the selfish notion that American interests are above justice and fair play.

###  Saudi Arabia

Bilateral relations between Saudi Arabia and the US go back to 1933 when Saudi Arabia granted a concession to an US oil company to explore for oil in the country and full diplomatic relations were established. On 16 February 1943, President Roosevelt declared that "the defence of Saudi Arabia is vital to the defence of the US ". Later the Truman administration promised the Saudi monarch that the US would protect Saudi Arabia from Soviet influence. Security commitment to Saudi Arabia was reduced in the early 1970s under the "Nixon Doctrine" when the US relied on local allies to look after American interests.

In October 20, 1973 the Saudi monarch decided to support an oil embargo against the US and Europe in protest against US support for Israel against the Arabs in the Yom Kippur War. Oil prices spiked and generated great oil wealth for the Saudis. The embargo was lifted in March 1974. In 1975, the two countries signed $2 billion worth of military contracts, including 60 fighter jets. Saudi Arabia cooperated with the US in 1991 in the liberation of Kuwait. US Fifth Fleet has based itself at Bahrain to protect shipping lanes in the Persian Gulf.

In October 2001, the Saudi Crown Prince had warned President Bush that Saudi Arabia was being put in an untenable position by lack of US response to Israel-Palestinian violence. US-Saudi relations suffered a setback after the 9/11/2001 terrorist attacks on the US by four hijacked airplanes that killed nearly 3000 and cost an estimated $150 billion in property and infrastructure damage. 15 of the 19 hijackers came from Saudi Arabia. In 2002, the Terrorist Financing Task Force of Council on Foreign Relation found that individuals and charities based in Saudi Arabia have been for years the most important source of funds for al-Qaeda. And for years, Saudi officials have turned a blind eye to this problem.

Saudis have now begun to make friends with other nations. In 2005, King Abdullah's first foreign trip was to China. A Saudi-Chinese agreement to cooperate in the use of atomic energy for peaceful purposes was signed in 2012. King Abdullah also welcomed Russian president Vladimir Putin to Riyadh in 2007 and awarded him the kingdom's highest honour, the King Abdul Aziz Medal. Russia and Saudi also concluded a joint venture between Saudi ARAMCO and Russian LUKOIL to develop new Saudi gas fields. In 2009, the US State department admitted that donors in Saudi Arabia constitute the most significant source of funding to Sunni terrorist groups worldwide. The US sold an estimated $60.5 billion worth of arms to Saudi Arabia in 2010.

In 2013, Saudi-US relations started down hill again. The Saudis stated that shale gas production in the US posed a threat to the kingdom's oil-dependent economy. Differences also cropped up between the two countries over the Syrian civil war and US's diplomatic overtures to Iran. Saudi Arabia was critical of a Western negotiated interim agreement with Iran over its nuclear program. In 2015, President Obama tried to repair the US-Saudi relationship. Saudi Arabia has been pursuing a bolder, more unilateral foreign policy designed to counter the Iranian threat since King Salman assumed the throne in January 2015. This has led to actions the Obama administration has seen as impulsive and ill conceived. The military campaign in Yemen, though supported by Washington is an example.

The shale oil explorations brought a big boost to the US economy and the US became one of the largest producers of oil and gas in the world. OPEC felt threatened and allowed the crude oil prices to drop from over $100 per barrel to below $30 a barrel. Saudi Arabia is still trying to keep the price of crude oil below $30 per barrel and thereby make the "fracking" method of producing oil economically unviable. Shale oil production in the US had led to a hiring boom and also given a big boost in local wages. Between 2007 and March of 2015, oilfield workers saw their average wage rise 48 percent. The number of jobs at oil and natural gas companies rose 40 percent from the start of 2007 to the end of 2012. The total US private-sector employment rose only 1 percent during the same periods. The job gains in the energy sector were largely lost in 2015 when oil prices fell below $30. The drop triggered layoffs of more than 258,000 workers globally. The number of active oil and gas rigs in the U.S. fell 61 percent. Many oil companies are slashing wages to stay afloat. Saudi Arabia is trying to hurt the US economy and destroy its shale oil production by over producing. Strangely, the US is not putting any pressure on Saudi Arabia to cut production to raise oil prices.

The US and Saudi Arabia are strange bedfellows. Saudi Arabia is an ultraconservative Islamic absolute monarchy spreading radical Islam around the world. The US is a secular democracy supposedly spreading secularism, democracy and human rights around the world. The marriage of convenience has endured for over 80 years. The current US President has close and strong relations with senior members of the Saudi Royal Family. Saudi Arabia is the largest purchaser of US arms. The two countries were allies against the Soviets in Afghanistan and in the 1991 Iraq War. The two countries have been in disagreement with regard to the state of Israel, the 2003 US led invasion of Iraq and the US policy in Syria. The US is aware that Saudi Arabia is the biggest sponsor of fundamentalist Islam all around the world but keeps quiet about it. Lately the Congress has become more vocal about Saudi role in 9/11 terror attack and its support to fundamentalist Islamic terrorism. This has annoyed the Saudis and they have threatened to disinvest $750 billion they have invested in the US. The Obama administration is trying to cool the situation.

#### Saudi Arabia and the Presidential Candidates

Donald Trump says he might halt oil imports from Saudi Arabia and other Arab allies unless they commit ground troops or substantially reimburse the US for combating IS. "If Saudi Arabia was without the cloak of American protection, I don't think it would be around." Will he act to protect US oil production and jobs or will he also capitulate under the Saudi pressure. He should also put an arms embargo on Saudi Arabia unless the Saudis lower production and stabilize oil prices at about $70 a barrel.

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### China

Formal diplomatic relations between the United States and the Chinese Empire began in 1844. The US provided military aid to the Chinese during the Second Sino-Japanese war in 1937 and during World War II. The civil war in China between the Communists and the Nationalists continued after the war. The Nationalists were defeated by 1949 and fled from the mainland to Taiwan and other islands where the established the Republic of China (ROC). The People's Republic of China (PRC) was established under the leadership of Mao Zedong on mainland China. The PRC provided resources and training to Communists in Vietnam, and supplied Hanoi with 90,000 rifles and guns free of charge. China also sent anti-aircraft units and engineering battalions to North Vietnam to repair the damage caused by American bombing, rebuild roads and railroads, and perform other engineering work, and thus freeing the North Vietnamese army units for combat in the South

The PRC was hostile to the American presence, and all US personnel were withdrawn from the mainland in early 1950. The US froze all Chinese assets in the US when PRC forces attacked US forces in Korea in 1953. PRC retaliated by seizing all US assets in China. Truman Administration resumed economic and military aid to the ROC and took control of the Taiwan Straights by deploying the US Seventh Fleet to stop a Communist invasion of Taiwan. A Sino-American Mutual Defence Treaty was signed between the two governments of US and ROC in 1954 and lasted until 1979.

The US prevented the PRC from taking China's seat in the UN and encouraged its allies not to deal with the PRC. The US placed an embargo on trading with the PRC, and encouraged allies to follow it. The PRC developed nuclear weapons in 1964. President Lyndon B Johnson had considered pre-emptive attacks to halt its nuclear program but abandoned it. However, the US and PRC held a number of ambassadorial level meetings from 1954 to 1970.

President Nixon believed that in spite of the enormous differences it was in the American national interest to forge a relationship with China. This led to what is known as "Ping Pong" diplomacy. Henry Kissinger went on a top-secret mission to Beijing to negotiate with Zhou Enlai in 1971. President Nixon visited China in 1972. The US acknowledged the PRC position that there is only one China and that Taiwan is part of China. The statement enabled the US and PRC to temporarily set aside the issue of Taiwan and open trade and communication. The rapprochement with the US benefited the PRC immensely.

On January 1, 1979, the US under Carter Administration, recognized the PRC as the government of China. Beijing acknowledged that the American people would continue to carry on commercial, cultural, and other unofficial contacts with the people of Taiwan which the US did. The ROC was now as 'Taiwan'. The PRC government claimed that Taiwan as a province of China. The Taiwanese people were angered by the "betrayal" by the US Government. There were several protests.

The US and PRC conducted a series of important, high-level exchanges from 1979 to 1989. This resulted in many bilateral agreements, especially in the fields of scientific, technological, and cultural interchange, as well as trade relations. The US and the PRC initiated hundreds of joint research projects and cooperative programs under the Agreement on Cooperation in Science and Technology, the largest bilateral program. The level of US arms sales to Taiwan remains a sore point in their relationship. China violently suppressed the Tiananmen demonstrations in June 1989. The US and other governments reacted to China's violation of human rights. The US also imposed a number of economic sanctions. US investors' interest in mainland China reduced. Tourist traffic dropped. Imports and exports of arms and defence equipment were banned.

In 1996, the PRC conducted military exercises in the Taiwan Strait in an apparent effort to intimidate the Taiwan regime. The United States dispatched two aircraft carrier battle groups to the region. The relations soon returned to normal. President Jiang Zemin visited the US in 1997. President Clinton returned the visit in 1998. Relations again suffered from the US bombing of the Chinese Embassy in Belgrade but soon returned to normal. PRC condemned the 9/11 terror attacks and supported the US coalition campaign in Afghanistan and contributed $150 million of bilateral assistance to Afghan reconstruction. The application of American power in Iraq and continuing efforts by the US to cooperate with the PRC has significantly reduced the popular anti-Americanism that had developed in China in the mid-1990s.

China and the US have also worked closely on regional issues, including those pertaining to North Korea and its missile and nuclear program. China's president Hu Jintao visited the US in April 2006. Obama continued with the policies of his predecessors. US President Barack Obama visited China in 2009 to discuss economic worries, concerns over nuclear weapon proliferation, and the need for action against climate change. In January 2010, the US proposed a $6.4 billion arms sale to Taiwan. In response, the PRC threatened to impose sanctions on US companies supplying arms to Taiwan and suspend cooperation on certain regional and international issues. In February, 2010, President Obama met Dalai Lama who is accused by China of creating unrest in Tibet. In 2012, the PRC criticized Obama's new "Look East" defence strategy. China views it as aiming to isolate China in the East Asian region. Obama is looking to increase US military influence in the area with a rotating presence of forces in friendly countries.

The China and the US resumed trade relations in 1972 and 1973. Direct investment by the US multinationals in mainland China covers a wide range of manufacturing sectors, hotel projects, restaurant chains, and petrochemicals. US companies have established more than 20,000 equity joint ventures and wholly enterprises in China. This shifting of manufacturing to China has resulted in millions of job losses in US manufacturing and severely hurt the American middle class. China has restrictive trade practices which include a wide variety of barriers to foreign goods and services, often aimed at protecting its own state owned enterprises. It is accused of under valuing its currency to make exports more competitive. Though China has joined the WTO, it has been able to exploit it to flood the world markets with cheap steel, electronics and consumer products. The US trade deficit with mainland China exceeded $350 billion in 2006 and was the United States' largest bilateral trade deficit. The Chinese have expressed concern that "Buy American" components of the US plan discriminate against foreign producers, including those in China.

### China's defence budget is growing rapidly. The US remains convinced that China conceals the real extent of its military spending. China officially spent $45 billion on defence in 2007. However, US estimates maintain that China spends between $85 billion and $125 billion per year on defence. China's military budget has US and neighbouring countries worried that China is getting ready to threaten its neighbours or challenge the US. China is developing a large naval base near the South China Sea. A recent report stated that five of six US Air Force bases in the area are potentially vulnerable to Chinese missiles and called for increased missile defences. The International Institute for Strategic Studies in its 2011 report stated that if spending trends continue, China will achieve military parity with the United States in 15 to 20 years. China is also developing capacity for attacking satellites and for cyber warfare.

In March 2013, the US and China agreed to impose stricter sanctions on North Korea for conducting nuclear tests. Such accord might signal a new level of cooperation between the US and China. President Obama and President Xi Jinping of China had a two day summit in 2013 in the US. The leaders agreed to combat climate change and curtail North Korea's nuclear program. They remained divided over cyber espionage and US arms sales to Taiwan. Xi dismissed allegations of China's involvement in hacking. The latest friction between the two major global powers is China's claims over the South China Sea, rapid island building and development of defence installations on these islands. The US plans to deploy two thirds of its naval assets in the region and is increasing its forces in Philippines.

#### China and the Presidential Candidates

If Hillary Clinton is elected president, appeasement of China to protect investments by US multinational corporations and investors will continue. Cheap steel imports from China will kill the US steel industry. Make in US will remain only a slogan. Trump rightly says that China has built itself from money that was drained out of the US. The best way to halt China's placement of air fields and anti aircraft batteries on reclaimed islands on the South China Sea is to threaten its access to the US markets.

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###  China's Neighbours around South China Sea

China claims almost the entire South China Sea, including the Spratly Islands. The Spratly Island region is reported to have oil and gas deposits larger than that in Kuwait. It is one of the world's most productive areas for commercial fishing. The region is one of the busiest shipping lanes in the world. More than half of the world's super tanker traffic, by tonnage, passes through the region's waters every year. Tanker traffic through the South China Sea is over three times greater than through the Suez Canal. About $5 trillion in trade is shipped every year. Oil was discovered in the seas around Spratly Islands in 1968. China estimates that the region holds approximately 18 billions of oil and natural gas reserves. That makes it the fourth largest reserve bed in the world. In 1968 and 1970, the Philippines started to take their territorial claims more seriously and stationed troops on three islands which it claims. In 1973, Vietnamese troops were stationed on five islands. There have already been numerous clashes between China, Vietnam and the Philippines. Malaysia has militarily occupied three islands that it considers to be within its continental shelf. The Malaysian military also occupies Ardasier Reef and Mariveles Reef. Malaysia and Vietnam have agreed to jointly develop areas around these disputed islands since 1992. However, Malaysia has made it known that its policy is to maintain peace with China and resolve disputes using diplomacy.

China has been expanding its presence on its seven artificial islands in the Spratly archipelago. Ever since China has claimed the entire South China Sea as its territorial waters, its neighbours around the Sea like Korea, Japan, Taiwan, Philippines and Vietnam feel threatened. All these countries are small in comparison to China. They are also US allies. The US has proclaimed that South China Sea is international water. It has decided to protect it as such. This has made the South China Sea a possible flash point for a military conflict between the US and China. US foreign policy towards these countries thus assumes importance.

#### Korea

The US established diplomatic relation with South Korea in 1949. It fought the Korean War from 1950 to 1953 to protect South Korea for North Korean and Chinese attempts to capture it. After the war, South Korea and the US agreed to a "Mutual Defence Treaty", under which an attack on either party in the Pacific area would be responded to by both. In 1967, South Korea fulfilled its obligation to the mutual defence treaty, by sending a large contingent of combat troop to support the US in the Vietnam War. The two countries also have a free trade agreement. The US has stationed a large contingent of about 28,500 troops in South Korea since the Korean War to defend South Korea.

China and South Korea re-established diplomatic relations on August 24, 1992. A forty-year-old trade embargo ended. South Korea broke off official relations with Taiwan at the same time. South Korea and Japan established diplomatic ties in 1965. There is a strong anti Japanese sentiment in South Korea because of event during Japanese occupation of Korea.

#### Japan

The US used the atom bomb to defeat Japan in World War II and occupied it. It helped the rebuilding process and shared technology with post war Japan to help it rebuild its economy. The two countries' trade relationship has particularly prospered since. The San Francisco Peace Treaty of 1951, end the occupation. On April 28, 1952, Japan became independent. Today the United States and Japan have firm and very active political, economic and military relationships. The US considers Japan to be one of its closest allies and partners. Japan is one of the most pro-American nations in the world. The United States had over 50,000 troops in Japan in 2014. The headquarters of the US 7th Fleet, long distance surveillance drones and more than 10,000 Marines are also located in Japan. Okinawa is the site of major American military bases that have caused problems, as nationalist anti-American elements and locals have protested their presence for decades. The Democratic Party of Japan which is in power appears to follow a more independent foreign policy. In 2013 Japan and Russia held joint naval drills. The present government is also trying to increase its military capability and change its pacifist constitution to enable it to take part in operations abroad.

Sino-Japanese relations were hostile till the 1960s. Trade relations started between the two countries in 1963. Japan helped China to industrialize by selling it plants and machinery and giving financial aid. A Treaty of Peace and Friendship was signed between the two countries in 1978. Tensions over the disputed islands have risen since September 2012. Trade relations deteriorated badly during the latter half of 2012. Chinese government aircraft intruded into disputed airspace for the first time since 1958. The relationship remains frosty.

#### Taiwan

The US and Taiwan have maintained unofficial relations since 1979. On December 16, 2015, the Obama Administration announced that a deal to sell $1.83 billion worth of arms to the Taiwanese armed forces. The deal would include the sale of two decommissioned US Navy frigates, anti tank missiles, amphibious vehicles and Stinger surface to air missiles. Taiwan would play a vital role if there is a conflict between China and the US and its allies. China has expressed its disapproval for the sales and said it would hurt China-US relations. Washington's "one China" policy, however, does not mean that the United States recognizes, or agrees with China's claims to sovereignty over Taiwan. On the contrary, on July 14, 1982, Washington gave specific assurances to Taiwan that the United States rejected China's claim to sovereignty over the island.

#### Philippines

The Philippines was an US colony which gained independence after the World War II. The US operated a large military facility at Clark Air Base and Subic Bay Naval Complex till end of 1991. In 1992 the US took the Subic Bay Naval Base on lease for ten years. The last U.S. forces departed in 1992. The Philippine government decided to revive a US-built deep-water naval base in Subic Bay in 2015. A ten year Enhanced Defence Co-operation Agreement was signed between the presidents of the two countries. It allowed the US to increase military presence in the Philippines. The military deployment started with 75 US military personnel to an air base north of Manila. The US considers that the Philippines was its oldest Asia-Pacific security ally and provided it with $42 million worth of sensors, radar and communications equipment. The US has reiterated its commitment to defend the Philippines under a 1951 security treaty.

#### Vietnam

President Clinton decided to normalize relations with Vietnam in 1995. US-Vietnam relations have become deeper and more diverse ever since. Vietnam hosted US Navy ships in 2007. It also took part for the first time in the multinational naval exercise organized by the US Navy. US Coast Guard has repeatedly protected Vietnamese fishing vessels from Chinese attacks.

Relations between China and Vietnam have changed over the years. The naval forces of China and Vietnam fought a naval battle off the Paracel Islands in South China Sea in 1974. As of 2012, Vietnam had concluded some 60 oil and gas exploration and production contracts with various foreign companies.

China assisted North Vietnam during the Vietnam War. Relations between the two nations soured in 1975 when Vietnam forces invaded Cambodia. China and Vietnam fought a border war from 1979 to 1990. They have since tried to improve their diplomatic and economic ties. Annual bilateral trade increased from only US$32 million in 1991 to almost USD $25 billion in 2011. But the dispute over South China Sea could lead to another war.

#### China's South China Sea Neighbours and the Presidential Candidates

Donald Trump would like China's neighbours to develop adequate military capability. He would allow Japan and Korea to build their own nuclear arsenals; willing to withdraw US forces from both countries if they do not substantially increase their contribution to the cost of housing and feeding these troops; would seek to renegotiate a 56 year old security treaty pact with Japan which he considers is one sided.

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### Iran

In 1925 the British appointed the Pahlavi dynasty the Shah (Kings) of Iran. The Shah sought to Westernize Iran. Crude oil came to dominate post war politics. In April 1951, the Anglo Iranian Oil Company was nationalized by the prime minister. The Shah tried to replace him in 1952 but failed. A power struggle ensued between the Shah and the prime minister. The Shah fled Iran for four days but returned with backing from the Iranian military in the August 1953 coup against Iranian prime minister. The coup was planned and assisted by CIA and British Intelligence to regain US and British control over Iranian oil. The US gave Iran $45 million in aid. The prime minister was convicted of treason and executed. Iran became affiliated with the Western military alliance through the Baghdad Pact in 1955 and later the Central Treaty Organization (CENTO). CENTO was dissolved after Iran pulled out in 1979. The Shah's autocratic and repressive methods and his program of rapid Westernization made him unpopular. Islamic militants, radical students, and the middle class all joined in the revolt. The entire population turned against the Shah. Martial law was declared in Iran's major cities in September 1978, but anti-government strikes and large demonstrations continued. On 16 January 1979, the Shah fled from Iran. The leader of the Islamic opposition, Ayatollah Ruhtollah Khomeini, who had spent 15 years in exile, returned to a tumultuous welcome in Tehran on 01 February 1979. He quickly asserted control and appointed a provisional government. A referendum was held. On 1 April Iran became an Islamic Republic. The Shah took refuge in the US with his family and his millions. The US persuaded Egypt to give him asylum. Like Emperor Bao Dia of Vietnam, President Marcos of the Philippines, President Allendie of Chilie and President Batista of Cuba, one more autocratic US puppet ruler in the Third World fell to rising nationalism in their countries. The elected Prime Minister of Iran was ousted because he dared to act in the interest of his people and his country and against the economic interests of UK and the US and their multi-national corporations. Iran has never attacked US interests or displayed aggressive intent with its neighbours. The Iranian paranoia in the minds of US leaders stems from three issues.

The first is the overthrow of the Shah of Iran who was an US ally by an Islamist revolution, nationalization of Iran's crude oil companies and Iran's withdrawal from CENTO in 1979.

The second is the "Iran Hostage Crisis". More than sixty American diplomats and citizens were held hostage for 444 days (November 4, 1979, to January 20, 1981) after a group of Iranian students supporting the Iranian Revolution took over the US Embassy in Tehran. Iran had demanded that the Shah be returned to stand trial for crimes he was accused of. The US refused. Iranians saw the decision to grant him asylum as American conspiracy. In the US, the hostage taking was seen as a violation of the principles of international law. The crisis reached a climax when, after failing to negotiate the hostages' release, the US military attempted a rescue operation on 24 April 1980 using ships and helicopters, including two US aircraft carriers. The failed attempt resulted in the deaths of eight American servicemen and one Iranian civilian, and the destruction of two aircraft. A piqued US administration contemplated invading Iran through Turkey but didn't. Instead it persuaded Saddam Hussein to attack Iran in 1980. The Iran-Iraq war lasted eight years. The hostages were released after the signing of the Algiers Accord between the US and Iran in 1981. The crisis also led to the US imposing economic sanctions against Iran. The relationship remains frosty to this day.

The third reason is Iran's anti Israel stance and it's providing military and financial aid to the Syrian regime. In 1947, Iran was among 13 countries that voted against the UN plan for creation of Israel. Iran also voted against Israel's admission to the UN in 1949. Strangely Iran was the second Muslim country to recognize Israel. Relations between the two countries were good from 1953 to 1979 when the Shah was in power. After the 1979 Islamic Revolution, Iran severed all diplomatic and commercial ties with Israel. Its Islamic government does not recognize the legitimacy of Israel as a state. Other factors which have contributed to the escalation of tensions between the Israel and Iran include Iran's nuclear enrichment program and funding and arming of groups like Hezbollah in Lebanon, and Islamic Jihad and Hamas in Palestine.

It will be clear that both countries have played a role in making the relations frosty. The US has much to gain from normalizing relations with Iran. Iran can provide US forces in Afghanistan with logistic support and easy access without going through Pakistan. This will enable the US to act tough with Pakistan regarding its support to Afghan Taliban. Israel will object to the move. Does the US president have the will to do what is in the best interest of his country?

#### Iran and the Presidential Candidates

Trump condemns the Iran nuclear deal. He says that the pact gives the world's leading sponsor of terror $150 billion while the US gets absolutely nothing. Trump has been misled on the issue. Iran does not sponsor terrorism in the way Pakistan, Saudi Arabia and Turkey do. Pakistan is directly responsible for killing over 4000 US and NATO troops by arming, training and providing sanctuaries to Afghan Taliban. Yet Pakistan is seen as a friend. Only eight US servicemen were killed by Iran in a defensive operation against an attack by US forces on its soil. The hostage incidence pales to insignificance when seen in light of conduct of Pakistan in Afghanistan. Normalizing relations with Iran will increase bilateral trade. Iran is the key to solving the mess in Afghanistan by providing logistic access and eliminating dependency on Pakistan.

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###  US and NATO

The North Atlantic Treaty Organization (NATO) is a military alliance signed on 4 April 1949 as a follow up of the "Truman Doctrine". It is a system of collective defence whereby its member states agree to respond to an attack by any external party. Originally the treaty was directed towards defending against an attack by Soviet Union or its successor Russia. Its headquarters are located in Brussels, Belgium. NATO has 28 member states across North America and Europe. The combined military spending of all NATO members constitute over 70 percent of global spend on defence. Members' defence spending is supposed to amount to 2 percent of their GDP. Some member countries are not spending this amount and depend on the US to make up the shortfall. NATO conducted its first military interventions in Bosnia 1992-95 and later in Yugoslavia in 1999. Politically, the organization sought better relations with former Warsaw Pact countries. Some of these countries joined the alliance in 1999 and 2004. NATO's expansion towards Russian borders is resented by Russia. Russia's annexation of Crimea and intervention in Georgia and Ukraine is a direct result of this policy.

Article 5, of the Treaty allows a member state to ask the other members to come to its aid if attacked. It was invoked for the first and only time by the US after the 9/11 terror by Al Qaeda. Thus NATO troops fought alongside US troops in Afghanistan. The organization has operated a range of additional roles since then, including sending trainers to Iraq, assisting in counter piracy operations off the coast of Somalia and enforced a no fly zone in Libya

Article 4, which merely invokes consultation among NATO members, has been invoked five times; four times by Turkey and once by Poland.

#### NATO and the Presidential Candidates

Trump feels that NATO countries in Europe and Turkey are not doing enough to protect themselves. Many of them are not spending 2 percent of GDP on defence. He feels that the Obama Administration is spending too much money and military hardware in bolstering European defences. He feels that the organization is economically unfair to the US. He is open to an alternative organization focussed on counter terrorism.

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### Pakistan

The US established diplomatic relations with Pakistan in 1947. Pakistan allied itself with the US during the Cold War and became a member of CENTO and SEATO Treaties. In 1960, Pakistan granted permission for the US to fly its first spy missions over Soviet Union from the Peshawar Air Base, which had been upgraded with American funds. The US did its best to support Pakistan in its wars with India in 1965 and 1971. It secretly encouraged the Shah's Iran, Turkey, Saudi Arabia and Jordan to send weapons and ammunition to Pakistan and reimbursed those countries for their shipments. It even sent a part of the 7th Fleet to try to prevent the fall of Dhaka during the 1971 Indo-Pak war. The Indian victory resulted in the creation of Bangladesh. President Nixon condoned Pakistani atrocities on the Bengalis of East Pakistan where hundreds of thousands of civilians were killed and women raped. Pakistan also played a crucial role in arranging President Nixon's visit to China in 1974.

The Soviet invasion of Afghanistan in December 1979 again brought the US and Pakistan together. In 1981, Pakistan and the US agreed on a $3.2 billion military and economic assistance program. With US assistance, in the largest covert operation in history, Pakistan armed and supplied anti-Soviet Mujahideens in Afghanistan. The Soviets were forced to leave. But the unintended consequence of the action was the creation of Al Qaeda and Taliban who are fighting the US even today.

Relations once again soured after the collapse of the Soviet Union in 1991 when the US imposed sanctions against Pakistan for its nuclear weapons program, which was initiated after India tested a nuclear device in 1974. The US administration objected to Pakistan's continued to support terrorists in India and Indian-administered Kashmir. When the US fired missiles at an al-Qaeda camp in Taliban-controlled Afghanistan in 1998, five Pakistani ISI agents present at the camp were killed

Pakistan became important to American geopolitical interests in the region following the 9/11 terror attacks on the US. The US named Pakistan as a major non NATO ally in its War on Terror in 2002. This led to release of over twenty billion dollars of aid to Pakistan. Pakistan and Saudi Arabia were key supporters of the Taliban in Afghanistan. After 9/11, Pakistan joined the "War on Terror" as a US ally under pressure from the US. Pakistan provided the US a number of military airports and bases for its attack on Afghanistan, along with other logistical support. Since 2001, Pakistan has arrested over five hundred Al-Qaeda members and handed them over to the US. General Musharraf, President of Pakistan was strongly supported by the Bush administration. In return for their support, Pakistan had sanctions lifted and has received about $10 billion in US aid since 2001. Most of it was military aid. Former President of Pakistan, Parvez Musharraf, admitted in 2009 that US military aid given to fight the Taliban had been diverted to preparing for war against India. The US Congress approved $7.5 billion of non-military aid to Pakistan in 2009. In February 2010, US President sought to increase funds to Pakistan to "promote economic and political stability in strategically important regions where the United States has special security interests". Obama also sought $3.1 billion aid for Pakistan to defeat Al Qaeda for 2010.

Relations began to strain with the US government accusing Pakistan of harbouring members of the Al Qaeda and Afghan Taliban. Osama bin Laden lived in an ISI safe house till he was detected and killed. Mulla Omar, the Taliban chief lived and died of illness in Pakistan. The attack on the US embassy and the NATO headquarters in Kabul was blamed on the Haqqani Network which is considered close to Pakistani ISI. The US has repeatedly asked Pakistan to act against the Haqqani Network. It has threatened to act unilaterally if nothing was done.

Killing of Osama bin Laden in Pakistan by US Special Forces in 2011, US drone attacks on Afghan Taliban leaders in Pakistan and other incidents created anti American feelings in Pakistan. In spite of the deteriorating relations the US provides extensive economic, scientific, and military assistance to Pakistan in return for Pakistani logistic support for its troops in Afghanistan. US is the second-largest supplier of military equipment to Pakistan after China, and is Pakistan's most generous donor of foreign aid. Islamic groups in Pakistan have issued a fatwa proclaiming Jihad against the US. This was followed by Pakistan threatening the US with retaliation, if the US went ahead with unilateral action against the Haqqani network. Pakistan also tried to strengthen the relationship with China and Saudi Arabia to counter the US. The Chinese government advised Pakistan against any commitments that could jeopardize China's relationships with US and India.

## The two countries began to cooperate more closely after 2014. The US used drone missiles to kill several of Pakistan's most wanted militants who were hiding in a remote region close to the Afghan border. The Pakistani carried out operation against militant in North Waziristan province. Warming of relations, and increased security cooperation, between Afghanistan and Pakistan was welcomed by the US. Pakistan has purchased of 18 new F 16 combat aircraft and many other weapon system that it could use against India in 2015. Pakistan received 26 Bell 412EP utility helicopters, along with related parts and maintenance as military aid. US government has proposed US $860 million in aid for Pakistan during the 2016-17 fiscal year, including $265 million for military hardware in addition to counterinsurgency funds.

The US foreign policy towards Pakistan has to take into consideration the strong relations between Pakistan and China. This is especially so as China is close to conflict with the US in the South China Sea. China–Pakistan relations began in 1950 when Pakistan was among the first countries to cut off diplomatic relations with Taiwan and recognize Peoples Republic of China. Diplomatic relations were established in 1950, military assistance began in 1966, a strategic alliance was formed in 1972 and economic co-operation began in 1979. China has become Pakistan's largest supplier of arms and its third-largest trading partner. Recently, both nations have decided to cooperate in improving Pakistan's civil nuclear power sector. China is supplying a range of modern armaments to the Pakistani defence forces. China supports Pakistan's stance on Kashmir while Pakistan supports China on the issues of Xingjian, Taiwan and Tibet. Military cooperation includes joint projects producing armaments ranging from fighter jets to guided missile frigates. China has made substantial investment in developing Pakistan's infrastructure including the Pakistani deep-water port at Gwadar in Balochistan. Both countries have an ongoing free trade agreement. The relations between Pakistan and China have been described by Pakistan's ambassador to China as higher than the mountains, deeper than the oceans, stronger than steel, dearer than eyesight, and sweeter than honey. China is building a Pak-China Economic Corridor with an investment of about $46 billion. It will connect Pakistan with China and the Central Asian countries with highway connecting Kashgar in Xingjian Province to Gwadar Port which will serve as the trade hub. Most of China's trade including that of oil will be done through the port. The port will be operated by the China Overseas Port Holding Company, a state-owned Chinese company. Currently, sixty percent of China's oil imports must be transported by ship from the Persian Gulf to Shanghai, a distance of more than 16,000 kilometres. The corridor is considered to be an extension of China's ambitious 21st Century Silk Road Project. Gwadar is likely to also be a naval base for use by Chinese and Pakistani Navies. China is also building harbours in Sri Lanka and Maldives for use by its ships in the Indian Ocean. Once fully militarized, Gwadar Port with Pakistani nukes has the potential to dominate the sea routes to the Persian Gulf and challenge US hegemony in the area.

It may be in the US national and geopolitical interest to nip the Pak-China Corridor project in the bud. One way of doing it is to support the separatist aspirations of Balochistan. The people of Balochistan have been fighting the Pakistani Government and security forces for independence for more than sixty years. They have expressed opposition to the project fearing that any large-scale development in the province would eventually lead to large scale migration of people from other provinces and from China and make the Baloch people a minority in their own home land. A group of US congressmen support creating an independent Balochistan. Texas Congressman Louie Gohmert said, "Let's talk about creating a Balochistan in the southern part of Pakistan. They'll stop the IEDs and all of the weaponry coming into Afghanistan, and we got a shot to win over there." Movement claims to receive considerable support from the Baloch diasporas in Oman, the UAE, Sweden, Norway and other countries. Pakistan has repeatedly made claims that the Baloch nationalists have received funding from India. The claims have been rejected by India.

The other is to simply move in and take over Gwadar in support of independent Balochistan. As we have seen from Russian action in Crimea and Ukraine, when a super power moves in, it is not easy to move it out. Does America have the guts to do what Putin did before China walks into Gwadar?

#### Pakistan and the Presidential Candidates

In late 2009, Hillary Clinton had praised the Pakistani military for their courageous fight against terrorism. She also made a commitment to stand shoulder to shoulder with the Pakistani people in their fight for peace and security. This was when the Taliban, armed and trained by Pakistan's ISI with American arms and Saudi money were killing hundreds of US and NATO soldiers in Afghanistan. President Obama is doing the same. Can she be expected to do any thing different?

Donald Trump isn't known for pulling any punches. Trump called Pakistan "probably the most dangerous" country in the world today, on a radio show. He said that Pakistan is "a serious problem" because it has nuclear weapons that work. He clubbed Pakistan with North Korea. "India is the check to Pakistan," continued Trump, adding insult to Pakistan's injury. "You have to get India involved ... They have their own nukes and have a very powerful army. They seem to be the real check ... I think we have to deal very closely with India to deal with it (Pakistan)," said Trump, about his foreign policy goals. With his America first vision and total break from the past, he may get the credit for creating an independent Balochistan.

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### Syria

Syria was a reasonably prosperous, peaceful country till 2011. The Arab Spring movement swept across North Africa bringing chaos in Libya and toppling the leaders from Egypt to Tunisia. Sunnis, chaffing under the brutal regime of Syrian President Bashar al Assad, thought it was time for him to go. The US and NATO, unhappy with a pro Russia, pro Iran, anti Israel regime, also wanted Assad to go. Unfortunately Russia and China thought otherwise. With neither the rebels nor the government forces being strong enough to defeat the other, a messy no holds barred battle of attrition ensued. The war is in its sixth year. Over five million Syrians have taken shelter in neighbouring countries as refugees. Another five million are internally displaced. Over 300,000 have died. Almost every village or town has been reduced to rubble. The opposition leaders are enjoying in five star comforts in Turkey and Saudi Arabia. Million of Syrians of different political, ethnic or religious orientation are mal nourished or starving without healthcare. Millions of children are out of school and colleges. Who cares if the civil war continues for a decade or two? Politicians every where are enjoying themselves. Arms manufacturers and smugglers are laughing all the way to banks in tax havens.

Can the next president of the US have some compassion for the Syrian people, the millions of suffering men women and children who do not want war but want peace; who do not care who rules them as long as there is no fighting and they can rebuild their lives? Can the war be stopped? What is wrong with the Russian proposal? Draw up an interim constitution; make Syria a federation of states like the US, Russia, India and many others; let an interim government function under Assad for 18 months and then hold elections and let the people of Syria decide who should rule them. Does any one except the arms dealers and smugglers and the opposition political leaders gain anything from continuation of the carnage.

#### Presidential Candidate and Syria

If Hillary Clinton becomes the president, the armament industry lobby will prevail as it has during the Obama Presidency. The Syrian people will continue to suffer for the next four to eight years. Europe will be engulfed by the refugee crisis. If Trump comes, there is hope for change and for peace.

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###  Islamic State

The Islamic State is the creation of the insurgency in Iraq during US occupation from 2003 to 2011 and the Saudi and Turkish desire for Sunni Arab hegemony over the Middle East. The Sunni insurgents, most of them from Saddam Hussein's army, were funded and armed by Saudi coalition and Turkey to get the US troops out of Iraq and to destabilize the Shia regimes in Iraq and Syria. Gulf money and American arms were instrumental in the Islamic State gaining upper hand. Alas; history has repeated itself. Saudi money and American arms were used in Afghanistan to arm and fund Afghan mujahideen to destabilize the Soviet friendly regime in Afghanistan. The Taliban and Al Qaeda, created for the purpose turned against their mentors, the US and Saudi Arabia. The Islamic State has turned against it mentors, the US, Saudi Arabia and Turkey and risen to threaten the Western world.

Defeating the Islamic State without causing unacceptable collateral damage to civilians living in areas controlled by them will take time. The first requirement is to put in place an effective blockade to prevent arms, ammunition, weapon systems, spares and money from reaching the Islamic State. These items are smuggled to them through Turkey, Lebanon, Israel, Jordan and Saudi Arabia. This smuggling must be effectively stopped. Some arms and supplies are also bought by the Islamic State from corrupt army personnel in Iraq and Syria and elements of the Syrian opposition fighters. As successful blockade will severely degrade the fighting ability of the Islamic State and lower the morale of its fighters. There are already indications of this happening. The blockade and nibbling at territory held by the Islamic State by using local boots on the ground like the Kurds, Syrian and Iraq army and Shia militias like Hezbollah, Christian and any other militias supported by Russian, US and NATO air forces, artillery and special troops and combat engineers is the most cost effective way of defeating the Islamic State.

#### Presidential Candidates and the Islamic State

If Hillary Clinton becomes the next US president, it will be more of the same policies. Donald Trump has promised to go after Islamic State with more urgency. That may hurt the civilian population and increase US and allied casualties. Donald Trump should be patient in dealing with Islamic State. Coordination with the Russians and the Syrian regime will certainly help.

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### Russia

A discussion on US foreign policy cannot be completed without discussing its relationship with Russia.

Presidents Gorbachev and George H W Bush declared in 1989 that the Col War was over. The Soviet Union was dissolved in December 1991. Boris Yeltsin became the first president of Russia. He visited the US in January 1992. Thus began a period of cordial relations between the two countries which were dominated by the US. During this period the US and Russia signed an Agreement Concerning Cooperation in the Exploration and Use of Outer Space for Peaceful Purposes; signed the START II Treaty. Russia was in severe economic difficulties. IMF stepped in and forced privatization of Russian Public Sector. In the process it created a large number of oligarchs who took over public sector companies for a song and became super rich. Most of them reside outside Russia. The Rouble collapsed and the Russian people were in great economic distress.

The bonhomie continued after Bill Clinton became president in 1993. The US announced a bilateral aid program of $1.8 billion for Russia. The First joint U.S.-Russian Space Shuttle mission took off the same year. The US and Russia stopped aiming their strategic nuclear missiles at each other. The two presidents met in Moscow to commemorate the 50th anniversary of the end of World War II in Europe on May 9 1995. Russia attended the NATO summit in Paris, in 1997. The NATO-Russia Founding Act providing a formal basis of bilateral cooperation between the US, Russia and NATO was signed. Russia joined the G8. The two presidents agreed to exchange information on missile launchings and to remove 50 metric tons of plutonium from their countries' nuclear weapon stockpiles. The International Space Station was launched in 1998. The two presidents met at an Organization for Security Cooperation in Europe Summit Meeting in Istanbul, Turkey, in 1999 to discuss arms control, Chechnya and events in Europe. Clinton stated that the international community does not dispute Russia's right to defend its territorial integrity and to fight terrorism.

President Putin became Russian president on the last day of 1999. The Russian economy stabilized and Russia became more assertive in international affairs. Russia supported the US in its operations against Al Qaeda in Afghanistan after 9/11 attacks. It even set up a military hospital in Kabul to treat US and NATO forces and Afghans. President Bush and President Putin met in Moscow in 2002 and signed the Strategic Offensive Reduction Treaty. NATO and Russia also created the NATO-Russia Council to discuss problems.

Relations began to worsen in 2002 when the U.S. withdrew from the Anti-Ballistic Missile Treaty in order to develop a missile defence system. Putin called the decision a mistake. Russia strongly opposed the 2003 invasion of Iraq. Russia has regarded the expansion of NATO into the ex Soviet Union members like Poland and US efforts to gain access to Central Asian oil and natural gas as hostile acts which threatened Russia's security. In 2007, the US announced plans to build an anti-ballistic missile defence installation in Poland along with a radar station in the Czech Republic. Russia, however, viewed the new system as a threat. President Putin warned that if the US built the missile defence system, Russia would target missiles at Poland and the Czech Republic. Russia supported Iran's nuclear power program. It warned NATO against building any bases in Ukraine. The US and Poland agreed in 2008 to have 10 missile interceptors placed in Poland, as part of a missile shield to defend Europe and the U.S. from a possible missile attack. The US also moved a battery of Patriot missile defence system to Poland. In retaliation Russia deployed Iskander short range missile to Kaliningrad on Polish border.

The US also wanted pro-West regimes in ex Soviet block countries. It provided financial aid to pro West political party in Georgia. The party won. Emboldened by the success and confident of US military support, it initiated military action against the Russian backed self proclaimed republics of South Ossetia and Abkhazia and captured the capital of South Ossetia. Russian forces launched a large-scale land, air and sea operation against Georgia on 8 August 2008. Russian and Ossetian forces battled Georgian forces throughout South Ossetia for four days and forced Georgian forces to retreat. They also occupied four Georgian cities and raided Georgian military bases. Russian and Abkhaz forces also attacked the Kodori Gorge. Russian naval forces blockaded part of the Georgian coast. The US remained a spectator. France negotiated a ceasefire. Russia recognised Abkhazia and South Ossetia as separate republics. The Russian military has increased its presence in South Ossetia and Abkhazia. The Georgian government responded by severing diplomatic relations with Russia. Pro Russian party is back in power in Georgia.

On March 24, 2010, the US and Russia reached an agreement called New START to reduce their stockpiles of nuclear weapons. The treaty was signed by President Obama and President Medvedev. The agreement cut the number of long-range nuclear weapons held by each side to about 1,500. Putin was back as president in 2012. Relations began to deteriorate with Obama and Putin indulging in a number of tit for tat sanctions. The US is concerned that Russia is violating the Intermediate Range Nuclear Forces Treaty. Relations between the US and Russia worsened when in late July 2013 Russia granted political asylum to the former NSA contractor Edward Snowden.

The US had been plotting for a pro West Regime in Ukraine in the same way as in Georgia. They succeeded when the Victor Yanukovych government in Ukraine collapsed in February 2014. This led Russia to annexation of Crimea to safeguard its naval base there. Russian speaking regions of Donetsk and Luhansk also broke away from Ukraine with Russian support. Russian support for the separatists fighting Ukrainian forces led to US sanctions. The relations between the US and Russia are at their worst since the end of the Cold war.

Syrian Crisis is another reason for poor relations between Obama and Putin. Obama Administration wants the Syrian President Bashar al Assad to go immediately. Russia wants him to continue till a lasting political solution can be found. Russia started an air campaign in support of the Assad Regime on 30 September 2015. Obama called the way Russia was conducting its military campaign in Syria a "recipe for disaster". Top US military officials ruled out military cooperation with Russia in Syria. With two superpowers in opposing camps and with the opposition leaders living in five star comforts in Turkey and Saudi Arabia, the war can continue for a hundred years. In Syria, Russia is entrenched on the ground while the US only operates in the air. Russians and their ally Assad cannot be evicted. The war will go on unless the two super powers agree on a solution. About 300,000 Syrians have died, five million have become refugees and an equal number are internally displaced. Almost every city has been reduced to rouble. Millions are without adequate food and medicines. Millions of children are not going to schools and colleges. Does Obama or the Saudi king or the Turkish president care? Their geo-political ambitions must be fulfilled at all cost.

#### Russia and the Presidential Candidates

If Hillary Clinton becomes president, the US will continue to follow anti Russia policies and sanctions. This will lead to worsening relations between the US and EU and Russia. More US troops will be deployed in Europe and billions of dollars of money will be spent to continue the Cold War instead of being spent to uplift the lot of the American people. There will be no agreement or cooperation between the two countries on Syria and the way to defeat Islamic State.

Things will be very different if Donald Trump becomes president. Trump has declared that he has no problems with Putin and can work with him. Putin in turn has praised Trump as a person and leader. Good relations and cooperation between the two countries will lead to swift end to the Syrian crisis and a more effective strategy to battle the Islamic State. Lowering of tensions in Europe will save the governments billions of dollars in military expenditure. The money saved can be used to create jobs and alleviate poverty. Lifting of sanctions will improve trade and prosperity of people in Europe and Russia. Even the war in Ukraine can end and bring peace and prosperity to millions of Ukrainians.

### Foreign Policy and the Presidential Candidates

National elections should not be fought on the basis of foreign policy. They should be fought on the basis of internal economic policies which affect the lives of the people; in this case America. What did Obama know about foreign policy when he stood for presidency? And what has he achieved? By his own admission he made a blunder in Libya. He allowed Islamic State to grow unchecked from 2014 to 2015. He has allowed Syria to be totally destroyed. His Afghan policy is in tatters. His policy on Ukraine has created over one million refugees and destroyed another peaceful country. It has hurt the economy of Europe. His policy of needling Russia and his animosity towards Putin has brought the US Russian relations to the worst level since the Cold War. Things can and will change if Trump becomes president. The downward slide will continue if Hillary becomes the president.

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###  Author's Suggestions on US Foreign Policy

First improve relations with Russia by recognizing Crimea as part of Russia. Has Russia ever undertaken any hostile act against the US without provocation? Support the separatist ambitions of Donetsk and Luhansk in Ukraine and Balochistan in Pakistan. Did US not support separatists of Croatia, Bosnia, Kosovo and Taiwan and bring peace to these countries? Russia should be the first country Donald Trump should visit after he becomes president.

Second; normalize relation with Iran by ending all sanctions and by visiting it. It will give the US a new logistic route into Afghanistan and enable it to stop blackmailing by Pakistan, help liberate Balochistan and cut Saudi Arabia down to size. Saudi Arabia is getting too big for its boots. Saudi Arabia is the source of funding of 90 percent of fundamentalist Muslims and terrorists and its opposition to Assad is the main reason for failure of peace process in Syria.

Third; end civil wars in Ukraine and Syria by stopping US funding and military aid to Ukraine and the rebels in Syria. Partition of Ukraine is not unthinkable. The US under Clinton presidency and NATO partitioned the warring regions of Yugoslavia and brought peace to the region. Once US support ends, civil war also ends. Examples are Vietnam, Cambodia, Cuba and Angola.

Fourthly; Force Saudi Arabia and the Gulf Countries to cut production of oil till crude reaches $70 per barrel so that US investment in shale oil does not go waste and oil industry jobs in the US are saved. Impose sanctions, stop import of oil from the Gulf countries and impose an arms embargo on Saudi Arabia if they refuse. With the whole world producing oil and the US producing most of its requirement, Saudi Arabia has no relevance in US geopolitical goals.

Fifthly; ask China to declare South China Sea as international waters, demilitarize it and to recognize the claims of other countries to the Spratly Islands. Impose trade and investment sanction on China, stop import of Chinese steel and other products to save American industries and to create manufacturing jobs in the US if it doesn't.

Sixthly; involve Russia, Iran, Central Asian countries, India and Pakistan in ending the Afghan conflict. Invite each of these countries to take part in peace keeping duties alongside the Afghan Army and pull out US forces. Divide Afghanistan into Pashto and non Pashto regions if necessary or cede one or two districts to Taliban to rule. Economic and military aid can continue till the Afghan people are ready and able to live with dignity.

Seventhly; ask Pakistan to stop aiding Al Qaeda and Afghan Taliban and if they do not capture and hand over Taliban and Al Qaeda leaders in Pakistan, cut off military aid, place an embargo on supply of arms and spares and cut off all financial aid. With the access to Afghanistan opened through Iran, Central Asia and Balochistan; Pakistan has no relevance to US geopolitical goals.

To defeat Islamic State the US must first weaken it by doing every thing possible to stop money, crude oil, arms, spares and foreign fighters from getting in Islamic State territories in Iraq and Syria. Use the Kurds to seal the border with Turkey by giving them every kind of assistance. Use Hezbollah and the Russians to seal Syria's borders with Lebanon and Israel. Help Syrian and Jordanian forces to seal Jordan's borders with Syria. Then let the local armies and militias take on the Islamic State capturing village to village by supporting them with air power and artillery in coordination with the Russians and NATO.

Lastly, when the US president can muster the courage, get Israel to vacate the occupied territories and create the Palestine State and improve relations with the Muslim world.

###  Conclusion

Foreign Policy should not be a campaign issue. Making American economy strong, reviving American manufacturing and creating jobs is the only thing that matters The American voters should ignore discussions on foreign policy as all such ploy and dooms day prediction if Donald Trump wins is simply a ploy by the super rich, American corporations and their favoured politicians to confuse the American public and some how get their favourite candidate Hillary Clinton elected.

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#  Epilogue

The 2016 presidential election is not a contest between Republican and Democrats. It is between the super rich and American corporations on one side and ordinary Americans on the other. If you want the American government to be of the rich, by the rich and for the rich, vote for Hillary Clinton. If you want the American government to be of the people, by the people and for the people, vote for Trump and Sanders.

Do not get confused, you the wonderful, politically innocent, gullible, proud but poor ordinary people of America. It does not matter whether you are young or old; male or female; a Democrat or a Republican; white, black or Hispanic; straight or gay; pro-abortion or anti-abortion; God fearing or atheist. What matters is whether you can have a prosperous future under a government of the rich, by the rich and for the rich; under a president like Hillary Clinton who is proposed and seconded by the super rich and the tax avoiding, exploitive, greedy American corporations, and politicians.

Oh! The ordinary people of America! Get smart. Close your eyes and ears to advertisements and negative campaigns that are trying to distract you from making the right choice. You have two great, honest and pro-people presidential candidates in Donald Trump and Bernie Sanders. Plead with them to sink their differences and come together and contest for president and vice president under a party banner or as independent. Vote for them and no other.

Lastly, I humbly request Mr. Donald Trump to pick Bernie Sanders as his running mate. You are not a Republican at heart. Neither is Bernie Sanders a Democrat at heart. You both are independent politicians and have the prosperity and welfare of the American people in your hearts. You have differences. Sink those differences for the sake of the people you love. Do not split the mandate of the people. Consolidate it in your favour.

I also appeal to the supporters of Mr. Bernie Sanders to vote for Mr. Donald Trumps whether he chooses your leader as his running mate or not. You just cannot allow Hillary Clinton, the super rich and the American corporations to win.

May the people of America win.

The End

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# Bibliography

#### Chapter 1: Donald Trump

www.wikipedia.org/wiki/Donald_Trump

#### Chapter 2. Mr. Bernie Sanders

www.wikipedia.org/wiki/bernie_sanders; "Sanders Hangs in with a Clean Sweep" by chidanand.Rajghatta@timesgroup .com Times of India March 28, 2016

#### Chapter 3. Politician Corporate Nexus

How Corporate Lobbying Conquered America by Lee Drutman, 20 April 2015; www.theatlantic.com/business/archive; wikipedia.org/wiki/lobbying; "A List of Corporate Lobbying" by Jill Richardson, La Vida Locavore, June 18, 2009;

#### Chapter 4. Growing Economic Inequality

"No Tax Holiday for Corporate Job Destroyers" by Chuck Collins, 2001; "Welfare for Millionaires" News Week Magazine, Nov 14, 2011; "Corporate Campaign Cash Floods US Elections" by Tom Hamburger; August 2, 2010 in the Chicago Tribune; opensecrets.org; Institute for Policy Studies report, _America Loses:_ Bureau of Economic Analysis, US Department of Commerce, News Release August 2008; "Illegal Workers Weigh on Elections" By Caroline Hepker, BBC News 2 august 2008; Out Sourcing America: Job Loss and Unemployment By Norma Sherry; inhome.rediff.com; "House Republicans Move to Increase H1B visa Quota" By Michael Arington; techcrunch.com; "Research Finds US H!B visa holders paid less" 26. Oct 2005, workpermit.com; National Science Foundation website, nsf.gov/statistics/inbrief; "Unemployment Rate of US Scientists and Engineers Drops to a Record Low of 2.6% in 2006" by Nirmala Kannankutty, National Science Foundation News Release; "H1B Is Just Another Government Subsidy" By Paul Donnely, Computerworld.com; "H1B Computer Programmers" By John Miano, www.cis.org/article/2005

####  Chapter 5. Immigration and Loss of American Jobs

www.immigrationpolicy.org;  www.tradingeconomics.com/united-states/youth-unemploymentrate; www.debt.org/jobs/unemployment/united-states; www.bls.gov;

 www.wikipedia.org/wiki/NAFTA'S_effect_on_United_States_Employment; www.cnn.com/2016/02/04/news/economy/january-jobcuts-soar

####  Chapter 6. Globalization, Free Trade and American Manufacturing

www.wikipedia.org/wiki/globalization; www.cbsews.com/walmarts's-china-syndrome-the loss-of-us-jobs; www.cnbc.com/2015/12/04/oil-and-gas-job-cut-us-most-at -risk;  www.ustoday.com/story/money/2015/12/31/us-oil-gas-jpbs; wikipedia.org/wiki/WTO

####  Chapter 7. Tax Laws and Tax Evasion and its effect of American People

_Corporations that Take Tax Holidays Slash Jobs_. Ips-dc.org Heritage.org Brian Reidel, June 20, 2007;www.wikipedia.org/wiki/tax_havens

####  Chapter 8. More Government or Less

Contactsingapore.sg/industries/public_sector; publicsector.co.uk; publicservices.co.uk; nytimes.com/2011/11/29/us/as-public-sector-sheds-jobs

####  Chapter 9. America and the Muslim World

Wikipedia.org/wiki/Muslim_Religion

####  Chapter 10. Foreign Policy and American Interventionism

The information for this chapter has been taken from the web encyclopaedia wikipedia.org eg www.wikipedia.org/wiki/us_japan_relations

# About the Author

Bhaskar Sarkar was born at Calcutta, India in 1940. He graduated in civil engineering from Kolkata University in 1963 and did post graduation in Defence Studies at Defence Services Staff College, Wellington in 1974 and in Management at College of Defence Management in Secundrabad in 1983. He joined the Corps of Engineers of the Indian Army in 1963 and hung his boots after 28 years of distinguished service in the rank of Colonel. During this period he held many distinguished command and staff appointments like brigade major, commanding officer, and chief engineer of a Border Roads project. He has been an instructor at College of Military Engineering, Pune for a total of 7 years. He has served in almost all parts of India from insurgency infested Nagaland in the East to the deserts of Rajasthan in the West and from mountains of Sikkim in the north to Wellington in the Nilgiris in the South. He has also served in Bhutan and visited Sri Lanka when IPKF was fighting the Tamil Tigers. He has been awarded the Vishist Seva Medal and the Chief of Army Staff's Commendation Card for distinguished service.

After retirement Col Sarkar joined the construction industry as a civil engineering and management consultant and served on many interesting projects like rehabilitation of earthquake affected people of Latur District of Maharashtra, highway and construction projects in Gujarat, Goa, Maharashtra and Rajasthan. His foreign exposure is restricted to Jakarta and Singapore.

He was keen sportsman and his hobbies include wild life, gardening, travelling and charity work.

###  Other Books by Bhaskar Sarkar

A keen student of military history, economics and international affairs, he has eleven published books and nine "e" books. Books by the Author are listed below::

Pakistan Seeks Revenge and God Saves. India ISBN 81-85462-11-9. Fiction. Batra Book Service, New Delhi.

Tackling Insurgency and Terrorism. ISBN 81-7094-291-8. Non fiction. Vision Books Pvt. Ltd, New Delhi.

Kargil War, Past Present and Future. ISBN, 1-897829-61-2. Non Fiction. Lancer Publishers and Distributors, New Delhi.

Outstanding Victories of the Indian Army. ISBN 1-897829-73-6. Non Fiction. Lancer Publishers and Distributors, New Delhi.

Thirty Nine Steps to Happiness. Non Fiction. 81-248-0142-8. Atlantic Publishers and Distributors, New Delhi.

Practical Approach to Vaastu Shastra. (A Peacock Book). Atlantic Publishers and Distributors, New Delhi.

Earthquakes, All we need to know about them. ISBN 978-81-248-0188-8. Non Fiction. Atlantic Publishers and Distributors, New Delhi.

Nationalism: Economic Strategy for Survival of Developing Countries. ISBN 978-81-269-1093-9. Atlantic Publishers and Distributors, New Delhi.

An Introduction to Religions of the World. ISBN 978-81-269-1339-8. Non Fiction. Atlantic Publishers and Distributors, New Delhi.

Who is Afraid of the Chinese Dragon? I am. Non Fiction. (A Peacock Book). Atlantic Publishers and Distributors, New Delhi.

Tackling the Maoist Menace. ISBN 978-81-269-1636-8. Non Fiction. Atlantic Publishers and Distributors, New Delhi.

Bhaskar Sarkar's "e" books are published a www.shashwords.com. Author Profile on Smashwords is: http://www.smashwords.com/profile/view/Bhaskarsarkar1940 . He has eight published e books. Reference for sampling and purchasing are as under:

Fight Class War Now: http://smashwords.com/b/206829 .This book asks the American people to vote for President Obama and the Democrats.

Be A Rational Pessimist: http://smashwords.com/b/177158 . A Rational Pessimist hopes for the best but prepares for the worst.

Occupiers of Wall Street: Losers or Game Changers: http://smashwords.com/b/175532 . The book is an analysis of the movement "Occupiers of Wall Street".

Homeopathy for Prevention of Diseases and Self Medication: http://smashwords.com/b/229505 . This book encourages the readers to try self medication with Homeopathy.

Growth and Decline of Economies of Europe and US: http://smashwords.com/b/231033 . This book analyses the economy of Europe and the US.

The President Takes Over: http://smashwords.com/b/238615 . The author fantasizes an Indian President declaring emergency and cleansing the corrupt Indian political system

Islamic State: Can it be Defeated: http://smashwords.com/books/view/593742 . This book analyses the rise of the Islamic State in Iraq and Syria and examines the reason why it continues to defy all attempts by world powers to defeat it.

Learn to be Happy: https://smashwords.com/books/view/596249 . This is a self help book for young people who have started the journey called life.

###  Connect Bhaskar Sarkar

### I really appreciate your reading my book. My social contacts are:

### E mail : colbhaskarvsm@gmail.com

### Follow me on Twitter @twitter.com/COLSARKAR

### Favourite my Smashword Author Page www.smashwords.com/profile/view/Bhaskarsarkar1940

### Visit my website at www.bhaskarsarkar.com

### Back
