That risk hints at the toughest outcome of all -- the potentially lethal combination of low and falling inflation in conjunction with a back-up in nominal interest rates. Needless to say, should America’s current-account adjustment begin in earnest as the US continues to slide down the slippery slope toward deflation, the real interest rate outlook could be exceedingly treacherous.

For the first time, the writer urges a "completely neutral position" in case Bush goes the way of Richard Nixon. On July 12, he tells the executives to follow the example of "bellweather" New York Times. On August 1, the New York Times described Bush's performance at a recent news conference as "vague and sometimes nearly incoherent.... [he gave] rambling non answers."
"For a decade, the establishment has taken a very dim view of the Internet. It is seen as a method by dissident elements to propagandize the public and publish material that might cause great disruption in the public mind..." [Counter measures are discussed.] (June 16)

Look for the orders to hit the Terminator in the last weeks of the election in California.
june 15: Subject of a universal draft for all 18 year olds on the drawing board. Keep them out of trouble before the election and boosts up the military “just in case” there is more military action.
(June 18) Now it appears that the faked (call them ‘inaccurate’) reports about Saddam’s purchase of enriched uranium will not go away. The White House hopes that Muslim terrorists will commit some atrocity, preferably in the United States, so as to deflect rising negative attitudes on the part of the electorate…although no one has said it, such an attack(s) would not be surprising.
(June 21) The reaction of Congress, pushed by public opinion, to rescind the FCC rulings about multiple ownership of media entities will certainly not be welcome in the trade. The President says he will veto anything like this but Beltway sources on the inside say this will be veto-proof. Rupert will not be a happy camper!
(June 22)There is no substantive control over the military and official Washington is terrified that they could pull another Northwoods game again…
(July 14) Happy talk at the Pentagon about a universal draft is fading away. No chance of this disaster even being broached and it should not be mentioned at all. It is doubtful that the White House will touch this one now.
Someone in the FBI said to one of our people, entirely off the record, that quote it will probably be the Statue of Liberty endquote. There must be no speculation on this subject under any circumstances. If some rigged incident does happen and we comment on it in advance, new regulations could cause us serious problems
(July 26) instead, it was suggested that attacks be made within the US proper and against religious leaders. The public deaths, preferably by explosives or by fire, of some prominent American religious fanatics now pressing to Christianize Muslim countries...suggested are Pat Robertson, Falwell, Reed, the younger Graham

President George was in one hell of bind this week when it turned that that Saudi Arabia funded Al Qaeda, not Iraq. Realizing we'd invaded the wrong country, Bush did the honorable thing: he's come out against gay marriages.

And I'm not kidding when I tell you that we've gotten a slew of e-mails from BuzzFlash readers that suggest Karl Rove must have embarrassing pictures of Tony Blair, and they're blackmailing him. And it sounds ridiculous, but how do you explain this intelligent man walking his country and his soldiers into hell following the orders of George W. Bush?
PALAST: You're getting warm. The answer is Irwin Stelzer. He is the guy who is a good friend of George Bush from the Hudson Institute, and the most powerful lobbyist in Britain representing British-American interests and, by the way, chief lobbyist for Rupert Murdoch. As soon as Bush seized the White House, Stelzer walked into Blair's office and said ‘we noticed that you were supporting Mr. Gore during the Presidential election' - even though clearly that didn't carry many states. Blair's effective endorsement of Al Gore did not go unnoticed. And there was a price to be paid. Blair was given a list of the things that would befall Britain from military subsidies and equipment, to a reduction of value in the dollar versus the pound, which would destroy England's exportability. And Blair was basically told get in line, stand up and salute or "here's your last cigarette, Tony."

The issue is not whether Colin Powell is cribbing on his test to the U.N., and that he should get an F on his paper for copying out of the encyclopedia. The issue is that he claimed that he had hot new evidence, and then we discover he's just downloading some old stuff off the Internet.