US Suffers Decline in Prestige under Bush

The Financial Times reports that the US has suffered a significant loss of power and prestige under Bush. The International Institute for Strategic Studies survey found:

• Failure in Iraq meant the Bush administration had reduced power domestically and internationally, for example the failure to pass an immigration bill in the US, and "scant regard paid to US efforts to influence Israeli-Palestinian developments";
• Adversaries of the US believe "they will prevail if they manage to draw the US into a prolonged engagement";
• Iran is flexing its muscles in the Middle East;
• Iraq has caused the US to fail to focus as much as it should on other parts of the world.

Bush Abandoned by Oil Patch

Bush has been abandoned by his Texas oil patch buddies. Hunt Oil has signed an agreement with the Kurds that ignores the central Iraqi government in Baghdad, according to the Wall Street Journal. So, Texas oilmen have no confidence in George Bush's ability to get an oil law through the Iraq parliament that would put the federal government in charge and require sharing of resources. Right on cue, the New York Times reports the Iraqi compromise on the oil law is collapsing.

So, Bush's old buddies in the oil patch correctly have no confidence in, or respect for, him.

Abe Resigns. Bush Destroys Another Ally

As I predicted, another one bites the dust. Linking up with Bush is the kiss of death for foreign leaders. Reuters reports Abe resigns.

America and Rome

The head of the GAO, David Walker, has been writing and speaking about how American risks repeating the fate of the Roman republic. I think it's an important insight. Just for the record, here's an article in the FT, and here's a transcript of a talk he gave.

Among the points he makes in the FT article:

• While short-term federal deficits are coming down, they are still too high, and
• Longer-term, the Medicare prescription drug benefit has increased Social Security and Medicare liabiities from about $20,000 billion to $50,000 billion.

Like Rome, in the US:

• There has been a decline in moral values and political civility;
• The military is overextended; and
• There is fiscal irresponsibility.

George Washington said that we should avoid "ungenerously throwing upon posterity the burdens that we ourselves ought to bear."