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วันเสาร์ที่ 12 ตุลาคม พ.ศ. 2556

USA : Power outage shuts U.S. food stamp program for hours in 17 states.

USA : Power outage shuts U.S. food stamp program for hours in 17 states.

SACRAMENTO, California (Reuters) - A brief power outage caused food stamp recipients in 17 states to lose access for much of Saturday to the electronic system used by stores to verify their benefits, leaving many unable to buy groceries, the company that manages the system said.


The power outage that started the problem was fixed within 20 minutes, Xerox Corp spokesman Kevin Lightfoot said, but shoppers kept running into difficulties through the day.



People enrolled in the government food assistance program use plastic vouchers similar to debit cards. Starting at about 11 a.m. EDT, some of those cards stopped working, Lightfoot said.

Shortly before 10 p.m. EDT, the company said access was restored, and promised to work to improve its system so that similar events do not occur.

"We realize that access to these benefits is important to families in the states we serve," the company said in a statement provided by Lightfoot. "We continue to investigate the cause of the issue so we can take steps to ensure a similar interruption does not re-occur."

The glitch was unrelated to the partial federal government shutdown that began on October 1, Lightfoot said, adding it was unclear how many beneficiaries were affected.

The breakdown involved the Supplemental Nutrition Assistance Program and the Women, Infants and Children program.

Edlyn Bautista, assistant manager at the Food Basics supermarket in Belleville, New Jersey, said many customers abandoned their groceries in frustration.

"A lot of carts were left behind," Bautista said. "The store is empty."

At the Pathmark grocery in Newark, New Jersey, workers had to reshelve perishable items after customers walked away, according to store officials.

"Initially, the customers were leaving carriages in the aisle because we couldn't give them a timetable," said a store manager who asked not to be identified. "It's been an all-day thing."

In most states, retailers can get permission to issue emergency paper vouchers that allow people to buy food. But some states limit the value of those vouchers, Lightfoot said.

For example, beneficiaries in Ohio can buy no more than $50 of groceries on an emergency voucher, he said.

States experiencing problems were Alabama, California, Georgia, Iowa, Illinois, Louisiana, Massachusetts, Maryland, Maine, Michigan, Mississippi, New Jersey, Ohio, Oklahoma, Pennsylvania, Texas and Virginia, Lightfoot said.
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วันอังคารที่ 1 ตุลาคม พ.ศ. 2556

US. : Architect of the brink: Meet the man behind the government shutdown

US. : Architect of the brink: Meet the man behind 
the government shutdown

One of the most prominent developers of the plan that could shut the government down is a little-known congressman who has been in office only eight months.
This newly elected tea party aligned lawmaker downplays his position, saying he has relatively little influence. But in reality, his efforts have pushed Washington to the brink.
At issue is the Affordable Care Act, also known as Obamacare. Some Republicans are demanding that it be dismantled -- or at the very least delayed - and they think the best way to do that is attach it to a must-pass bill to fund the government.
The idea has rankled Washington for more than a week and exposed fissures in the Republican Party.
So who is the lawmaker quietly influencing the debate?
Sen. Ted Cruz, who staged a 21-hour talk-a-thon on the Senate floor disparaging Obamacare, would be a good guess. But it would be wrong.
The persuasive
The answer? Mark Meadows, who represents the western part of North Carolina and has wielded his influence behind the bright lights of the television cameras and the hot microphones.
In August, while lawmakers spent time in their districts, Meadows wrote a letter to his Republican leaders suggesting they tie the dismantling oThe letter read: "James Madison wrote in Federalist No. 58 that 'the power over the purse may, in fact, be regarded as the most complete and effectual weapon... for obtaining a redress of every grievance...'"
Meadows successfully convinced 79 of his colleagues to sign on to his letter. And he went further, leading a group of 40 lawmakers to demand that the continuing resolution, or the short-term government funding bill at issue, zeroes out funding for President Barack Obama's signature domestic policy achievement so far.
In a lengthy interview with CNN, Meadows explained his case.
"Our intent has never been to shut down the government," Meadows said. "It's to stop the [health care] law."
Senate Majority Leader Harry Reid called those advocating for such a plan "anarchists."
A "bad day for government is a good day for the tea party," Reid said on the Senate floor last week.
Meadows vs. the GOP
Republican leaders in the House were reluctant and dismissed the plan -- at first. Speaker John Boehner and many Republicans believed the strategy could lead to shutdown as the Democratic-led Senate would never agree to such a plan.
Additionally, leaders believed that Republicans would be blamed for a shut down. Polling backs up their concern. A recent CNN/ORC International Poll indicated that 51% of respondents would blame Republicans. That's a political risk that leadership didn't want to risk.
Even though Meadows' letter doesn't represent a majority of the caucus, it was a factor in persuading Boehner to reverse course and put forward a plan that funds the government but defunds Obamacare.
Running against politics
Meadows said he understands that "leadership has a different responsibility." And that leadership is responsible for thinking about the party. "This type of vote could potentially hurt our long term goals. I understand that," he said.
But he said that's not his concern.
"My job first is to make sure I represent the people back home," Meadows said. "I don't believe that when I get here that people expect me to look at the political implications. That's for somebody else to focus on."
For him, getting rid of Obamacare is priority No. 1. "[T]o ignore that would be to ignore our duty to represent the people back home," he said.
'Persona non grata'
"For me it's about representing the 749,000 people I was elected to represent," Meadows told CNN in his small Capitol Hill office. He said his constituents want him to fight against Obamacare "regardless of consequences."
Meadows represents a conservative constituency. He was elected in 2012 and succeeded Democrat Heath Shuler, who decided not to run for reelection after the latest round of redistricting made the district swing heavily Republican.
Meadows won by 15 percentage points. Republican presidential candidate Mitt Romney won the district with 61% of the vote, an impressive outcome in a state he won by 1 point.
But there's more to the story. Meadows works very closely with the tea party groups and he is a conduit to their agenda.
In fact, his catapult from local businessman to elected official was launched with the help of local tea party groups. He underwent a vigorous interview process with the North Carolina-aligned tea party groups that included an intense vetting and interviewing process.
Jane Bilello, head of the Asheville, North Carolina, tea party group and its separate political action committee, said it is to ensure candidates "truly represents who we are and what we want them to do."
Bilello is pleased with Meadows' job performance so far. She said Meadows is "turning out to be our poster boy."
On the issue of Obamacare, "he truly represents us," Bilello said.
Well-funded national tea party-aligned organizations, such Freedom Works, are also watching closely.
Like Bilello's organization, they hold lawmakers accountable. Not only do they keep scorecards of how lawmakers vote on legislation, they are keeping track of what letters they sign on to and their role in every step of the legislative process.
Republican leaders are well aware of the influence of these organizations.
Republican Rep. Lee Terry of Nebraska, who was elected in 1998 and finds himself between the new generation of tea party-aligned groups and the more traditional Republican leadership, said the tea party groups "impacts everybody."
Billelo said that Meadows hosts conference calls with the groups' members to explain what's happening in Congress, including the challenges that he faces promoting their agenda.
She said he told them he's "persona non grata" around the halls of Congress. Bilello said she and her members remind him: "They don't elect you. We do." They also offer assurance: "We have your back. We will support you," Bilello said she tells him.
Meadows relayed a similar sentiment. "There's nobody in Washington, D.C., who ever voted for me and there's no one in Washington, D.C., who will ever vote for me," Meadows said. "So it's about representing the people back home."
The non-leadership leader
"I think everybody wants me to pick a fight with leadership," Meadows said. But he contended that he isn't about playing the rebel, but finding results.
Are his tactics working? Meadows said yes.
"The Senate for the first time is having to vote ... on Obamacare," Meadows said. "That's why we had to do this."
The House has now voted 42 times on either defunding or repealing all or parts of Obamacare.
Many Republicans in the Senate thought the idea was a lost cause, including Texas Republican John Cornyn, who said Friday that the strategy "won't work."
The Senate eliminated the health care portion of the bill on Friday before sending a revised spending plan back to the House for consideration over the weekend. A shutdown would occur Tuesday, if there is no spending plan in place.
But Meadows successfully convinced a reluctant Boehner to go along with his plan. And then after it became clear the Senate wasn't going to play ball, the speaker hoped to move past the fight and pass a funding bill that would be able to pass the Senate, meaning it wouldn't defund health care.
But Boehner's Republican caucus, once again with Meadows in the forefront, rejected that plan.
Boehner's now working on a plan that will appease members such as Meadows.
Meanwhile, Meadows vowed to hold his ground.
"If there is a real plan to make sure we can accomplish it through some other means, I'm willing to look at that," he said. But he said it must involve "at least delaying" the implementation of Obamacare.
If it doesn't, he is willing to buck his leadership and oppose any bill he doesn't think goes far enough.
He admits some will have to take "some tough votes" to take. But for him he's right where his constituents want him to be.
"It's a safe place for me to be," Meadows said.
Polarizing Washington
Meadows rejected the idea that he is adding to the gridlock in Washington. He said Washington politicians have lost their way, but it's not because of their inability to compromise.
"Pragmatism has been at the cost of principle and principle has been at the cost of pragmatism," he said.
Still, Meadows asserted that he is willing to compromise with the Democrats.
"My ultimate success will be viewed by whether there is something we can accomplish," he said.
f Obamacare to the bill that funds the government for the next year.
The letter read: "James Madison wrote in Federalist No. 58 that 'the power over the purse may, in fact, be regarded as the most complete and effectual weapon... for obtaining a redress of every grievance...'"
Meadows successfully convinced 79 of his colleagues to sign on to his letter. And he went further, leading a group of 40 lawmakers to demand that the continuing resolution, or the short-term government funding bill at issue, zeroes out funding for President Barack Obama's signature domestic policy achievement so far.
In a lengthy interview with CNN, Meadows explained his case.
"Our intent has never been to shut down the government," Meadows said. "It's to stop the [health care] law."
Senate Majority Leader Harry Reid called those advocating for such a plan "anarchists."
A "bad day for government is a good day for the tea party," Reid said on the Senate floor last week.
Meadows vs. the GOP
Republican leaders in the House were reluctant and dismissed the plan -- at first. Speaker John Boehner and many Republicans believed the strategy could lead to shutdown as the Democratic-led Senate would never agree to such a plan.
Additionally, leaders believed that Republicans would be blamed for a shut down. Polling backs up their concern. A recent CNN/ORC International Poll indicated that 51% of respondents would blame Republicans. That's a political risk that leadership didn't want to risk.
Even though Meadows' letter doesn't represent a majority of the caucus, it was a factor in persuading Boehner to reverse course and put forward a plan that funds the government but defunds Obamacare.
Running against politics
Meadows said he understands that "leadership has a different responsibility." And that leadership is responsible for thinking about the party. "This type of vote could potentially hurt our long term goals. I understand that," he said.
But he said that's not his concern.
"My job first is to make sure I represent the people back home," Meadows said. "I don't believe that when I get here that people expect me to look at the political implications. That's for somebody else to focus on."
For him, getting rid of Obamacare is priority No. 1. "[T]o ignore that would be to ignore our duty to represent the people back home," he said.
'Persona non grata'
"For me it's about representing the 749,000 people I was elected to represent," Meadows told CNN in his small Capitol Hill office. He said his constituents want him to fight against Obamacare "regardless of consequences."
Meadows represents a conservative constituency. He was elected in 2012 and succeeded Democrat Heath Shuler, who decided not to run for reelection after the latest round of redistricting made the district swing heavily Republican.
Meadows won by 15 percentage points. Republican presidential candidate Mitt Romney won the district with 61% of the vote, an impressive outcome in a state he won by 1 point.
But there's more to the story. Meadows works very closely with the tea party groups and he is a conduit to their agenda.
In fact, his catapult from local businessman to elected official was launched with the help of local tea party groups. He underwent a vigorous interview process with the North Carolina-aligned tea party groups that included an intense vetting and interviewing process.
Jane Bilello, head of the Asheville, North Carolina, tea party group and its separate political action committee, said it is to ensure candidates "truly represents who we are and what we want them to do."
Bilello is pleased with Meadows' job performance so far. She said Meadows is "turning out to be our poster boy."
On the issue of Obamacare, "he truly represents us," Bilello said.
Well-funded national tea party-aligned organizations, such Freedom Works, are also watching closely.
Like Bilello's organization, they hold lawmakers accountable. Not only do they keep scorecards of how lawmakers vote on legislation, they are keeping track of what letters they sign on to and their role in every step of the legislative process.
Republican leaders are well aware of the influence of these organizations.
Republican Rep. Lee Terry of Nebraska, who was elected in 1998 and finds himself between the new generation of tea party-aligned groups and the more traditional Republican leadership, said the tea party groups "impacts everybody."
Billelo said that Meadows hosts conference calls with the groups' members to explain what's happening in Congress, including the challenges that he faces promoting their agenda.
She said he told them he's "persona non grata" around the halls of Congress. Bilello said she and her members remind him: "They don't elect you. We do." They also offer assurance: "We have your back. We will support you," Bilello said she tells him.
Meadows relayed a similar sentiment. "There's nobody in Washington, D.C., who ever voted for me and there's no one in Washington, D.C., who will ever vote for me," Meadows said. "So it's about representing the people back home."
The non-leadership leader
"I think everybody wants me to pick a fight with leadership," Meadows said. But he contended that he isn't about playing the rebel, but finding results.
Are his tactics working? Meadows said yes.
"The Senate for the first time is having to vote ... on Obamacare," Meadows said. "That's why we had to do this."
The House has now voted 42 times on either defunding or repealing all or parts of Obamacare.
Many Republicans in the Senate thought the idea was a lost cause, including Texas Republican John Cornyn, who said Friday that the strategy "won't work."
The Senate eliminated the health care portion of the bill on Friday before sending a revised spending plan back to the House for consideration over the weekend. A shutdown would occur Tuesday, if there is no spending plan in place.
But Meadows successfully convinced a reluctant Boehner to go along with his plan. And then after it became clear the Senate wasn't going to play ball, the speaker hoped to move past the fight and pass a funding bill that would be able to pass the Senate, meaning it wouldn't defund health care.
But Boehner's Republican caucus, once again with Meadows in the forefront, rejected that plan.
Boehner's now working on a plan that will appease members such as Meadows.
Meanwhile, Meadows vowed to hold his ground.
"If there is a real plan to make sure we can accomplish it through some other means, I'm willing to look at that," he said. But he said it must involve "at least delaying" the implementation of Obamacare.
If it doesn't, he is willing to buck his leadership and oppose any bill he doesn't think goes far enough.
He admits some will have to take "some tough votes" to take. But for him he's right where his constituents want him to be.
"It's a safe place for me to be," Meadows said.
Polarizing Washington
Meadows rejected the idea that he is adding to the gridlock in Washington. He said Washington politicians have lost their way, but it's not because of their inability to compromise.
"Pragmatism has been at the cost of principle and principle has been at the cost of pragmatism," he said.
Still, Meadows asserted that he is willing to compromise with the Democrats.
"My ultimate success will be viewed by whether there is something we can accomplish," he said.


วันจันทร์ที่ 23 กันยายน พ.ศ. 2556

The world : Apple’s iPhone 5s And iPhone 5c Sell 9M Units Over Opening Weekend.

The world : Apple’s iPhone 5s And iPhone 5c Sell 9M Units Over Opening Weekend.


Apple has just issued a press release revealing it sold 9M iPhones during the launch weekend of its iPhone 5c and iPhone 5s. As is typical for the company with new hardware, it hasn’t broken out individual model sales, but other signals point to a stronger debut weekend for the higher-end iPhone 5s than for the 5c. Apple blew away its previous record for first weekend iPhone sales, which was 5 million for the iPhone 5 last year.
The iPhone 5s was reportedly sold out in retail locations quickly around the globe, and shipping times at online Apple Store websites also slipped quickly into vague October time frames. The 5c, however, remains in stock and ready to ship within 24 hours at most, if not all international Apple online stores. Analysts had predicted between 5 and 8 million launch weekend sales across both devices, with KGI’s Ming-Chi Kuo predicting a higher percentage going to the iPhone 5c. Stock constraints could mean that Kuo is still correct, despite the sell-out of the 5s models, but data from Localytics suggests otherwise.
If Apple stays true to its history, it probably won’t break out individual model sales of iPhone 5s and 5c, as it has never broken out iPad mini sales, for instance. Analysts and market researchers will be plugging away at retail and other sources to try to determine the split, however, so it’s possible we could eventually see some sort of consensus estimate emerge as a best possible guess.
Apple also announced that 200 million devices are now running iOS 7, the update it released for its mobile platform last week. That makes it the “fastest software upgrade in history,” which is in keeping with the early numbers we saw reported from developers and analytics firms. iTunes Radio, the new streaming music service introduced by Apple in iOS 7, ad 11 million listeners during its launch weekend, which is doubly impressive because that’s a U.S.-only service for now. Compare that to 200 million registered users for Pandora at last count, a milestone that took six years to achieve.
Another factor to consider with respect to these device numbers is that Apple’s iPhone 5 launched in just 9 markets around the world, while the iPhone 5s and 5c debuted in 11 total, including China, where launch demand appeared strong. China accounted for two million sales of the iPhone 5 during its launch weekend last year alone, so that likely has added considerably to the total this time around for the 5s and 5c.

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วันพุธที่ 11 กันยายน พ.ศ. 2556

Malaysia : M'sia to spend US$ 49b on rail projects.

Malaysia : M'sia to spend US$ 49b on rail projects.
The Malaysian government is expected to spend an estimated 160 billion ringgit (US$49 billion) more on rail-related projects until 2020, said Najib Tun Razak.

The prime minister said the railroad industry had seen “massive expansion” in Asia and become an increasingly significant mode in Malaysia’s efforts to improve public transportation.

“Along with the rapid development of rail networks comes the challenge of the application of rail and rail-related technology. The application of intelligent infrastructure in rail can be a game changer, by lowering costs and improving safety and reliability at the same time,” he said in his address before launching the inaugural Rail Business Asia 2013 here on Tuesday.

Adding that the government had invested over 50 billion ringgit ($15 billion) since 1990, he stressed the need to train skilled and specialised manpower to fill hundreds of thousands of jobs generated from rail projects.

“Thousands of vacancies will have to be filled. The Mass Rapid Transit (MRT) project alone is estimated to create about 130,000 jobs,” he noted, adding that trained workers were needed for tasks such as construction of tracks, facilities as well as for research and development.

Najib said another 800 jobs would be created from the first phase of the 400 million ringgit ($122 million) Asean Rail Centre in Batu Gajah, Perak, which is expected to be completed by mid-2014.

“Eventually, the centre will cover an all-in-one scope of work for production, assembly, testing, overhaul and refurbishment of trains for the Asean region,” he said.

Najib urged skill training institutes, including those under the Construction Industry Development Board (CIDB), to speed up the pace in producing the required number of skilled manpower.

He welcomed the Land Public Transport Commission’s (SPAD) skill-training academy for rail industry workers, Keretapi Tanah Melayu Bhd’s training programmes and the Malaysian Industry-Government Group for High Technology’s memorandum of understanding with French multinational Thales Group to train locals.

Once fully operational, he said the MRT would cover 156km and see up to two million trips per day, a huge jump from the 500,000 daily trips on the current urban rail system.

Najib added that another project in the pipeline was the 330km-long Kuala Lumpur-Singapore high speed rail link, estimated to be completed by 2020 which would cut land travelling time bet­ween the two countries to just 90 minutes.

At another function earlier, Najib said the government was actively trying to strike a balance between environmental conservation and economic development.

He added that this was not an easy path for developing countries which were often more expo­sed and vulnerable to environmental threats.

“Integrating economic, health and environmental policies is easier said than done.

“It takes strong leadership to instil change, ensure a common vision and enhance cross-sectoral cooperation at the national, regional and global levels,” he said in his address before launching the Third Ministerial Meeting of the Regional Forum on Environment and Health in Southeast and East Asian Countries on Tuesday.

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วันจันทร์ที่ 9 กันยายน พ.ศ. 2556

Australia : Emerson blasts Rudd over Labor downfall

Australia : Emerson blasts Rudd over
 Labor downfall

Former Labor frontbencher Craig Emerson has delivered a scorching critique of Kevin Rudd, blaming him for the damaging leaks against Julia Gillard in the 2010 campaign and saying he must quit parliament.
Mr Rudd resigned as leader of the Labor party on Saturday night after conceding defeat to Tony Abbott and has not spoken publicly since.
He won his own central Brisbane seat of Griffith and has indicated to colleagues that he will sit on the backbench for the three-year term.
But Dr Emerson, who quit the ministry - and parliament - when Mr Rudd returned as Prime Minister in June, says Kevin Rudd should move on from politics.
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วันศุกร์ที่ 23 สิงหาคม พ.ศ. 2556

Thailand : Can Egypt Learn From Thailand?

Thailand : Can Egypt Learn From Thailand?


But that bad news shouldn’t overshadow the good. Disruptive protests may have been all too common in Thailand just a short while ago, but in the last two years, they’ve become an anomaly. The country has gone from a virtual wreck to a booming, and relatively stable, success story. Figuring out how it’s managed to do that is important, and not just for Thailand’s 65 million citizens. For if a place this polarized can pull itself back from the brink, other bitterly divided societies might be able to as well.
To get a sense of how far and fast Thailand has come, consider its recent past. Marketed to tourists as the land of a thousand smiles, Thailand spent most of the last decade fighting with itself.
The trouble really began in 2006, when the military, in connivance with royalists and the courts, overthrew the populist prime minister Thaksin Shinawatra. The coup ignited years of running street battles between citizen armies of “yellow shirts” — defenders of the old, semifeudal order — and “red shirts,” Thaksin supporters among the rural and urban poor. Political power changed hands four more times in four years. In January 2010, the police responded to enormous red-shirt protests by killing over 90 demonstrators, injuring 2,400 others and jailing hundreds. The economy went into a tailspin.
Then, in August 2011, Mr. Thaksin’s sister Yingluck Shinawatra became prime minister. And today, barely halfway through her four-year term, Thailand looks like a different country.
According to Ruchir Sharma, head of emerging markets at Morgan Stanley, the economic outlook is the brightest in 15 years: the currency is up, land prices have climbed and the stock market has more than quadrupled since 2008. Tourists have returned, and the streets (despite the August flare-ups) are mostly quiet.
So how did Ms. Yingluck, initially considered a mere proxy for her exiled brother, do it? The formula turns out to be deceptively simple: provide decent, clean governance, compromise with your enemies and focus on the economy.
Ms. Yingluck understood that she’d never accomplish her broader agenda and improve life for the poor unless she could first calm the place down and complete a full term in office. And to do that, she had to give all Thais a stake in her success. So she began a bold economic stimulus and reform campaign. Some of her moves, like a 40 percent minimum-wage hike and subsidies for car buyers, were aimed directly at her lower-class base. But others, such as $67 billion of infrastructure spending and cuts to personal and corporate taxes, have benefited the wealthy as well.
She also sought to make peace politically. She has courted opponents, holding respectful meetings with the powerful and popular king — and even with the general allegedly behind the coup against her brother.
According to Thitinan Pongsudhirak of Chulalongkorn University, Ms. Yingluck has brought the elites onside by offering a tacit bargain: she preserves their privileges and they let her hold onto power.
Thus she has left the military alone, even recently naming herself defense minister so she could ensure that no one would mess with the army’s prerogatives. She has avoided challenging the Constitution, including the infamous lèse-majesté laws that ban criticism of the monarchy. She has kept corruption, a perennial problem in Thailand, to a minimum. And she has ensured that her brother, whom the aristocracy still fears and loathes, remains in exile.
This, in many ways, is an ugly deal. It means Ms. Yingluck must tolerate undemocratic checks on her power and the repression of free speech. Despite an amnesty law now being debated in Parliament, some of her red-shirt supporters are angry that she hasn’t done more for the families of those killed and imprisoned by the military-backed government in 2010.
It’s also a fragile bargain. Thailand’s recovery could easily unravel. Die-hard yellow shirts have pounced on the prime minister’s mistakes, like a scheme to boost the price of rice that backfired spectacularly. Other dangers loom: the economy is still too export-dependent, and while everyone is getting wealthier, inequality is growing.
Ms. Yingluck hasn’t erased Thailand’s dividing lines so much as papered them over, and the underlying power struggle could erupt again at any time — especially if her brother returns or if the king, now 85, dies. But the longer Thailand remains at peace, and its economy keeps growing, the greater the odds that real democratic politics will take hold, so that when Thailand does finally confront its divisions, it will do so through ballots, not street battles.
Indeed, the flaws in Ms. Yingluck’s grand bargain are part of its genius. The fact that everyone is irritated by the truce she’s negotiated is a good sign, not a bad one: it means nobody is getting everything he wants.
That’s how compromise is supposed to work. It may seem messy; it is. But it’s the kind of mess that other countries like Egypt or Venezuela or Zimbabwe can only envy right now.




วันอังคารที่ 20 สิงหาคม พ.ศ. 2556

Thailand Cuts Growth Outlook as Economy Enters Recession

Thailand Cuts Growth Outlook 

as Economy Enters Recession


Thailand cut its 2013 growth forecast as the country entered recession for the first time since the global financial crisis, with rising household debt limiting central bank scope to support the economy. Stocks fell.
Gross domestic product unexpectedly shrank 0.3 percent in the three months through June from the previous quarter, when it contracted a revised 1.7 percent, the National Economic and Social Development Board said in Bangkok today. Only one of 11 analysts surveyed had predicted a decline. The economy rose a less-than-estimated 2.8 percent from a year earlier.
Thai policy makers are struggling to sustain growth as government spending plans are delayed, while a slowdown in China curbs demand for exports from Southeast Asian nations. The Bank of Thailand will hold the policy interest rate at 2.5 percent at its Aug. 21 meeting, a Bloomberg survey showed, after Assistant Governor Paiboon Kittisrikangwan said last month that household debt at 80 percent of GDP limits the scope for further easing.
“Exports have remained weak, while domestic demand is also weakening, and the infrastructure spending plan is also delayed,” said Kozo Hasegawa, a Bangkok-based foreign-exchange trader at Sumitomo Mitsui Banking Corp. “The outlook for the economy is more severe now,” he said, adding that he expects the central bank will keep borrowing costs on hold this week.
The state agency cut its full-year expansion forecast to 3.8 percent to 4.3 percent from 4.2 percent to 5.2 percent. It lowered its export growth target to 5 percent from 7.6 percent.

Stocks Slump

The Thai baht slipped 0.3 percent to 31.36 against the dollar as of 1:09 p.m. in Bangkok. It has lost almost 5 percent in the past three months, after reaching its highest level since 1997 in April. The benchmark Stock Exchange of Thailand Index fell 2.1 percent, heading for its biggest drop since July 25.
The Thai central bank cut its 2013 GDP growth forecast to 4.2 percent from 5.1 percent on July 19, citing weakening exports.Shipments (THCTEXPY) grew 0.95 percent in the first six months.
The monetary authority lowered borrowing costs by 25 basis points in May. Singapore last week cut its forecast for exports this year, while Indonesia this month reported second-quarter GDP growth of less than 6 percent for the first time since 2010.
Thai consumer confidence fell to the lowest in seven months in July on rising political unrest and the weakening economic outlook. Prime Minister Yingluck Shinawatra imposed the Internal Security Act for eight days this month to contain protests as the parliament debated an amnesty bill for political protesters.

Car Sales

The administration has tried to speed up its budget disbursements as 2 trillion baht ($64 billion) allocated for infrastructure spending and 350 billion baht for water-management projects have been put on hold.
Toyota Motor Corp. said last month industrywide car sales in Thailand will fall 9.5 percent this year. Total bank loans grew 12.8 percent in the second quarter from a year earlier, compared with 13.2 percent in the previous three months, central bank data showed earlier.
Private consumption grew 2.4 percent in the second quarter from a year earlier, slowing from a 4.4 percent pace in the previous period, today’s data showed. Government consumption rose 5.8 percent from 4.4 percent in the previous three months.
“We still have a chance to grow at the high end of the range if we can speed up budget disbursements and try to boost exports,” Arkhom Termpittayapaisith, secretary-general of the state planning agency, told a news conference today. “Economic growth in the second half will rely more on private investment and tourism, as growth in exports and household spending are still limited. Still, those factors are sensitive to the political situation, making it a key risk for economic growth.”
While the delayed public spending and last year’s high base following the slowdown after the 2011 floods are a challenge, lower inflationary pressure “allows monetary policy to be accommodative,” Arkhom said. Consumer prices rose 2 percent in July from a year earlier, compared to 2.25 percent in June.

Resource :