Government Corruption News Articles

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There was a time when the U.S. National Security Agency was so secretive that government officials dared not speak its name in public. NSA, the joke went, stood for "No Such Agency." That same agency this month held an on-the-record conference call with reporters, issued a lengthy press release to rebut a newspaper story, and posted documents on a newly launched open website - icontherecord.tumblr.com (which stands for intelligence community on the record). The steps were taken under pressure as President Barack Obama's administration tries to calm a public storm over disclosures by former NSA contractor Edward Snowden. The NSA's moves out of the shadows were meant to show that it operates lawfully..., but not everyone is convinced that it is a fundamental shift toward more openness at the intelligence agencies. Jameel Jaffer, deputy legal director at the American Civil Liberties Union, said the [disclosures] should not be viewed as a huge shift toward transparency by the administration. "In fact, on the same day the president promised more transparency on surveillance issues, the CIA filed a brief in one of our 'targeted killing' cases arguing that it could not release legal memos about the drone program, could not release civilian casualty numbers, and for that matter could not even acknowledge that the agency had played any role in targeted killings," Jaffer said.

Note: For more on the realities of intelligence operations, see the deeply revealing reports from reliable major media sources available here.

The news that the National Security Agency (NSA) is routinely operating outside of the law and overstepping its legal authority by carrying out surveillance on American citizens is not really much of a surprise. This is what happens when you give the government broad powers and allow government agencies to routinely sidestep the Constitution. Consider that the government's Utah Data Center (UDC), the central hub of the NSA's vast spying infrastructure, will be a clearinghouse and a depository for every imaginable kind of information - whether innocent or not, private or public - including communications, transactions and the like. In fact, anything and everything you've ever said or done, from the trivial to the damning - phone calls, Facebook posts, Twitter tweets, Google searches, emails, bookstore and grocery purchases, bank statements, commuter toll records, etc. - will be tracked, collected, cataloged and analyzed by the UDC's supercomputers and teams of government agents. By sifting through the detritus of your once-private life, the government will come to its own conclusions about who you are, where you fit in, and how best to deal with you should the need arise. Surveillance of all citizens ... is not friendly to freedom. Frankly, we are long past the point where we should be merely alarmed. These are no longer experiments on our freedoms. These are acts of aggression.

Note: Former US Senator Frank Church warned of the dangers of creating a surveillance state in 1975. By 2013, it had become evident that the US did not heed his warning. For more along these lines, see concise summaries of deeply revealing news articles about intelligence agency corruption and the disappearance of privacy.

The National Security Agency has broken privacy rules or overstepped its legal authority thousands of times each year since Congress granted the agency broad new powers in 2008, according to an internal audit and other top-secret documents. Most of the infractions involve unauthorized surveillance of Americans or foreign intelligence targets in the United States, both of which are restricted by statute and executive order. They range from significant violations of law to typographical errors that resulted in unintended interception of U.S. e-mails and telephone calls. The documents, provided earlier this summer to The Washington Post by former NSA contractor Edward Snowden, include a level of detail and analysis that is not routinely shared with Congress or the special court that oversees surveillance. In one of the documents, agency personnel are instructed to remove details and substitute more generic language in reports to the Justice Department and the Office of the Director of National Intelligence. In one instance, the NSA decided that it need not report the unintended surveillance of Americans. The NSA audit obtained by The Post, dated May 2012, counted 2,776 incidents in the preceding 12 months of unauthorized collection, storage, access to or distribution of legally protected communications. Many involved failures of due diligence or violations of standard operating procedure. The most serious incidents included a violation of a court order and unauthorized use of data about more than 3,000 Americans and green-card holders.

Note: For more on the realities of intelligence agency operations, see the deeply revealing reports from reliable major media sources available here.

The year following Indonesia's 1965 coup saw the murder of more than a million "communists" (in fact, enemies of the military, including ethnic Chinese, intellectuals, [and] union members). Anwar [Congo], head of a gang of killers called the Frog Squad, dispatched about 1,000 himself. He is the subject of "The Act of Killing", a documentary that invites Anwar and his friends to dramatise their crimes, to boast about their starring roles in a genocide. Director Joshua Oppenheimer began the film a decade ago by interviewing survivors. But when, at the suggestion of one of them, he turned his camera on the perpetrators, he found they were more than eager to reveal the history themselves. The killers simply adapted a story they had been telling each other for decades: that they were the ruling class, so their acts were heroic. For gangsters like Anwar, Oppenheimer was offering the chance to make a "beautiful family film" – a celebration of their rise, inspired by the Hollywood movies they loved. "They're desperately trying to run away from the reality of what they've done," says Oppenheimer, a 38-year-old Harvard graduate now based in Copenhagen. "You celebrate mass killing so you don't have to look yourself in the mirror in the morning and see a murderer. You keep your victims oppressed so that they don't challenge your story. When you put the justification – the celebration – under a microscope, you don't necessarily see a lack of remorse, but you start to see an unravelling of the killers' conscience. So what appears to be the symptom of a lack of remorse is in fact the opposite. It's a sign of their humanity."

Note: The filming of "The Act of Killing" actually helped these mass murderers to feel some remorse for all the pain and suffering they caused. For lots more on this powerful film, click here.

Edward Snowden, the whistle-blower shining spotlights on federal surveillance practices, made a rhetorical - and volatile - point during an online question-and-answer session Monday. "If Facebook, Google, Microsoft and Apple refused to provide this cooperation with the intelligence community, what do you think the government would do? Shut them down?" he asked. Snowden's point implies that tech companies should push back on all government requests for data on their users. Prosecuting these much-used companies for noncompliance would only shed light on the extent of the programs they aimed to keep secret in the first place. Whether a tech company dares go that far remains to be seen. But in the past week a number of household names in Silicon Valley have at least started demanding more freedom to disclose what the government wants to know about their users. As the tech companies associated with Snowden's leaked materials scramble to comply with government requests, they're also scrambling to save face with customers. It's still not clear what exact technical mechanism the government used to acquire information about users of Facebook, Google, Microsoft, Yahoo and Apple, among others. But it is clear that some Internet users have come to view these tech giants as proxy spies as a result of their assumed compliance. The companies say they would like nothing better than to clear their names, but they simply aren't allowed to release details about government requests.

Note: For deeply revealing reports from reliable major media sources on government assaults on privacy, click here.

[Daniel] Ellsberg is one of the most outspoken critics of the Obama administration’s prosecution of leakers. Under President Obama’s tenure, the government has prosecuted six individuals for releasing classified information to media organizations. Ellsberg is particularly fierce in his support of Bradley Manning, a young soldier who released a large amount of classified information to WikiLeaks. Manning was arrested in 2010, and his military court-martial began this week. Ellsberg considers Manning a hero, and he argues that there is little difference between what Manning did in 2010 and what Ellsberg did four decades earlier. [Q.}: In a 1973 interview, you said that a “secondary objective” of releasing the Pentagon Papers was “the hope of changing the tolerance of Executive secrecy that had grown up over the last quarter of a century both in Congress and the courts and in the public at large.” How has that “tolerance of secrecy” changed over the last four decades? DE: There’s been very great tolerance that if the magic words “national security,” or the new words “homeland security” are invoked, Congress has given the president virtually a free hand in deciding what information they will know as well as the public. I wouldn’t count on the current court with its current makeup making the same ruling with the Pentagon Papers as they did 40 years ago. I’m sure that President Obama would have sought a life sentence in my case. Various things that were counted as unconstitutional then have been put in the president’s hands now. He’s become an elected monarch. Nixon’s slogan, “when the president does it, it’s not illegal,” is pretty much endorsed now.

Note: To see key quotes showing the amazing courage and dedication of Snowden, click here. For deeply revealing reports from reliable major media sources on the realities of intelligence agency activity, click here.

Monsanto Co is not pushing for expansion of genetically modified crops in most of Europe as opposition to its biotech seeds in many countries remains high, company officials said on [May 31]. European [spokespersons for] Monsanto told the German daily [Die Tagezeitung] that they were no longer doing any lobby work for cultivation in Europe and [were] not seeking any new approvals for genetically modified plants. Monsanto corporate spokesman Thomas Helscher said ... that the company is making it clear that it will only pursue market penetration of biotech crops in areas that provide broad support. "As far as we're convinced this only applies to a few countries in Europe today, primarily Spain and Portugal." The company has been focusing lately on gaining market share in the conventional corn market in Ukraine, and Monsanto Vice President Jesus Madrazo, who oversees international corporate affairs, said Eastern Europe and South America are key growth areas for the company now. Unlike Europe, South America has largely been welcoming of Monsanto's crop biotechnology, but the company is also facing hurdles there as it is awaiting approvals by China, which is a large buyer of soybeans from Brazil.

Note: For a powerful summary of the dangers to health and the environment from genetically modified foods, click here. For major media news articles revealing the risks and dangers of GMOs, click here.

The case of Stephen Jin-Woo Kim, the government adviser, and James Rosen, the chief Washington correspondent for Fox News, bears striking similarities to a sweeping leaks investigation disclosed last week in which federal investigators obtained records over two months of more than 20 telephone lines assigned to the Associated Press. At a time when President Obama’s administration is under renewed scrutiny for an unprecedented number of leak investigations, the Kim case provides a rare glimpse into the inner workings of one such probe. Court documents in the Kim case reveal how deeply investigators explored the private communications of a working journalist - and raise the question of how often journalists have been investigated as closely as Rosen was in 2010. The case also raises new concerns among critics of government secrecy about the possible stifling effect of these investigations on a critical element of press freedom: the exchange of information between reporters and their sources. “The latest events show an expansion of this law enforcement technique,” said attorney Abbe Lowell, who is defending Kim on federal charges filed in 2010 that he disclosed national defense information. “Individual reporters or small time periods have turned into 20 [telephone] lines and months of records with no obvious attempt to be targeted or narrow.” The Obama administration has pursued more such cases than all previous administrations combined.

Note: Read more about the Kim case in this article. For more along these lines, see concise summaries of deeply revealing news articles on government corruption and media manipulation.

Gunmen shot to death the Pakistani government’s top prosecutor ... in a case that accuses former military ruler Pervez Musharraf of involvement in the 2007 assassination of ex-Prime Minister Benazir Bhutto, police said. The gunmen opened fire on Chaudhry Zulfikar’s car as he was leaving his home. The assailants escaped. Chaudhry Zulfikar was involved in a number of high-profile cases. Zulfikar’s slaying was a rare episode of violence in the capital, which has so far seen none of the bombings or other attacks launched by the Taliban against secular politicians. Musharraf, who ruled Pakistan for nine years before going into self-exile in 2008, returned in March in an ultimately futile bid to run for prime minister. He has been under house arrest for more than two weeks, facing allegations in various cases linked to his tenure. In the case unfolding in Rawalpindi, prosecutors allege that Musharraf was culpable for Bhutto’s murder for not providing her with enough security. He has denied the allegations. Bhutto’s son, Bilawal, who now leads the Pakistan People’s Party, has alleged that Musharraf was behind it. Proceedings in the case have been bogged down for years, and resumed only recently with Musharraf’s return. Speculation was rife ... that Zulfikar was killed to disrupt that case.

Note: It is interesting to note that only weeks before her death in 2007, Benazir Bhutto said in a BBC interview that Osama bin Laden had already been killed. To read quotes from this BBC interview, click here. For a CNN article revealing the Bhutto was planning to give US lawmakers a report on vote rigging on the day she was assassinated, click here. Could it be that the prosecutor in the article above was killed because he knew too much?

Killer robots that can attack targets without any human input “should not have the power of life and death over human beings,” a new draft U.N. report says. The report for the U.N. Human Rights Commission ... deals with legal and philosophical issues involved in giving robots lethal powers over humans. Report author Christof Heyns, a South African professor of human rights law, calls for a worldwide moratorium on the “testing, production, assembly, transfer, acquisition, deployment and use” of killer robots until an international conference can develop rules for their use. The United States, Britain, Israel, South Korea and Japan have developed various types of fully or semi-autonomous weapons. Heyns focuses on a new generation of weapons that choose their targets and execute them. He calls them “lethal autonomous robotics,” or LARs for short, and says: “Decisions over life and death in armed conflict may require compassion and intuition. Humans — while they are fallible — at least might possess these qualities, whereas robots definitely do not.” The report goes beyond the recent debate over drone killings. Drones do have human oversight. The killer robots are programmed to make autonomous decisions on the spot without orders from humans. “Lethal autonomous robotics (LARs) ... would add a new dimension to this distancing [i.e., the remote control of drones], in that targeting decisions could be taken by the robots themselves. In addition to being physically removed from the kinetic action, humans would also become more detached from decisions to kill - and their execution,” he wrote.

Note: The U.N. draft report is available at this link.

New FBI records connecting Saudis who lived in Sarasota before 9/11 to “individuals associated with the terrorist attacks” [have been] released. The FBI records provide new information about an investigation into what occurred prior to 9/11 at the upscale home of Abdulaziz al-Hijji and his family in the gated community of Prestancia. Information in the records contradicts prior FBI statements that no evidence was found connecting the al-Hijjis to 9/11. Agents determined the al-Hijjis “fled” their home on August 27, 2001 — two weeks before the attacks — leaving behind three cars, furniture, clothing, toys, food and other items. “Further investigation of the [name deleted] family revealed many connections between the [name deleted] and individuals associated with the terrorist attacks on 9/11/2001,” says an April 16, 2002 FBI report. The report lists three of those individuals. Two, including one described as a “family member,” were described as students at the nearby Venice airport flight school where suicide hijackers Mohamed Atta and Marwan al-Shehhi trained. The third person lived with some flight students, the report says. A counterintelligence officer speaking on condition of anonymity said an FBI examination of gatehouse log books and photos of license tags revealed that vehicles linked to the future hijackers visited al-Hijji’s residence. Much remains unclear. Chunks of the released reports are blanked out for national security and other reasons. Four pages were withheld in their entirety.

Note: For powerful evidence reported in the major media the several of the 9/11 hijackers trained at U.S. military bases, click here. For deeply revealing reports from reliable major media sources questioning the official story of the 9/11 attacks, click here.

For years, senior Obama officials, including the president himself, have been making public claims about their drone program that have just been proven to be categorically false. McClatchy's national security reporter, Jonathan Landay, obtained top-secret intelligence documents showing that "contrary to assurances it has deployed US drones only against known senior leaders of al-Qaida and allied groups, the Obama administration has targeted and killed hundreds of suspected lower-level Afghan, Pakistani and unidentified 'other' militants in scores of strikes in Pakistan's rugged tribal area." That article quotes drone expert Micah Zenko of the Council on Foreign Relations as saying that "McClatchy's findings indicate that the administration is 'misleading the public about the scope of who can legitimately be targeted.'" In his own must-read article at Foreign Policy about these disclosures, Zenko writes - under the headline: "Finally, proof that the United States has lied in the drone wars" - that "it turns out that the Obama administration has not been honest about who the CIA has been targeting with drones in Pakistan" and that the McClatchy article "plainly demonstrates that the claim repeatedly made by President Obama and his senior aides - that targeted killings are limited only to officials, members, and affiliates of al-Qaida who pose an imminent threat of attack on the US homeland - is false." Zenko explains that these now-disproven claims may very well make the drone strikes illegal since assertions about who is being targeted were "essential to the legal foundations on which the strikes are ultimately based."

Note: For deeply revealing reports from reliable major media sources on the lies and crimes committed by the US and UK in their global wars of aggression, click here.

Jorge Mario Bergoglio - who will be now known as Pope Francis - has spent nearly his entire career at home in Argentina, overseeing churches and shoe-leather priests. The 76-year-old archbishop of Buenos Aires ... is the first Jesuit to be elected pope. In a lifetime of teaching and leading priests in Latin America, which has the largest share of the world's Catholics, Bergoglio has shown a keen political sensibility. Bergoglio is known to be conservative on spiritual issues. He opposes abortion, same-sex marriage and supports celibacy. Bergoglio's legacy as cardinal includes his efforts to repair the reputation of a church that lost many followers by failing to openly challenge Argentina's murderous 1976-83 dictatorship. Many Argentines remain angry over the church's acknowledged failure to openly confront a regime that was kidnapping and killing thousands of people as it sought to eliminate "subversive elements" in society. Bergoglio twice invoked his right under Argentine law to refuse to appear in open court, and when he eventually did testify in 2010, his answers were evasive, human rights attorney Myriam Bregman said. Bergoglio's own statements proved church officials knew from early on that the junta was torturing and killing its citizens, and yet publicly endorsed the dictators. The dictatorship could not have operated this way without this key support," [Bregman said.]

Note: An entire edition of Democracy Now! was devoted to the record of Bergoglio, including an interview with the Argentine journalist Horacio Verbitsky. For more analysis, click here, here and here.

Many people became rightfully upset about bailouts given to big banks during the mortgage crisis. But it turns out that they are still going on, if more quietly, through the back door. The existence of one such secret deal, struck in July between the Federal Reserve Bank of New York and Bank of America, came to light just last week in court filings. Not only do the filings show the New York Fed helping to thwart another institution’s fraud case against the bank, they also reveal that the New York Fed agreed to give away what may be billions of dollars in potential legal claims. The New York Fed said in a court filing that in July it had released Bank of America from all legal claims arising from losses in some mortgage-backed securities the Fed received when the government bailed out the American International Group in 2008. One surprise in the filing, which was part of a case brought by A.I.G., was that the New York Fed let Bank of America off the hook even as A.I.G. was seeking to recover $7 billion in losses on those very mortgage securities. What did the New York Fed get from Bank of America in this settlement? Some $43 million, it seems, from a small dispute the New York Fed had with the bank on two of the mortgage securities. At the same time, and for no compensation, it released Bank of America from all other legal claims. For zero compensation, the New York Fed released Bank of America from what may be sizable legal claims, knowing that A.I.G. was trying to recover on those claims.

Note: For deeply revealing reports from reliable major media sources on the collusion between regulators and financial corporations, click here.

The "who knew?" defense [was] thrown down by financial institutions and their senior executives to ward off accusations that they were somehow responsible for the disaster that befell the country. That defense is now crumbling by the day, thanks in part to their own employees' admissions. Citing internal e-mails, California joined the federal government and 15 other states this week in filing multibillion-dollar civil fraud lawsuits against the nation's leading credit ratings agency, Standard & Poor's, for allegedly deliberately "downplaying and disregarding the true extent of the credit risks" of the financial instruments it had rated as rock-solid. S&P says the charges are "without factual or legal merit," while adding that it, "like everyone else, did not predict the speed and severity of the coming crisis and how credit quality would ultimately be affected." Stack that up against an S&P executive who warned in an internal memo in December 2006, "This market is a wildly spinning top which is going to end badly." Or the 2007 e-mail from an analyst that read, "Job's going great, aside from the fact that the MBS (residential mortgage-backed securities) is crashing." Foreknowledge seemed to be apparent at JPMorgan Chase and Morgan Stanley as well. Internal documents in a lawsuit filed by Dexia SA, a French-Belgian bank, alleging "egregious fraud" by JPMorgan in the sale of $1.7 billion of mortgage-backed bonds, suggested executives at JPMorgan, Bear Stearns and Washington Mutual ... intentionally covered up the unworthiness of the securities they were selling.

Note: For deeply revealing reports from reliable major media sources on the criminal practices of the financial industry, click here.

Since 2008, oil production in the United States has surged ... 28 percent as the controversial practice of fracking unlocks new supplies in North Dakota and Texas. At the same time, use of oil and petroleum products has fallen 4 percent, as Americans switch to more efficient cars. In theory at least, both of those factors should have pushed the price of crude down. Instead, it's gone up. Since bottoming out during the financial crisis, oil futures traded on the New York Mercantile Exchange have nearly tripled in value, climbing from $33.87 per barrel in December 2008 to roughly $95 this month. Oil still costs substantially more now than it did in 2007, before the recession began. The high price illustrates a brutal truth of today's interconnected world - oil is a global commodity, bought and sold in a global marketplace. Even while demand falls in the United States, it's growing in countries such as China and India. Critics say the price paradox undercuts the oil industry's efforts to drill in more of America's public lands and coastal waters. "It really debunks the myth of 'Drill, baby, drill,' that if we just produce more oil, prices will stay low or go lower," said Michael Marx, director of the Sierra Club's Beyond Oil campaign. Will all that extra petroleum finally mean lower prices? "It's a difficult question to answer, because there's not a one-for-one (relationship) between an increase in production and a decrease in prices," said Doug MacIntyre, director of the Energy Information Administration's office of petroleum statistics. "There are so many other factors."

Note: Though the author refers to "so many other factors," he doesn't even mention greed and corruption which almost everyone knows are rampant. When will the media focus their attention on these fundamental challenges of our world?

John Brennan, the counter-terrorism adviser nominated by President Obama to be the next head of the CIA, has reportedly agreed to exempt agency strikes in Pakistan from a new set of rules that attempts to justify and codify the use of drones to assassinate leaders of al-Qaida and other terrorist groups around the world, including US citizens. The dispensation to allow so-called targeted killing to continue without restrictions in Pakistan removes from the new set of guidelines the most important and controversial target of drone strikes. In the past few weeks the frequency of US strikes in the tribal areas of northern Pakistan ... has been stepped up. The pass would allow the US to sustain heavy bombardments of the tribal regions via drones launched from bases in Afghanistan for another year or two, ahead of the withdrawal of most American forces from that country in 2014. The decision to give the US targeted-killing programme the appearance of legal propriety by codifying it, and now the temporary exemption granted from that codification to Pakistan, were both taken by Brennan. A counter-terrorism expert with 25 years experience in the CIA, his nomination to run the agency has raised eyebrows among civil liberties groups because of his senior role in the CIA under George W Bush at a time when torture was used on terror suspects and because of his fondness for drone strikes. The UK-based Bureau of Investigative Journalism estimates that there have been 362 drone strikes in the country since 2004 – 310 of them launched on Obama's watch. The strikes have killed up to 3,461 people.

Note: Imagine the uproar if another country killed innocent civilians in the US while using drones to kill terrorists in the country. Visit the Living Under Drones website here. For more analysis click here.

The FISA Amendments Act of 2008 did much more than shield lawbreaking telecoms from all forms of legal accountability. It also legalized vast new, sweeping and almost certainly unconstitutional forms of warrantless government eavesdropping. [The] 2008 law gutted the 30-year-old FISA statute that had [barred] the government from eavesdropping on the communications of Americans without first obtaining a warrant from a court. Worst of all, the 2008 law legalized ... the NSA warrantless eavesdropping program secretly implemented by George Bush after the 9/11 attack. The 2008 FISA law provided that it would expire in four years unless renewed. Yesterday, the Senate debated its renewal. Several Senators - Democrats Jeff Merkley and Ron Wyden of Oregon along with Kentucky GOP Senator Rand Paul - each attempted to attach amendments to the law simply to provide some modest amounts of transparency and oversight to ensure that the government's warrantless eavesdropping powers were constrained and checked from abuse. The Democratic Chair of the Senate Intelligence Committee, Dianne Feinstein ... demanded renewal of the FISA law without any reforms. And then predictably, in virtually identical 37-54 votes, Feinstein and her conservative-Democratic comrades joined with virtually the entire GOP caucus ... to reject each one of the proposed amendments and thus give Obama exactly what he demanded: reform-free renewal of the law.

Note: For analysis of this Senate vote, click here. For deeply revealing reports from reliable major media sources on government assaults on privacy, click here.

The system of so-called "shadow banking" ... grew to a new high of $67 trillion globally last year, a top regulatory group said, calling for tighter control of the sector. A report by the Financial Stability Board (FSB) [states] that shadow banking is set to thrive, beyond the reach of a regulatory net tightening around traditional banks and banking activities. The FSB, a task force from the world's top 20 economies, also called for greater regulatory control of shadow banking. The study by the FSB said shadow banking around the world more than doubled to $62 trillion in the five years to 2007 before the crisis struck. But the size of the total system had grown to $67 trillion in 2011 — more than the total economic output of all the countries in the study. The multitrillion-dollar activities of hedge funds and private equity companies are often cited as examples of shadow banking. But the term also covers investment funds, money market funds and even cash-rich firms that lend government bonds to banks, which in turn use them as security when taking credit from the European Central Bank. The United States had the largest shadow banking system, said the FSB, with assets of $23 trillion in 2011, followed by the euro area — with $22 trillion — and the United Kingdom — at $9 trillion.

Note: That's $10,000 for every man, woman, and child on the planet. Do you think the bankers are somehow manipulating the system? For deeply revealing reports from reliable major media sources on financial corruption, click here.

In the early 14th century, Venice was one of the richest cities in Europe. By 1500, Venice’s population was smaller than it had been in 1330. In the 17th and 18th centuries, as the rest of Europe grew, the city continued to shrink. The story of Venice’s rise and fall is told by the scholars Daron Acemoglu and James A. Robinson, in their book Why Nations Fail: The Origins of Power, Prosperity, and Poverty, as an illustration of their thesis that what separates successful states from failed ones is whether their governing institutions are inclusive or extractive. Extractive states are controlled by ruling elites whose objective is to extract as much wealth as they can from the rest of society. Inclusive states give everyone access to economic opportunity; often, greater inclusiveness creates more prosperity, which creates an incentive for ever greater inclusiveness. The history of the United States can be read as one such virtuous circle. But as the story of Venice shows, virtuous circles can be broken. Elites that have prospered from inclusive systems can be tempted to pull up the ladder they climbed to the top. Eventually, their societies become extractive and their economies languish. That ... is the danger America faces today, as the 1 percent pulls away from everyone else and pursues an economic, political and social agenda that will increase that gap even further — ultimately destroying the open system that made America rich and allowed its 1 percent to thrive in the first place.

Note: The author of this article, Chrystia Freeland, wrote the book Plutocrats: The Rise of the New Global Super-Rich and the Fall of Everyone Else, from which this essay is adapted. For deeply revealing reports from reliable major media sources on income inequality, click here.

Important Note: Explore our full index to revealing excerpts of key major media news articles on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.