April 26, 2006

Our Australian Master - Rupert Murdoch

 

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In recent years, Australian-born billionaire Rupert Murdoch has used the U.S. government’s increasingly lax media regulations to consolidate his hold over the media and wider political debate in America. Consider Murdoch’s empire: According to Businessweek, “his satellites deliver TV programs in five continents, all but dominating Britain, Italy, and wide swaths of Asia and the Middle East. He publishes 175 newspapers, including the New York Post and The Times of London. In the U.S., he owns the Twentieth Century Fox Studio, Fox Network, and 35 TV stations that reach more than 40% of the country…His cable channels include fast-growing Fox News, and 19 regional sports channels. In all, as many as one in five American homes at any given time will be tuned into a show News Corp. either produced or delivered.” But who is the real Rupert Murdoch? As this report shows, he is a far-right partisan who has used his empire explicitly to pull American political debate to the right. He is also an enabler of the oppressive tactics employed by dictatorial regimes, and a man who admits to having hidden money in tax havens. In short, there more to Rupert Murdoch than meets the eye.

Media Manipulator

In 2003, Rupert Murdoch told a congressional panel that his use of “political influence in our newspapers or television” is “nonsense.” But a close look at the record shows Murdoch has imparted his far-right agenda throughout his media empire.

MURDOCH THE WAR MONGER: Just after the Iraq invasion, the New York Times reported, “The war has illuminated anew the exceptional power in the hands of Murdoch, 72, the chairman of News Corp… In the last several months, the editorial policies of almost all his English-language news organizations have hewn very closely to Murdoch’s own stridently hawkish political views, making his voice among the loudest in the Anglophone world in the international debate over the American-led war with Iraq.” The Guardian reported before the war Murdoch gave “his full backing to war, praising George Bush as acting ‘morally’ and ‘correctly’ and describing Tony Blair as ‘full of guts’” for his support of the war. Murdoch said just before the war, “We can’t back down now – I think Bush is acting very morally, very correctly.” [New York Times, 4/9/03; Guardian, 2/12/03]

MURDOCH THE NEOCONSERVATIVE: Murdoch owns the Weekly Standard, the neoconservative journal that employed key figures who pushed for war in Iraq. As the American Journalism Review noted, the circulation of Murdoch’s Weekly Standard “hovers at only around 65,000. But its voice is much louder than those numbers suggest.” Editor Bill Kristol “is particularly adept at steering Washington policy debates by inserting himself and his views into the discussion.” In the early weeks of the War on Terror, Kristol “shepherded a letter to President Bush, signed by 40 D.C. opinion-makers, urging a wider military engagement.” [Source: AJR, 12/01]

MURDOCH THE OIL IMPERIALIST: Murdoch has acknowledged his major rationale for supporting the Iraq invasion: oil. While both American and British politicians strenuously deny the significance of oil in the war, the Guardian of London notes, “Murdoch wasn’t so reticent. He believes that deposing the Iraqi leader would lead to cheaper oil.” Murdoch said before the war, “The greatest thing to come out of this for the world economy…would be $20 a barrel for oil. That’s bigger than any tax cut in any country.” He buttressed this statement when he later said, “Once [Iraq] is behind us, the whole world will benefit from cheaper oil which will be a bigger stimulus than anything else.” [Guardian, 2/17/03]

MURDOCH THE INTIMIDATOR: According to Agence France-Press, “Rupert Murdoch’s Fox News Channel threatened to sue the makers of ‘The Simpsons’ over a parody of the channel’s right-wing political stance…

 

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New Home Sales Up 13.8%

 

 

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New-home sales rebounded 13.8% in March and exhibited new strength despite rising mortgage rates and growing inventories of unsold homes. The U.S. Census Bureau reported that the sales of new single-family homes jumped from a seasonally adjusted annual rate of 1.07 million in February to 1.21 million in March. Sales numbers for January and February were revised downward. “Thank God we got the rebound,” said David Seiders, chief economist of the National Association of Home Builders. “It will quell some gathering thinking about whether or not the housing market is in the process of collapsing.” The NAHB economist said the housing market is now in a “reasonably orderly slowing-down process” and that at the end of this year new-home sales should be down 11% from last year’s record pace. The Census Bureau report shows first-quarter sales off 8.2% from those of the first quarter of 2005.

 

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Congress Must Approve GFE Changes

 

 

Housing Secretary Alphonso Jackson said Wednesday that if Congress doesn’t like the agency’s forthcoming plan to revamp the Real Estate Settlement and Procedures Act, HUD “will start over again.”  Speaking at a legislative policy conference sponsored by the Mortgage Bankers Association, Secretary Jackson said Congress will see the RESPA proposal first. “If Congress is not pleased, we’ll come back to you and we’ll start over again,” he said. Mr. Jackson told the MBA that the proposal is coming “very soon” but would not specify when. “I’m confident the draft will meet most of your expectations,” he said. Industry officials believe that the proposal, at the very least, will address the “good-faith estimate” given to consumers prior to closing. Last summer HUD held six public RESPA forums, soliciting comment from the real estate and finance industries as well as consumer groups. The HUD secretary left the MBA meeting without taking questions from reporters. He also said the agency will soon release a plan to revitalize the Federal Housing Administration’s multifamily program.

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Refinancing down 25%

 

The MBA said refinancing applications declined last week. Its seasonally adjusted index of refinancing applications fell 2.4 percent to 1,489.4, from 1,526.1 the previous week.

A year earlier the index was at 2,052.5.

The refinance share of mortgage activity increased to 36.7 percent of total applications from 36.4 the previous week.

The ARM share of activity fell to 28.2 percent of total applications from 28.9 percent the previous week. ARM demand reached a 2005 high of 36.6 percent in late March, and some ARM holders are seen leaning toward refinancing into fixed-rate loans.

Fixed 15-year mortgage rates averaged 6.18 percent last week, down from 6.19 percent. Rates on one-year adjustable-rate mortgages fell to 5.96 percent from 6.00 percent.

The MBA’s survey covers about 50 percent of all U.S. retail residential mortgage originations. Respondents include mortgage bankers, commercial banks and thrifts.

 

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