India Takes Aim at Poverty With Cash Transfer Program


Manish Swarup/Associated Press


Poor and homeless people waited for food on Tuesday at a New Delhi temple.







NEW DELHI — India has more poor people than any nation on earth, but many of its antipoverty programs end up feeding the rich more than the needy. A new program hopes to change that.




On Jan. 1, India eliminated a raft of bureaucratic middlemen by depositing government pension and scholarship payments directly into the bank accounts of about 245,000 people in 20 of the nation’s hundreds of districts, in a bid to prevent corrupt state and local officials from diverting much of the money to their own pockets. Hundreds of thousands more people will be added to the program in the coming months.


In a country of 1.2 billion, the numbers so far are modest, but some officials and economists see the start of direct payments as revolutionary — a program intended not only to curb corruption but also to serve as a vehicle for lifting countless millions out of poverty altogether.


The nation’s finance minister, Palaniappan Chidambaram, described the cash transfer program to Indian news media as a “pioneering and pathbreaking reform” that is a “game changer for governance.” He acknowledged that the initial rollout had been modest because of “practical difficulties, some quite unforeseen.” He promised that those problems would be resolved before the end of 2013, when the program is to be extended in phases to other parts of the country.


Some critics, however, said the program was intended more to buy votes among the poor than to overcome poverty. And some said that in a country where hundreds of millions have no access to banks, never mind personal bank accounts, direct electronic money transfers are only one aspect of a much broader effort necessary to build a real safety net for India’s vast population.


“An impression has been created that the government is about to launch an ambitious scheme of direct cash transfers to poor families,” Jean Drèze, an honorary professor at the Delhi School of Economics, wrote in an e-mail. “This is quite misleading. What the government is actually planning is an experiment to change the modalities of existing transfers — nothing more, nothing less.”


The program is based on models in Mexico and Brazil in which poor families receive stipends in exchange for meeting certain social goals, like keeping their children in school or getting regular medical checkups. International aid organizations have praised these efforts in several places; in Brazil alone, nearly 50 million people participate.


But one of India’s biggest hurdles is simply figuring out how to distinguish its 1.2 billion citizens. The country is now in the midst of another ambitious project to undertake retinal and fingerprint scans in every village and city in the hope of giving hundreds of millions who have no official identification a card with a 12-digit number that would, among other things, give them access to the modern financial world. After three years of operation, the program has issued unique numbers to 220 million people.


Bindu Ananth, the president of IFMR Trust, a financial charity, said that getting people bank accounts can be surprisingly beneficial because the poor often pay stiff fees to cash checks or get small loans, fees that are substantially reduced for account holders.


“I think this is one of the biggest things to happen to India’s financial system in a decade,” Ms. Ananth said.


Only about a third of Indian households have bank accounts. Getting a significant portion of the remaining households included in the nation’s financial system will take an enormous amount of additional effort and expense, at least part of which will fall on the government to bear, economists said.


“There are two things this cash transfer program is supposed to do: prevent leakage from corruption, and bring everybody into the system,” said Surendra L. Rao, a former director general of the National Council of Applied Economic Research. “And I don’t see either happening anytime soon.”


The great promise of the cash transfer program — as well as its greatest point of contention — would come if it tackled India’s expensive and inefficient system for handing out food and subsidized fuel through nearly 50,000 government shops.


India spends almost $14 billion annually on this system, or nearly 1 percent of its gross domestic product, but the system is poorly managed and woefully inefficient.


Malavika Vyawahare contributed reporting.



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App City: Taking Stock of Mobile Apps






Testing apps from week to week, it’s easy to fill my phone with a seemingly endless number of theoretically helpful programs. But how many of them do I actually use? To start off 2013, I decided to take stock of my apps, with a focus on those that relate to my life as a New Yorker. Here are my favorites, many — but not all — of which I reviewed for App City. — JOSHUA BRUSTEIN








Christoph Hitz




Embark NYC



Free for iOS and Android


For directions, the default is Google Maps. But Embark, which helps you chart a trip on the New York City subway, is the other transportation app I use regularly, largely because it can generate directions without a data connection. After all, plans can change while you are underground. Offline, you can get only directions between stations, not for street addresses, but it’s a start.




Instapaper



$3.99 for iOS; $2.99 for Android


Instapaper is not new, but the idea of setting aside articles that I see online so that I can read them when I get stuck on the subway never gets old.



Seamless



Free for iOS and Android


This tool for placing orders for delivery or takeout food through a smartphone app has drastically increased the likelihood that I will order in on any given day. I do not know if this is a good thing, but it is certainly a testament to its effectiveness.





Christoph Hitz




Immaculate Infatuation



Free for iOS


Apps for finding restaurants are plentiful, but most of them leave me feeling overwhelmed. I want someone to choose for me, and I trust the authors of this app to do that. Their taste has never led me astray — although unlike them, I have no problem with the immense popularity of brussels sprouts.







Christoph Hitz




Taskrabbit



Free for iOS


One of the neatest things to come from the current generation of tech companies are informal communities where strangers do things for one another, like share a ride or a spare room. Taskrabbit allows people to hire one another for odd jobs. These jobs can be pretty much anything, but for tasks like taking in clothing for donation, I would much rather give $20 to a neighbor with a car than figure it out myself. Getting tasks done may be easy, but becoming someone who does the tasks isn’t: there are 1,500 people on the waiting list in New York City.




Songkick



Free for iOS and Android


It analyzes the music you listen to and tells you when bands you may like are playing nearby. It has successfully kept me away from Seamless on a number of nights. But being constantly reminded of great shows has the potential to be somewhat expensive.



Nike+ Fuelband



Wristband $149, app free for iOS and Android


This setup serves as a pedometer for the digital age, keeping track of your physical activity 24 hours a day. The app’s graphical representations of miles walked and calories burned are addictive. While the Fuelband does not do a good job of measuring exercise in a gym, it is a great way to keep a tally of all the walking you do. And if I’m going to spend my life wandering around the city, I might as well get credit for it.





Christoph Hitz




Craft Beer New York



$1.99 for iOS


This app is great when deciding which bars to visit. Of course, it works only for beer drinkers; good bars without good beer selections do not make the cut. There is a nice coffee app designed by the same team, and I use it in essentially the same way, although a bit earlier in the day.






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The New Old Age: Murray Span, 1922-2012

One consequence of our elders’ extended lifespans is that we half expect them to keep chugging along forever. My father, a busy yoga practitioner and blackjack player, celebrated his 90th birthday in September in reasonably good health.

So when I had the sad task of letting people know that Murray Span died on Dec. 8, after just a few days’ illness, the primary response was disbelief. “No! I just talked to him Tuesday! He was fine!”

And he was. We’d gone out for lunch on Saturday, our usual routine, and he demolished a whole stack of blueberry pancakes.

But on Wednesday, he called to say he had bad abdominal pain and had hardly slept. The nurses at his facility were on the case; his geriatrician prescribed a clear liquid diet.

Like many in his generation, my dad tended towards stoicism. When he said, the following morning, “the pain is terrible,” that meant agony. I drove over.

His doctor shared our preference for conservative treatment. For patients at advanced ages, hospitals and emergency rooms can become perilous places. My dad had come through a July heart attack in good shape, but he had also signed a do-not-resuscitate order. He saw evidence all around him that eventually the body fails and life can become a torturous series of health crises and hospitalizations from which one never truly rebounds.

So over the next two days we tried to relieve his pain at home. He had abdominal x-rays that showed some kind of obstruction. He tried laxatives and enemas and Tylenol, to no effect. He couldn’t sleep.

On Friday, we agreed to go to the emergency room for a CT scan. Maybe, I thought, there’s a simple fix, even for a 90-year-old with diabetes and heart disease. But I carried his advance directives in my bag, because you never know.

When it is someone else’s narrative, it’s easier to see where things go off the rails, where a loving family authorizes procedures whose risks outweigh their benefits.

But when it’s your father groaning on the gurney, the conveyor belt of contemporary medicine can sweep you along, one incremental decision at a time.

All I wanted was for him to stop hurting, so it seemed reasonable to permit an IV for hydration and pain relief and a thin oxygen tube tucked beneath his nose.

Then, after Dad drank the first of two big containers of contrast liquid needed for his scan, his breathing grew phlegmy and labored. His geriatrician arrived and urged the insertion of a nasogastric tube to suck out all the liquid Dad had just downed.

His blood oxygen levels dropped, so there were soon two doctors and two nurses suctioning his throat until he gagged and fastening an oxygen mask over his nose and mouth.

At one point, I looked at my poor father, still in pain despite all the apparatus, and thought, “This is what suffering looks like.” I despaired, convinced I had failed in my most basic responsibility.

“I’m just so tired,” Dad told me, more than once. “There are too many things going wrong.”

Let me abridge this long story. The scan showed evidence of a perforation of some sort, among other abnormalities. A chest X-ray indicated pneumonia in both lungs. I spoke with Dad’s doctor, with the E.R. doc, with a friend who is a prominent geriatrician.

These are always profound decisions, and I’m sure that, given the number of unknowns, other people might have made other choices. Fortunately, I didn’t have to decide; I could ask my still-lucid father.

I leaned close to his good ear, the one with the hearing aid, and told him about the pneumonia, about the second CT scan the radiologist wanted, about antibiotics. “Or, we can stop all this and go home and call hospice,” I said.

He had seen my daughter earlier that day (and asked her about the hockey strike), and my sister and her son were en route. The important hands had been clasped, or soon would be.

He knew what hospice meant; its nurses and aides helped us care for my mother as she died. “Call hospice,” he said. We tiffed a bit about whether to have hospice care in his apartment or mine. I told his doctors we wanted comfort care only.

As in a film run backwards, the tubes came out, the oxygen mask came off. Then we settled in for a night in a hospital room while I called hospices — and a handyman to move the furniture out of my dining room, so I could install his hospital bed there.

In between, I assured my father that I was there, that we were taking care of him, that he didn’t have to worry. For the first few hours after the morphine began, finally seeming to ease his pain, he could respond, “OK.” Then, he couldn’t.

The next morning, as I awaited the hospital case manager to arrange the hospice transfer, my father stopped breathing.

We held his funeral at the South Jersey synagogue where he’d had his belated bar mitzvah at age 88, and buried him next to my mother in a small Jewish cemetery in the countryside. I’d written a fair amount about him here, so I thought readers might want to know.

We weren’t ready, if anyone ever really is, but in our sorrow, my sister and I recite this mantra: 90 good years, four bad days. That’s a ratio any of us might choose.


Paula Span is the author of “When the Time Comes: Families With Aging Parents Share Their Struggles and Solutions.”

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The New Old Age: Murray Span, 1922-2012

One consequence of our elders’ extended lifespans is that we half expect them to keep chugging along forever. My father, a busy yoga practitioner and blackjack player, celebrated his 90th birthday in September in reasonably good health.

So when I had the sad task of letting people know that Murray Span died on Dec. 8, after just a few days’ illness, the primary response was disbelief. “No! I just talked to him Tuesday! He was fine!”

And he was. We’d gone out for lunch on Saturday, our usual routine, and he demolished a whole stack of blueberry pancakes.

But on Wednesday, he called to say he had bad abdominal pain and had hardly slept. The nurses at his facility were on the case; his geriatrician prescribed a clear liquid diet.

Like many in his generation, my dad tended towards stoicism. When he said, the following morning, “the pain is terrible,” that meant agony. I drove over.

His doctor shared our preference for conservative treatment. For patients at advanced ages, hospitals and emergency rooms can become perilous places. My dad had come through a July heart attack in good shape, but he had also signed a do-not-resuscitate order. He saw evidence all around him that eventually the body fails and life can become a torturous series of health crises and hospitalizations from which one never truly rebounds.

So over the next two days we tried to relieve his pain at home. He had abdominal x-rays that showed some kind of obstruction. He tried laxatives and enemas and Tylenol, to no effect. He couldn’t sleep.

On Friday, we agreed to go to the emergency room for a CT scan. Maybe, I thought, there’s a simple fix, even for a 90-year-old with diabetes and heart disease. But I carried his advance directives in my bag, because you never know.

When it is someone else’s narrative, it’s easier to see where things go off the rails, where a loving family authorizes procedures whose risks outweigh their benefits.

But when it’s your father groaning on the gurney, the conveyor belt of contemporary medicine can sweep you along, one incremental decision at a time.

All I wanted was for him to stop hurting, so it seemed reasonable to permit an IV for hydration and pain relief and a thin oxygen tube tucked beneath his nose.

Then, after Dad drank the first of two big containers of contrast liquid needed for his scan, his breathing grew phlegmy and labored. His geriatrician arrived and urged the insertion of a nasogastric tube to suck out all the liquid Dad had just downed.

His blood oxygen levels dropped, so there were soon two doctors and two nurses suctioning his throat until he gagged and fastening an oxygen mask over his nose and mouth.

At one point, I looked at my poor father, still in pain despite all the apparatus, and thought, “This is what suffering looks like.” I despaired, convinced I had failed in my most basic responsibility.

“I’m just so tired,” Dad told me, more than once. “There are too many things going wrong.”

Let me abridge this long story. The scan showed evidence of a perforation of some sort, among other abnormalities. A chest X-ray indicated pneumonia in both lungs. I spoke with Dad’s doctor, with the E.R. doc, with a friend who is a prominent geriatrician.

These are always profound decisions, and I’m sure that, given the number of unknowns, other people might have made other choices. Fortunately, I didn’t have to decide; I could ask my still-lucid father.

I leaned close to his good ear, the one with the hearing aid, and told him about the pneumonia, about the second CT scan the radiologist wanted, about antibiotics. “Or, we can stop all this and go home and call hospice,” I said.

He had seen my daughter earlier that day (and asked her about the hockey strike), and my sister and her son were en route. The important hands had been clasped, or soon would be.

He knew what hospice meant; its nurses and aides helped us care for my mother as she died. “Call hospice,” he said. We tiffed a bit about whether to have hospice care in his apartment or mine. I told his doctors we wanted comfort care only.

As in a film run backwards, the tubes came out, the oxygen mask came off. Then we settled in for a night in a hospital room while I called hospices — and a handyman to move the furniture out of my dining room, so I could install his hospital bed there.

In between, I assured my father that I was there, that we were taking care of him, that he didn’t have to worry. For the first few hours after the morphine began, finally seeming to ease his pain, he could respond, “OK.” Then, he couldn’t.

The next morning, as I awaited the hospital case manager to arrange the hospice transfer, my father stopped breathing.

We held his funeral at the South Jersey synagogue where he’d had his belated bar mitzvah at age 88, and buried him next to my mother in a small Jewish cemetery in the countryside. I’d written a fair amount about him here, so I thought readers might want to know.

We weren’t ready, if anyone ever really is, but in our sorrow, my sister and I recite this mantra: 90 good years, four bad days. That’s a ratio any of us might choose.


Paula Span is the author of “When the Time Comes: Families With Aging Parents Share Their Struggles and Solutions.”

Read More..

After Fiscal Deal, Tax Code May Be Most Progressive Since 1979





WASHINGTON — With 2013 bringing tax increases on the incomes of a small sliver of the richest Americans, the country’s top earners now face a heavier tax burden than at any time since Jimmy Carter was president.




The last-minute deal struck by the departing 112th Congress raised taxes on a handful of the highest-earning Americans, with about 99.3 percent of households experiencing no change in their income taxes. But the Tax Policy Center estimates that the average family in the top 1 percent will pay a federal tax rate of more than 36 percent this year, up from 28 percent in 2008. That is the highest rate since 1979, at least.


By some measures, the tax code might now be the most progressive in a generation, tax economists said, while noting that every American is paying a lower burden currently than they did then. In fact, the total federal tax rate is still vastly lower for the very rich than it was at any point in the 1940s through 1970s. It has risen from historical lows, but is still closer to those lows than where it was in the postwar decades.


“We made the system more progressive by raising rates at the top and leaving them for everyone else,” said Roberton Williams of the Tax Policy Center, a research group based in Washington. “The offsetting issue is that the rich have gotten a lot richer.”


Indeed, over the last three decades the bulk of pretax income gains have gone to the wealthy — and the higher up on the income scale, the bigger the gains, with billionaires outpacing millionaires who outpaced the merely rich. Economists doubted that the tax increases would do much to reverse that trend.


With the recovery failing to improve incomes for millions of average Americans and the country running trillion-dollar deficits, President Obama made “tax fairness” a centerpiece of his re-election campaign. In the heated negotiations with House Speaker John A. Boehner, that translated into the White House’s insistence on tax increases for the top 2 percent of households and a continuation of tax breaks and cuts for a vast number of taxpayers.


Republicans resisted increasing tax rates and aimed for lower revenue targets, arguing that spending was the budget’s primary problem and that no American should see his or her taxes go up too much in such a sluggish economy. But ultimately they relented, and Congress cut a last-minute deal.


“A central promise of my campaign for president was to change the tax code that was too skewed towards the wealthy at the expense of working middle-class Americans,” Mr. Obama said after Congress reached an agreement.


That deal includes a host of tax increases on the rich. It raises the tax rate to 39.6 percent from 35 percent on income above $400,000 for individuals, and $450,000 for couples. The rate on dividends and capital gains for those same taxpayers was bumped up 5 percentage points, to 20 percent. Congress also reinstated limits on the amount households with more than $300,000 in income can deduct. On top of that, two new surcharges — a 3.8 percent tax on investment income and a 0.9 percent tax on regular income — hit those same wealthy households.


As a result of the taxes added in both the deal and the 2010 health care law, which came into effect this year, taxpayers with $1 million in income and up will pay on average $168,000 more in taxes. Millionaires’ share of the overall federal tax burden will climb to 23 percent from 20 percent.


The result is a tax code that squeezes hundreds of billions of dollars more from the very well off — about $600 billion more over 10 years — while leaving the tax burden on everyone else mostly as it was. And the changes come after 30 years of both Republican and Democratic administrations doing the converse: zeroing out federal income taxes for many poor working families while also reducing the tax burden for households on the higher end of the income scale.


“Back at the end of the Carter and beginning of the Reagan administrations, we had a pretty severe income-tax burden for people at a low level of income. It was actually kind of appalling,” said Alan D. Viard, a tax expert at the American Enterprise Institute, a right-of-center research group in Washington. “Policy makers in both parties realized that was bad policy and started whittling away at it” by expanding credits and tinkering with tax rates.


After those changes and the new law, comparing average tax rates for poor households and wealthy households, 2013 might be the most progressive tax code since 1979. But economists cautioned that measuring progressivity is tricky. “It’s not like there is some scientific measure of progressivity all economists agreed upon,” said Leonard E. Burman, a professor of public affairs at Syracuse University. “People look at different numerical measures and they’ve changed in different ways at different income levels.”


Mr. Viard said that over time the code had become markedly more progressive for the poor compared with the middle class. But it arguably did not become much more progressive for the rich compared with the middle class, or the very rich compared with the rich, in part because of the George W. Bush-era tax cuts on investment income.


An anesthesiologist who earns a $500,000 salary subject to payroll and income taxes might pay a higher tax rate than a hedge fund manager making $1 billion subject mostly to capital-gains taxes, for instance.


Economists are also divided on the ultimate effect of those tax increases on the wealthy to income growth and income inequality in the United States. The recession hit the incomes of the rich hard, but they have snapped back much more strongly than those for middle or low-income workers.


“I’d still rather be really rich, even if I’m getting taxed much more than a low-income person” would be, Mr. Williams of the Tax Policy Center added.


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Police Captain in Benghazi Is Abducted





BENGHAZI, Libya (Reuters) — Police officials said Thursday that they were searching for the chief of Benghazi’s criminal investigations unit, who was seized by armed men the night before.




The chief, Capt. Abdel-Salam al-Mahdawi, had been ready to identify suspects in the death of a former police chief, officials said. He was taken by force “under the threat of weapons from a location close to the criminal investigation police offices,” said one police official who requested anonymity because he was not authorized to speak to the news media.


The former police chief, Faraj al-Deirsy, was shot to death in front of his home in November, according to the police and Interior Ministry officials.


Benghazi, the cradle of an armed uprising that led to the end of Col. Muammar el-Qaddafi’s rule in Libya, has been plagued by poor security and the assassination of police and military officers by militias. The United States ambassador to Libya and three other Americans were killed in an attack on the United States diplomatic mission in Benghazi in September.


A body charred by hydrochloric acid was found in the city’s Buhmeida district, Chief Mustafa al-Regayig of the Benghazi police told state radio. It has not been identified yet, he said.


“We can’t confirm or deny that the body is of Captain Mahdawi at this time,” he said.


Police investigators and legal experts have avoided taking on that case because they say they have not been guaranteed protection from groups they believe carried out the attack.


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Common Sense: Google Finds a Line Between ‘Aggressive’ and ‘Evil’





“Don’t Be Evil,” the founders of Google, Larry Page and Sergey Brin, proclaimed in their 2004 “Owner’s Manual” for prospective investors in the company. Despite widespread cynicism, criticism and even mockery, the company has never backed down on this core premise, reiterating in its most recent list of the “things we know to be true” that “You can make money without doing evil.”




Yet the company has been dogged for years by widespread allegations that it violates its own pledge by manipulating the search results that remain the core of the company and primary source of its enormous profits.


Google insists that its results have always been “unbiased and objective” and that “our search results are the best we know how to produce.” But for competitive reasons, it never disclosed the secret algorithms that produce those results, so no one outside the company knew for sure. A growing chorus of complaints from companies like Expedia, Yelp and, especially, Microsoft that Google manipulates the results to favor its interests at the expense of competitors led both the United States government and the European Union to take up the issue. On Thursday, after nearly two years of investigation, the Federal Trade Commission rendered a verdict: Google isn’t evil.


It may have been “aggressive,” as the commission delicately put it. But “regarding the specific allegations that the company biased its search results to hurt competition, the evidence collected to date did not justify legal action by the commission,” said Beth Wilkinson, outside counsel to the F.T.C. “The F.T.C.’s mission is to protect competition, and not individual competitors.”


The decision is “a huge victory for Google,” Randal Picker, a professor of commercial law at the University of Chicago Law School and a specialist in antitrust and intellectual property, told me just after this week’s decision. It’s also a vindication of the integrity of Google’s search results and the company’s credibility. “There’s never been any evidence that consumers were harmed by Google’s practices and no evidence that Google ever engaged in any manipulation that violates antitrust law,” Eric Goldman, professor of law and director of the High Tech Law Institute at Santa Clara University School of  Law, said.


The decision is also likely to set standards for competition on the Internet for years to come. It’s a blow to competitors like Microsoft, which has been stirring up opposition to Google for years, not to mention newer rivals like Facebook, Apple and Amazon. “The gloves will be off,” Professor Picker predicted. “The F.T.C. has indicated it’s going to be taking a very cautious approach toward regulating competition on the Internet.”


But will the decision ultimately prove to be good for consumers?


The F.T.C. did secure some concessions from Google regarding patent licensing and advertiser options. But to call those a slap on the wrist would be an overstatement. What mattered most to both Google users and competitors was Google’s search practices, which had never been put under the regulatory microscope to such a degree and which the F.T.C. left untouched.


Google’s search results have evolved significantly from its early, simpler days. When I typed “flight JFK to LAX” on Google this week, I got three categories of results: paid ads at the top and on the right; a Google-produced chart comparing flight options with the disclaimer, which you need to click on, that “Google may be compensated by these providers”; and so-called organic results below that. The first two organic results were entries for Expedia, a rival to Google’s travel site. But given the layout and size of my screen, none of the organic results were visible unless I scrolled down.


However clearly labeled, the prominence of Google’s own travel results gives pause to some antitrust experts. “Location is important,” Professor Picker said. “No one thinks otherwise. Years ago, it was important for airlines’ reservations systems to be on the first screen. But I’m not sure this is an antitrust problem.” Still, the issue is likely to be a focus of the European Union’s investigation of Google, and the European Union will probably be less sympathetic to unbridled competition on the Internet than the American authorities, and more inclined to protect competitors.


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Scant Proof Is Found to Back Up Claims by Energy Drinks





Energy drinks are the fastest-growing part of the beverage industry, with sales in the United States reaching more than $10 billion in 2012 — more than Americans spent on iced tea or sports beverages like Gatorade.




Their rising popularity represents a generational shift in what people drink, and reflects a successful campaign to convince consumers, particularly teenagers, that the drinks provide a mental and physical edge.


The drinks are now under scrutiny by the Food and Drug Administration after reports of deaths and serious injuries that may be linked to their high caffeine levels. But however that review ends, one thing is clear, interviews with researchers and a review of scientific studies show: the energy drink industry is based on a brew of ingredients that, apart from caffeine, have little, if any benefit for consumers.


“If you had a cup of coffee you are going to affect metabolism in the same way,” said Dr. Robert W. Pettitt, an associate professor at Minnesota State University in Mankato, who has studied the drinks.


Energy drink companies have promoted their products not as caffeine-fueled concoctions but as specially engineered blends that provide something more. For example, producers claim that “Red Bull gives you wings,” that Rockstar Energy is “scientifically formulated” and Monster Energy is a “killer energy brew.” Representative Edward J. Markey of Massachusetts, a Democrat, has asked the government to investigate the industry’s marketing claims.


Promoting a message beyond caffeine has enabled the beverage makers to charge premium prices. A 16-ounce energy drink that sells for $2.99 a can contains about the same amount of caffeine as a tablet of NoDoz that costs 30 cents. Even Starbucks coffee is cheap by comparison; a 12-ounce cup that costs $1.85 has even more caffeine.


As with earlier elixirs, a dearth of evidence underlies such claims. Only a few human studies of energy drinks or the ingredients in them have been performed and they point to a similar conclusion, researchers say — that the beverages are mainly about caffeine.


Caffeine is called the world’s most widely used drug. A stimulant, it increases alertness, awareness and, if taken at the right time, improves athletic performance, studies show. Energy drink users feel its kick faster because the beverages are typically swallowed quickly or are sold as concentrates.


“These are caffeine delivery systems,” said Dr. Roland Griffiths, a researcher at Johns Hopkins University who has studied energy drinks. “They don’t want to say this is equivalent to a NoDoz because that is not a very sexy sales message.”


A scientist at the University of Wisconsin became puzzled as he researched an ingredient used in energy drinks like Red Bull, 5-Hour Energy and Monster Energy. The researcher, Dr. Craig A. Goodman, could not find any trials in humans of the additive, a substance with the tongue-twisting name of glucuronolactone that is related to glucose, a sugar. But Dr. Goodman, who had studied other energy drink ingredients, eventually found two 40-year-old studies from Japan that had examined it.


In the experiments, scientists injected large doses of the substance into laboratory rats. Afterward, the rats swam better. “I have no idea what it does in energy drinks,” Dr. Goodman said.


Energy drink manufacturers say it is their proprietary formulas, rather than specific ingredients, that provide users with physical and mental benefits. But that has not prevented them from implying otherwise.


Consider the case of taurine, an additive used in most energy products.


On its Web site, the producer of Red Bull, for example, states that “more than 2,500 reports have been published about taurine and its physiological effects,” including acting as a “detoxifying agent.” In addition, that company, Red Bull of Austria, points to a 2009 safety study by a European regulatory group that gave it a clean bill of health.


But Red Bull’s Web site does not mention reports by that same group, the European Food Safety Authority, which concluded that claims about the benefits in energy drinks lacked scientific support. Based on those findings, the European Commission has refused to approve claims that taurine helps maintain mental function and heart health and reduces muscle fatigue.


Taurine, an amino acidlike substance that got its name because it was first found in the bile of bulls, does play a role in bodily functions, and recent research suggests it might help prevent heart attacks in women with high cholesterol. However, most people get more than adequate amounts from foods like meat, experts said. And researchers added that those with heart problems who may need supplements would find far better sources than energy drinks.


Hiroko Tabuchi contributed reporting from Tokyo and Poypiti Amatatham from Bangkok.



Read More..

Scant Proof Is Found to Back Up Claims by Energy Drinks





Energy drinks are the fastest-growing part of the beverage industry, with sales in the United States reaching more than $10 billion in 2012 — more than Americans spent on iced tea or sports beverages like Gatorade.




Their rising popularity represents a generational shift in what people drink, and reflects a successful campaign to convince consumers, particularly teenagers, that the drinks provide a mental and physical edge.


The drinks are now under scrutiny by the Food and Drug Administration after reports of deaths and serious injuries that may be linked to their high caffeine levels. But however that review ends, one thing is clear, interviews with researchers and a review of scientific studies show: the energy drink industry is based on a brew of ingredients that, apart from caffeine, have little, if any benefit for consumers.


“If you had a cup of coffee you are going to affect metabolism in the same way,” said Dr. Robert W. Pettitt, an associate professor at Minnesota State University in Mankato, who has studied the drinks.


Energy drink companies have promoted their products not as caffeine-fueled concoctions but as specially engineered blends that provide something more. For example, producers claim that “Red Bull gives you wings,” that Rockstar Energy is “scientifically formulated” and Monster Energy is a “killer energy brew.” Representative Edward J. Markey of Massachusetts, a Democrat, has asked the government to investigate the industry’s marketing claims.


Promoting a message beyond caffeine has enabled the beverage makers to charge premium prices. A 16-ounce energy drink that sells for $2.99 a can contains about the same amount of caffeine as a tablet of NoDoz that costs 30 cents. Even Starbucks coffee is cheap by comparison; a 12-ounce cup that costs $1.85 has even more caffeine.


As with earlier elixirs, a dearth of evidence underlies such claims. Only a few human studies of energy drinks or the ingredients in them have been performed and they point to a similar conclusion, researchers say — that the beverages are mainly about caffeine.


Caffeine is called the world’s most widely used drug. A stimulant, it increases alertness, awareness and, if taken at the right time, improves athletic performance, studies show. Energy drink users feel its kick faster because the beverages are typically swallowed quickly or are sold as concentrates.


“These are caffeine delivery systems,” said Dr. Roland Griffiths, a researcher at Johns Hopkins University who has studied energy drinks. “They don’t want to say this is equivalent to a NoDoz because that is not a very sexy sales message.”


A scientist at the University of Wisconsin became puzzled as he researched an ingredient used in energy drinks like Red Bull, 5-Hour Energy and Monster Energy. The researcher, Dr. Craig A. Goodman, could not find any trials in humans of the additive, a substance with the tongue-twisting name of glucuronolactone that is related to glucose, a sugar. But Dr. Goodman, who had studied other energy drink ingredients, eventually found two 40-year-old studies from Japan that had examined it.


In the experiments, scientists injected large doses of the substance into laboratory rats. Afterward, the rats swam better. “I have no idea what it does in energy drinks,” Dr. Goodman said.


Energy drink manufacturers say it is their proprietary formulas, rather than specific ingredients, that provide users with physical and mental benefits. But that has not prevented them from implying otherwise.


Consider the case of taurine, an additive used in most energy products.


On its Web site, the producer of Red Bull, for example, states that “more than 2,500 reports have been published about taurine and its physiological effects,” including acting as a “detoxifying agent.” In addition, that company, Red Bull of Austria, points to a 2009 safety study by a European regulatory group that gave it a clean bill of health.


But Red Bull’s Web site does not mention reports by that same group, the European Food Safety Authority, which concluded that claims about the benefits in energy drinks lacked scientific support. Based on those findings, the European Commission has refused to approve claims that taurine helps maintain mental function and heart health and reduces muscle fatigue.


Taurine, an amino acidlike substance that got its name because it was first found in the bile of bulls, does play a role in bodily functions, and recent research suggests it might help prevent heart attacks in women with high cholesterol. However, most people get more than adequate amounts from foods like meat, experts said. And researchers added that those with heart problems who may need supplements would find far better sources than energy drinks.


Hiroko Tabuchi contributed reporting from Tokyo and Poypiti Amatatham from Bangkok.



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U.S. Continues to Add Jobs at Slow Pace, Report Shows





Despite their concerns about looming tax increases and government spending cuts, American employers added 155,000 jobs in December, about apace with job growth over the last year, the Labor Department reported on Friday.




The biggest gains were in health care, food services, construction and manufacturing, with the latter two probably helped by rebuilding after Hurricane Sandy. Government payrolls fell modestly once again, the report said. The unemployment rate was 7.8 percent, the same as in November, whose rate was revised up from 7.7 percent.


“It’s not a home-run report by any stretch, but it’s constructive,” said John Ryding, chief economist at RDQ Economics. “It’s another month of fairly stable, solid, moderate job creation.”


Over the course of 2012, the country added 1.8 million jobs, despite continued job losses in the government sector and anxiety related to the presidential election and scheduled tax increases and spending cuts. 


Economists are unsure of what the rest of the year holds for the American job market, but most are forecasting more of the same: hiring fast enough to stay just ahead of population growth, but still too slow to make a sizable dent in the 12.2-million-person backlog of unemployed workers.


At the current pace of job growth, it would take seven years to get the unemployment rate back to where it was when the recession began in December 2007, according to one calculation. A number of encouraging trends in the economy suggest that businesses have good reason to speed up hiring, including the housing recovery, looser credit for small businesses, a rebound in China and pent-up demand for new autos. Friday’s report also showed slightly faster wage growth and longer working hours in December, both of which bode well for hiring.


But Congress’s last-minute deal earlier this week to raise taxes will offset some of these sources of growth, since higher taxes trim how much money consumers have available to spend each week.


“Job creation might firm a little bit, but it’s still looking nothing like the typical recovery year we’ve had in deep recessions in the past,” Mr. Ryding said. “There’s nothing in the deal to do that and nothing in this latest jobs report to suggest that. We’re a long way short of the 300,000 job growth that we need."


The fiscal compromise also renewed for a year the federal government’s emergency unemployment benefits program. That allows workers to continue receiving unemployment benefits for up to 73 weeks, depending on the unemployment rate in the state where they live, and acts as a stimulus to the American economy because unemployment benefits are spent almost immediately.


The extension has proved to be a tremendous relief to the two million workers who would have otherwise abruptly lost their benefits this week.


“We woke up on Wednesday morning and saw the news and just said, ‘thank God, thank God, thank God,’ and then went out and went food shopping because we knew we had money coming in,” said Gina Shadis, 56, of Newton, N.J.


Both she and her husband, Stephen, were laid off within the last 14 months from jobs they had held for more than a decade: she from a quality assurance manager position at an environmental testing lab, and he as foreman and senior master technician at an auto dealership. They are now each receiving $548 per week in federal jobless benefits, or about a quarter of their pay at their most recent jobs.


“It has just been such a traumatic time,” she said. “You know you wake up in the morning with shoulders tense and head aching because you didn’t sleep the night before from worrying.”


While Congress’s deal on New Year’s Day brought clarity to tax and unemployment benefits policies, lawmakers have still not settled their disputes about federal spending cuts and the debt ceiling. Economists worry that the lingering uncertainty over these issues could discourage businesses from investing in more workers or equipment.


“We may be seeing the calm before the storm right now,” said Ian Shepherdson, chief economist at Pantheon Macroeconomic Advisors, noting that a recent survey from the National Federation of Independent Business found that alarmingly few small companies plan to hire in the coming months. “Small businesses are wringing their hands in horror at what’s going on in Washington.”


In the meantime, more than six million workers have exhausted their unemployment benefits altogether since the recession began in December 2007, according to the National Employment Law Project, a labor advocacy group.


Millions of workers are sitting on the sidelines and so are not counted in the total tally of unemployed. Some are merely waiting for the job market to improve, and others are trying to invest in skills to appeal to employers who are already hiring.  


“I have a few prospects who say they want me to work for them when I graduate,” said Jordan Douglas, a 24-year-old single mother in Pampa, Tex., who is enrolled in a special program that allows her to receive jobless benefits while attending school full time to become a registered nurse. She gets $792 in benefits every two weeks, a little less than half of what she earned in an administrative position at the nursing home that laid her off last year.


She calculates that her federal jobless benefits will run out the very last week of nursing school.


“This had to have been a sign from God that I had to do this since it all worked out so well,” she said.


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Philippines May Curb Pursuit of Marcos’s Wealth





MANILA — A commission that has been pursuing the wealth of the former dictator Ferdinand E. Marcos should be abolished, despite the fact that much of his allegedly ill-gotten wealth has not been recovered, its chairman said on Wednesday.




Andres Bautista, the chairman of the Presidential Commission on Good Government, told reporters on Wednesday that he had recommended to President Benigno S. Aquino III that the special commission be phased out.


“Our recommendation was to wind down work,” said Mr. Bautista, noting that it is more efficient, and less costly for the government, if the Department of Justice handles the hunt for assets and any future cases against Marcos associates. In an earlier interview with Agence France-Presse, Mr. Bautista said, “It has become a law of diminishing returns at this point.”


Mr. Marcos led the Philippines from 1965 to until 1986, when he was overthrown by the bloodless popular revolt known as People Power. He declared martial law for part of his time in office and empowered his flamboyant wife, Imelda R. Marcos, to help lead the country.


Investigators have accused the Marcos family and its associates of plundering an estimated $10 billion from the Philippines while millions of Filipinos suffered in grinding poverty. In particular, Mr. Marcos’s wife was noted for extravagant displays of wealth that included lavish shopping trips to New York City with a huge entourage, spending millions on jewelry and art.


But in recent years, members of the Marcos family, including Mrs. Marcos, have taken prominent political posts, complicating the commission’s efforts.


The commission was created after the pro-democracy leader Corazon C. Aquino, the current president’s mother, came to power in 1986, and it was charged with the worldwide pursuit of the assets of the Marcos family and its associates.


According to one analyst, the abolition of the commission will effectively end the pursuit of that wealth — much of which, by all accounts, remains unrecovered.


“If a special body with extraordinary powers specifically tasked with finding the hidden wealth of Marcos cannot do it, then who else is going to?” asked Edre U. Olalia, the secretary general of the human rights organization National Union of Peoples’ Lawyers. “The government is giving up the fight.”


Mr. Olalia said a special commission was still needed because the Marcos family and its associates had the resources to hire top defense lawyers who could thwart or delay government cases. He said the family was expert at hiding wealth overseas and at using influence within the government to obstruct the investigations.


Mrs. Marcos, 83, is now a member of the House of Representatives, while her son, Ferdinand Marcos Jr., is a senator. Her daughter Imee Marcos is the governor of a northern province where the family is still well regarded.


Former President Marcos died in exile in the United States in 1989. Some of the largest companies in the Philippines are controlled by people who were his close associates, and have been accused by investigators of helping the family plunder billions from the country.


No one in the Marcos family, whose members all deny wrongdoing, has been convicted in connection with plundered wealth, nor have any associates.


“The Marcos family is back in power, and they have no fear of conviction,” Mr. Olalia said. “They are prancing around with their wealth, saying they are a poor family being prosecuted by the government.”


Mr. Bautista, the head of the commission, noted that the agency had recovered 164 billion pesos (about $4 billion) since its creation, including a 150-carat ruby and a diamond tiara, hundreds of millions of dollars hidden in Swiss bank accounts and prime real estate in New York City. It worked recently with New York authorities to indict Vilma Bautista, Mrs. Marcos’s former social secretary, and to recover several valuable paintings, including one from the water lily series by Claude Monet. Ms. Bautista and Mr. Bautista are not related.


President Aquino and both houses of the Philippine Congress would have to agree for the commission to be abolished. On Wednesday, lawmakers disagreed about its fate.


“Everybody agrees that the hunt and recovery was not going to be a walk in the park,” said Senator Francis Escudero. “But it’s disappointing that they are throwing in the towel.”


But another senator, Joker Arroyo, noted that the agency had been intended from the beginning to have a limited mandate.


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Tool Kit: Facebook’s Latest Mobile Interface Expands Features





The only thing constant about Facebook is that it keeps changing. Just when you think you’ve figured out the interface to the world’s biggest social network, the engineers there update it again.




For the 600 million or so people who use their smartphones to stay on top of Facebook friends, recent weeks have been especially anxiety-producing. Recognizing some time ago that for many mobile users their Facebook phone app is their primary or only way of access, the company unveiled a barrage of new features that bring the mobile apps in line with the desktop browser version of Facebook.


Facebook created new versions of its official apps for Android and Apple phones and revamped its mobile-optimized Web site, m.facebook.com, which works for most other smartphones. Facebook says the mobile site actually has more users than the Android and Apple apps combined.


Some new features are easy to spot. Friends’ posts now include a Share option so you can repost their updates, pictures and links to your own timeline. But other features are more subtle, and take some poking around to figure out. I’m here to help.


The most significant change to Facebook’s mobile apps is that the News Feed, the real-time stream of updates from your Facebook friends, now provides the same sorting options as the desktop version: Top Stories and Most Recent. If you go a while without logging in, the app will set the sorting to Top Stories, which floats the updates from the friends with whom you interact the most to the top of the feed. If you’d rather see posts sorted with the newest always on top, tap the gear icon next to News Feed on the app’s main left-hand menu. (It can take a little practice to tap the gear rather than another control.) A menu will pop up that lets you choose your sorting preference.


Your photos now have a Make Profile Picture option, so you don’t need to go back to a full-size computer to turn a photo taken on your phone into your identifying image. With an iPhone, press and hold the picture to bring up the command; in Android phones, it’s an option in the overflow menu.


Facebook has also built its chat function into the mobile apps. Rather than the e-mail-like Message utility, Chat is designed for conversations in which both parties tap back and forth at the same time. To start a chat session, tap the human-silhouette icon in the upper right corner of the app. That will bring up a list of your friends who are available right now to start a chat session, either on their phones (indicated by a phone icon) or on their desktops (indicated by a green dot). There’s a Favorites list you can edit to list only the friends you message most, so you don’t have to pore through your entire list of available friends to find them every time.


Do you upload lots of photos to Facebook from your smartphone? You have two new options. First, you can now select more than one photo by tapping, to upload them together. You can also configure the app to automatically upload every image you shoot to a private album from which you can later share them with a couple of taps. To turn on this feature, called Photo Sync, go to your timeline and tap your Photos icon.


At the bottom right, look for the Synced button. Tap this, and the app will walk you through configuration of Photo Sync. Once you’ve enabled it, tapping Synced will display those photos that have been auto-uploaded from your phone to your account. You can choose at your leisure which ones to share, and they will be posted to your Facebook timeline instantly, rather than requiring you to wait through the upload process for each one separately as you go.


There are several new features for mobile status updates, too. You can tag friends in a post, just as on the desktop version of Facebook. Begin typing a friend’s name as it appears on a Facebook account, and the app will produce a list of friends’ names that match what you’re writing. Select the name, and Facebook will insert a blue link to the friend’s own page and also alert the subject.


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The Long Life of the ‘Perfect’ Woman





What did happen to Elsie Scheel, the “perfect” woman mentioned in an article in Wednesday’s New York Times that described how people considered overweight had a slightly lower risk of dying than those of normal weight?




A century ago, at age 24, Miss Scheel was the subject of a spate of news media coverage after the “medical examiner of the 400 ‘co-eds’ ” at her college, Cornell University, described her as the epitome of “perfect health,” according to a 1912 New York Times article. That article and others also gave her dimensions: 5-foot-7 and 171 pounds, which would have corresponded to a body mass index of 27, putting Miss Scheel in the overweight category. Miss Scheel, it turns out, lived a long life, dying in 1979 in St. Cloud, Fla., three days shy of her 91st birthday.


But though it may be tempting to conclude that Miss Scheel’s longevity exemplifies the benefits of a not-too-low B.M.I, her case is only one anecdote, of course. And, according to family members and to hints provided in early articles, she was a person who valued being active and athletic, had a strong and confident attitude, and, as a daughter of a doctor and a mother of a doctor, may have been steeped in healthy habits that were much more relevant to her survival than her weight.


“She never took an aspirin or a Tylenol,” a granddaughter, Karen Hirsh Meredith, of Broken Arrow, Okla., said in an interview Wednesday. She kept up hobbies like stamp collecting and wrote pieces for the St. Cloud newspaper. And, Ms. Meredith said, “she was still driving late in life.”


Ms. Meredith said she did not recall her grandmother having any illnesses or being hospitalized except for shortly before she died, when she went into the hospital with stomach pain. She ended up having surgery for a perforated bowel and died the next day, Ms. Meredith said.


A death notice said Miss Scheel, who was Mrs. Hirsh when she died, had been a “practical nurse,” although Ms. Meredith said the family believed she did not work after she had children. In 1918 she married Frederick Rudolph Hirsh, an architect who supervised the building of the New York Public Library and who was a widower with two children, Frederick Jr. and Mary. He died in 1933 at 68, leaving his wife to raise a son, John, and a daughter, Elise. She moved to Florida from Mount Vernon, N.Y., in the 1940s and never remarried.


Miss Scheel’s mother, Sophie Bade Scheel, a physician educated at New York Medical College, maintained an active medical practice at a time when relatively few women did. And Miss Scheel may have benefited from good genes: her three siblings were 79, 88 and 93 when they died.


Published reports from 1912 and 1913 provide glimpses of the type of person Miss Scheel was and of her immediate-post-"perfect” experience.


She participated in many sports, playing basketball at Cornell. “I play a guard, where my weight helps,” she told a newspaper. She was a suffragette and, the Times article said, “doesn’t know what fear is.”


She ate only three meals every two days, loved beefsteak and shunned candy and caffeine. An article in The Oregonian asked her about her advice for healthy living, reporting that “Miss Scheel feels that the average girl does too much of the wrong sort of thing — too many dances and not enough good bracing tramps. I just got back from a 25-mile tramp to Enfield Falls.”


Some of the news media coverage was catty, even brutal. And it was extremely detailed. Her particulars — the size of her chest, waist and hips — were compared to the Venus de Milo.


A day after the Times article, The New York Herald ran a story about Miss Scheel above the fold on its front page: “Brooklyn Venus Much Too Large is Verdict of Physical Culturists.” These “physical culturists” claimed that Miss Scheel’s weight and height “cannot be reconciled with the accepted ideal of female beauty.”


Read More..

The Long Life of the ‘Perfect’ Woman





What did happen to Elsie Scheel, the “perfect” woman mentioned in an article in Wednesday’s New York Times that described how people considered overweight had a slightly lower risk of dying than those of normal weight?




A century ago, at age 24, Miss Scheel was the subject of a spate of news media coverage after the “medical examiner of the 400 ‘co-eds’ ” at her college, Cornell University, described her as the epitome of “perfect health,” according to a 1912 New York Times article. That article and others also gave her dimensions: 5-foot-7 and 171 pounds, which would have corresponded to a body mass index of 27, putting Miss Scheel in the overweight category. Miss Scheel, it turns out, lived a long life, dying in 1979 in St. Cloud, Fla., three days shy of her 91st birthday.


But though it may be tempting to conclude that Miss Scheel’s longevity exemplifies the benefits of a not-too-low B.M.I, her case is only one anecdote, of course. And, according to family members and to hints provided in early articles, she was a person who valued being active and athletic, had a strong and confident attitude, and, as a daughter of a doctor and a mother of a doctor, may have been steeped in healthy habits that were much more relevant to her survival than her weight.


“She never took an aspirin or a Tylenol,” a granddaughter, Karen Hirsh Meredith, of Broken Arrow, Okla., said in an interview Wednesday. She kept up hobbies like stamp collecting and wrote pieces for the St. Cloud newspaper. And, Ms. Meredith said, “she was still driving late in life.”


Ms. Meredith said she did not recall her grandmother having any illnesses or being hospitalized except for shortly before she died, when she went into the hospital with stomach pain. She ended up having surgery for a perforated bowel and died the next day, Ms. Meredith said.


A death notice said Miss Scheel, who was Mrs. Hirsh when she died, had been a “practical nurse,” although Ms. Meredith said the family believed she did not work after she had children. In 1918 she married Frederick Rudolph Hirsh, an architect who supervised the building of the New York Public Library and who was a widower with two children, Frederick Jr. and Mary. He died in 1933 at 68, leaving his wife to raise a son, John, and a daughter, Elise. She moved to Florida from Mount Vernon, N.Y., in the 1940s and never remarried.


Miss Scheel’s mother, Sophie Bade Scheel, a physician educated at New York Medical College, maintained an active medical practice at a time when relatively few women did. And Miss Scheel may have benefited from good genes: her three siblings were 79, 88 and 93 when they died.


Published reports from 1912 and 1913 provide glimpses of the type of person Miss Scheel was and of her immediate-post-"perfect” experience.


She participated in many sports, playing basketball at Cornell. “I play a guard, where my weight helps,” she told a newspaper. She was a suffragette and, the Times article said, “doesn’t know what fear is.”


She ate only three meals every two days, loved beefsteak and shunned candy and caffeine. An article in The Oregonian asked her about her advice for healthy living, reporting that “Miss Scheel feels that the average girl does too much of the wrong sort of thing — too many dances and not enough good bracing tramps. I just got back from a 25-mile tramp to Enfield Falls.”


Some of the news media coverage was catty, even brutal. And it was extremely detailed. Her particulars — the size of her chest, waist and hips — were compared to the Venus de Milo.


A day after the Times article, The New York Herald ran a story about Miss Scheel above the fold on its front page: “Brooklyn Venus Much Too Large is Verdict of Physical Culturists.” These “physical culturists” claimed that Miss Scheel’s weight and height “cannot be reconciled with the accepted ideal of female beauty.”


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Car Sales End Strong Year on Modest Note





DETROIT – Automakers ended 2012 with modest sales results in the United States, capping a strong year and promising more growth in 2013.




Based on early reports Thursday, analysts predicted a 10 percent increase overall for the industry for December, a gain that would put the year’s sales at about 14.5 million – the best performance since 2007.


The three Detroit car companies all posted sales gains in December, solidifying improvements made throughout year because of consumers replacing their aging cars and trucks.


General Motors, the largest American automaker, said its December sales increased 4.9 percent, primarily because of new products such as the Cadillac ATS sedan and higher incentives on its Chevrolet Silverado and GMC Sierra pickups.


The company had been losing ground in the high-profit pickup truck segment until it added discounts to the Silverado, which posted a 6.1 percent sales increase in December, and the Sierra, which was up 13.4 percent.


For the year, G.M. sold 2.59 million vehicles, an increase of 3.7 percent from 2011. That lagged the overall gains in the market, which were about 14 percent industrywide for the year.


G.M.'s head of United States sales, Kurt McNeil, said the company expects significant growth in 2013, with industry sales as high as 15.5 million. He noted that the resolution of fiscal negotiations in Washington removed some potential concerns for consumers shopping for new vehicles.


“We are especially pleased that the politicians on both sides of the aisle in Washington were able to compromise,” Mr. McNeil said in a conference call with analysts and media Thursday. “The short-term crisis has passed.”


Ford Motor Company reported a slight sales increase of 1.9 percent in December as safety recalls for its new Escape SUV and Fusion sedan depressed results.


Ford said that sales of the Fusion dropped 10.8 percent during the month and Escape sales slid 21.3 percent. The company has been plagued with multiple recalls on engines and other parts on the vehicles, which are usually among its strongest sellers.


The drop was mitigated by strong results for Ford’s two smallest cars, the Focus, which increased in sales by 58.3 percent, and the Fiesta, which was up by 52.8 percent.


For all of 2012, Ford’s United States sales increased 4.7 percent to 2.25 million vehicles. Ken Czubay, head of Ford’s domestic sales and marketing, said the company’s small-car sales were its best in more than a decade.


Ford predicted that industry sales in 2013 could reach 16 million vehicles, as more Americans replace older models with new, more fuel-efficient ones.


Chrysler, the smallest of the Detroit companies, was again the star performer in December, with a 10 percent increase.


The company’s new compact car, the Dodge Dart, showed improvement with a 36 percent gain from the prior month. In fact, much of Chrysler’s lineup – ranging from Jeep SUVs to the tiny Fiat 500 micro-car – posted sales records for the month of December.


For the year, Chrysler sold 1.65 million vehicles, a 21 percent increase from 2011.


The major foreign automakers were expected to report results later in day. In a partial report, Toyota, the biggest of the Japanese manufacturers, said that it sold 2 million vehicles in the United States during 2012, a 26.6 percent increase from the year before.


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Kim Jong-un, North Korean Leader, Makes Overture to South





SEOUL, South Korea — The North Korean leader, Kim Jong-un, called for an end to the “confrontation” with rival South Korea on Tuesday in what appeared to be an overture to the incoming South Korean president as she was cobbling together South Korea’s new policy on the North.




North Korea issued a major policy statement on New Year’s Day, following a tradition set by Mr. Kim’s grandfather, the North Korean founder Kim Il-sung, and continued by his father, Kim Jong-il, who died in December 2011, bequeathing the dynastic rule to Mr. Kim.


Although Mr. Kim inherited the central policies of his father, outside analysts see him as trying to distance himself in a variety of ways from his father’s ruling style. Kim Jong-il was more feared than respected among his people, and his rule was marked by a major famine.


The most significant feature of Kim Jong-un’s speech was its marked departure of tone regarding South Korea.


“A key to ending the divide of the nation and achieving reunification is to end the situation of confrontation between the North and the South,” Mr. Kim said. “A basic precondition to improving North-South relations and advancing national reunification is to honor and implement North-South joint declarations.”


He was referring to two inter-Korean agreements, signed in 2000 and 2007, when two South Korean presidents, Kim Dae-jung and Roh Moo-hyun, were pursuing a “Sunshine Policy” of reconciliation and economic cooperation with North Korea and met Mr. Kim’s father in the North Korean capital, Pyongyang.


As a result of those agreements, billions of dollars of South Korean investment, aid and trade flowed into the North. Billions more were promised in investments in shipyards and factory parks, as the South Korean leaders believed that economic good will was the best way of encouraging North Korea to shed its isolation and hostility while reducing the economic gap between the Koreas and the cost of reunification in the future.


But that warming of ties ended when conservatives came to power in South Korea with the inauguration of President Lee Myung-bak in 2008. Mr. Lee suspended any large aid or investment because of the lack of progress toward dismantling the North’s nuclear weapons programs, and inter-Korean relations spiraled down, further aggravated by the North’s shelling of a South Korean island in 2010.Mr. Kim’s speech on Tuesday, which was broadcast through the North’s state-run television and radio stations, was another sign that the young leader was trying to emulate his grandfather, who was considered a more people-friendly leader and is still widely revered among North Koreans.


Mr. Kim returned to the tradition of Kim Il-sung, issuing the statement in a personal speech. During the rule of Kim Jong-il, the statement — which laid out policy guidelines for the new year and was studied by all branches of the party, state and military — was issued as a joint editorial of the country’s main official media.


In his speech, Kim Jong-un, echoed themes of previous New Year’s messages, emphasizing that improving the living standards of North Koreans and rejuvenating the agricultural and light industries were among the country’s main priorities.


But he revealed no details of any planned economic policy changes. He mentioned only a need to “improve economic leadership and management” and “spread useful experiences created in various work units.”


Since July, reports from various media suggest that Mr. Kim’s government has begun carrying out cautious economic incentives aimed at bolstering productivity at farms and factories. Some reports said the state was considering letting farmers keep at least 30 percent of their yield; currently, it is believed, they are allowed to sell only a surplus beyond a government-set quota that is rarely met.


Mr. Kim also vowed to strengthen his country’s military, calling for the development of more advanced weapons. But he made no mention of relations with the United States or the international efforts to halt North Korea’s nuclear weapons program. He simply reiterated that his government was willing to “expand and improve upon friendly and cooperative relationships with all countries friendly to us.”


Mr. Kim’s speech followed the successful launching of a satellite aboard a long-range rocket in December. North Korea’s propagandists have since been busy billing the launch as a symbol of what they called the North’s soaring technological might and Mr. Kim’s peerless leadership. Washington considered it a test of long-range ballistic-missile technology and a violation of United Nations Security Council resolutions banning such tests, and is seeking more sanctions to impose on the isolated country.


The incoming leader of South Korea, Park Geun-hye, who was the presidential candidate of Mr. Lee’s conservative governing party, did not immediate respond to the speech. Ms. Park is the daughter of Park Chung-hee, the former military strongman under whose rule from 1961 until 1979 a staunchly anti-Communist, pro-American political establishment took root in South Korea.


North Korea had engineered a couple of assassination attempts on Ms. Park’s father, one of which resulted in her mother’s death in 1974. But Ms. Park also traveled to Pyongyang in 2002 and discussed inter-Korean reconciliation with Kim Jong-il.


During her campaign for president, she said that if elected, she would decouple humanitarian aid from politics and try to hold a summit meeting with Kim Jong-un. She was in part reacting to widespread criticism in South Korea that Mr. Lee’s hard-line policy did little to change the North’s behavior.


During the campaign, however, Ms. Park stuck to Mr. Lee’s stance on the most contentious issue of large-scale investment, which the North considers crucial. Ms. Park, like the current president, insisted that any large-scale economic investments be preceded by the “building of trust” through progress in curbing North Korea’s nuclear weapons program.


Peace bought with “shoveling” of unrestrained aid under the Sunshine Policy was “a fake,” she said, citing the North’s long history of using military threats to win economic concessions.


Earlier, North Korea called her a “confrontational maniac” and “fascist.” But since her election, it has refrained from attacking her.


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Some Companies Seek to Wean Employees From Their Smartphones





Resolutions to change behavior are common at this time of year, but they usually involve exercising more or smoking less. Now, some companies are adopting policies aimed at weaning employees from their electronic devices.







Matthew Ryan Williams for The New York Times

Michelle Barry and Mark Jacobsen of Centric Brand Anthropology strive for the elusive work-life balance.







Atos, an international information technology company, plans to phase out all e-mails among employees by the end of 2013 and rely instead on other forms of communication. And starting in the new year, employees at Daimler, the German automaker, can have incoming e-mail automatically deleted during vacations so they do not return to a flooded in-box. An automatic message tells the sender which person is temporarily dealing with the employee’s e-mail.


No one is expected to be on call at all hours of the day and night, and “switching off” after work is important, “even if you are on a business trip,” said Sabrina Schrimpf, a Daimler spokeswoman, referring to the company’s recently released report, “Balanced! — Reconciling Employees’ Work and Private Lives.”


Disconnecting can be more challenging for business travelers who frequently work across time zones.


And there is a ripple effect, said Leslie A. Perlow, a professor of leadership at Harvard Business School and the author of “Sleeping With Your Smartphone.” “These guys fly in the middle of the night and send e-mails back to colleagues” who wait up, ready to respond.


A study conducted last spring by the Pew Research Center’s Internet and American Life Project found that while mobile phones were valued as a way to stay productive, there were downsides to being available at all times. The nationwide survey of 2,254 adults found that 44 percent of cellphone owners had slept with their phone next to their bed and that 67 percent had experienced “phantom rings,” checking their phone even when it was not ringing or vibrating. Still, the proportion of cellphone owners who said they “could live without it” has gone up, to 37 percent from 29 percent in 2006.


Sam Chapman, chief executive of Empower Public Relations in Chicago, said he used to feel phantom vibrations and frequently read and sent e-mail on his BlackBerry in the middle of the night. He slept poorly, did not feel refreshed in the morning and considered himself addicted. “I wanted to make sure that what happened to me didn’t happen to my employees,” he said.


So Mr. Chapman adopted what he called a BlackBerry blackout policy. He and his staff of about 20 turn off their BlackBerrys from 6 p.m. to 6 a.m. on weekdays and completely on weekends for all work-related use, with rare exceptions. “When I’m well rested, I show up to work ready to go,” he said.


He maintains that regimen while traveling, and said the policy had increased company productivity.


Professor Perlow agreed that companies could improve their bottom line by encouraging employees to disconnect at times. “Being constantly on actually undermines productivity,” she said.


But it is not always easy. In early 2012, when Michelle Barry, Mark Jacobsen and a third partner created Centric Brand Anthropology, a Seattle-based company that advises clients on brand strategy, design and culture management, they gave serious thought to the issue.


“A huge priority for us was to have a good balance between work-life,” said Mr. Jacobsen, Centric’s vice president and creative director. “Yet we have found that very difficult to do while working with large multinational clients,” which often require international travel and constant availability.


Being a start-up compounded those challenges. “Just because you can e-mail at 2 a.m., doesn’t mean it’s a good thing,” he said.


Centric encourages employees to prepare a week before a trip, designating a colleague as backup, informing clients about their travel plans, and trying to avoid deadlines immediately after they return. Employees are also encouraged to take spouses or partners on longer assignments and to build in downtime, said Ms. Barry, the company’s president and chief executive. When traveling, she said, “I make a commitment to myself not to stay up all night answering e-mails.”


Experts say there is no firm data for how many companies have policies restricting the use of electronic devices outside the office. “The companies I know actively encourage workers to stay connected after hours and on weekends,” said Dennis J. Garritan, a managing partner of the private equity firm Palmer Hill Capital and an adjunct professor at Harvard Business School.


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Employers Must Offer Family Health Care, Affordable or Not, Administration Says





WASHINGTON — In a long-awaited interpretation of the new health care law, the Obama administration said Monday that employers must offer health insurance to employees and their children, but will not be subject to any penalties if family coverage is unaffordable to workers.




The requirement for employers to provide health benefits to employees is a cornerstone of the new law, but the new rules proposed by the Internal Revenue Service said that employers’ obligation was to provide affordable insurance to cover their full-time employees. The rules offer no guarantee of affordable insurance for a worker’s children or spouse. To avoid a possible tax penalty, the government said, employers with 50 or more full-time employees must offer affordable coverage to those employees. But, it said, the meaning of “affordable” depends entirely on the cost of individual coverage for the employee, what the worker would pay for “self-only coverage.”


The new rules, to be published in the Federal Register, create a strong incentive for employers to put money into insurance for their employees rather than dependents. It is unclear whether the spouse and children of an employee will be able to obtain federal subsidies to help them buy coverage — separate from the employee — through insurance exchanges being established in every state. The administration explicitly reserved judgment on that question, which could affect millions of people in families with low and moderate incomes.


Many employers provide family coverage to full-time employees, but many do not. Family coverage is much more expensive, and the employee’s share of the premium is typically much larger.


In 2012, according to an annual survey by the Kaiser Family Foundation, premiums for employer-sponsored health insurance averaged $5,615 a year for single coverage and $15,745 for family coverage. The employee’s share of the premium averaged $951 for individual coverage and more than four times as much, $4,316, for family coverage.


Starting in 2014, most Americans will be required to have health insurance. Low- and middle-income people can get tax credits to help pay their premiums, unless they have access to affordable coverage from an employer.


In its proposal, the Internal Revenue Service said, “Coverage for an employee under an employer-sponsored plan is affordable if the employee’s required contribution for self-only coverage does not exceed 9.5 percent of the employee’s household income.”


The rules, though labeled a proposal, are more significant than most proposed regulations. The Internal Revenue Service said employers could rely on them in making plans for 2014.


In writing the law, members of Congress often conjured up a picture of employees working year-round at full-time jobs. But in drafting the rules, the I.R.S. wrestled with the complex reality of part-time, seasonal and temporary workers.


In addition, the administration expressed concern that some employers might try to evade the new requirements by firing and rehiring employees, manipulating their work hours or using temporary staffing agencies. The rules include several provisions to prevent such abuse.


The law says an employer with 50 or more full-time employees may be subject to a tax penalty if it fails to offer coverage to “its full-time employees (and their dependents).”


Employers asked for guidance, and the Obama administration provided it, saying that a dependent is an employee’s child under the age of 26.


“Dependent does not include the spouse of an employee,” the proposed rules say.


Thus, employers must offer coverage to children of an employee, but do not have to make it affordable. And they do not have to offer coverage at all to the spouse of an employee.


The administration said that the rules — which apply to private businesses, nonprofit organizations and state and local government agencies — would require changes at many work sites.


“A number of employers currently offer coverage only to their employees, and not to dependents,” the I.R.S. said. “For these employers, expanding their health plans to add dependent coverage will require substantial revisions to their plans.”


In view of this challenge, the agency said it would grant a one-time reprieve to employers who fail to offer coverage to dependents of full-time employees, provided they take steps in 2014 to come into compliance. Under the rules, employers must offer coverage to employees in 2014 and must offer coverage to dependents as well, starting in 2015.


The new rules apply to employers that have at least 50 full-time employees or an equivalent combination of full-time and part-time employees. A full-time employee is a person employed on average at least 30 hours a week. And 100 half-time employees are considered equivalent to 50 full-time employees.


Thus, the government said, an employer will be subject to the new requirement if it has 40 full-time employees working 30 hours a week and 20 half-time employees working 15 hours a week.


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