Supreme Court to rule on Prop. 8 ban on gay marriage









WASHINGTON — The Supreme Court set the stage Friday for a historic decision on gay rights, announcing it would hear appeals of rulings striking down California's Proposition 8 and the federal law denying benefits for legally married same-sex couples.


The court could decide in the Proposition 8 case whether the Constitution's promise of equal treatment gives gays and lesbians a right to marry. But the justices also left themselves the option to rule narrowly or even to duck a decision.


In 2008, California voters approved the measure limiting marriage to a man and a woman. Last year, the U.S. 9th Circuit Court of Appeals said the proposition had illegally taken away a right to marry that gays had won in the state courts.





MAP: How gay marriage has progressed in the U.S.


This 9th Circuit decision, though limited to California, was the first by federal judges to reject a state's marriage law.


Ted Olson and David Boies, two nationally prominent attorneys who launched the legal attack on Proposition 8, served notice they would seek a broad ruling national in scope at a time when public opinion has turned in favor of gay marriage rights.


"We are going to address all the issues, focused on the fundamental constitutional right to marry of all citizens," Olson said Friday.


"We ought to have marriage equality as a constitutional right everywhere," Boies added.


Q&A: Prop. 8, gay marriage and the Supreme Court


They maintained they were not concerned that the decision to hear the case puts in jeopardy their court victory for California gays who wish to marry. If the justices had simply turned down the appeal, gay marriage would have once again been legal in the state.


John Eastman, a California law professor and chairman of the National Organization for Marriage, which supports traditional marriage, saw the court's announcement as a sign that Proposition 8 would be upheld. If so, gay marriage would remain illegal in California, barring another voter initiative.


"It's a strong signal that the justices are concerned with the rogue rulings that have come out of San Francisco. We believe the U.S. Supreme Court will overturn this exercise in judicial activism," said Eastman, a former clerk to Justice Clarence Thomas.


TIMELINE: Gay marriage since 2000


In a second case, the justices will review the constitutionality of the Defense of Marriage Act and its provision denying federal benefits to same-sex couples who are legally married. Judges in New York, New England states and California have ruled this law denies gays and lesbians the equal protection of the laws.


The court agreed to hear the case of Edith Windsor, an 83-year-old widow who was given a $363,000 tax bill by the Internal Revenue Service after her female spouse died in 2009. The two had lived together for 44 years and were married in Canada in 2007. The U.S. government said Windsor did not qualify as a "surviving spouse" under the federal law. A married heterosexual couple would not have had to pay any tax.


A ruling on this issue could affect more than 100,000 gays and lesbians who are married in the United States.


The justices will have at least four options before them in the California case.


First, they could reverse the 9th Circuit and uphold Prop. 8, thereby making clear that the definition of marriage will be left to the discretion of each state and its voters. The defenders of Prop. 8 argue that federal courts should allow this divisive social issue to be resolved over time by voters and state legislatures.


A second possibility would be for the justices to agree with Olson and Boies and rule broadly that denying gays and lesbians the fundamental right to marry violates the Constitution. This would be a historic pronouncement, akin to the 1967 ruling in Loving vs. Virginia, which struck down the laws against interracial marriages.


A third option would be to follow the approach set by the 9th Circuit and strike down Proposition 8 in a way that limits the ruling to California.





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New iPad mini orders will be delivered in time for Christmas












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Viral rapper PSY apologizes for anti-US protests












South Korean rapper and Internet sensation PSY is apologizing to Americans for participating in anti-U.S. protests several years ago.


Park Jae-sang, who performs as PSY, issued a statement Friday after reports surfaced that he had participated in concerts protesting the U.S. military presence in South Korea during the early stages of the Iraq war.












At a 2004 concert, the “Gangnam Style” rapper performs a song with lyrics about killing “Yankees” who have been torturing Iraqi captives and their families “slowly and painfully.” In another protest, he smashed a model of a U.S. tank on stage.


“While I’m grateful for the freedom to express one’s self, I’ve learned there are limits to what language is appropriate and I’m deeply sorry for how these lyrics could be interpreted,” he wrote in the statement. “I will forever be sorry for any pain I have caused by those words.”


The 34-year-old rapper says the protests were part of a “deeply emotional” reaction to the war and the death of two Korean school girls, who were killed when a U.S. military vehicle hit them as they walked alongside the road. He noted antiwar sentiment was high around the world at the time.


PSY attended college in the U.S. and says he understands the sacrifices U.S. military members have made to protect South Korea and other nations. He has recently performed in front of servicemen and women.


“And I hope they and all Americans can accept my apology,” he wrote. “While it’s important that we express our opinions, I deeply regret the inflammatory and inappropriate language I used to do so. In my music, I try to give people a release, a reason to smile. I have learned that thru music, our universal language we can all come together as a culture of humanity and I hope that you will accept my apology.”


His participation in the protests was no secret in South Korea, where the U.S. has had a large military presence since the Korean War, but was not generally known in America until recent news reports.


PSY did not write “Dear American,” a song by The N.E.X.T., but he does perform it. The song exhorts the listener to kill the Yankees who are torturing Iraqi captives, their superiors who ordered the torture and their families. At one point he raps: “Kill their daughters, mothers, daughters-in-law, and fathers/Kill them all slowly and painfully.”


PSY launched to international acclaim based on the viral nature of his “Gangnam Style” video. It became YouTube’s most watched video, making him a millionaire who freely crossed cultural boundaries around the world. Much of that success has happened in the U.S., where the rapper has managed to weave himself into pop culture.


He recently appeared on the American Music Awards, dancing alongside MC Hammer in a melding of memorable dance moves that book-end the last two decades. And the Internet is awash with copycat versions of the song. Even former Republican Sen. Alan Simpson, the 81-year-old co-chairman of President Barack Obama‘s deficit commission, got in on the fun, recently using the song in a video to urge young Americans to avoid credit card debt.


It remains to be seen how PSY’s American fans will react. Obama, the father of two pop music fans, wasn’t letting the news change his plans, though.


Earlier Friday, the White House confirmed Obama and his family will attend a Dec. 21 charity concert where PSY is among the performers. A spokesman says it’s customary for the president to attend the “Christmas in Washington” concert, which will be broadcast on TNT. The White House has no role in choosing performers for the event, which benefits the National Children’s Medical Center.


Entertainment News Headlines – Yahoo! News


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The New Old Age Blog: A Son Lost, a Mother Found

My friend Yvonne was already at the front door when I woke, so at first I didn’t realize that my mother was missing.

It was less than a week after my son Spencer died. Since that day, a constant stream of friends had been coming and going, bringing casseroles and soup, love, support and chatter. Mom hated it.

My 94-year-old mother, who has vascular dementia, has been living in my home in upstate New York for the past few years. Like many with dementia, mom is courteous but, underneath, irascible. Pride defines her, especially pride in her Phi Beta Kappa intellect. She hates to be confronted with how she has become, as she calls it, “stupid.”

The parade of strangers confused her. She had to be polite, field solicitous questions, endure mundane comments. She could not remember what was going on or why people were there. It must have been stressful and annoying.

That night, like every night since the state troopers brought the news, I woke hourly, tumbling in panic. As if it were not too late to save my son. Mom knew something was wrong, but she could not remember what. As I overslept that morning, she must have decided enough was enough. She was going home.

In a cold sky, the sun blazed over tall pines. As I opened the door, the dogs raced out to greet Yvonne and her two housecleaners. Yvonne often brags about her cleaning duo. They were her gift to me. They were going to clean my house before the funeral reception, which was scheduled for later that week. This was a very big gift because, like my mother before me, I am a very bad housekeeper.

Mom’s door was shut. I cautioned the housecleaners to avoid her room as I showed them around. Yvonne went to the kitchen to listen to the 37 unheard messages on my answering machine; the housecleaners went out to their van to get their instruments of dirt removal.

I ducked into Mom’s room to warn her about the upcoming noise. The bed was unmade; the floor was littered with crumpled tissues; the room was empty.

Normally, I would have freaked out right then. I knew Mom was not in the house, because I had just shown the whole house to the cleaners. Although Mom doesn’t wander like some dementia patients, she does on occasion run away. But I could not muster a shred of anxiety.

“Yvonne,” I called, “did you see my mother outside?”

Yvonne popped her head into the living room, eyebrows raised.“Outside? No!” She was alarmed. “Is she missing?”

“Yeah,” I said wearily, “I’ll look.” I stepped out onto the front porch, tightening the belt of my bathrobe and turning up the collar. Maybe she had walked off into the woods. The dogs danced around my legs, wanting breakfast.

I had no space left in my body to care. Either we would find her, or we would not. Either she was alive, or she was not. My child was gone. How could I care about anything ever again?

Then I saw my car was missing. My mouth fell open and my eyeballs rolled up to the right, gazing blindly at the abandoned bird’s nest on top of the porch light: What had I done with the keys?

Mom likes to run away in the car when she is angry. She used to do it a lot when my father was still alive — every time they fought. Since Mom took off in my car almost a year ago, after we had had a fight, I’d kept the keys hidden. Except for this week; this week, I had forgotten.

I was reverting to old habits. I had left the doors unlocked and the keys in the cupholder next to the driver’s seat. Exactly like Mom used to do.

“Uh-oh,” I said aloud. Mom was still capable of driving, even though she did not know where she was going. I just really, really hoped that she didn’t hurt anybody on the road. I pulled out my cellphone, about to call the police.

“Celia!” Yvonne shouted from the kitchen. She hurried up behind me, excited. “They found your mother. There are two messages on your machine.”

At that very moment, Mom was holed up at the College Diner in New Paltz, a 20-minute drive over the mountain, through the fields, left over the Wallkill River and away down Main Street.

Yvonne called the diner. They promised to keep the car keys until someone arrived. By that time, Yvonne had to go to work. She drove my friend Elizabeth to the diner, and Elizabeth drove Mom home in my car.

Half an hour later, they walked in the front door. Mom’s cheeks were rouged by the chill air and her eyes sparkled, her white hair riffing with static electricity. “Hello, hello,” she sang out. “Here we are.” She was wearing the flannel nightgown and robe I had dressed her in the night before. It was covered by her oversized purple parka, and her bare feet were shoved into sneakers.

I started laughing as soon as I saw her. I couldn’t help it. Elizabeth and Mom started laughing too. “You had a big adventure,” I said, hugging them both. “How are you?”

“I’m just marvelous,” said my mother. Mom always feels great after doing something rakish. We settled her on the sofa with her feet on the ottoman. By the time I got her blanket tucked in around her shoulders, she had fallen asleep.

Elizabeth couldn’t stop laughing as she described the scene. “Your mother was holding court in this big booth. She was sitting there in her nightgown and her parka, talking to everybody, with this plate of toast and coffee and, like, three of the staff hovering around her.”

The waitress said Mom seemed “a little disoriented” when she got there. Mom said she was meeting a friend for breakfast, but since she was wearing a nightgown and didn’t know whom she was meeting or where she lived, the staff thought there might be a problem. They convinced Mom to let them look in the glove compartment of the car, where they found my name and number.

It was then that I realized I was laughing – something I’d thought I would never be able to do again. “Elizabeth, Elizabeth, I’m laughing,” I said.

“Ha, ha, ha,” laughed Elizabeth, holding her belly.

“Ha, ha, ha,” I laughed, rolling on the floor.

And she who gave me life, who had suffered the death of my child and the extinction of her own intellect, snoozed on: oblivious, jubilant, still herself, still mine.

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Your Money: Deciding How to Slice Your Charitable Pie





Each year at this time, out of some combination of generosity and procrastination, millions of Americans rush to make donations to the causes and institutions important to them.




It is a beautiful thing, but it is also something of a scramble. The solicitations pile up. The holiday to-do list is already long. There are last-minute tax moves to make. And somewhere along the way, people find a few minutes to make a series of hasty decisions and dash off a bunch of checks.


This year, I was determined that my family would be a bit more deliberate. We already automatically give modest amounts each month, via credit card, to institutions and causes that we have a personal connection to and educational or religious institutions that shaped us or shape us still.


But I wanted us to have a true charitable asset allocation — an actual pie chart so that we could be more deliberate about how we split things up. We also had a goal of giving more to people who are lacking in basic needs.


Our historical pie chart shows us to be a lot like other Americans, with a heavy tilt toward houses of worship and secondary or higher education. According to the annual Giving USA study of how Americans give, just 8 percent of donations go to international organizations, and not all of them work on basic issues like hunger and health.


Any serious discussion of this issue ought to include a careful consideration of “The Life You Can Save,” a brief and provocative book by Peter Singer, a Princeton University professor of bioethics. To lead a truly ethical life, he writes, we should be doing much more to help poor people in faraway places. Our money can go farther there, too, giving us more bang for our charitable buck.


It is hard to argue that there is anything more important than saving one additional child’s life. But where does that leave those of us who still have a strong affinity for causes and places closer to home?


EDUCATION Many of us would not be where we are were it not for the educational institutions that picked up the bill when we could not pay full freight. To my mind, that creates not just a debt of gratitude but a running tab that I hope to clear long before I die.


Mr. Singer sees no need for people like me to repay in full, though. “I think it’s open to you to say that the marginal difference my dollar can make to an organization that already has a large endowment is not as great as one given to an organization that helps people who have almost nothing,” he said.


Even some fund-raising professionals were willing to absolve me here. “If you think about what motivates the people who fund scholarships, their intention is not necessarily for you to pay it back,” said Melissa A. Berman, the president and chief executive of Rockefeller Philanthropy Advisors. “The intention is for you to have a set of opportunities and to fulfill your potential without any strings attached.”


Strings or no, it would simply feel selfish not to give generously in this category. The one excuse Mr. Singer was willing to allow me was this one: The only way to justify giving something to educational institutions that are relatively well off (or to pay the $50,000-plus in costs for universities like his) is if they produce people and knowledge that will help solve the world’s problems.


It is hard to prove conclusively that any one institution has or will make a measurable difference. And what does he give to Princeton? “Not one cent,” he said, adding that he believes that he has talked many alumni into giving less than they might have otherwise.


HOUSES OF WORSHIP Many religious communities depend on their members for much or all of their annual budget. They would not exist but for our (still tax-deductible, for now) donations.


Mr. Singer, who is an atheist, doesn’t have much patience for this. “Maybe they could scale down a bit,” he said. “They don’t need such a comfortable place to worship while other people don’t have shelter from the elements.”


But many communities have inherited ornate buildings, which can feel like both blessings and curses from God when they start falling to pieces. Letting them rot isn’t really an option. Once they’re fixed up, however, Mr. Singer does offer a nod to the fact that people who pray there tend also to give a bit more to charity than non-God-fearing types.


If you offer financial support to your own house of worship, at the very least you have a duty to make sure that your religious community is making fellow members aware of the need to help people who have much less than you do.


CULTURAL INSTITUTIONS Here, Mr. Singer is perhaps at his most blunt. “Philanthropy for the arts or for cultural activities is, in a world like this one, morally dubious,” he writes in his book.


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An actor despairs in Tinseltown









Seth Burnham sat in a dim corner of Kaldi Coffee & Tea, clutching a mug as he tried to conjure some confidence.


Being here in L.A., I'm giving it everything, he thought.


But after three years of living in Los Angeles, he hadn't had a single role he could be proud of. In a cable TV comedy, he played Percy the Carjacker, a dimwit blown to shreds by an air hose. For an independent film, he had been the best friend of a beautiful woman — a role the script called Small Gay Man.





Hollywood is one big lottery. You have to play it if you want a career in movies or TV....You have to be here. You have to believe.


Sometimes that was tough. Take STARmeter, the entertainment insider's website that measures the popularity of Hollywood actors.


"I was No. 80,000," Burnham said, "for a while."


Frustrated and fatigued, he would retire to this worn, cave-like cafe in Atwater Village.


He had found his surrogate Los Angeles family here, a group of a dozen or so who eased his loneliness and shared his Hollywood ambition: Amy, the animator who had worked on "South Park," Nicholas, whose latest film was well received at the Sundance Film Festival, and Amad, a rising African American actor who worried about being typecast in criminal roles.


They stayed for hours, talking, typing, hunched hard over laptops, nursing lattes. They were actors, writers and directors; stragglers, success stories and hard-luck cases like Burnham.


Many days, he sat in a torn leather chair reading through newspapers and memorizing scripts. He seemed swallowed in the furniture — brown-haired, bearded, not much more than 5 feet tall, with worry lines marching from the corners of his eyes.


Time was against him. Asked his age back in February, Burnham paused. "Mid 30s-ish, early 40s-ish," he said.


Outside of the cafe, he had few Los Angeles friends. His wife, a medical student, moved to St. Louis last year for a residency, but he stayed here. They decided that if she was going to devote herself fully to her dream, then he would too.


But how much more rejection could he handle? And was the unrelenting struggle worth more to him than his marriage?


::


Since his college days in the early 1990s, the acting quest had taken Burnham to several cities. He lived in San Francisco and London, where he trained at a drama school in the classical English style and started a theater company. He lived in Portland, Ore., and Seattle, where he got good reviews for his role in a modern adaptation of Chekhov's "The Seagull."


Everywhere he put down roots he found a place like Kaldi. "The anti-Starbucks," he said. "Just my style."


In Los Angeles, he developed a cafe routine. Each morning, he awoke in his cramped apartment, fed kibbles to his cats, threw on his sneakers and walked across Glendale Boulevard.


He drank two iced coffees a day, no more. He couldn't afford more, not when he didn't have a job — he had to be free for auditions. He relied on credit cards and his wife's salary to pay his bills.


Burnham didn't want fame; he wanted to simply be a journeyman, a working actor, appreciated for his skill, making roughly the same yearly salary as a union electrician.


He sat in the cafe for entire mornings and sometimes entire days. "Wrestling demons," he said.





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Actor Stephen Baldwin charged in NY tax case












WHITE PLAINS, N.Y. (AP) — Actor Stephen Baldwin was charged Thursday with failing to pay New York state taxes for three years, amassing a $ 350,000 debt.


Rockland County District Attorney Thomas Zugibe said Baldwin, of Upper Grandview, skipped his taxes in 2008, 2009 and 2010.












The youngest of the four acting Baldwin brothers pleaded not guilty at an arraignment and was freed without bail. His lawyer, Russell Yankwitt, said Baldwin should not have been charged.


“Mr. Baldwin did not commit any crimes, and he’s working with the district attorney‘s office and the New York State Tax Department to resolve any differences,” Yankwitt said.


The district attorney said Baldwin could face up to four years in prison if convicted. The actor is due back in court on Feb. 5.


Zugibe said Baldwin owes more than $ 350,000 in tax and penalties.


“We cannot afford to allow wealthy residents to break the law by cheating on their taxes,” the district attorney said. “The defendant’s repetitive failure to file returns and pay taxes over a period of several years contributes to the sweeping cutbacks and closures in local government and in our schools.”


Thomas Mattox, the state tax commissioner, said, “It is rare and unfortunate for a personal income tax case to require such strong enforcement measures.”


Baldwin, 46, starred in 1995′s “The Usual Suspects” and appeared in 1989′s “Born on the Fourth of July.” He is scheduled to appear in March on NBC’s “The Celebrity Apprentice.”


His brothers Alec, William and Daniel are also actors.


A bankruptcy filing in 2009 said Stephen Baldwin owed $ 1.2 million on two mortgages, $ 1 million in taxes and $ 70,000 on credit cards.


In October, Baldwin pleaded guilty in Manhattan to unlicensed driving and was ordered to pay a $ 75 fine. Earlier this year, he lost a $ 17 million civil case in New Orleans after claiming that actor Kevin Costner and a business partner duped him in a deal related to the cleanup of the 2010 Gulf of Mexico oil spill. The actors and others had formed a company that marketed devices that separate oil from water.


Baldwin co-hosts a radio show with conservative talk figure Kevin McCullough.


Entertainment News Headlines – Yahoo! News


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Drug Makers Challenge Pill Disposal Law in California





Brand name drug makers and their generic counterparts rarely find themselves on the same side of an issue, but now they are making an exception. They have teamed up to fight a local law in California, the first in the nation, that makes them responsible for running — and paying for — a program that would allow consumers to turn in unused medicines for proper disposal.




Such so-called drug take-back programs are gaining in popularity because of a growing realization that those leftover pills in your medicine cabinet are a potential threat to public health and the environment.


Small children might accidentally swallow them and teenagers will experiment with them, advocates of the laws say. Prescription drug abusers can, and are, breaking into homes in search of them. Unused pills are sometimes flushed down the toilet, so pharmaceuticals are now polluting waterways and even drinking water. One study found the antidepressant Prozac in the brains of fish.


Most such take-back programs are run by local or other government agencies. But increasingly there are calls to make the pharmaceutical industry pay.


“We feel the industry that profits from the sales of these products should have the financial responsibility for proper management and disposal,” said Miriam Gordon, California director of Clean Water Action, an advocacy group.


In July, Alameda County, Calif., which includes Oakland and Berkeley, became the first locality to enact such a requirement. Drug companies have to submit plans for accomplishing it by July 1, 2013.


But the industry plans to file a lawsuit in United States District Court in Oakland on Friday, hoping to have the law struck down. The suit is being filed by the Pharmaceutical Research and Manufacturers of America, or PhRMA, which represents brand-name drug companies, the Generic Pharmaceutical Association and the Biotechnology Industry Organization.


James M. Spears, general counsel of PhRMA, said the Alameda ordinance violated the Constitution in that a local government was interfering with interstate commerce, a right reserved for Congress.


“They are telling a company in New Jersey that you have to come in and design and implement and pay for a municipal service in California,” he said in an interview.


“This program is one where the cost is shifted to companies and individuals who are not located in Alameda County and who won’t be served by it.”


Mr. Spears, who is known as Mit, said that the program would cost millions of dollars a year to run and that pharmaceutical companies were “not in the waste disposal business.” He said it would be best left to sanitation departments and law enforcement agencies, which must be involved if narcotics, like pain pills, were to be transported.


Nathan A. Miley, the president of the Alameda County Board of Supervisors and the champion of the legislation, said late Thursday, “It’s just unfortunate that PhRMA would fight this because it would be pennies for them.”


“We will win legally and will win in the court of public opinion as well,” Mr. Miley said.


The battle in Alameda could set the direction for other states and localities. Legislators in seven states have introduced bills to require drug companies to pay for take-back programs in the last few years, said Scott Cassel, founder and chief executive of the Product Stewardship Institute, a nonprofit group that advocates such programs. But none of the bills have passed.


Mr. Cassel said about 70 similar “extended producer responsibility” laws have been enacted in 32 states for other products, like electronic devices, mercury-containing thermometers, fluorescent lamps, paint and batteries. He said he was not aware that any had been struck down on constitutional grounds.


The pharmaceutical industry already pays for take-back programs in some other countries. The law in Alameda is modeled partly on the system in British Columbia and two other Canadian provinces. There, the industry formed the Post-Consumer Pharmaceutical Stewardship Association, which runs the programs.


Consumers can take unused drugs back to pharmacies, from which they are periodically collected. Drug companies pay for the program in proportion to their market share, said Ginette Vanasse, executive director of the association. The program for British Columbia, with a population over four million, costs about $500,000 a year, she said.


The extent of the problem of unused pills and how best to handle them are matters of debate.


The United States Geological Survey has found various drugs, including antidepressants, antibiotics, heart medicines and hormones, in waterways it has sampled. Sewage treatment plants and drinking water treatment plants are not meant to remove pharmaceuticals.


Still, it is not known what effect the chemicals might have. “It’s a hard-to-pin-down problem,” said Sonya Lunder, a senior analyst at the Environmental Working Group, an advocacy group. It is thought that trace amounts in drinking water are probably not harmful. But larger amounts found in wastewater could be having an impact on wildlife.


It is also unclear whether take-back programs will help. Experts generally agree that the bigger source of pollution is urine and feces containing the remnants of drugs that are ingested, not the unused pills flushed down the toilet.


PhRMA also argues that take-back programs will not help much with the problem of drug abuse either. Mr. Spears said that it was better to have consumers tie up unused pills in a plastic bag and throw them in the trash. That is more effective, he said, because people would not have to travel to a collection point. Such collection points could become targets for thieves and drug abusers.


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In Shift of Jobs, Apple Will Make Some Macs in U.S.





Apple plans to join a small but growing number of companies that are bringing some manufacturing jobs back to the United States, drawn by the growing economic and political advantages of producing in their home market.







Kevork Djansezian/Getty Images

Timothy D. Cook, Apple's chief executive, introduced new products in October, including a thinner iMac.






On Thursday, Apple’s chief executive, Timothy D. Cook, who built its efficient Asian manufacturing network, said the company would invest $100 million in producing some of its Mac computers in the United States, beyond the assembly work it already does in the United States. He provided little detail about how the money would be spent or what kinds of workers might benefit.


Apple, which long manufactured parts in the United States but stopped about a decade ago, has been under pressure to create more jobs here given its market power. It sold 237 million iPods, iPads, Macs and other devices in the year ended in September.


“I don’t think we have a responsibility to create a certain kind of job,” Mr. Cook told Bloomberg Businessweek. “But I think we do have a responsibility to create jobs.”


Some analysts are hopeful that the move by a big, innovative company like Apple could inspire a broader renaissance in American manufacturing, but a number of experts remain skeptical.


“I find it hard to see how the supply chains that drive manufacturing are going to move back here,” said Andre Sharon, a professor at Boston University and director of the Fraunhofer Center for Manufacturing Innovation. “So much of the know-how has been lost to Asia, and there’s no compelling reason for it to return. It’s great when a company says they want to create American jobs — but it only really helps the country if those are jobs that belong here, if it starts a chain reaction or is part of a bigger economic shift.”


Over the last few years, companies across various industries, including electronics, automotive and medical devices, have announced that they are “reshoring” jobs after decades of shipping them abroad. Lower energy costs in America, rising wages in developing countries like China and Brazil, quality control issues and the desire to keep the supply chain close to the gigantic American consumer base have all factored into these decisions.


“Companies were going abroad in pursuit of cost reduction, and it turns out there were a lot of unintended costs,” said Diane Swonk, chief economist at Mesirow Financial. “America has been looking a lot more competitive lately.”


Even so, the impact on the American job market has been modest so far. Much of the work brought back has been high-value-added, automated production that requires few actual workers, which is part of the reason America’s higher wages are not scaring off companies.


American manufacturing has been growing in the last two years, but the sector still has two million fewer jobs than it had when the recession began in December 2007. Worldwide manufacturing appears to be growing much faster, even for many of the American-owned companies that are expanding at home. General Electric, for example, has hired American workers to build water heaters, refrigerators, dishwashers and high-efficiency topload washers, but continues to add more jobs overseas as well.


Apple has not announced plans to move the complex, faster-growing portions of its product lines. Macs now represent a relatively small part of Apple’s business, accounting for less than 20 percent of its nearly $36 billion in revenue in its most recent quarter. The company’s iPad and iPhone products, which amount to nearly 70 percent of its sales, will continue to be made in low-cost centers of manufacturing like China, mostly on contract with outside companies like Foxconn.


Mr. Cook’s statements suggested Apple was planning to build more of the Mac’s components domestically, but with partners. He told Bloomberg Businessweek that the plan “doesn’t mean that Apple will do it ourselves, but we’ll be working with people, and we’ll be investing our money.”


Whether Apple’s newly announced plan might help create other higher-paying jobs along the supply line depends on the nature of the manufacturing.


Other computer manufacturing has been trickling back to the United States after largely shifting overseas in the 1990s.


Charles Duhigg and Quentin Hardy contributed reporting.



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Obama resolute in showdown with GOP over 'fiscal cliff'









WASHINGTON — President Obama brushed off the latest Republican gambit to gain leverage in averting the so-called fiscal cliff, bluntly telling business chief executives in a speech Wednesday, "I'm not going to play that game."


That flash of swagger reflects growing White House confidence about its position in the year-end showdown over scheduled spending cuts and tax increases. With less than a month to act and the wind of an electoral victory at their back, White House officials think they are boxing in Republicans.


The White House credits its strategy crafted from painful lessons of past go-rounds with the Republican-led House. Rather than engaging intensely with the GOP leadership in high-profile meetings, Obama has sought to isolate Republicans and pump up the pressure from all sides. He has picked a red line and is sticking to it. And now he's waiting.





"The only time these guys have ever moved on something is when they have felt the outside pressure," said an Obama advisor who requested anonymity to discuss strategy.


Both sides say they are working to defuse the scheme of tax increases and budget cuts they enacted to force themselves to reach a larger deficit reduction deal. Experts say that if nothing is done, the double blow could send the economy back into recession.


For now, though, the president has reason to be resolute, even as Republicans call on him to counter their latest offer.


Treasury Secretary Timothy F. Geithner underscored that position Wednesday in an interview on CNBC. The administration is "absolutely" ready to go over the "fiscal cliff" if Republicans refuse to raise tax rates on the wealthy, he said.


"There's no prospect in an agreement that doesn't involve those rates going up on the top 2% of the wealthiest Americans," he said.


Public polling shows a majority of Americans not only support the president's push to allow tax rates to rise on top earners but are prepared to hold the GOP responsible if negotiations fail. A new poll from the Washington Post and Pew Research Center found that 53% of Americans said Republicans should be blamed if there is no deal, compared with 27% who would blame the president.


Obama's stance has bred discord and frustration among Republicans on Capitol Hill who find themselves in the politically awkward position of threatening a tax increase for all to preserve lower taxes for the wealthy. Tension bubbled up this week as Republicans floated a new strategy that would involve reviving a threat to let the U.S. default on its debt payments.


Under that scenario, Republicans would agree to raise taxes on the wealthiest 2% of taxpayers, as the president has demanded, but would defer talks about a larger deficit reduction package until the new year, when Obama would need their votes to avoid a federal default on the debt. Republicans could then demand concessions on the federal budget in return for voting to raise the nation's debt limit.


"The debt ceiling is hanging out there, and the debt ceiling is the next point of leverage," said Rep. Steve King, a conservative Republican from Iowa. "The president does not fear the fiscal cliff. He's concerned about who's going to get the blame. But he doesn't fear the cliff."


A spokesman for House Speaker John A. Boehner (R-Ohio) also suggested that Republicans would try to extract spending cuts in return for a debt limit increase. "We agree there is no reason for drama surrounding a debt limit increase. All that is required is the president getting serious about spending cuts," said Boehner spokesman Brendan Buck.


In his CNBC interview, Geithner said the administration would insist that any agreement include an increase in the debt ceiling.


Obama and Boehner spoke on the phone Wednesday. Neither side disclosed details of the call.


Obama's strategy involves risks. His repeated attempts to bludgeon Republicans on taxes while offering no new concessions has engendered little goodwill, and he will need some Republican votes soon.


And his declaration that he won't play chicken with the vote to raise the debt ceiling? Though that is the tough talk that some Democrats have craved, it has little practical meaning. Unless Republicans agree to his request to largely cede authority to raise the limit, he will need Congress to do it.


For Obama, the lesson on how to gain and use leverage began with the summer of 2011, when a marathon of high-level bargaining sessions with Republicans failed to produce a grand bargain on the federal budget.


After that, Obama set out to negotiate on the campaign trail, announcing his terms publicly as he rallied people behind them.


The Obama team added social media campaigns and testimonials from middle-class Americans, and managed to pass an extension of the payroll tax break in February. That's when aides came to believe the president could shift the dynamic in talks with Capitol Hill.


Early signs are that the formula may be working again. The latest Twitter campaign has elicited more than 100,000 emails from people explaining how the middle-class tax increase would affect them.


And Obama's outreach to interested parties is showing progress. Business leaders are worrying openly about the uncertainty around the fiscal cliff and debt ceiling.


At the Business Roundtable on Wednesday, Boeing's chief executive introduced Obama by suggesting that business leaders could "serve a useful purpose in the dialogue."


To be sure, there's grousing about Obama's negotiating posture. Sen. Mitch McConnell (R-Ky.), the chamber's Republican leader, has complained that Obama is campaigning rather than working out the issues with his negotiating partners.


But the strategy is worth the aggravation, administration officials think. The president isn't avoiding private negotiations, but doesn't plan to start them until there is some movement.


"Once Republicans acknowledge that rates are going up for top earners," White House Press Secretary Jay Carney said, "we believe that an agreement is very achievable."


christi.parsons@latimes.com


kathleen.hennessey@latimes.com


Melanie Mason, Michael A. Memoli and Lisa Mascaro in the Washington bureau contributed to this report.





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