EGYPT

As Egypt seeks to establish a new and representative political system after the fall of the Mubarak regime, the one helpful action the United States and Europe could take would be to ensure that Egypt's drama doesn't turn into desperate tragedy by ensuring its food supply.


Food shortages and rising prices were one of the underlying factors behind the explosions in Tunisia and Egypt, with demonstrators brandishing loaves of bread and complaining of the high price of staples like lentils. The increased costs of feeding Egypt, the world's leading importer of wheat, could topple the fledgling new government.

Other Arab and Islamic governments have been desperately buying up wheat on world markets. Algeria paid top price for 800,000 tons of wheat last month. Indonesia is buying 800,000 tons of rice. Saudi Arabia, Jordan, Libya and Bangladesh are all scouring the world markets for more, spurring the United Nations' Food and Agricultural Organization appeal against panic buying that would "aggravate the situation."



With world food prices hitting highs this month, the situation is about to get a deal worse thanks to the latest report of what the official Xinhua news agency says is China's worst drought for 60 years. Xinhua added that Shandong Province, the heartland of Chinese grain production, was facing its worst drought in 200 years unless serious rains come this month.


Reports from witnesses say the land is so dry from Beijing south through the provinces of Hebei, Henan and Shandong to Jiangsu province and Shanghai that trees and houses are coated with dust -- the topsoil that has blown off the drought-parched farmland.


Almost 8 million hectares of winter wheat -- 42 percent of the total planted in the eight major producing provinces -- are affected by the drought, a statement Friday by Minister of Agriculture Han Changfu claims. China's President Hu Jintao and Prime Minister Wen Jiabao each visited the drought-stricken regions and each called for "all-out efforts" to cope with the water shortage.


"China's grain situation is critical to the rest of the world -- if they are forced to go out on the market to procure adequate supplies for their population, it could send huge shock waves through the world's grain markets," argues Robert S. Zeigler, director of the International Rice Research Institute in the Philippines. "They can buy whatever they need to buy and they can outbid anyone."


That is the real concern for the threatened regimes of the Arab world. Once China with its massive sayings of almost $3 trillion in cash starts to hit world food markets, few other countries are likely to be able to afford to import the grain needed to fend of riots and even starvation. Hungry people have little patience and few options and if the United States and Europe want events in Egypt to unfold in an orderly and peaceful manner, food supplies may be the key.


Even without the drought in China, the world was already facing a food crisis. The drought and fires in Russia last year, followed by the devastating floods in Australia and Brazil, have pushed world food stocks dangerously low and driven prices to record highs -- with disturbing political implications.


"People often in developing countries spend half or three quarters of their income in food, so they've got little margin," World Bank President Robert Zoellick noted last week. "Egypt is a very big wheat importer, food prices have been going up, so while we're in a transition process we have to be trying to think of how to help the country get through to the next steps."


Governments around the world are reacting in different ways by buying stocks or by trying to force food prices down, as Israel did last week by cutting fuel and water taxes, or by passing new legislation. Indian Prime Minister Manmohan Singh said last week that his government was introducing a Right to Food Act to guarantee safety net for India's 400 million poorest people among whom malnutrition was particularly high.
U.S. Department of Agriculture data indicate the world's top wheat importers are Egypt, with almost 10 million tons a year, and Iran with 8 million tons. Algeria imports more than 5 million tons, Morocco imports 4 million tons and Nigeria and Turkey each import 3.5 million tons. So the vulnerability of Arab and Islamic countries to rising prices is particularly severe.


But China is the joker in the pack. Usually self-sufficient in food, China accounts for almost 20 percent of global wheat output, producing nearly twice as much wheat as the United States or Russia and more than five times as much as Australia. China also produces one-fifth of the world's corn, mostly in the northern provinces where the current drought is most acute.


The new concern is for China's rice crop, grown mostly in the south and highly vulnerable to drought. The signs are ominous, since the Hong Kong Observatory reports that the region received only half of its usual rainfall in December and only 22 percent of its usual rainfall in January.


As the world's largest importer of soybeans, mainly for animal feed, China already has a steep food import bill. And with more than 50 million tons of wheat stockpiled, about half the usual harvest, China has a cushion. And it can call on military resources to seed clouds to stimulate rain. But if this year's rice and corn harvests are disappointing, China may have to buy heavily on world markets, plunging Egypt, Morocco, Algeria and Iran into new crises.

OBAMA BUDGET 2012

 Barack Obama is sending Congress a $3.73 trillion spending blueprint that pledges $1.1 trillion in deficit savings over the next decade through spending cuts and tax increases.

Obama's new budget projects that the deficit for the current year will surge to an all-time high of $1.65 trillion. That reflects a sizable tax-cut agreement reached with Republicans in December. For 2012, the administration sees the imbalance declining to $1.1 trillion, giving the country a record four straight years of $1 trillion-plus deficits.

Jacob Lew, Obama's budget director, said that the president's spending proposal was a balanced package of spending cuts and "shared sacrifice" that would bring the deficits under control. Appearing on ABC's "Good Morning America," Lew said that Obama's budget would "stand the test that we live within our means and we invest in the future."

Senior administration officials, who spoke on condition of anonymity in advance of the formal release of the budget, said that Obama would achieve two-thirds of his projected $1.1 trillion in deficit savings through spending cuts including a five-year freeze on many domestic programs.

The other one-third of the savings would come from tax increases, including limiting tax deductions for high income taxpayers, a proposal Obama put forward last year only to have it rejected in Congress.
The Obama budget recommendation, which is certain to be changed by Congress, would spend $3.73 trillion in the 2012 budget year, which begins Oct. 1, a reduction of 2.4 percent from what Obama projects will be spent in the current budget year.

The Obama plan would fall far short of the $4 trillion in deficit cuts recommended in a December report by his blue-ribbon deficit commission. That panel said that real progress on the deficit cannot be made without tackling the government's big three entitlement programs — Medicare, Medicaid and Social Security — and defense spending.

Obama concentrated his cuts in the one-tenth of the budget that covers most domestic agencies, projecting $400 billion in savings from a five-year freeze in this area. Some programs would not just see spending frozen at 2010 spending levels but would be targeted for sizable cuts.

Republicans, who took control of the House in the November elections and picked up seats in the Senate in part because of voter anger over the soaring deficits, called Obama's efforts too timid. They want spending frozen at 2008 levels before efforts to fight a deep recession boosted spending in the past two years.

CHILDRENS EXERCISE

They hope the findings in 171 overweight 7- to 11-year-olds -- all sedentary when the study started -- gives educators the evidence they need to ensure that regular, vigorous physical activity is a part of every school day, said Dr. Catherine Davis, clinical health psychologist at GHSU's Georgia Prevention Institute and corresponding author on the study in Health Psychology.

"I hope these findings will help reestablish physical activity's important place in the schools in helping kids stay physically well and mentally sharp," Davis said. "For children to reach their potential, they need to be active."
To measure cognition, researchers used the Cognitive Assessment System and Woodcock-Johnson Tests of Achievement III that measure abilities such as planning and academic skills such as math and reading. A subset of the children received functional magnetic resonance imaging highlighting increased or decreased areas of brain activity.

MRIs showed those who exercised experienced increased brain activity in the prefrontal cortex -- an area associated with complex thinking, decision making and correct social behavior -- and decreased activity in an area of the brain that sits behind it. The shift forward appears consistent with more rapidly developing cognitive skills, Davis said.

And the more they exercised, the better the result. Intelligence scores increased an average 3.8 points in those exercising 40 minutes per day after school for three months with a smaller benefit in those exercising 20 minutes daily.

Activity in the part of their brain responsible for so-called executive function also increased in children who exercised. "In kids you just don't know what impact you are going to have when you improve their ability to control their attention, to behave better in school, to make better choices," Davis notes. "Maybe they will be more likely to stay in school and out of trouble."

Similar improvements were seen in math skills; interestingly, no improvements were found in reading skill. Researchers note that improved math achievement was "remarkable" since no math lessons were given and suggests longer intervention could produce even better results.

Children in the exercise program played hard, with running games, hula hoops and jump ropes, raising their heart rates to 79 percent of maximum, which is considered vigorous.

Cognitive improvements likely resulted from the brain stimulation that came from movement rather than resulting cardiovascular improvements, such as increased blood and oxygen supplies, Davis said. "You cannot move your body without your brain."

The researchers hypothesize that such vigorous physical activity promotes development of brain systems that underlie cognition and behavior. Animal studies have shown that aerobic activity increases growth factors so the brain gets more blood vessels, more neurons and more connections between neurons. Studies in older adults have shown exercise benefits the brain and Davis's study extends the science to children and their ability to learn in school.

Huayra Supercar

You’ll have to ask your friend from Lake Titicaca how to pronounce it, but if a picture is truly worth a thousand words, images of the Huayra speak for themselves.

Named after an ancient Andean god of wind, the Italian supercar is the latest from one of the world’s smallest and most bespoke automakers, Pagani. Never heard of it? That’s because it doesn’t sell cars in the United States, yet.

Unlike the company’s current car, the Zonda, the Huayra has been engineered to meet U.S. safety and emissions standards, and should be available here, at least to a few extremely wealthy individuals.

The price tag for this gullwing, grouper-faced objet d’art is $1.4 million. For that you get what’s described as a carbon-titanium monocoque chassis cradling a mid-mounted, 700 hp 6.0-liter twin-turbocharged V12 engine designed for Pagani by AMG, the performance arm of Mercedes-Benz.

With a seven-speed dual-clutch automatic transmission and a weight of under 3,000 pounds, the Huayra should deliver incredible acceleration. The company claims a top speed of over 230 mph. A moveable wing with four adjustable flaps allows the car to transform its aerodynamics to suit the prevailing winds being generated by such speeds.

In true Pagani form, two passengers are treated to the most over the top, retro-fabulous interior imaginable, with lots of shiny pods for the gauges, carbon fiber trim and the richest leather this side of the sofas in a Medici sitting room.

Like it? Unless you can afford one, enjoy the photos. Pagani plans to make only about 20 per year, for the entire world. So, unless you live near the company’s headquarters in Modena, or perhaps in Dubai, don’t expect to see one parked in front of your house anytime soon

GOOGLE NEWS

Google is preparing to launch Google Offers, the search giant's Groupon competitor, Mashable has learned.
We have the documents to prove it -- one of our sources has sent us a confidential fact sheet straight from the Googleplex about the company's new group buying service.


"Google Offers is a new product to help potential customers and clientele find great deals in their area through a daily email," the fact sheet says.


Google Offers looks and operates much like Groupon or LivingSocial. Users receive an e-mail with a local deal-of-the-day. They then have the opportunity to buy that deal within a specific time limit (we assume 24 hours). Once enough people have made the purchase, the Google Offer is triggered and users get that all-too-familiar $10 for $20 deal for that Indian restaurant you've never tried.


From what we can tell, Google Offers will be powered by Google Checkout. It also includes Facebook, Twitter, Google Reader, Google Buzz and e-mail sharing options.


Google is actively reaching out to businesses now to get them on board with Offers. It even apparently has a writing team in place to craft the write-up for offers.


Google famously tried to buy Groupon for $6 billion just a few months ago in order to bolster its local advertising business. Groupon rejected the offer though and is instead preparing for a $15 billion IPO.
The search giant clearly isn't giving this market up without a fight, though. With its vast reach, huge resources and brand recognition, it could prove to be a powerful player in the space.


We're going to be watching these developments closely. Look here to see the entire fact sheet Google is sending to local businesses:


Google has responded to our inquiry and sent us the following statement:


"Google is communicating with small businesses to enlist their support and participation in a test of a pre-paid offers/vouchers program. This initiative is part of an ongoing effort at Google to make new products, such as the recent Offer Ads beta, that connect businesses with customers in new ways. We do not have more details to share at this time, but will keep you posted."


Google essentially confirms Google Offers is real. It looks like Google Offers is in the testing phases, though.

We've also learned that Google will pay out 80% of a business' revenue share three days after its deal runs. Google will hold the remaining 20% for 60 days to cover refunds before sending the rest.

Misuse of scientific research to create designer drugs

Writing in the journal Nature, Professor David Nichols of Purdue University, Indiana, says he is "haunted" by deaths linked to a drug based on his own research.

MTA or "flatliners" used a blueprint published by the professor and was sold as a "legal high", drugs which mimic the effects of illegal substances. It has since been banned as a class-A drug in the UK.
Back in the 1990s, Professor Nichols and colleagues were experimenting with chemicals similar to the one used in the drug ecstasy.

The hope was they the research might lead to new drugs to treat depression. He published three papers on the effects on rats of one chemical called 4-methylthioamphetamine or MTA.

It later emerged the work had been used to create pills dubbed "flatliners", which were linked with at least six deaths.

But it is only recently that the professor has become fully aware of how the designer drugs industry has been systematically mining his work for recipes.

"It's not like you took a gun and shot somebody because then you would know you'd been responsible," he told the BBC, "but people were taking something that you had published and I was alerting them that this might be an active molecule."

Kitchen lab
Professor Nichols says MTA, and other chemicals he has developed, can be created in a kitchen laboratory.
"It is something that someone with a PhD, if they're really determined to do it, could probably set up in a laboratory in their kitchen.

"If they could get the necessary chemicals, they could make some of these things, but these drugs are being made on a much larger scale than just the occasional chemist with the curiosity.

"It sounds like these things have really become a small industry."

The professor is by no means the only scientist to have his work plundered by the drug makers.
He says several synthetic drugs which mimic the effects of cannabis have been developed using data from publicly available scientific literature.

The British authorities have moved to ban a host of "legal highs" in recent years including GBL, BZP and mephedrone.

Mephedrone, which is also known as "meow", was banned last year after it was associated, in some cases wrongly, with a number of deaths

AUSTRALIA FLOODS

Australia's record floods are causing catastrophic damage to infrastructure in the state of Queensland and have forced 75 percent of its coal mines, which fuel Asia's steel mills, to grind to a halt, Queensland's premier said on Wednesday.

The worst flooding in decades has affected an area the size of Germany and France, leaving towns virtual islands in a muddy inland sea, devastated crops, cut major rail and road links to coal ports, slashed exports and forced up world coal prices.

"Seventy-five percent of our mines are currently not operation because of this flood," Premier Anna Bligh told local television. "So, that's a massive impact on the international markets and the international manufacturer of steel."

The Australian floods, which have cut off 22 towns and affected 200,000 people, have resulted from the La Nina weather phenomenon, which produces monsoonal rains over the western Pacific and Southeast Asia.

The La Nina is expected to last another three months after it produced Australia's third-wettest year on record in 2010, the nation's weather bureau said on Wednesday.

"Queensland is a very big state. It relies on the lifelines of its transport system, and those transport systems in some cases are facing catastrophic damage," said Bligh.