The World and Everything in It: September 5, 2022

MARY REICHARD, HOST: Good morning!

Another dispute brews over government censorship of citizens on social media.

NICK EICHER, HOST: Also our weekly conversation with economist David Bahnsen and he’ll answer your questions.

Plus the WORLD History Book. 50 years ago this week, a hostage situation during the ’72 Summer Olympics in Munich.

REICHARD: It’s Labor Day, September 5th. This is The World and Everything in It from listener-supported WORLD Radio. I’m Mary Reichard.

EICHER: And I’m Nick Eicher. Good morning!

REICHARD: Up next, Kent Covington with today’s news.

KENT COVINGTON, NEWS ANCHOR: Canada stabbings » At least 10 people are dead after a series of stabbings at an Indigenous community in Saskatchewan, Canada. Fifteen others are wounded.

Royal Canadian Mounted Police Assistant Commissioner Rhonda Blackmore:

BLACKMORE: Our thoughts are with the many victims, deceased and injured, their family, friends, and communities. It is horrific what has occurred in our province today.

She said there are 13 crime scenes on the James Smith Cree Nation and in the village of Weldon.

Police last night were searching for two suspects. Blackmore said it appeared the perpetrators targeted some of the victims, while others were attacked at random. She could not speak to a possible motive.

Zaporizhzhia » Heavy fighting around Ukraine’s Zaporizhzhia nuclear plant partially knocked the facility offline over the weekend.

UN nuclear chief Rafael Grossi is leading a team of inspectors. He said the plant clearly bears the scars of war.

GROSSI: I was able to see myself and my team impact holes, markings on buildings from shelling.

The plant’s last external power line was severed on Saturday, but the facility was able to run electricity through a reserve line, even as nearby explosions shook the ground.

Russia has occupied the Zaporizhzhia facility since early March, but Ukrainian staff continues to operate it.

Jackson water » Water is flowing once again in Jackson, Mississippi. Officials announced Sunday that they’ve restored water pressure to most of the city’s customers. But it’s still not safe to drink just yet. Mayor Chokwe Antar Lumumba:

LUMUMBA: In terms of having water that is fit for consumption, I think that we are a matter of days, not weeks, away from that.

The boil notice will continue until the city reports two rounds of clear samples.

At least 9 migrants died in border crossing » Border officials in Texas searched for more drowning victims over the weekend. That after at least nine migrants died trying to cross the rain-swollen Rio Grande.

Mexican officials also aided in the search near Eagle Pass, Texas.

U.S. crews rescued 37 others from the river, which rose more than 2 feet in a single day.

The Del Rio sector, which includes Eagle Pass, is fast becoming the busiest corridor for illegal crossings. Agents stopped migrants nearly 50,000 times in the sector in July alone.

CA wildfire » In Northern California, firefighters are laboring to contain a blaze that sparked out of control at the start of the Labor Day weekend.

The blaze has driven about 1,000 people from their homes in the rural community of Weed. One local resident described a frightening scene …

AUDIO: I went outside. Everything was black. Debris, fire was going through the air. Things were exploding. You couldn’t see in front of your face.

As of Sunday, the fire covered about 7 square miles and was 25% contained.

Cal Fire reported three injuries but no fatalities.

NASA moon rocket » NASA’s new moon rocket remains on the launching pad.

The rocket sprang another dangerous fuel leak over the weekend. That forced controllers to scrub their second attempt to send a crew capsule into lunar orbit with test dummies.

It’s unclear when they’ll try again. Artemis Mission Manager Mike Sarafin:

SARAFIN: Our focus is on understanding the problem, developing solutions. Then we’ll follow up next week when we have those options fleshed out further.

NASA hopes to reschedule the launch for later this month.

The previous attempt to launch a week ago was also troubled by hydrogen leaks.

Box office » At the weekend box office, Spider-man swung into first place again.

TRAILER: When Mysterio revealed my identity, my entire life got screwed up. I was wondering if you can maybe make it so that he never did?

The re-release of Spider-Man: No Way Home took in another $8 million domestically over the holiday weekend. It has now grossed almost $2 billion worldwide.

Another holdover, Top Gun: Maverick finished second with $7 million. The sequel has now grossed nearly 1.5 billion globally.

I’m Kent Covington. Straight ahead:Another dispute brews over government censorship of citizens on social media. 

This is The World and Everything in It.

MARY REICHARD, HOST: It’s Monday morning and we’re so glad you’ve joined us for today’s edition of The World and Everything in It! Good morning! I’m Mary Reichard.

NICK EICHER, HOST: And I’m Nick Eicher. First, an update on a story we ran in June about Oberlin College in Ohio.

The school appealed a multi-million dollar judgment against it from 2019. That’s when a jury faulted the college for the way it handled race accusations against a local bakery.

Oberlin College appealed the judgment and lost. It then appealed to the state Supreme Court that last week declined to review the ruling.

REICHARD: The damages stem from the college defaming the Gibson Food Mart and Bakery, interfering with a food contract, and intentional infliction of emotional distress.

The case arose in 2016 when a black male student used a fake ID to try to buy alcohol at the food mart. The student also tried to steal a bottle of wine and when confronted, he ran.

Before the facts were in, accusations of racism took hold, student protests escalated, and Oberlin College joined in support of the students.

So it appears the years-long battle is finally over and Oberlin must pay more than $30 million to the Gibson family.

EICHER: Now for a dispute brewing in New York.

The state passed a law in July banning guns from many public places including Times Square. It also banned civilians from purchasing bullet-resistant vests and broadened its red-flag law. All of that and more in response to the Supreme Court in June, striking down the state’s discretionary gun permitting system as unconstitutional.

After that ruling came down but before the new state law passed, New York Governor Kathy Hochul said this in a press conference:

HOCHUL: It’s not what New Yorkers want. And we should have the right of determination of what we want to do in terms of our gun laws in our state.

But that right of determination apparently does not extend to New Yorkers expressing pro-second amendment opinions to their legislature by way of Twitter.

REICHARD: Will Silver found that out the hard way. I interviewed him last week.

SILVER: I live in New York. And in late June, early July, I tweeted at the New York Senate, they were considering some expedited legislation. So I wanted to have my voice heard. And maybe 30 seconds to two minutes after I tweeted at them, they blocked me. And I believe they hid my tweet, you know, from other Twitter users.

Silver wanted to voice his opposition to the proposed gun legislation. He’d read a lot of it and disagreed with what was in there.

SILVER: I tweeted just two words, “shall not,” which are an excerpt from the Bill of Rights from the Second Amendment. Again, just to oppose what I thought was not really prudent legislation to address Second Amendment issues. That's about it.

At first, he thought how petty it was that a government body couldn’t withstand criticism.

SILVER: But then, when I thought about it more, I became more concerned. Because the New York Senate, by blocking people and hiding tweets, it seems they're using Twitter as more of a PR tool than what it is, which is a venue for conversation between politicians and governments and their citizens. So that concerned me even more than just me being blocked individually.

Silver got in touch with The Foundation for Individual Rights and Expression, FIRE. One of its lawyers is Adam Steinbaugh. He explains the legal problem here.

STEINBAUGH: Twitter is new in the broad scheme of things, but the law is not. The first amendment limits how state actors like the New York Senate, obviously an arm of the government. It limits how they can limit the speech of people online. So if the government goes and creates an online space where people can exchange views or speak to the government, you know, for example, the thread of tweets underneath each tweet, they can't limit access to that space on the basis that the government disagrees with what you are saying in that space. And that is exactly what happened here. Our government has a tough time getting people to care about what is happening in our democratic systems. And it is not helpful for government to respond to someone who is trying to be engaged in the democratic process by telling them don't bother. And that's the message that the New York Senate sends here.

I emailed the New York Senate for its side of the story. No response.

Will Silver had only tweeted two words and got blocked. But I wondered, what if someone is completely obnoxious online? Does that change things?

STEINBAUGH: The First Amendment tolerates obnoxious speech. You know, if the people running the account itself don't want to listen to someone that they think is obnoxious, they don't have to listen to them. They can mute them and never hear a word from them again. But what the Senate is doing here is preventing people like Will from being engaged in the process itself, they're not allowed to participate in the process. And that is the violation of the First Amendment here.

Turns out, there’s court precedent to back up Silver.

STEINBAUGH: You might recall that President Trump, when he was elected and became president, he used his real Donald Trump Twitter account to block a lot of his critics. And he was sued, he fought it. And the case went up through the Second Circuit, which had held that this violates the First Amendment. When you create a space, when you create a forum like this, government can't discriminate based on viewpoint. So if they're blocking you because you're a critic, that violates the First Amendment.

So FIRE sent a letter to the New York Senate asking for a few things.

STEINBAUGH: We want them to unblock everyone that they have blocked unhide any content that they've hidden on their social media channels, whether it's Facebook or Twitter, and commit to a process, or a policy by which they will not repeat this in the future. You know, even if they unblock a couple of people here and there, or unhide a tweet here and there, they can just you know, what if what if Will tweets the rest of the Second Amendment at them? There's no guarantee that they are not going to just block him again, or block anyone else. And we want them to commit to ceasing that conduct.

Silver isn’t the only one this has happened to. FIRE’s letter says New Yorkers regularly complain that the Senate blocks their accounts after they criticize legislation, lawmakers, or the Senate. People have been blocked for criticizing rising crime or Covid restrictions. The session about gun control led to at least 79 tweets being hidden that were critical of the state’s pending gun legislation.

Steinbaugh said that’s not all.

STEINBAUGH: We issued a public records request to the Senate asking them for copies of policies about how they use their account, and there is no policy.

As of Saturday, the New York State Senate had yet to respond to Silver or his lawyer.

Meanwhile, Will Silver’s eyes have been opened.

SILVER: And I know this is important because social media is an emerging form through which citizens engage with their governments and how governments engage with their citizens. So I think it's very important that ground rules are set, and the government is reminded the First Amendment still applies, even on Twitter.

And that’s this week’s Legal Docket.

EICHER: Hey, before we go, let’s talk about Season Three of the Legal Docket Podcast. Talk about how that’s going mid-season from your perspective.

REICHARD: Going great! Really happy with what we’ve been able to do so far. Just sitting back here for a moment and taking stock: Jenny and I—Jenny Rough—we’ve covered recent Supreme Court cases from death row, prayers at the fifty-yard line, arbitration disputes, and the gun rights opinion we talked about today.

EICHER: And they’ve been so interesting. Now, you can’t say this, but I can: this is in my opinion the best season yet. They’ve all been great, but you two just keep improving the series … and season three is best in my opinion. What sets it apart from other podcasts about the Supreme Court is that you talk to the parties involved in the disputes, get expert analysis, and consider history and context. A produced podcast, not just talking heads, I will just say if you’ve not heard the Legal Docket podcast, you really need to check it out.

REICHARD: I’ve learned so much just doing it, and from the podcast reviews, so have our listeners.

Let me tell you what’s coming up next: Really fun one. It’s not about a case. It’s about a fascinating person who works at the Supreme Court. Not for the Supreme Court, but at the Supreme Court. And I’m talking about famous courtroom sketch artist Bill Hennessy.

He’s had a front row seat to big court disputes for decades and has lots to reveal.

Jenny and I got to interview him at his home studio, his art studio. So we take you there next.

EICHER: But only if you take the time to listen to The Legal Docket Podcast and you can get it wherever you get your podcasts.

MARY REICHARD, HOST: Next up on The World and Everything in It: the Monday Moneybeat.

NICK EICHER, HOST: Time now for our weekly conversation on business, markets, and the economy with financial analyst and adviser David Bahnsen, head of the wealth management firm The Bahnsen Group. Good morning!

DAVID BAHNSEN, GUEST: Good to be with you, Nick.

EICHER: Well, here we are on Labor Day, new month of September, so why don’t we—speaking of labor—have a look back at the jobs report for August? Any conclusions you can draw?

BAHNSEN: Well, I do think that the August jobs number, the BLS, which stands for the Bureau of Labor Statistics, their monthly jobs data that came out on Friday was interesting. You know, the number was 315,000 jobs created in August, and the expectation was for 298. So you say, Okay, well, it looks like it was a little bit better than expected. But there were 100,000 jobs revised downwards from the summer months. So it ended up kind of being one of those like, okay, there's some good things and some bad things, but kind of right down the middle, so to speak. The unemployment rate went up from 3.5% to 3.7%. But it did it for the best possible reason, not because of lost jobs. But because the labor participation force did go up a little bit, which makes the denominator higher, so the percentage moved. I don't think that there was anything that would say, “Okay, wow, this economy is really screeching to a halt.” And there was certainly nothing that says it's rapidly advancing, and everybody is crazy to be thinking about slowdown, it was just sort of right there in the middle, which is a perfect complement to the state of so much data right now, which is ambiguity, the ambiguity of where things are, there's not a compelling case that says things are really slowing down. And there's not a compelling case that says, things are just fine. There's a variety of data points that produce an ambiguous economic narrative.

EICHER: David, lots of listener questions came in last week, so I’d like to use the slower holiday time to clear out a bit of the backlog, so if we can move quickly through these, I think we can fit in four, so let’s try that.

First one from Dr. Ronald Godat. He’s a dentist in Fletcher, North Carolina and he wants to know the relationship between price inflation figures and goods-and-services sales figures. So he asks this:

If we say inflation is up 8-1/2 percent and, for example, retail sales are up 8-1/2 percent, does that mean that no more goods were sold during that period of time? In other words: Does it mean the same amount of goods were sold since it took 8-1/2 percent more dollars to purchase them?

BAHNSEN: Yeah, I understand exactly where he's coming from in the question, but it is a bit simpler than the question may suggest, because it does not speak to the quantity of goods. The price level is only a reflection of prices. So if I tell you, let's just always make this simple. So let's do this with just one orange. If I say one orange, sold for $100. And if now we say the price of the orange is 108. I haven't said if two oranges sold, or if 1000 Oranges sold, or if still only one orange sold. All I said was that the price of the orange was 108. And when we talk about the price level, we're not referring to the volume of goods and services. And so the way we measure GDP, which looks into both consumption and production and inventories, you're gonna then get a measurement of goods and services. But the price level is isolated to what the price of a given transaction would be. Now, the complexity is allegedly with something like CPI, Consumer Price Index, they're trying to measure all prices aggregated together, which I think is pretty silly. But with just one orange to the question, you wouldn't have an indication of more goods and services sold or less. It doesn't speak to that - it's only isolated to the price that a particular good or service is being sold at.

EICHER: Next question is from Jered Gebel. He listens in southeast Alaska, where he says he flies float planes for a small airline up there.

GEBEL: My question is about the stock market. I understand owning a stock and a company is only a piece of it. And I combined sell that stock for whatever it's worth. But the question is for one particular stock, who or what for example, says today, the stock price for company X is $5.85.

BAHNSEN: Well, perhaps I unintentionally but what the question does is allow us to answer one of the single most important thing in all of economics because there is nobody determining what the stock is. The entire point of free market economics centers around prices, and prices are signals, prices are baskets of information. Who literally and functionally determines the price of a stock? Buyers and sellers. So the second the market opens, I come out and say, I will pay 10. And someone else says, I will sell to you for 10. And then the next second, someone says $10.05, and someone else says, “Okay.” It's that movement up and down, have a buyer and seller cooperatively agreeing. There's no centralized force saying what the price will be, there's no one at the company, the company can say we now want the stock to be 20. But if no buyers come and pay it, then the company is really kind of wasting their oxygen. Prices are set by the voluntary agreement, the mutual cooperation of buyers and sellers. That is true of stock prices and that is true of banana prices. Price does not exist until a buyer and seller reach an agreement. And that is how it works in the stock market.

Now perhaps a different question is, “What is the value of a stock?” But even then the value of a stock, it could be disconnected from the price. Buyers and sellers agree to what the price may be, but someone may be selling at a price beneath its long-term value because they're desperate to raise cash, whatever the case may be. People overpay as well, meaning the buyer and seller agree on a price, but it may in hindsight prove to be silly because the company doesn't really do all the things people hoped it would do - things like that. But it's a great question to really kind of indicate how prices work, using stocks as an example.

EICHER: Listener Todd Vician wrote and said his son noticed that the U.S. Dollar is stronger than ever compared to the Euro. And he wants to know, is it significant that that’s the case for what may be the first time in a long time—even while we are still struggling with inflation, sagging stocks, etc?

What do you say about that, David?

BAHNSEN: Yeah, the dollar was stronger than the Euro back when the Euro first came out in the late 90s. And very, very early 2000s. And then it was around parity, where they were both basically dollar for dollar with each other for a short while at the beginning of the George W. Bush administration. And then we went on a 20 year period where the Euro was valued higher than the dollar. And at one point, I believe, getting as high as about $1.60 to Euro, I mean, like a 60% increase in the Euro relative to dollar. And so the question is accurate, that it's now basically come down to about parity.

Over the last week or so I think the Euro moved a little bit - two to 3% higher than the dollar. But they're very close to one another now when the Euro had been in a stronger position. And it is significant. And I'll explain really quickly why the Fed is tightening monetary policy more than the European Central Bank is. Interest rates are stronger, and they're attempting to try to beef up that dollar while Japan is not. So the Yen is really weakened. And while the Euro is not.The European authorities are doing more than Japan, but much less than the Fed. The problem is that puts a really tough position on the European Central Bank because they now basically have their currency controlled by the Fed. If they were to tighten monetary policy more, then that really hurts different aspects of what they're trying to control. They're become a very interventionist and manipulative central bank. And that I don't mean that as a compliment. But what happens is the manipulation gets done for them because if our Fed tightens, it strengthens dollar, weakens Euro, and that represents a whole policy ramification. And so all they can really do is sort of hope that the Fed lightens up, which means the Euro can strengthen relative to the dollar; but in the meantime, it's really taking its P's and Q's from what the Fed is doing. So that's sort of the story as to how the dollar and the Euro interact with one another.

EICHER: Alright. And finally listener Rachel Gage from Durham, North Carolina.

GAGE: Hi, Mr. Bahnsen. On your August 29th segment, you said you had a contrarian view about the loan repayment scheme. And you said you didn't think it was going to work. So I'd love to hear your insight into why that might be. Thanks.

BAHNSEN: Yeah, the contrarian part of my view is that I don't believe it's politically advantageous to the White House because I think the people who were prone to really like it are people who are prone to already vote in line with this administration anyways. And yet there is right now a real political reality that independents and centrist and moderates really sway the elections. We are so dialed in with passion and enthusiasm for a certain part of the right and a certain part of the left. But there is an independent voter that I think largely does not like the student loan repayment program - or forgiveness program, I should say. And I think that politically my contrarian view is that this is a net negative for the White House.

EICHER: You can submit your question for the Moneybeat Mailbag and again, we do prefer that you use your phone to make a voice memo, try to keep it short, and send me a file at feedback@worldandeverything.com and we will consider your question for air. We can’t do them all, but we’ll do as many as we can fit.

David Bahnsen is founder, managing partner, and chief investment officer of The Bahnsen Group. His personal website is Bahnsen.com.

David, hope you enjoy the Monday market close here on Labor Day. Talk to you next week, Lord willing. Thanks!

BAHNSEN: Thanks so much, Nick.

MARY REICHARD, HOST: Today is Monday, September 5th. Happy Labor Day. This is The World and Everything in It from listener-supported WORLD Radio. I’m Mary Reichard.

NICK EICHER, HOST: And I’m Nick Eicher. Up next, the WORLD History Book. Today, the launch of a deep space probe, and the death of India’s most famous nun. But first, 50 years ago this week, the eyes of the world are on Munich, Germany, and the Summer Olympics of 1972. Here’s WORLD Radio summer intern, Anna Mandin.

ANNA MANDIN, INTERN: Early on September 5th, 1972, eight men dressed in tracksuits scaled the Olympic Village’s fence in Munich, Germany. It was the 10th day of the games.

NEWSCAST: This is an ITN News Flash from the Olympic Village in Munich where early this morning armed Palestinian guerillas radied the sleeping quarters of the Israeli team.

The intruders were affiliates of Black September, a militant offshoot of the Palestinian Fatah party. Their targets were Israeli Olympians.

Once inside, they forced their way into one of the Israeli Olympic team’s rooms. Upon entering, they were confronted by a wrestling coach, Moshe Weinberg. The men forced Weinberg to lead them to other Israeli athletes. At one point, Weinberg tried to take a terrorist’s gun. He was killed instead.

A weightlifter, Yossef Romano, also tried to take a gun and was murdered.

NEWSCAST: The guerillas are demanding the release of 250 Arabs held prisoner in Israel. And have set a noon deadline for their release. Negotiations are going on with the German government.

For hours, German police tried to negotiate with them.

NEWSCAST: Nearly 500 German security police have now sealed off the village and are mounting heavy machine guns in the square. The are keeping cameramen, reporters, and spectators well away. The guerillas have just announced that they are demanding to be allowed to fly out of Germany to an unnamed destinations once their demands have been met.

They even tried to raid the rooms where the hostages were held.

However, police realized their raid was being broadcast on live TV.

Instead, they arranged for a helicopter to take the men to an air base, where a plane would be waiting for them. Police were supposed to be disguised as the plane’s flight crew, but all 17 abandoned the mission.

When the helicopter arrived, the terrorists realized that it was a trap. Police snipers shot at them. For two hours police and the terrorists shot at one another. At 12:30 am, the shooting ended. But the hostages weren’t freed. ABC’s Jim McKay put it this way:

Eleven Israelis, five terrorists and one Munich policeman were dead. The Western Germany police were heavily criticized for their weak response. Last week, Germany reached an $18 million settlement with the families of those hostages.

From terrorism to space exploration: last Saturday, NASA postponed Artemis 1’s launch. But 45 years ago, NASA launched Voyager 1.

AUDIO: Ten, nine, eight, six, five, four, three, two, one. We have ignition, we have a liftoff.

Despite its name, the unmanned spacecraft was the second in the mission. Voyager 2 blasted off a couple weeks earlier, but was slated to reach Jupiter and Saturn after Voyager 1.

A day after launch, Voyager 1 sent the first photo of Earth and the Moon taken from a spacecraft. A year and a half later it performed a flyby of Jupiter, and then twenty months later it encountered Saturn. In 1990, it captured photos of the Earth and five other planets in images titled the “Solar System Family Portrait.”

On Aug 25th, 2012, it became the first human-made object in interstellar space.

The two spacecraft were only intended to go as far as Jupiter and Saturn, but they kept traveling and sending information back to Earth. Voyager 1 is now over 14 billion miles from the Sun, traveling at about 17 kilometers per second. It’s expected to stop operating in 2025.

From planet-traveling spacecraft to a world-changing individual:

NEWSCAST: Rosemary, on top of everything that’s happened, we are just getting some dreadful news at Sky Center, we are hearing that Mother Theresa is dead. That report coming to us from radio…

today marks the 25th anniversary since Mother Teresa’s death.

Teresa was born in Macedonia, named Agnes Gonxha Bojaxhiu.

She says God called her to be a missionary when she was 12. Six years later she moved to India to obey that call. She joined the Irish Sisters of Loreto and on May 24th, 1931, she took her initial vows to become a nun.

For 17 years, Teresa taught at a high school in Calcutta, India. However, in 1948 she felt called to serve the poor in slums … and two years later began her own order. She called it “The Missionaries of Charity.” In 1952, she also opened a hospice for the terminally ill. From a 1974 Irish TV interview, Teresa explained:

TERESA: I found a woman lying in the street, eaten up by rats and so on. And I took her to the nearest hospital, and they didn’t seem to want her there. But because I insisted so much, at last they took her in. And from there I decided that I would find a place for them myself and take care of them.

Teresa received the Pope John XXIII Peace Prize in 1971, a Nobel Prize in 1979 and the highest civilian honor in India, the Bharat Ratna in 1980.

But Teresa endured nearly five decades of internal anguish, even feeling forsaken by God. She once wrote to an advisor that she felt hypocritical speaking as though she was in love with God while feeling so empty towards him.

Several news outlets reported on negligence at homes in Teresa’s order… including a 1994 report on inadequate pain relief and a 2005 article claiming that some children in one orphanage were bound to beds and abandoned on toilets.

Nonetheless, because of Teresa, hundreds of centers have opened in over 90 countries, with hundreds of thousands of lay workers and over 4000 nuns. Pope Francis made her a saint on Sept 4th, 2016.

That’s this week’s WORLD History Book, I’m Anna Mandin.

NICK EICHER, HOST: Tomorrow: we consider the legacy of Russia’s Mikhail Gorbachev.

Plus, homeschooling. It shot up during the pandemic but post-pandemic, a lot of parents are sticking with it.

And the Classic Book of the Month with Emily Whitten.

That and more tomorrow.

I’m Nick Eicher.

MARY REICHARD, HOST: And I’m Mary Reichard.

The World and Everything in It comes to you from WORLD Radio.

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