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China’s Covid Lockdowns Set to Further Disrupt Global Supply Chains

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BEIJING — Vehicles are being delayed by the testing of drivers. Container charges are rising as ships wait for a lot of hours at ports. Merchandise are piling up in warehouses.

As Chinese language officers scramble to include the nation’s worst outbreak of Covid-19 since early 2020, they’re imposing lockdowns and restrictions which are including chaos to international provide chains. The measures in China, residence to about one-third of worldwide manufacturing, are disrupting the manufacturing of completed items like Toyota and Volkswagen vehicles and Apple’s iPhones, in addition to parts akin to circuit boards and pc cables.

Instances rose on Tuesday to greater than 5,000 new infections nationwide. That tally is small in comparison with many different massive international locations’. However China has taken a zero tolerance strategy to outbreaks that requires stringent lockdowns in addition to mass testing and quarantine in authorities amenities. As a result of a number of of the nation’s largest industrial cities at the moment are combating outbreaks, such measures are taking a toll on the manufacturing unit and transportation networks which are the spine of China’s manufacturing.

Officers in Beijing and an ever-lengthening record of cities and provinces say that the virus continues to be spreading and that the federal government should take ever more durable measures to cease it.

“Just lately, native clustered epidemics have occurred in lots of locations in our nation, primarily of the Omicron variant, which has unfold rapidly and could be very hidden,” Mi Feng, a spokesman for the Nationwide Well being and Well being Fee, mentioned on Tuesday. “The epidemic prevention and management is tougher, and the scenario is extreme and complex.”

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In Jilin Province in China’s northeast, which has the largest focus of latest circumstances in addition to many factories making vehicles and automotive components, Zhang Li, a deputy director of the provincial well being company, mentioned that residents and officers must “urgently mobilize and act to beat difficulties with clenched enamel — we’re racing towards time.”

To some overseas buyers, the outbreak itself could also be much less unnerving than the unpredictability of presidency measures. “The enterprise threat in China now’s larger than at any time since late spring 2020,” mentioned Julian MacCormac, chairman of the British Chamber of Commerce in China.

Lockdowns have additionally suspended work at electronics factories within the south and a variety of business corporations in central China. Cities close to Shanghai have closed freeway exits or demanded that every driver present a damaging P.C.R. take a look at — necessities which have additionally created miles-long traces of vehicles making an attempt to hold essential parts amongst factories.

Excessive worldwide freight prices, a significant issue final yr that has contributed to inflation in the US, have begun climbing once more after a dip in the course of the Chinese language New 12 months vacation final month.

The fee to ship a container of products from Asia to the U.S. West Coast inched as much as $16,353 as of final Friday, earlier than the newest coronavirus restrictions took impact, in comparison with $16,155 every week earlier. Charges have virtually tripled from a yr in the past and have risen 12-fold from two years in the past, in response to knowledge from Freightos, a freight reserving platform.

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Ports in China now require staff to stay and work on the docks for so long as two months at a time, away from their households, in order to forestall infections. That has allowed the ports to maintain working even throughout sustained outbreaks, in distinction with extreme transport delays final spring and summer season when infections compelled prolonged closings of massive container terminals in Shenzhen and close to Shanghai.

However with truck site visitors to the docks interrupted, ships are going through delays on the ports of a minimum of 12 hours, and should quickly have to attend for so long as two weeks, mentioned Julie Gerdeman, chief govt of Everstream Analytics, a provide chain evaluation agency.

“Even probably the most ready companies shall be impacted by these new lockdowns in China, as flexibility inside the provide chain is minimal,” she mentioned.

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Airfreight can be going through recent problems. The Civil Aviation Administration of China mentioned Tuesday that most of the remaining worldwide flights into Shanghai’s huge Pudong airport could be rerouted to different Chinese language cities from subsequent Monday till Could 1. The measure would free quarantine rooms in Shanghai for the town’s residents and shut contacts, however additional delay exports.

A minimum of 5 massive manufacturing unit cities have fully shut down due to the coronavirus: Dongguan and Shenzhen in southern China close to Hong Kong, the place Foxconn has enormous factories to make iPhones and different Apple merchandise; Changchun and Jilin Metropolis in northeastern China’s Jilin Province; and Langfang, subsequent to Beijing. Some smaller cities have additionally gone into lockdowns, like Suifenhe and Manzhouli on China’s border with Russia.

In Dongguan, an industrial metropolis of seven.5 million folks, some manufacturing unit house owners mentioned that they have been nonetheless being allowed to function so long as their staff lived in dormitories inside manufacturing unit compounds, and nobody was allowed to go away or enter.

Deng Shiwen, the proprietor of a small manufacturing unit that makes packaging supplies in Dongguan, mentioned that his a number of dozen staff have been nonetheless dwelling and dealing contained in the compound however he couldn’t ship something to clients.

“I simply go away the newly made stuff right here for now,” he mentioned.

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Different cities, notably Shanghai, haven’t declared citywide lockdowns however have closed so many neighborhoods, buying malls and industrial parks a minimum of briefly that corporations are encouraging staff to do business from home as a lot as doable.

Hour by hour by Monday and Tuesday, the record of corporations asserting manufacturing halts due to lockdowns has grown. Toyota and Volkswagen stopped their meeting vegetation and different factories in Changchun. A printed circuit board maker, Unimicron Know-how, in Shenzhen. International Lighting Applied sciences, a light-emitting diode, or LED, maker, in Shanghai.

Some corporations, like Foxconn, mentioned they might attempt to shift manufacturing to different vegetation. However Mary E. Pretty, a senior fellow on the Peterson Institute for Worldwide Economics, mentioned it appeared “arduous to consider” that Foxconn would have slack at their different amenities that might accommodate the corporate’s huge operations close to Hong Kong.

In the long run, Foxconn and different corporations would possible prioritize sure main clients, like Apple. “So that you’re going to see the identical factor you noticed earlier than, which is that smaller corporations that rely upon these imported components and gear from China are going to be hit,” Ms. Pretty mentioned.

“You recognize that China goes to do all the pieces it may possibly to get this beneath management. The query is what’s stronger, the Chinese language authorities or the virus,” she mentioned, including, “We all know that Omicron is kind of a formidable opponent.”

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Ana Swanson, Li You and Pleasure Dong contributed reporting and analysis.

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Pasadena's Ambassador Auditorium, 'Carnegie Hall of the West,' goes up for sale

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Pasadena's Ambassador Auditorium, 'Carnegie Hall of the West,' goes up for sale

The storied Ambassador Auditorium in Pasadena, which was long considered one of the region’s top classical music venues, is for sale after being owned by a local church for the last two decades.

Harvest Rock Church is asking $45 million for the 1,200-seat auditorium near the Old Pasadena district that has also hosted jazz greats including Ella Fitzgerald, Dave Brubeck and Dizzy Gillespie. It has been called “the Carnegie Hall of the West” by fans.

The evangelical Christian Harvest Rock Church is based on the property and uses the auditorium for services. It also rents the venue to the Pasadena Symphony and the Colburn Orchestra as well as other performers that the church finds compatible with its religious mission.

The church recently paid off its mortgage on the property, Pastor Che Ahn said, and decided to sell it to make a move to a bigger facility somewhere in the Los Angeles region.

The lobby of the Ambassador Auditorium in Pasadena includes a chandelier composed of 100 custom bulbs and 1,390 crystals in three tiers of polished bronze.

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(Ambassador Foundation of Pasadena)

“We’re hoping that someone will buy it to really restore it to the original purpose and intent of that building,” he said.

The Ambassador Auditorium was intended to be a showplace for live performances when it opened in 1974. The Times called it “A new Taj Mahal for the arts.”

It was also the centerpiece for Ambassador College, operated by the Worldwide Church of God on a 40-acre campus near the intersection of Colorado and Orange Grove boulevards that has been largely redeveloped in recent years.

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Harvest Rock Church and Maranatha High School bought a 13-acre portion of the campus site with five buildings including the auditorium from Worldwide Church of God in 2004 for an undisclosed amount. The auditorium controlled by Harvest Rock Church is assessed at $13.5 million, public records show.

Ambassador College founder Herbert W. Armstrong was a televangelist who set out to call attention to his ministry by building a lavish auditorium where he could broadcast services and host high-profile nonreligious events, including an opening performance by the Vienna Symphony Orchestra on April 7, 1974.

The auditorium made a big impression on local music aficionados, said Donna Perlmutter, who was a music critic at the Los Angeles Herald Examiner newspaper when it debuted.

“We were, at the time, bowled over by the presence of it,” she said. “It was to compare with any marvelous auditorium in Europe.”

That it had been created by a bombastic radio and television evangelist known for making dark end-times prophesies seemed unusual, she said.

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“It was almost comical to think of who it was who erected this magnificent place,” Perlmutter said of Armstrong. “It was such a weird juxtaposition.”

 The stage of the Ambassador Auditorium in Pasadena.

Jazz greats who have performed in the 1,200-seat Ambassador Auditorium in Pasadena include Ella Fitzgerald, Dave Brubeck and Dizzy Gillespie.

(Ambassador Foundation of Pasadena)

The acoustics are “optimal,” she said. “It bears a bright, undistorted sound. No singer could want more.”

The hall’s design by the architectural firm Daniel, Mann, Johnson & Mendenhall (DMJM) strived for a mid-century version of glamour, with a main lobby chandelier composed of 100 custom bulbs and 1,390 crystals in three tiers of polished bronze.

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Finishes include walls of Brazilian rosewood and rose onyx, African shedua wood railings and ceilings adorned with hand-rolled 24-carat gold leaf.

The auditorium is set in a 500,000-gallon water pond that holds a 37-foot solid bronze egret sculpture designed by British sculptor David Wynne, who also famously made a bronze sculpture of the Beatles’ busts in 1964 and is said to have introduced them to Maharishi Mahesh Yogi.

Potential buyers of the auditorium include the city of Pasadena, private investors, or a group of investors seeking “to acquire a landmark with profound historical significance,” said real estate agent Isidora Fridman of Compass, who has the listing with Lauren Rauschenberg. The property at 131 S. St. John Ave. will officially go on the market July 9, Compass said.

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Hollywood Teamsters show their pride ahead of contract negotiations

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Hollywood Teamsters show their pride ahead of contract negotiations

The Hollywood Teamsters’ float at L.A. Pride was upholstered with sparkly blue fabric provided by a location manager who has worked on Peacock’s “Bel-Air” and Netflix’s “The Politician.”

The giant bubble letters were layered by a construction coordinator on Freeform’s “Good Trouble.” The horse heads were turned to gold by painters whose resumes include “Jerry Maguire” and “The Big Lebowski.” The rainbow jewels came directly from the set of Lionsgate’s upcoming Michael Jackson biopic.

Roughly one month after the International Alliance of Theatrical Stage Employees, or IATSE, the largest union representing Hollywood crew members, entered general contract negotiations with the major studios, a smaller coalition of below-the-line workers is stepping into the spotlight. And dozens of them took to the streets of Hollywood over the weekend to build LGBTQ+ and crew member solidarity ahead of their next round of bargaining.

“As far as you can see, there are people here who support equality, and that’s why we’re here,” said Chris Fuentes, a location manager and president of the Teamsters LGBTQ+ caucus. “In the end, it’s about equality and respect. We have to respect these workers and pay them what they’re worth.”

Teamsters Local 399 is part of the Hollywood Basic Crafts, which is scheduled to begin main contract talks with the Alliance of Motion Picture and Television Producers on Monday.

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Union members are seeking wage increases, pension and health benefits, higher streaming residuals and protections against artificial intelligence and autonomous vehicles for some 7,600 crew members — including animal trainers, casting directors, drivers, location managers, mechanics, cement masons and plumbers — employed on film and TV sets.

In addition to Teamsters Local 399, the union side (known collectively as the Hollywood Basic Crafts) consists of the International Brotherhood of Electrical Workers Local 40, Laborers International Union of North America Local 724, United Assn. Plumbers Local 78 and the Operating Plasterers and Cement Masons International Assn. Local 755.

The studio side represents Amazon MGM, Apple, Disney, NBCUniversal, Netflix, Paramount, Sony, Warner Bros. Discovery and other companies. The AMPTP declined to comment for this story.

Members of Teamsters Local 399 — the labor union representing Hollywood drivers, animal trainers, location scouts and other crew members — pose for a group photo during the Los Angeles Pride parade.

(Dania Maxwell / Los Angeles Times)

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In early March, Teamsters Local 399 and the Hollywood Basic Crafts joined forces with IATSE to negotiate updates to their shared pension and health plan jointly for the first time in 36 years. Efforts to reach an agreement on that package are ongoing; pension and health benefits remain a sticking point in IATSE negotiations.

Now, the Hollywood Teamsters and Basic Crafts are back to bargain simultaneously for six contracts covering different groupings of crew members. The current below-the-line agreements are set to expire July 31.

The pressure to secure substantial financial gains is high in the wake of the COVID-19 pandemic, the Hollywood strikes of 2023 and an ongoing industry contraction — all of which have reduced employment opportunities for entertainment workers in recent years. According to Lindsay Dougherty, principal officer and chief negotiator of Teamsters Local 399, wage increases are a priority for the union even more than in past contract negotiations, “coming off of years of financial distress.”

“When I first got into this business 22 years ago, you could be a location manager, and your significant other could stay home. It was that good of a job,” said Jason McCauley, a location manager whose credits include HBO’s “Westworld” and Warner Bros.’ “Joker: Folie à Deux.” “These days, I can barely pay our bills working 60 hours a week or more.”

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Safety and the hazards of working marathon shifts that can last 20-plus hours are also issues the unions are hoping to address, mainly by setting compensation standards that would deter employers from requiring crews to work overtime.

“If there are productions out there that are working our members with excessive hours … they should know that they’re going to have to pay to play,” Dougherty said. “They will not film as many hours if they know it’s going to cost them more money.”

Fears of another Hollywood walkout have softened somewhat as IATSE negotiations have transpired largely without incident. Dougherty joked that in a perfect world, the AMPTP would agree to all of the Hollywood Teamsters and Basic Crafts proposals, yielding a resolution Monday.

But the unions are prepared to bargain down to the wire if necessary.

“We went on strike one time in our history with these companies, and that was in 1988, so it’s possible to … bargain without having to strike,” Dougherty said. “It’s gonna take as long as it needs to.”

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Column: With its 'Chevron' ruling, the Supreme Court claims to be smarter than scientific experts

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Column: With its 'Chevron' ruling, the Supreme Court claims to be smarter than scientific experts

Second only to the Supreme Court’s ruling Monday on when presidents are immune from criminal prosecution, the biggest case of the court’s recently completed session involved the age-old conflict between judges and government regulators.

The case concerned a 40-year-old precedent known as “Chevron deference.” That doctrine held that when a federal law is ambiguous, the courts must defer to the interpretations offered by the agencies the law covers — as long as those interpretations are “reasonable.” On Monday, the court discarded Chevron deference.

This may sound like an abstruse legalistic squabble, but it has massive implications for Americans in all walks of life. It could subject agency decisions on scientifically based issues such as clean air and water regulations and healthcare standards to endless nitpicking by a federal judiciary that already has displayed an alarming willingness to dismiss scientific expertise out of hand, in favor of partisan or religious ideologies.

In one fell swoop, the majority today gives itself exclusive power over every open issue—no matter how expertise-driven or policy-laden.

— Supreme Court Justice Elena Kagan

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The ruling amounts to an apogee of arrogance on the part of the Supreme Court’s conservative majority, wrote Justice Elena Kagan in a dissent joined by Justices Sonia Sotomayor and Ketanji Brown Jackson. But it’s not a new development.

“The Court has substituted its own judgment on workplace health for that of the Occupational Safety and Health Administration,” Kagan wrote; “its own judgment on climate change for that of the Environmental Protection Agency; and its own judgment on student loans for that of the Department of Education…. In one fell swoop, the majority today gives itself exclusive power over every open issue — no matter how expertise-driven or policy-laden.”

Chevron deference originated in 1984, when environmentalists were fighting an effort by the EPA under Ronald Reagan to loosen clean air rules at the behest of industrial polluters. As it happens, the environmentalists lost that battle, but over time they won the war against deregulation.

Conservatives have had it in for Chevron deference for a long time; given their current majority on the court, the doctrine’s death has been a foregone conclusion, awaiting only the appearance of a suitable case to use as a bludgeon. Indeed, the majority was so impatient to kill the doctrine that the court’s six conservatives chose to do so by using a case that actually is moot.

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That case arose from a lawsuit brought by the herring industry, which objected to a government policy requiring herring boats to pay for government observers placed on board to make sure the boats were complying with their harvesting permits.

The rule was imposed under the Trump administration, but it was canceled in April 2023 by Biden, who repaid the money that had been taken from the boat owners — so there’s nothing left in it for the court to rule on.

Interestingly, Chevron deference was not always seen as a bulwark protecting progressive regulatory policies from right-wing judges, as it’s viewed today. At its inception, it was seen in exactly the opposite way — as giving conservative policies protection from progressive-minded judges.

The Natural Resources Defense Council, which brought the original case in an effort to preserve Clean Air Act regulations that were being overturned by the Reagan administration, counted the 1984 ruling as a severe loss.

At issue then was the definition of a pollution “source.” Past practice defined it as a single building or smokestack; the administration wanted to redefine “source” broadly, as referring to an entire pollution-emitting plant. This wasn’t a trivial difference. The NRDC’s interpretation was more stringent than the government’s, for the latter allowed a polluter essentially to hide law-breaking emissions within an otherwise non-polluting plant.

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The original Chevron ruling was 6 to 0 (three justices didn’t participate — two because of illness and the third, Sandra Day O’Connor, recused herself because of a conflict of interest). The ruling stated that when a federal law was ambiguous or silent on a particular issue, judges were bound to defer to the interpretation offered by the agency covered by the law, as long as its interpretation was “reasonable.”

One other thing: The functionary pushing to give industry more freedom to pollute was Reagan’s Environmental Protection Agency administrator, the late Anne Gorsuch. Name sound familiar? Justice Neil M. Gorsuch, who is her son, lined up with the anti-Chevron majority. Curiously, he didn’t mention his family history in his separate concurrence — or perhaps not so curiously, because his mother was on the winning side of the decision that he has now voted to overturn.

In any event, Gorsuch’s words about the case in which his mother triumphed were telling. “Today,” he concluded gleefully, “the Court places a tombstone on Chevron no one can miss.”

The truth is that the Chevron ruling of 1984 and Monday’s ruling both served a goal shared by Anne Gorsuch and her offspring: providing federal judges all the leeway they might need to see things the way Big Business prefers.

Forty years ago, when the Reagan White House was pulling down a regulatory edifice that industry resented, the Supreme Court was happy to have judges defer to the agencies participating in that project, including Anne Gorsuch’s EPA. Today, when the deregulatory process is opposed by government agencies that take seriously their duty to make life better for the average consumer, the court tells judges that they’re free to ignore agency findings.

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In his majority opinion, Chief Justice John G. Roberts Jr. called Chevron “misguided because agencies have no special competence in resolving statutory ambiguities. Courts do.”

This is self-refuting. Chevron deference isn’t about “resolving ambiguities” in the law. It’s about recognizing that sometimes those ambiguities are deliberate — put in place by lawmakers who know they can’t possibly write a law that covers all situations from now to the end of time. The “ambiguities” are there because Congress wishes that the agencies it has charged with fulfilling its goals use their technical and scientific knowledge to meet the challenges of a changing world.

Things have indeed changed. Generally speaking, wrote legal scholar Cass R. Sunstein in 2019, environmentalists and other progressives saw the original decision as “a capitulation to the (insufficiently zealous) administrative state, which was often captured by powerful private interests.” Today, the right wing portrays the “administrative state” as a shadowy cabal bent on thwarting the will of the people (that is, conservative policies). “The right and the left have switched sides,” Sunstein observed.

Chevron deference was very much a product of its time, Sunstein noted. In the 1960s and 1970s, “federal courts had been aggressively reviewing agency action (and inaction), often with the goal of producing greater regulation.” Typically, “the judges were on the political left.”

They had grown up professionally in the atmosphere created by the Warren court, which fostered the notion that the courts existed to protect and extend individual rights. “To their defenders,” Sunstein wrote, “the lower federal courts assumed a kind of heroic stance.”

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This was the era that brought us an unprecedented, judicially driven expansion of individual rights, through such decisions as Griswold vs. Connecticut (1965), which established the right of married couples to use contraceptives without state interference; Loving vs. Virginia (1967), which invalidated laws against interracial marriage; and of course Roe vs. Wade (1973), which established the nationwide right to abortion.

The current conservative majority has already begun to roll back this historic approach to individual rights, most notably through the Dobbs decision of 2022, which overturned Roe vs. Wade.

Justice Clarence Thomas has suggested that Griswold should follow Roe vs. Wade into the juridical dumpster, along with Lawrence vs. Hodges (2003), which invalidated state laws against sodomy among consenting adults, and Obergefell vs. Hodges (2005), which legalized same-sex marriages nationwide. The court, Thomas remarked in his concurring opinion in Dobbs, “should reconsider” those rulings.

Those cases were decided on different grounds from Chevron, but liberal judges saw the expansion of individual rights as part of the same principle that prompted them to aggressively examine agency actions that tended to narrow those rights.

As it happens, the Chevron decision didn’t generate much interest when it was handed down. The six justices who ruled unanimously in the EPA’s favor apparently thought they were weighing in on a narrow technicality. One legal scholar has called Chevron an “accidental landmark”; its significance only emerged from subsequent federal rulings and, perhaps most important, its embrace by Justice Antonin Scalia, who joined the Supreme Court two years later.

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Scalia wrote in a 1989 law review article that Chevron deference made sense in the modern world: If there was an ambiguity in the law, the reason was either that Congress was sloppy (in which case the courts had the duty to say what a law meant) or that the lawmakers deliberately delegated to agencies the task of responding to changing realities by using their “advancing knowledge.” Over time, to be sure, he grew discontented with the doctrine (as Roberts and Gorsuch took pains to point out.)

Monday’s decision puts the lie to conservatives’ oft-expressed disdain for policies made by “unelected” bureaucrats. “Agencies report to a President, who in turn answers to the public for his policy calls; courts have no such accountability,” Kagan wrote. Calling the decision “a bald assertion of judicial authority, she added: “The majority disdains restraint, and grasps for power.”

That’s not to say that the majority won’t share the power they have now arrogated for themselves. They will walk hand-in-hand with the Big Business leaders and conservative ideologues who put them on the court, and the rest of us will just have to live with the consequences.

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