Archive for September, 2004

Jimmy Carter: The not-so-pure election observer

September 27, 2004

You have to wonder about Jimmy Carter’s integrity and judgement. In today’s opinion piece in The Washington Post, he complains about the conditions for the upcoming Florida election, using arguments that may have been taken right our of the Coordinadora Democrática press conferences during the last six months. If he wrote the piece himself, his capacity for cynicism is simply incredible. Where was he during the Venezuelan recall vote? Sleeping? Eating? (Speaking of Carter eating, one of my favorite Restaurants in Caracas, Urrutia in Solano Ave., had proudly displayed two pictures of the former President eating there, they have duly been removed).


But let’s looks at the ex-President’s laments about the Florida election:


 


The disturbing fact is that a repetition of the problems of 2000 now seems likely, even as many other nations are conducting elections that are internationally certified to be transparent, honest and fair.”


 


I certainly hope transparent, honest and fair does not refer to the Venezuelan process. The failed audit on Aug. 15th was not transparent, neither was the electoral registry, nor the refusal to audit 50 machines selected by the opposition on the second audit on Aug. 18th.  Or to think it is fair or honest that all important decisions were made by a three to two vote, with the three pro-Chavez Directors always voting together.


 


 


“A nonpartisan electoral commission or a trusted and nonpartisan official who will be responsible for organizing and conducting the electoral process before, during and after the actual voting takes place.”


 


This would never apply to our esteemed CNE, which was composed of three partisan pro-Chavez members and two partisan pro-opposition members. One of the pro-Chavez members was so partisan that he said in an interview to a Brazilian paper that the revolution had to be defended.


 


 


”Uniformity in voting procedures, so that all citizens, regardless of their social or financial status, have equal assurance that their votes are cast in the same way and will be tabulated with equal accuracy. Modern technology is already in use that makes electronic voting possible, with accurate and almost immediate tabulation and with paper ballot printouts so all voters can have confidence in the integrity of the process.”


 


Accurate and almost immediate tabulation? So that all voters can have confidence? Definitely not referring o the Venezuelan process he so superficially observed. Confidence has been shattered, and the integrity of the process is being questioned with very serious technical arguments.


 


“It is unconscionable to perpetuate fraudulent or biased electoral practices in any nation.”


 


It is also unconscionable to superficially certify processes that perpetuate biased and fraudulent practices…


 


Finally, I have switched two arguments made in the article:


 


“It is especially objectionable among us Americans, who have prided ourselves on setting a global example for pure democracy.


 


The top election official has also played a leading role in qualifying Ralph Nader as a candidate, knowing that two-thirds of his votes in the previous election came at the expense of Al Gore. She ordered Nader’s name be included on absentee ballots even before the state Supreme Court ruled on the controversial issue.”


 


Whatever happened to the “pure democracy” he boasts of in the first paragraph? Why should Nader’s candidacy be part of a controversial issue? Yes, he took votes away from Gore in 2000, but he also has a right to be a candidate which is being blocked by the party Carter supports in 17 states, using legalese and political maneuvering to block Nader’s and his supporters rights to have him be a candidate. I disagree with Nader’s candidacy personally, but the attempts to block him represent dirty rather than pure democracy as described in the first sentence.


 


Well Mr. Carter, with this opinion piece, I can only conclude you are not only superficial, but want to cynically apply different rules to the Florida election than you even tried to enforce in Venezuela. Certainly a double standard, but what else is new?

Jimmy Carter: The not-so-pure election observer

September 27, 2004

You have to wonder about Jimmy Carter’s integrity and judgement. In today’s opinion piece in The Washington Post, he complains about the conditions for the upcoming Florida election, using arguments that may have been taken right our of the Coordinadora Democrática press conferences during the last six months. If he wrote the piece himself, his capacity for cynicism is simply incredible. Where was he during the Venezuelan recall vote? Sleeping? Eating? (Speaking of Carter eating, one of my favorite Restaurants in Caracas, Urrutia in Solano Ave., had proudly displayed two pictures of the former President eating there, they have duly been removed).


But let’s looks at the ex-President’s laments about the Florida election:


 


The disturbing fact is that a repetition of the problems of 2000 now seems likely, even as many other nations are conducting elections that are internationally certified to be transparent, honest and fair.”


 


I certainly hope transparent, honest and fair does not refer to the Venezuelan process. The failed audit on Aug. 15th was not transparent, neither was the electoral registry, nor the refusal to audit 50 machines selected by the opposition on the second audit on Aug. 18th.  Or to think it is fair or honest that all important decisions were made by a three to two vote, with the three pro-Chavez Directors always voting together.


 


 


“A nonpartisan electoral commission or a trusted and nonpartisan official who will be responsible for organizing and conducting the electoral process before, during and after the actual voting takes place.”


 


This would never apply to our esteemed CNE, which was composed of three partisan pro-Chavez members and two partisan pro-opposition members. One of the pro-Chavez members was so partisan that he said in an interview to a Brazilian paper that the revolution had to be defended.


 


 


”Uniformity in voting procedures, so that all citizens, regardless of their social or financial status, have equal assurance that their votes are cast in the same way and will be tabulated with equal accuracy. Modern technology is already in use that makes electronic voting possible, with accurate and almost immediate tabulation and with paper ballot printouts so all voters can have confidence in the integrity of the process.”


 


Accurate and almost immediate tabulation? So that all voters can have confidence? Definitely not referring o the Venezuelan process he so superficially observed. Confidence has been shattered, and the integrity of the process is being questioned with very serious technical arguments.


 


“It is unconscionable to perpetuate fraudulent or biased electoral practices in any nation.”


 


It is also unconscionable to superficially certify processes that perpetuate biased and fraudulent practices…


 


Finally, I have switched two arguments made in the article:


 


“It is especially objectionable among us Americans, who have prided ourselves on setting a global example for pure democracy.


 


The top election official has also played a leading role in qualifying Ralph Nader as a candidate, knowing that two-thirds of his votes in the previous election came at the expense of Al Gore. She ordered Nader’s name be included on absentee ballots even before the state Supreme Court ruled on the controversial issue.”


 


Whatever happened to the “pure democracy” he boasts of in the first paragraph? Why should Nader’s candidacy be part of a controversial issue? Yes, he took votes away from Gore in 2000, but he also has a right to be a candidate which is being blocked by the party Carter supports in 17 states, using legalese and political maneuvering to block Nader’s and his supporters rights to have him be a candidate. I disagree with Nader’s candidacy personally, but the attempts to block him represent dirty rather than pure democracy as described in the first sentence.


 


Well Mr. Carter, with this opinion piece, I can only conclude you are not only superficial, but want to cynically apply different rules to the Florida election than you even tried to enforce in Venezuela. Certainly a double standard, but what else is new?

The Editorial that got Chavez mad

September 26, 2004

The Editorial that got Chavez mad:


The Nuthouse (Can’t find it in the digital edition)


 


The stubborn board of the CNE, in staying within the framework of violating the Election Law, together with the absence of independent public powers and the state of prevailing injustice that does not allow to resolve the differences that confront our society, now leaves society immersed in a nuthouse. There will be no threat that will convince a good part of the nation that the referendum and its ominous precedents did not conform to a catalog of a coarse and grotesque abuse of power, capable of diverting the vote intention as an expression of popular will. The warnings of legal action against those that dissent are nothing more than a repeat of the expressions and regulations that from the CNE turned into true threats against freedom of speech. This time around, just like the other one, the nuthouse has chief: psychiatrist Jorge Rodríguez.


                                                                                       


In the same issue of El Universal, MIT Professor Roberto Rigobon says there will be another fraud if the regional elections are carried out in the same fashion as the recall vote. He also clarfies for the layman the meaning of their research.

On Mathematical Models of the recall vote and fraud part XI: 3d. Simon Bolivar seminar with a very strong result.

September 25, 2004

The 3d. Simon Bolivar Seminar on statistical analysis of the recall referendum took place  last Thursday with two talks by Jose Huerta and Luis Raul Pericchi on studies that I have discussed here before and a third talk by Carenne Ludeña on looking at the results from a critical point of view. In some sense, I did not learn as much from the talks, since I was aware of the results, but I did learn quite a bit from the progress made by others not only in studies of the results themselves but new avenues that are trying to correlate, for example, those centers that had “anomalous” results, with those that received data during the day on August 15th., but more on that later.


Luis Raul Pericchi et al: Methods to indirectly verify the non-intervention of an election


 


I have mentioned Pericchi’s work earlier since he is the mathematician that has been applying Benford’s law to the recall vote. Basically, Benford’s law allows for the detection of manipulation of data, in this case the results of the recall vote, by looking at either the first or second digit of the sequence of numbers, the frequency of occurrence of these digits may be able to show that the data may have been tampered with.


 


What Pericchi did was to look at the first two digits. This is done because the first digit test may not be the most accurate since, for example, it may be bound in a range such as no voting machine having either Si or No votes above 900. (This is an invented example).


 


The results are similar for the first two digits, but I will convey those for the second digit. What is done, is to compare the expected frequency of the digits and do a statistical test to determine what is the probability of such an occurrence as a simple probability, or to calculate the so called P value, a number which is used to determine whether the data was or not intervened. A P value below 0.05 is considered to be indication that there was intervention of the data. In the case of the second digit I will quote both the P value and the Probability.


 


Second digit results:


 


Manual Centers Si votes P value=0.0032 and Prob~5%. This is inconclusive


 


Automatic Centers Si votes P value=0.02 and Prob~20% Suggests non-intervention


 


Manual Centers No votes P value~0.15 and Prob~ 44% Suggests non-intervention


 


Automatic Centers No votes P value~0.000… Prob~0% Indicates intervention


 


Essentially, the frequency distribution of the No votes in the automated centers was found to be flat, a uniform distribution of digits, not at all what is expected from Benford’s Law and much different from what is found in the No votes in the manual centers.


 


The same result was also found for the total number of votes at each center, that is, the sum of Si plus No votes, also showed the same pattern indicating the manual centers were ok, but the automated centers were intervened. This result is quite strong and can not be dismissed easily as voting records not only usually follow Benford’s law, but in this case the manual centers are shown to behave correctly, suggesting a very strong case for intervention of the data in automated centers.


 


Even more interesting, when Benford’s Law was tested on the No votes in the audited machines, the results were quite different with a P value of 0.24 and a probability of 48%, much different than in the overall results, suggesting the sample had something different about it.


 


For skeptics, I repeat: Similar behavior was found for both the first and second digits in which the No vote numbers and the total numbers indicate intervention since the probabilities of this happening are extremely low. It is going to be extremely difficult to “explain away” this result


 


Recall also that my pedestrian use of Benford’s law to test the Proyecto Venezuela exit poll matches very well what is expected. While I did not perform any statistical tests, the differences in both Si and No numbers from what is expected do not appear to be significant and the frequency distribution is certainly not flat.


 


To close, Pericchi also mentioned that he has obtained results similar to Jimenez on coincidences, using different techniques, in a less detailed study so far.


 


Jose Huerta and Jesus Gonzales: Comparison of the recall vote and other electoral processes


 


He presented a more detailed version of the work I posted earlier in which he compared the vote from the 1999, 2000 and 2004 votes. Huerta finds that there is more predictive correlation at the municipality level between the 200 and the 2004 vote than between the 1999 and 2000 vote. Huerta, who is a social scientist who studies poverty, concludes that this is very surprising not only from a political point of view, given what has happened in the country in those four years, but also from a social point of view, since poverty, unemployment and crime are up.


 


Huerta made a couple of comments that I found t be quite interesting and inconsistent with what is known: One, that the growth in the electoral registry is larger in the rural areas than in the urban areas by 18% to 14%, inconsistent with statistical data from the Government and from the fact that the is no evidence of a reversal of the migration trend of the last forty years. But the second comment was perhaps the most surprising: Huerta finds that the largest proportion of changes in the electoral registry were from urban areas to rural areas, which makes no sense whatsoever. His suggestion is that this was done on purpose to have manual centers match the national automated vote.


 


Carenne Ludeña: A critical view at the models used to study the recall vote.


 


Ludeña basically tried to point out where bias or assumptions may affect the results leading to a conclusion that may suggest fraud, but the conclusion is model based. The talk had some interesting points and considerations, but I found nothing compelling about it. She pointed out, for example, how the Hausmann and Rigobon model of errors may be flawed by proposing an alternative, but I found the alternative less compelling than the real model. Essentially she said that the Exit polls and the signatures for the recall may have had a correlation factor due to external pressures. However, in my mind these correlations did not exist as the two processes were different.


 


In the signatures, they were going to be public, which meant that those that wanted to sign did not, for fear of retaliation. In the exit polls the situation is different, whether you are pressured into lying depends in where you are voting, not how. Essentially in a Si-dominated center people may feel pressured to say they voted Si, but the opposite is true if the center is dominated by No voters. If it was true that the No won by 60-40%, then there should not be the correlation that she points put, or should not be important.


 


Other comments:


 


1) There are many people working on this problem and are now getting into the details of how the intervention may have been implemented. Perhaps the most interesting comment I heard was about communications between the voting machines and the servers. Essentially, the machines were not supposed to communicate during the day at all and the data was not supposed to be bidirectional in the sense that while handshakes are to be expected, more data should not flow from the servers to the voting machines. This did not happen. The data transmission record exists in detail for all machines and the data is quite interesting:


 


-Not all machines had communications during the day


-There were two types of ways in which calls were terminated, either by the server or by the voting machine. In one of the two (Don’t remember which) the amount of data transmitted to the machine was larger than from the machine to the server. There appears to be a correlation between this and the “anomalous” centers with funny vote distributions.


 


 This work is still in progress.


 


2) In the work of Isbelia Martin et al that I reported earlier, a peculiarity was observed that the dispersion of votes by machine size showed two “clouds” if one looks at the Si or No votes, instead of only one in some states. Some have wanted to explain away this behavior by saying it reflects two geographic or social populations. The problem is that the mathematical properties of each “cloud” have inconsistencies, such as the fact that if you do a fit to only one cloud, the intercept is not zero.


 


The above result could be explained away by artificialities in the data. But what can not be explained away is that the intercept is the same for the Si and No votes. There can be no correlation between the two! If anything should no be correlated is these two populations. There can be no justification for this coincidence state after state where the two clouds are observed!


 


If this last result is found in a few of the states where the binomial distribution is “chopped up”, in my mind there is no doubt mathematically that the data was intervened. This work is also in progress


 


3) One last conclusion to me is that the recall vote data shows quite a number of “strange” results. As someone said, the probability of a person winning the lotto is very low, however the fact that a person does win every week is not strange. In the recall vote, mathematical studies show quiet a number of strange results; this is as if the same person wins the lotto week after week. In fact, few of this statistical studies show results for which the data is reasonable or normal and that may represent the biggest abnormality or anomaly.

On Mathematical Models of the recall vote and fraud part XI: 3d. Simon Bolivar seminar with a very strong result.

September 25, 2004

The 3d. Simon Bolivar Seminar on statistical analysis of the recall referendum took place  last Thursday with two talks by Jose Huerta and Luis Raul Pericchi on studies that I have discussed here before and a third talk by Carenne Ludeña on looking at the results from a critical point of view. In some sense, I did not learn as much from the talks, since I was aware of the results, but I did learn quite a bit from the progress made by others not only in studies of the results themselves but new avenues that are trying to correlate, for example, those centers that had “anomalous” results, with those that received data during the day on August 15th., but more on that later.


Luis Raul Pericchi et al: Methods to indirectly verify the non-intervention of an election


 


I have mentioned Pericchi’s work earlier since he is the mathematician that has been applying Benford’s law to the recall vote. Basically, Benford’s law allows for the detection of manipulation of data, in this case the results of the recall vote, by looking at either the first or second digit of the sequence of numbers, the frequency of occurrence of these digits may be able to show that the data may have been tampered with.


 


What Pericchi did was to look at the first two digits. This is done because the first digit test may not be the most accurate since, for example, it may be bound in a range such as no voting machine having either Si or No votes above 900. (This is an invented example).


 


The results are similar for the first two digits, but I will convey those for the second digit. What is done, is to compare the expected frequency of the digits and do a statistical test to determine what is the probability of such an occurrence as a simple probability, or to calculate the so called P value, a number which is used to determine whether the data was or not intervened. A P value below 0.05 is considered to be indication that there was intervention of the data. In the case of the second digit I will quote both the P value and the Probability.


 


Second digit results:


 


Manual Centers Si votes P value=0.0032 and Prob~5%. This is inconclusive


 


Automatic Centers Si votes P value=0.02 and Prob~20% Suggests non-intervention


 


Manual Centers No votes P value~0.15 and Prob~ 44% Suggests non-intervention


 


Automatic Centers No votes P value~0.000… Prob~0% Indicates intervention


 


Essentially, the frequency distribution of the No votes in the automated centers was found to be flat, a uniform distribution of digits, not at all what is expected from Benford’s Law and much different from what is found in the No votes in the manual centers.


 


The same result was also found for the total number of votes at each center, that is, the sum of Si plus No votes, also showed the same pattern indicating the manual centers were ok, but the automated centers were intervened. This result is quite strong and can not be dismissed easily as voting records not only usually follow Benford’s law, but in this case the manual centers are shown to behave correctly, suggesting a very strong case for intervention of the data in automated centers.


 


Even more interesting, when Benford’s Law was tested on the No votes in the audited machines, the results were quite different with a P value of 0.24 and a probability of 48%, much different than in the overall results, suggesting the sample had something different about it.


 


For skeptics, I repeat: Similar behavior was found for both the first and second digits in which the No vote numbers and the total numbers indicate intervention since the probabilities of this happening are extremely low. It is going to be extremely difficult to “explain away” this result


 


Recall also that my pedestrian use of Benford’s law to test the Proyecto Venezuela exit poll matches very well what is expected. While I did not perform any statistical tests, the differences in both Si and No numbers from what is expected do not appear to be significant and the frequency distribution is certainly not flat.


 


To close, Pericchi also mentioned that he has obtained results similar to Jimenez on coincidences, using different techniques, in a less detailed study so far.


 


Jose Huerta and Jesus Gonzales: Comparison of the recall vote and other electoral processes


 


He presented a more detailed version of the work I posted earlier in which he compared the vote from the 1999, 2000 and 2004 votes. Huerta finds that there is more predictive correlation at the municipality level between the 200 and the 2004 vote than between the 1999 and 2000 vote. Huerta, who is a social scientist who studies poverty, concludes that this is very surprising not only from a political point of view, given what has happened in the country in those four years, but also from a social point of view, since poverty, unemployment and crime are up.


 


Huerta made a couple of comments that I found t be quite interesting and inconsistent with what is known: One, that the growth in the electoral registry is larger in the rural areas than in the urban areas by 18% to 14%, inconsistent with statistical data from the Government and from the fact that the is no evidence of a reversal of the migration trend of the last forty years. But the second comment was perhaps the most surprising: Huerta finds that the largest proportion of changes in the electoral registry were from urban areas to rural areas, which makes no sense whatsoever. His suggestion is that this was done on purpose to have manual centers match the national automated vote.


 


Carenne Ludeña: A critical view at the models used to study the recall vote.


 


Ludeña basically tried to point out where bias or assumptions may affect the results leading to a conclusion that may suggest fraud, but the conclusion is model based. The talk had some interesting points and considerations, but I found nothing compelling about it. She pointed out, for example, how the Hausmann and Rigobon model of errors may be flawed by proposing an alternative, but I found the alternative less compelling than the real model. Essentially she said that the Exit polls and the signatures for the recall may have had a correlation factor due to external pressures. However, in my mind these correlations did not exist as the two processes were different.


 


In the signatures, they were going to be public, which meant that those that wanted to sign did not, for fear of retaliation. In the exit polls the situation is different, whether you are pressured into lying depends in where you are voting, not how. Essentially in a Si-dominated center people may feel pressured to say they voted Si, but the opposite is true if the center is dominated by No voters. If it was true that the No won by 60-40%, then there should not be the correlation that she points put, or should not be important.


 


Other comments:


 


1) There are many people working on this problem and are now getting into the details of how the intervention may have been implemented. Perhaps the most interesting comment I heard was about communications between the voting machines and the servers. Essentially, the machines were not supposed to communicate during the day at all and the data was not supposed to be bidirectional in the sense that while handshakes are to be expected, more data should not flow from the servers to the voting machines. This did not happen. The data transmission record exists in detail for all machines and the data is quite interesting:


 


-Not all machines had communications during the day


-There were two types of ways in which calls were terminated, either by the server or by the voting machine. In one of the two (Don’t remember which) the amount of data transmitted to the machine was larger than from the machine to the server. There appears to be a correlation between this and the “anomalous” centers with funny vote distributions.


 


 This work is still in progress.


 


2) In the work of Isbelia Martin et al that I reported earlier, a peculiarity was observed that the dispersion of votes by machine size showed two “clouds” if one looks at the Si or No votes, instead of only one in some states. Some have wanted to explain away this behavior by saying it reflects two geographic or social populations. The problem is that the mathematical properties of each “cloud” have inconsistencies, such as the fact that if you do a fit to only one cloud, the intercept is not zero.


 


The above result could be explained away by artificialities in the data. But what can not be explained away is that the intercept is the same for the Si and No votes. There can be no correlation between the two! If anything should no be correlated is these two populations. There can be no justification for this coincidence state after state where the two clouds are observed!


 


If this last result is found in a few of the states where the binomial distribution is “chopped up”, in my mind there is no doubt mathematically that the data was intervened. This work is also in progress


 


3) One last conclusion to me is that the recall vote data shows quite a number of “strange” results. As someone said, the probability of a person winning the lotto is very low, however the fact that a person does win every week is not strange. In the recall vote, mathematical studies show quiet a number of strange results; this is as if the same person wins the lotto week after week. In fact, few of this statistical studies show results for which the data is reasonable or normal and that may represent the biggest abnormality or anomaly.

On Mathematical Models of the recall vote and fraud part XI: 3d. Simon Bolivar seminar with a very strong result.

September 25, 2004

The 3d. Simon Bolivar Seminar on statistical analysis of the recall referendum took place  last Thursday with two talks by Jose Huerta and Luis Raul Pericchi on studies that I have discussed here before and a third talk by Carenne Ludeña on looking at the results from a critical point of view. In some sense, I did not learn as much from the talks, since I was aware of the results, but I did learn quite a bit from the progress made by others not only in studies of the results themselves but new avenues that are trying to correlate, for example, those centers that had “anomalous” results, with those that received data during the day on August 15th., but more on that later.


Luis Raul Pericchi et al: Methods to indirectly verify the non-intervention of an election


 


I have mentioned Pericchi’s work earlier since he is the mathematician that has been applying Benford’s law to the recall vote. Basically, Benford’s law allows for the detection of manipulation of data, in this case the results of the recall vote, by looking at either the first or second digit of the sequence of numbers, the frequency of occurrence of these digits may be able to show that the data may have been tampered with.


 


What Pericchi did was to look at the first two digits. This is done because the first digit test may not be the most accurate since, for example, it may be bound in a range such as no voting machine having either Si or No votes above 900. (This is an invented example).


 


The results are similar for the first two digits, but I will convey those for the second digit. What is done, is to compare the expected frequency of the digits and do a statistical test to determine what is the probability of such an occurrence as a simple probability, or to calculate the so called P value, a number which is used to determine whether the data was or not intervened. A P value below 0.05 is considered to be indication that there was intervention of the data. In the case of the second digit I will quote both the P value and the Probability.


 


Second digit results:


 


Manual Centers Si votes P value=0.0032 and Prob~5%. This is inconclusive


 


Automatic Centers Si votes P value=0.02 and Prob~20% Suggests non-intervention


 


Manual Centers No votes P value~0.15 and Prob~ 44% Suggests non-intervention


 


Automatic Centers No votes P value~0.000… Prob~0% Indicates intervention


 


Essentially, the frequency distribution of the No votes in the automated centers was found to be flat, a uniform distribution of digits, not at all what is expected from Benford’s Law and much different from what is found in the No votes in the manual centers.


 


The same result was also found for the total number of votes at each center, that is, the sum of Si plus No votes, also showed the same pattern indicating the manual centers were ok, but the automated centers were intervened. This result is quite strong and can not be dismissed easily as voting records not only usually follow Benford’s law, but in this case the manual centers are shown to behave correctly, suggesting a very strong case for intervention of the data in automated centers.


 


Even more interesting, when Benford’s Law was tested on the No votes in the audited machines, the results were quite different with a P value of 0.24 and a probability of 48%, much different than in the overall results, suggesting the sample had something different about it.


 


For skeptics, I repeat: Similar behavior was found for both the first and second digits in which the No vote numbers and the total numbers indicate intervention since the probabilities of this happening are extremely low. It is going to be extremely difficult to “explain away” this result


 


Recall also that my pedestrian use of Benford’s law to test the Proyecto Venezuela exit poll matches very well what is expected. While I did not perform any statistical tests, the differences in both Si and No numbers from what is expected do not appear to be significant and the frequency distribution is certainly not flat.


 


To close, Pericchi also mentioned that he has obtained results similar to Jimenez on coincidences, using different techniques, in a less detailed study so far.


 


Jose Huerta and Jesus Gonzales: Comparison of the recall vote and other electoral processes


 


He presented a more detailed version of the work I posted earlier in which he compared the vote from the 1999, 2000 and 2004 votes. Huerta finds that there is more predictive correlation at the municipality level between the 200 and the 2004 vote than between the 1999 and 2000 vote. Huerta, who is a social scientist who studies poverty, concludes that this is very surprising not only from a political point of view, given what has happened in the country in those four years, but also from a social point of view, since poverty, unemployment and crime are up.


 


Huerta made a couple of comments that I found t be quite interesting and inconsistent with what is known: One, that the growth in the electoral registry is larger in the rural areas than in the urban areas by 18% to 14%, inconsistent with statistical data from the Government and from the fact that the is no evidence of a reversal of the migration trend of the last forty years. But the second comment was perhaps the most surprising: Huerta finds that the largest proportion of changes in the electoral registry were from urban areas to rural areas, which makes no sense whatsoever. His suggestion is that this was done on purpose to have manual centers match the national automated vote.


 


Carenne Ludeña: A critical view at the models used to study the recall vote.


 


Ludeña basically tried to point out where bias or assumptions may affect the results leading to a conclusion that may suggest fraud, but the conclusion is model based. The talk had some interesting points and considerations, but I found nothing compelling about it. She pointed out, for example, how the Hausmann and Rigobon model of errors may be flawed by proposing an alternative, but I found the alternative less compelling than the real model. Essentially she said that the Exit polls and the signatures for the recall may have had a correlation factor due to external pressures. However, in my mind these correlations did not exist as the two processes were different.


 


In the signatures, they were going to be public, which meant that those that wanted to sign did not, for fear of retaliation. In the exit polls the situation is different, whether you are pressured into lying depends in where you are voting, not how. Essentially in a Si-dominated center people may feel pressured to say they voted Si, but the opposite is true if the center is dominated by No voters. If it was true that the No won by 60-40%, then there should not be the correlation that she points put, or should not be important.


 


Other comments:


 


1) There are many people working on this problem and are now getting into the details of how the intervention may have been implemented. Perhaps the most interesting comment I heard was about communications between the voting machines and the servers. Essentially, the machines were not supposed to communicate during the day at all and the data was not supposed to be bidirectional in the sense that while handshakes are to be expected, more data should not flow from the servers to the voting machines. This did not happen. The data transmission record exists in detail for all machines and the data is quite interesting:


 


-Not all machines had communications during the day


-There were two types of ways in which calls were terminated, either by the server or by the voting machine. In one of the two (Don’t remember which) the amount of data transmitted to the machine was larger than from the machine to the server. There appears to be a correlation between this and the “anomalous” centers with funny vote distributions.


 


 This work is still in progress.


 


2) In the work of Isbelia Martin et al that I reported earlier, a peculiarity was observed that the dispersion of votes by machine size showed two “clouds” if one looks at the Si or No votes, instead of only one in some states. Some have wanted to explain away this behavior by saying it reflects two geographic or social populations. The problem is that the mathematical properties of each “cloud” have inconsistencies, such as the fact that if you do a fit to only one cloud, the intercept is not zero.


 


The above result could be explained away by artificialities in the data. But what can not be explained away is that the intercept is the same for the Si and No votes. There can be no correlation between the two! If anything should no be correlated is these two populations. There can be no justification for this coincidence state after state where the two clouds are observed!


 


If this last result is found in a few of the states where the binomial distribution is “chopped up”, in my mind there is no doubt mathematically that the data was intervened. This work is also in progress


 


3) One last conclusion to me is that the recall vote data shows quite a number of “strange” results. As someone said, the probability of a person winning the lotto is very low, however the fact that a person does win every week is not strange. In the recall vote, mathematical studies show quiet a number of strange results; this is as if the same person wins the lotto week after week. In fact, few of this statistical studies show results for which the data is reasonable or normal and that may represent the biggest abnormality or anomaly.

Superficial and abusive response to recall challenge by CNE Director Rodriguez

September 25, 2004

In a nationwide TV address yesterday CNE Director Jorge Rodriguez “explained” why there was no fraud, saying no proof had been submitted by the opposition and that the Electoral Registry did not have the problems denounced by the opposition. E said the phenomenon of more voters than inhabitants had occurred in other elections and that in nay case the number was very small with only 32,000 voters involved. The latter is, of course, a silly argument since he is only taking into account those towns where the number of voters exceeded the number of inhabitants, but its says nothing of those where the number is exorbitant without exceeding the number of inhabitants.


Rodríguez also denied a lot of things that were not part of the accusations by the opposition such as rumors of Russian hackers or interference of the communications using satellites which were not part of the documents presented by the opposition. This part I found offensive and abusive on the part of the CNE Director, using superficial accusations which were not part of the challenge to laugh at the possibility of fraud.


 


He was superficial, referring to caps and mentioning Hausmann and Rigobon in that instance, but failed to note the coincidence problem where, as noted here, there are calculations that suggest the impossibility of what was observed. The cap problem once again, was not mentioned in the oppositions challenge but was used irresponsible by Rodriguez in his nationwide address.


 


He mentioned that pro-Chávez exit polls said the opposite of opposition exit polls, but nobody has been able to get their hands on that data while opposition exit polls from at least three institutions (Sumate, Primero Justicia and Proyecto Venezuela) have been distributed generously to be studied by anyone that has requested it. Moreover, the only pro-Chávez exit polls that have been publicly quoted yielded results that have too much error with the final results of the recall vote, given the size of the samples made.


 


He mentioned the “cold’ audit of August 18th. but failed to mention the failed “hot” audit of Aug. 15rh. And results that remain mysterious to date.


 


Rodriguez closed by threatening to take to court anyone that continues making accusations of fraud against the CNE. All in all, I found Rodríguez to be strident, superficial and consider his use of a forced nationwide TV address to broadcast his point of view and abuse of power since the opposition has not been given the same ability to present its case to the nation and explain its suspicions as to what happened on Aug. 15th.


 


Today Tulio Alvarez, the lawyer who prepared the case responded to Rodriguez saying that eh had not responded to any of the reasons why the CD challenged the results of August 15th. , suggesting that Rodriguez had not even read the request. He reiterated the accusations and said that Rodriguez’s arguments about the Electoral Registry in no way address the massive and fraudulent issuing of ID cards without control that took place.


 


Alvarez said the Electoral Board continued its abuse of power by denying the challenge presented by the customary three to two vote, without any discussion or presentation of a study of the allegations. He called on the two opposition Directors to resign from the CNE.

Superficial and abusive response to recall challenge by CNE Director Rodriguez

September 25, 2004

In a nationwide TV address yesterday CNE Director Jorge Rodriguez “explained” why there was no fraud, saying no proof had been submitted by the opposition and that the Electoral Registry did not have the problems denounced by the opposition. E said the phenomenon of more voters than inhabitants had occurred in other elections and that in nay case the number was very small with only 32,000 voters involved. The latter is, of course, a silly argument since he is only taking into account those towns where the number of voters exceeded the number of inhabitants, but its says nothing of those where the number is exorbitant without exceeding the number of inhabitants.


Rodríguez also denied a lot of things that were not part of the accusations by the opposition such as rumors of Russian hackers or interference of the communications using satellites which were not part of the documents presented by the opposition. This part I found offensive and abusive on the part of the CNE Director, using superficial accusations which were not part of the challenge to laugh at the possibility of fraud.


 


He was superficial, referring to caps and mentioning Hausmann and Rigobon in that instance, but failed to note the coincidence problem where, as noted here, there are calculations that suggest the impossibility of what was observed. The cap problem once again, was not mentioned in the oppositions challenge but was used irresponsible by Rodriguez in his nationwide address.


 


He mentioned that pro-Chávez exit polls said the opposite of opposition exit polls, but nobody has been able to get their hands on that data while opposition exit polls from at least three institutions (Sumate, Primero Justicia and Proyecto Venezuela) have been distributed generously to be studied by anyone that has requested it. Moreover, the only pro-Chávez exit polls that have been publicly quoted yielded results that have too much error with the final results of the recall vote, given the size of the samples made.


 


He mentioned the “cold’ audit of August 18th. but failed to mention the failed “hot” audit of Aug. 15rh. And results that remain mysterious to date.


 


Rodriguez closed by threatening to take to court anyone that continues making accusations of fraud against the CNE. All in all, I found Rodríguez to be strident, superficial and consider his use of a forced nationwide TV address to broadcast his point of view and abuse of power since the opposition has not been given the same ability to present its case to the nation and explain its suspicions as to what happened on Aug. 15th.


 


Today Tulio Alvarez, the lawyer who prepared the case responded to Rodriguez saying that eh had not responded to any of the reasons why the CD challenged the results of August 15th. , suggesting that Rodriguez had not even read the request. He reiterated the accusations and said that Rodriguez’s arguments about the Electoral Registry in no way address the massive and fraudulent issuing of ID cards without control that took place.


 


Alvarez said the Electoral Board continued its abuse of power by denying the challenge presented by the customary three to two vote, without any discussion or presentation of a study of the allegations. He called on the two opposition Directors to resign from the CNE.

A second mystery international financial operation by the Chavez administration in two months

September 24, 2004

This week, the Venezuelan Government announced that it would issue a new ten year bond maturing in 2014. The issue will be for US$ 1.5 billion and will be first be offered as an exchange to holders of the so called Front loaded interest reduction bonds (FLRB’s) and the Debt Conversion Bonds (DCB’s) due in 2007.


Now, a country issues bonds when i) it needs money, ii) when it wants to reduce yearly payments or iii) when it wants to extend debt in time. This case is not straight forward to analyze.


 


The first point i) Is definitely not the case as the outstanding FLRB’s and DCB’s amount to more than US$ 1.5 billion so that the Government certainly does not expect to get any “fresh” money from this issue.


 


Point ii) requires some thought and explanation. Most bonds have a maturity date and make regular interest payments called coupons. The new bond is like that, it will likely have a coupon of 9% payable in two parts every year for the next ten years. But the DCB’s and FLRB’s are different, they were issued as part of the so called Brady bonds, when the future of Venezuela was uncertain (don’t laugh!) so they would not only pay interest, but also make payments of capital regularly.


 


Thus, these bonds which mature in 2007, require that the Government in the next two years pay capital as well as interest. The capital payments are large, but the interest payments are small because these bonds have adjustable coupons of the order of only 2%. In contrast, the new Global 2014 bond will have payments of roughly 9%.


 


Ant that is what is difficult to understand: to avoid making payments of US$ 450 million in capital for the next two years, the Government is going to have to pay 7% more per year in interest or US$ 100 million. This seems to make no sense, because Venezuela currently has ample reserves, so there is no problem with making the capital payments, but you are paying too much in interest in the next three years!


 


You could argue that the reason is three iii) that the Government wants to extend the debt profile in time, however, this runs against the type transaction made by PDVSA in July.


 


That transaction had exactly the opposite characteristics of this one, PDVSA spent US$ 2.6 billion to buyback all of its debt at equivalent yields that seemed high for the markets and which reduced international reserves by that amount. In that case, the only possible explanation was that they wanted to remove any possible liability for the Board of Directors of PDVSA since that company still ahs not produced financials for 2003.


 


In this case, in my opinion, there is only one possible explanation: The Government thinks that things are not going to get better than they are and is issuing ten year debt at conditions that will not return. My evidence for this? Easy, despite record high oil prices, Venezuela’s international reserves have not risen at all in the last three months, suggesting any downturn in oil prices will make a dent in the country’s international reserves and force the Government to pay more interest to issue new debt.

A second mystery international financial operation by the Chavez administration in two months

September 24, 2004

This week, the Venezuelan Government announced that it would issue a new ten year bond maturing in 2014. The issue will be for US$ 1.5 billion and will be first be offered as an exchange to holders of the so called Front loaded interest reduction bonds (FLRB’s) and the Debt Conversion Bonds (DCB’s) due in 2007.


Now, a country issues bonds when i) it needs money, ii) when it wants to reduce yearly payments or iii) when it wants to extend debt in time. This case is not straight forward to analyze.


 


The first point i) Is definitely not the case as the outstanding FLRB’s and DCB’s amount to more than US$ 1.5 billion so that the Government certainly does not expect to get any “fresh” money from this issue.


 


Point ii) requires some thought and explanation. Most bonds have a maturity date and make regular interest payments called coupons. The new bond is like that, it will likely have a coupon of 9% payable in two parts every year for the next ten years. But the DCB’s and FLRB’s are different, they were issued as part of the so called Brady bonds, when the future of Venezuela was uncertain (don’t laugh!) so they would not only pay interest, but also make payments of capital regularly.


 


Thus, these bonds which mature in 2007, require that the Government in the next two years pay capital as well as interest. The capital payments are large, but the interest payments are small because these bonds have adjustable coupons of the order of only 2%. In contrast, the new Global 2014 bond will have payments of roughly 9%.


 


Ant that is what is difficult to understand: to avoid making payments of US$ 450 million in capital for the next two years, the Government is going to have to pay 7% more per year in interest or US$ 100 million. This seems to make no sense, because Venezuela currently has ample reserves, so there is no problem with making the capital payments, but you are paying too much in interest in the next three years!


 


You could argue that the reason is three iii) that the Government wants to extend the debt profile in time, however, this runs against the type transaction made by PDVSA in July.


 


That transaction had exactly the opposite characteristics of this one, PDVSA spent US$ 2.6 billion to buyback all of its debt at equivalent yields that seemed high for the markets and which reduced international reserves by that amount. In that case, the only possible explanation was that they wanted to remove any possible liability for the Board of Directors of PDVSA since that company still ahs not produced financials for 2003.


 


In this case, in my opinion, there is only one possible explanation: The Government thinks that things are not going to get better than they are and is issuing ten year debt at conditions that will not return. My evidence for this? Easy, despite record high oil prices, Venezuela’s international reserves have not risen at all in the last three months, suggesting any downturn in oil prices will make a dent in the country’s international reserves and force the Government to pay more interest to issue new debt.