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   December 30, 2001   QUOTE OF THE DAY "Democracies don't prepare well for=
 things that have never happened before."  RICHARD A. CLARKE, former White =
House counterterrorism chief.   TolkienArchives Examine the World of J. R. =
R. Tolkien - This sponsored feature includes articles from the New York Tim=
es archives, slide shows of Tolkien's artwork, multimedia presentations fro=
m New Line Cinema, weekly trivia quizzes and more.    Explore Tolkien Today=
 .     NATIONAL Rules Will Allow Airport Screeners to Remain in Jobs  In a =
shift, the federal agency supervising aviation security has decided not to =
displace thousands of current screeners by requiring them to be high school=
 graduates.   Many Say U.S. Planned for Terror but Failed to Take Action  T=
he nation's antiterrorism record is replete with failures of intelligence a=
nd the political will to act, an extensive review shows.   Court Finds Deat=
h Penalty Is Misused in Kansas  The Kansas Supreme Court has found that a c=
rucial aspect of the way the death penalty is handed   down is unfair and m=
ust be changed.     MORE NATIONAL NEWS    INTERNATIONAL India Builds Up For=
ces as Bush Urges Calm  With India rushing troops to the border of Pakistan=
, President Bush called the leaders of both nations on Saturday to try to a=
vert a war.   Hunt for bin Laden Loses Steam as Winter Grips Afghan Caves  =
The Pentagon is offering Afghan militia money and warm clothing to lead the=
 search, accepting their methodical pace as a price to pay to avoid using  =
American forces.   Unity Eludes Argentina's Governing Party  Argentina's ca=
binet offered to resign on Saturday, highlighting the disarray of the Peron=
ist Party, which assumed power on Dec. 21.     MORE INTERNATIONAL NEWS    B=
USINESS Even the Smartest Money Can Slip Up  The year just ending, while pa=
inful for most investors, has probably hurt even more for some big names wh=
o achieved fame on Wall Street for being a bit smarter than the average guy=
.   Suddenly, Uncle Sam Wants to Bankroll You  There's a new willingness on=
 the part of the government to tap into the private sector for help in find=
ing and bringing to market technologies with national security uses.   Rece=
ssion, Then a Boom? Maybe Not This Time  The rules for recoveries may well =
be different today than in decades past  not because of Sept. 11, but becau=
se of fundamental changes in the economy.     MORE BUSINESS NEWS    TECHNOL=
OGY Comes With Batteries. Not a Shrink  A series of toys that speaks their =
own distinct dialect proves that children can learn foreign languages.   To=
p Lucent Officers Won't Get Annual Bonuses  Top executives at Lucent Techno=
logies are not getting annual bonuses this year, but three will get big pay=
ments in 2002 in an effort to keep them at the helm.   Kodak Executive Gain=
s Options  The Eastman Kodak Company increased the number of stock options =
awarded to its chairman and chief executive, Daniel Carp, and other top exe=
cutives this year.     MORE TECHNOLOGY NEWS    POLITICS India Builds Up For=
ces as Bush Urges Calm  With India rushing troops to the border of Pakistan=
, President Bush called the leaders of both nations on Saturday to try to a=
vert a war.   At First Year's End, Bush Cites Both Victories and Challenges=
  President Bush said in his weekly radio address that the coming year "wil=
l require our sustained commitment to the war against terrorism."   Recessi=
on, Then a Boom? Maybe Not This Time  The rules for recoveries may well be =
different today than in decades past  not because of Sept. 11, but because =
of fundamental changes in the economy.     MORE POLITICS NEWS    SPORTS Dea=
th and Scandal Left Their Scars  In a year when death scarred the nation, d=
eath too often saddened sports and tempered the splendor of events.   Pitin=
o Returns to Old Kentucky Home Amid Boos  The Bluegrass Showdown became mor=
e of a chance for Kentucky to just show off, as the sixth-ranked Wildcats b=
lew out Rick Pitino's ragged Cardinals.   Bucs Closer to Playoffs  Doug Bri=
en kicked field goals of 42, 38 and 24 yards as Tampa Bay moved a big step =
toward clinching a playoff spot with a win over the Ravens.     MORE SPORTS=
 NEWS    ARTS Plenty of Signs That the Show Is Still the Thing  From Elaine=
 Stritch's brass to the brazenness of "The Producers," theater showed that =
it, and New York, would survive.   An Industry Motivated, More Than Ever, B=
y Fear  After Sept. 11, it's even more apparent  that American movies exclu=
de much of America, not to mention the world.   Offering Beauty, and Then P=
roof That Life Goes On  Before Sept. 11, there were stunning shows; after i=
t, there were ad hoc memorials and splendid new spaces.     MORE ARTS NEWS =
   NY REGION Opening Jan. 1: Mayor Bloomberg, Unedited  New Yorkers are abo=
ut to see Mayor-elect Michael R. Bloomberg unfiltered starting with his ina=
uguration speech on Tuesday.   Anthrax Resurfaces at a Manhattan Post Offic=
e  Traces of anthrax spores were discovered on a high-speed mail-sorting ma=
chine at the Morgan mail-processing center in Manhattan.   Giuliani Looks B=
ack With Just One Regret  Mayor Rudolph W. Giuliani is satisfied with the p=
ast eight years, but still regrets losing his fight to abolish the Board of=
 Education.     MORE NY REGION NEWS    OP-ED  When Bad Things Happen to Goo=
d Children   By MAUREEN DOWD  Why are so many kids in the mood for Lemony S=
nicket's wretched orphans instead of Harry Potter?   What New Yorkers Want =
From Their Next Mayor    New Yorkers of different backgrounds and interests=
 offer some suggestions about where Michael R. Bloomberg should concentrate=
 his energies.   Mayor Giuliani Bows Out    Rudolph Giuliani's tenure is ca=
ptured by a singular, powerful moment: Standing at ground zero, his back to=
 the towering shards and smoke from the World Trade Center.     MORE OP-ED =
 NEWS    Contribute to The Neediest Cases Fund Make an online donation this=
 Holiday Season to The New York Times Neediest Cases Fund to help thousands=
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