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<> <> TOP NEWS Abuse Scandal Inquiry Damns Paterno and Penn State By KEN BELSON Senior officials at the university failed to take steps to protect the children victimized by Jerry Sandusky, the lieutenant to the head football coach, Joe Paterno, the report said. The Freeh Report | The Quad: Readers React to the #Freeh Report Investigation Adds to Freeh's Extensive Résumé | Timeline of a Scandal In Latest Data, Economists See Signs of Pickup By ANNIE LOWREY A range of experts say the United States economy should improve somewhat in the coming months because of lower oil prices and industries like autos and housing. Economix Blog: Latest Data Doesn't Move the Political Needle Lines Are Drawn Over Opting Out of Medicaid Plan By ABBY GOODNOUGH Gov. Rick Scott has vowed to reject the expansion of Medicaid, a major plank of the health care law, but advocates for the poor and some players in the health care industry - especially hospitals - intend to push back. • NYTimes.com Home Page » QUOTATION OF THE DAY "I will not deny or forget my identity. But this can help me in the future. We need to live together in coexistence." NAGHAM MA'ABUK, 19, a volunteer in Israel's national service program.

<> <> Dining & Wine Video: Asparagus Salad Two Ways Mark Bittman demonstrates two ways to enjoy asparagus, down to the last (raw) bite. Related Article Opinion Opinionator | Townies Taking On a Debt to New York By ROSALIE KNECHT Credit? Who needs it? Did you know you can turn an abandoned Volkswagen into an outhouse?

WORLD Service to Israel Tugs at Identity of Arab Citizens By JODI RUDOREN The parallel issue of Arab civilian service to Israel has revived the raw, decades-old conundrum of what it means to be both Arab and Israeli. Britain Adjusts Security Plans in Tense Countdown to the Olympics By JOHN F. BURNS The British government said it would deploy additional troops for security at the Games after a private firm said it could not train enough guards. Austerity Reaches the Hollande Government in France By STEVEN ERLANGER President François Hollande of France, a Socialist, and his prime minister have ordered downgrades in official luxury that carry symbolism in straitened times. • More World News » U.S. Split Among House Republicans Over How Deeply to Cut May Delay Farm Bill By RON NIXON Representatives are divided over what funds the bill should cut and by how much, including food stamps and school lunch programs. Crayfish to Eat, and to Clean the Water By NORIMITSU ONISHI Nevada recently authorized the commercial trapping of crayfish at Lake Tahoe, a move aimed at improving the famed, though vulnerable, water clarity of an American natural treasure. Lawsuit Tries to Block New Arizona Abortion Law By ERIK ECKHOLM Arizona's law, which is to take effect Aug. 2, sets the earliest restriction on abortion of any of the eight other states that have similar laws. • More U.S. News » POLITICS Campaign Memo Candidates Racing for Future, Gaze Fixed Firmly on the Past By PETER BAKER The two contenders for the White House and their allies are spending their time and energy relitigating old fights rather than focusing on new ideas for the next four years. Party Strains to Be Heard Now That Its Voice Isn't Nader's By SUSAN SAULNY Jill Stein, who is expected to accept the Green Party's presidential nomination, is a distinctive candidate - and not just because she cooks her own organic meals every day. Campaigns Trade Salvos Over a Romney Role at Bain After 1999 By MICHAEL D. SHEAR Definitive proof about Mitt Romney's activities at Bain Capital remains elusive, leading to another day of acrimonious charges and countercharges from the two campaigns. FiveThirtyEight: Why Obama May Be Stronger Than His Ratings • More Political News » BUSINESS DealBook Geithner Tried to Curb Rate Rigging in 2008 By BEN PROTESS In the midst of the 2008 financial crisis, Timothy F. Geithner, now the United States Treasury secretary, saw problems with the process for setting key interest rates and raised concerns with his counterparts in London about Libor. Geithner's Recommendations for Libor Bankruptcy in California Isn't Seen as a Trend By MARY WILLIAMS WALSH Despite the fact that San Bernardino is the third city in the state to move toward bankruptcy this year, investors in municipal debt showed little sign of concern. Graphic: Bankrupt Local Governments Harnessing Gene Codes as Sleuths of Food Ills By SABRINA TAVERNISE A new public database will enable scientists to pinpoint much faster what food is behind a given outbreak and what country it came from, researchers say. • More Business News » TECHNOLOGY U.S. Pursuing a Middleman in Web Piracy By SOMINI SENGUPTA The government's antipiracy case against Richard O'Dwyer is unusual because he did not publish pirated content himself but pointed the way for others. Bits Blog Betaworks Buys What's Left of Social News Site Digg By JENNA WORTHAM Betaworks, a technology incubator in New York, has purchased Digg, a social news site that has slowly lost steam amid the rise of services like Twitter and Facebook. Bits Blog Yahoo Breach Extends Beyond Yahoo to Gmail, Hotmail, AOL Users By NICOLE PERLROTH Yahoo confirmed on Thursday that hackers had breached its systems and posted online a file of 400,000 usernames and passwords. • More Technology News » SPORTS Findings Stun Even Paterno's Ardent Supporters By BILL PENNINGTON and TIM ROHAN A central finding of the Penn State inquiry is that Joe Paterno knew as early as 1998 of concerns about Jerry Sandusky's inappropriate behavior. The Quad: At Statue, Support and Shock | The Lede: Calls to Remove Statue Records Show Triple Crown Contender Had History of Ailments By JOE DRAPE and WALT BOGDANICH I'll Have Another had physical problems well before he was withdrawn from the Belmont Stakes on the eve of the race, according to veterinary records. The Rail Q. and A.: Understanding Joint Injections Dead Heat Controversy Simply Will Not Die By MARY PILON Jeneba Tarmoh is still struggling to understand how a close race at the United States Olympic trials nearly three weeks ago left her without a spot in the 100 meters at the London Games. Two Female Athletes Will Compete for Saudi Arabia • More Sports News » ARTS A Two-Step Invasion of Brazilian Energy By LARRY ROHTER From Lincoln Center to Battery Park, forró, the highly danceable Brazilian music style, is energizing young New Yorkers. Dance Review Right Bank Meets West Side By ALASTAIR MACAULAY The Paris Opera Ballet opened its New York season with an all-French program at the David H. Koch Theater. Art Review Vivid Hallucinations From a Fragile Life By HOLLAND COTTER The Yayoi Kusama retrospective at the Whitney Museum of American Art goes beyond this Japanese artist's best-known work from her decade-plus stay in the United States to include some of her most complex and personal pieces. Slide Show • More Arts News » NEW YORK / REGION 2 Manhattan Jewelers Admit Illegal Ivory Trading By DAVID M. HALBFINGER The owners of two Manhattan stores pleaded guilty to dealing in what prosecutors said was more than $2 million in banned ivory. City Room Taxi Fares in New York to Rise by 17% By MATT FLEGENHEIMER and MICHAEL M. GRYNBAUM The Taxi and Limousine Commission voted to raise fares, which could go into effect as soon as September. Gotham Column: The Fares Barely Make Ends Meet (July 9) A Bison So Rare It's Sacred By PETER APPLEBOME A white bison, a revered symbol by some American Indians, was born a month ago on a farm in Northwest Connecticut and will draw many visitors for its naming ceremony. • More New York / Region News » MOVIES Movie Review | 'Ice Age: Continental Drift' The Chatty Cathys of the Prehistoric World By A. O. SCOTT "Ice Age: Continental Drift" has antic animation and celebrity voices (Nicki Minaj and Drake as mammoths, for example) that never seem to stop talking. Movie Review | 'Farewell, My Queen' As the Bastille Falls, Gossip in Versailles By MANOHLA DARGIS Benoît Jacquot's look at three days in the life and lies of a doomed monarch presents Marie Antoinette, Versailles and the fall of the Bastille, from the perspective of servants. Video: This Week's Movies Schwarzenegger Gears Up for Act 2 as an Action Hero By MICHAEL CIEPLY and BROOKS BARNES After an eight-year hiatus to serve as California's governor, an older Arnold Schwarzenegger is hoping to regain his status as a major film star. • More Movies News » EDITORIALS Editorial Penn State's Part An independent investigation on the cover-up of child rape by "the most powerful men at Penn State" ought to have legal consequences. Editorial The Folly of Sudan and South Sudan A year after South Sudan declared independence from Sudan, both countries are caught up in a destructive game and will only end up sabotaging themselves. Editorial Tammy Duckworth's Rival Representative Joe Walsh, a Tea Party Republican from Illinois, seems to think that by belittling the sacrifice of Tammy Duckworth, who served and was injured in Iraq, he can win re-election. • More Opinion » OP-ED Op-Ed Contributor How Pensions Violate Free Speech By BENJAMIN I. SACHS Public pension plans need to ensure that employees are not compelled to finance corporate political speech. Op-Ed Columnist Who's Very Important? By PAUL KRUGMAN The V.I.P. crowd has captured the modern Republican Party, which could mean a turn toward policies favoring the superrich if Republicans win in November. Columnist Page | Blog Op-Ed Columnist Why Our Elites Stink By DAVID BROOKS A new book makes an argument against our meritocratic system but misses the largest failure: the elite's loss of a self-conscious leadership code. Columnist Page | Blog • More Opinion » ON THIS DAY On July 13, 1977, a 25-hour blackout hit the New York City area after lightning struck upstate power lines. • See This Front Page • Buy This Front Page