In late January 2016, the Vietnamese Communist Party (VCP) held its 12th National Congress to select leaders and set policy guidelines for the next five years. Although every VCP congress is a time of intense power struggles, the 12th Congress was especially partisan. Never before has politics in Vietnam been so reduced to the choice between two individuals.
The Federal Reserve is urging Americans to prepare for higher interest rates that will impact almost all debts, including student loans, mortgages, and credit cards. Despite interpretations of a dovish Janet Yellen after last week’s remarks that the Federal Reserve would remain patient and pace its interest rate hikes in accordance with data, a more recent speech from the Fed is chastising investors for not preparing themselves for higher interest rates.
Western and Asian governments and commentators have pilloried the Chinese government for its inscrutability on the so-called ‘nine-dash line’ in the South China Sea. Because the nine-dash line allegedly lacks a basis in international law as reflected in the United Nations Convention on the Law of the Sea (UNCLOS), they have hectored China to clarify the line’s meaning and to derive all maritime claims from the textual provisions of the Convention.
Both incomes and manufacturing activity are growing in America, leading to hopes that the economic recovery is finally here. Wage growth surged in March as 215,000 new jobs were created in the month, according to the Bureau of Labor Statistics. While the unemployment rate unexpectedly rose to 5%, jobs were gained “in retail trade, construction, and health care.”
The increase in total jobs and a shift towards job growth in higher paid industries helped wages, which were up 2.3% on a year-over-year basis in March.
American house prices are continuing to rise at a pace described by one economist as “unsustainable.” Two indices of home prices showed a sharp increase in prices throughout America, with gains beating inflation in just about every major metropolitan area in the country. According to the S&P Case-Shiller Home Price Index, home prices rose 5.1% in the 10-city composite, while the 20-city composite—, which covers a broader swathe of medium-sized cities—saw a 5.7% year-over-year gain.
The International Monetary Fund (IMF) has an enticing suggestion for Australia. If it wants a solid way to make an 80-fold return on its investment, it needs to invest $1 billion a year on tax breaks for corporate research and development (R&D). This suggestion was part of a study recently conducted by the IMF.
China’s pattern of regional conduct has come increasingly into focus in recent times. Its behaviour is much less about maintaining the ‘status quo’, and much more about revising the established dynamics and contours in the region to its preferences. This revisionism is likely to become the primary source of tensions and potential conflict in Southeast Asia.
Nowhere are China’s revisionist aims more evident than in the South China Sea and the upper reaches of the Mekong River, which straddles southern China, Myanmar, Thailand, Laos, Cambodia and Vietnam.
In December 2015, Chinese President Xi Jinping flew into South Africa for the Forum on China-Africa Co-operation with great fanfare. There were many announcements about prospective investments across Africa. Agriculture featured prominently. However, what is the real story of China in Africa on the ground, beyond the hype?
The current scandal embroiling Prime Minister Najib Razak has led the Malaysian government to crack down on press freedoms. However, a restricted mainstream Malaysian media has not stopped the publishing online of information on the ongoing corruption scandal surrounding the Prime Minister and 1Malaysia Development Berhad (1MDB).
It remains to be seen whether Najib’s crackdown will secure his position or whether the media will help unseat him.
