Category: News Desk

U.S. GDP Growth Estimates Boosted on Strong Economic Data


A number of economic studies show renewed strength in the American economy, helping the Federal Reserve boost its estimates for growth.  The Atlanta Federal Reserve’s real-time GDP estimator, GDPNow, has raised its estimates for growth to 2.9%, an increase of 16% from the last estimate. That is the highest growth estimate in over a year.

The boost is being driven by renewed business investment in the United States, which rose from a negative reading to 0.4% thanks to a Census study of durable manufacturing goods.

South Korea’s New Anti-Corruption Law Could Have Economic Ramifications


The South Korean government will implement a new law known as the Improper Solicitation and Graft Act in September, which bans pricey gift exchanges during business transactions, according to Bloomberg.

Critics contend that the law will affect an economy already suffering from low consumption and lackluster GDP growth. Under the mandate, officials cannot receive meals over 30,000 won and gifts over 50,000 won, but journalists and teachers would be subject to the same rules.

World Bank: Combat Climate Change with a Carbon Pricing System


In 2015, a handful of nations undertook a social experiment. Urged by groups, including the World Bank, who felt that combatting climate change required an economic incentive, these adventurous countries, and a number of states, regions, and cities, have begun charging companies that produce carbon as part of their operation. In just a year, the benefits of these programs have already begun to show.

U.S. Sees Higher Trade Deficit, Lower Services Activity


American trade policy is failing to shrink the trade deficit with other countries as weak demand crimps services industries throughout the country.  The trade balance between the United States and foreign countries rose 3.4% on a month-over-month basis in April, rising to $57.5 billion; however, that also represents the lowest trade deficit since February 2015.

UN Deploys Investigators in Burundi in Response to Human Rights Abuses


The United Nations (UN) has completed its deployment of monitors sent to investigate human rights abuses in Burundi, according to Africa News. Over 450 people have been killed since last year, when President Pierre Nkurunziza won a third term beyond his official mandate. Three people were murdered in the latest string of killings, including a former army colonel.

IMF to Europe: No Cash for Greece without Debt Relief Promise


Greece has become the focus of a battle between European nations and the International Monetary Fund (IMF). The economically struggling nation that is drowning in debt will not receive any additional aid from the IMF, according to a senior International Monetary Fund official, unless Greece’s creditors in Europe agree to concise debt relief terms.

Unfortunately, for Greece, to date, those European creditors have refused to commit to such detailed debt relief plans, leaving Greece in the middle of a power struggle between the IMF and the Eurozone.

Investors Cheer New Home Sales Blowout


Investors dived into the stock market after American home sales crushed expectations with double-digit gains.  New home sales in April soared to 16.6% more than sales in March and 23.8% from a year ago, according to a new report by the Census Bureau.

Tajikistan Referendum Allows President to Rule Indefinitely


Referendum results show that over 94 percent of Tajiks approved a change to the constitution allowing President Emomali Rakhmon to run for office indefinitely, according to Business Insider. The international community has long decried Tajikistan’s history of election fraud, however, and the recent results are highly questionable. Rakhmon has ruled the country since 1992.

World Bank to Lend $100 Million to India for Clean Water in Karnataka


The World Bank and India signed a deal on Tuesday by which the nation will receive $100 million in loan funds to provide the citizens of Karnataka with a continuous supply of fresh, running water. The Karnataka Urban Water Supply Modernization Project will provide access to continuously piped water to the cities of Karnataka, a poor region of India.

Economists: U.S. to Face Greater Inflation


After several years of weak inflation, economists now believe Americans will see higher prices in 2016 and beyond.  Weak inflation that fell into near deflation in 2015 has reversed course, with the U.S. consumer price index (CPI) rising to its highest point since 2013. The CPI for all items rose over 1.1% in April, and has shot up markedly after falling earlier in 2016. Excluding food and energy, the CPI rose over 2.1% in April.