On Thursday, Australia and Germany signed a new tax treaty, seen by many as the first step towards growing trade and investment between the two European nations. There is a need for greater closeness with regard to the tax systems of these nations in order to help prevent rampant multinational tax evasion.
American banks are holding fewer bonds on fears that the market will continue to decline, while mortgage activity falls and retail sales decline.
The Russian economy contracted 4.3 percent in the third quarter, as economic sanctions continue to plague the economy, according to AFP. Russia was also hit hard by falling oil prices and low spending levels not seen in 15 years. In addition, household income plummeted 9.7 percent in September and 9.8 percent in August. The International Monetary Fund notes that Russia could lose 9.0-percent GDP from Western-imposed sanctions.
Ireland has among the lowest taxes in Europe. However, the Organization for Economic Cooperation and Development (OECD) is not impressed. They warned Ireland that it will have to spend more time selling itself in the new era of global tax transparency if it wants to experience meaningful economic growth.
Despite indicators of a continually cooling macroeconomic environment, Chinese stocks continue higher, even as disinflation and weak factory activity signal continued weakness.
According to government data, Hawaii has a homeless population of 487 out of every 100,000 person, the highest number per capita in the United States, reports ABC News. The rise in homelessness stems from such factors as high costs and low-wage jobs. Around 40 percent of homeless people in Hawaii have part-time jobs, and the rate of homelessness among families skyrocketed 46 percent from 2014 to 2015. The problem caused Governor David Ige to declare a state of emergency as the state struggles to shelter so many people.
Tuesday, Iraqi officials agreed to allow the International Monetary Fund (IMF) to monitor its economic policies in order to pave the way for possible funding in 2016. The IMF’s Mission Chief, Christian Josz, said the program would require staff-monitoring and would be targeted at reigning in spending in order to reduce Iraq’s overall budget deficit.
Consumer credit growth rates reached 60% in September on a surprising surge in credit card debt, just as fears of an interest rate hike are causing credit to get more expensive.
Total revolving debt in the United States rose by 8.7% year-over-year in September after rising just 5.3% in August. September’s unusually sharp rise in credit usage surprised forecasters, who had expected 2015’s moderate pace of about 5.5% growth in revolving debt to sustain itself, or moderately increase.
North Korea’s black economy becomes a way of life as the poor and entrepreneurs look for alternative means of survival, according to Reuters. The underground market signals a slow ease to capitalism, no matter how much the government denies or tries to stop it.
The underground economy is in many downtrodden economies across the world, where few job opportunities and lacking growth force citizens to find innovative ways of making a living. However, North Korea’s black economy is different because it could lead to massive social and political change.
Climate change has been on many people’s minds for the last few years, but few consider how it could affect the poorest members of society. A recent report by the World Bank cautions that climate change could push more than 100 million people into extreme poverty by 2030. This would be the result of disruptions to agriculture and the spread of disease, such as malaria.
