Returning The Reserves: Why Japan Must Focus On Consumption Not Investment
Despite recent rhetoric by Japanese Prime Minister Shinzo Abe, the Japanese economy remains in dire straits – with ‘Abenomics’ simply the past LDP neo-Keynesian policies on steroids. The time is right for Japan to redistribute its reserves back to its...
The Davos Disappointment – Growing Complacency in a Leaderless World?: Joseph Stiglitz
Despite the global economy’s myriad of problems, leaders at the World Economic Forum in Davos, particularly those from Europe, seemed more interested in celebrating the euro’s survival, rather than in tackling long-term concerns. Over the last 25 years, our world...
Obama – The Harbinger Of A New Era For Politics In America?: Jeffrey Sachs
At his second inaugural address on January 21, U.S. President Barack Obama promised more progressive politics for America – shifting away from the Reagan-era policies, led by corporate special interests, over the last three decades. And while it is too...
Turkey: The Big Winner In The Mediterranean Shale Game?
The Mediterranean has joined the shale game, but as most of Europe's Mediterranean countries drag their feet, all eyes are on Israel, Turkey, and Algeria. For Israel, it will be a slow road without the majors. For Algeria, it's full...
10 Reasons Why High Oil Prices Are A Problem: Gail Tverberg
Oil prices are expected to remain high this year, especially with the high cost of extraction involved in obtaining more tight oil and oil from other unconventional sources. If the cost of oil continues to rise, what further damage...
Trillions of Dollars Missing from China’s Economy: Michael Pettis
Economic history suggests that most countries fail in the reform and adjustment process precisely because the sectors of the economy, not to mention individuals, that have benefitted from the distortions are powerful enough to block any attempt to eliminate those...
Will 2013 Mark The Start Of A New, More Dangerous Currency War?: Mohamed El-Erian
Unlike the old days, the threat of a looming currency war will not be directly related to trade imbalances and balance-of-payments crises. Rather, the main driver has been major central banks’ pursuit of experimental measures – in order to compensate...
The 5 Biggest Risks To The Global Economy In 2013: Nouriel Roubini
While chances of a perfect economic storm in 2013 are low, the global economy still faces major risks this year – especially as fiscal austerity continues to spread to more advanced economies, leading to an increased risk of a hard...
Are Financial Markets Depressed or Repressed?
Financial repression results from policies that allow governments to fund their borrowing through imposing costs on others – increasingly seen across global financial markets from Japan’s asset purchase programme to the European Central Bank’s outright market transactions. By artificially lowering...
Land Grabbing: 21st Century Colonialism?
The pace of land grabbing in the developing world is accelerating fast. Foreign governments, financial institutions and corporate giants have combined to create a neo-colonial expansion, which has disastrous consequences for the local populations, as well as the environment. The...
Will America’s Middle-Class Crisis Diminish Its Global Superpower Status?: George Friedman
Besides its economic and social implications, the persistent decline of the American middle-class also poses a significant geopolitical threat: Can the U.S. really maintain its status as a global superpower when half of the country is either stagnant or already...
America’s Energy Boom & Its Impact On The Global Economy – James Kwak Interview
As we begin a new year we wanted to take a look at the current energy landscape and see what the future holds for the global economy, America's oil and gas boom, whether renewables will continue to be a favourite...
The Fastest Growing Economies in 2013
As the European Union mulls another year of economic stagnation and the United States a year of lacklustre and uncertain economic recovery, will emerging markets take the lead in global economic recovery? As the European Union mulls another year of...
A Major Oil-Led Recession In 2013?: Gail Tverberg
The relationship between oil shocks and global recessions is one that has been strongly established for decades. Since World War II, 10 out of 11 recessions in the U.S. were preceded by a sharp increase in the price of oil,...
The Return Of Abenomics: A New, Old Hope For Japan’s Economy?
The ascent to power of the Democratic Party of Japan marked the end of Japan's one-party state, dominated by the Liberal Democratic Party since 1955. However, the DPJ was unable to address the challenges Japan faced, was internally unstable, and...