Opinion: The day Europe goes bankrupt
You may not be able to see it, but Europe’s biggest economies have piled up enormous amounts of pension debt. The European Central Bank’s policy of target credits and quantitative easing has only made things worse. With politicians seemingly determined not to notice, a systemic implosion may be inevitable.
Argentina’s Macri in the crosshairs
Argentina’s Mauricio Macri spent his first 16 months as president playing whack-a-mole with a host of problems – including a faltering economy, an incompetent and often corrupt bureaucracy, and rising public anger at utility price hikes. Now, with parliamentary elections looming, he needs to come up with a strategy to avoid becoming a lame duck for the rest of his term.
Opinion: The promises and perils of basic income
Basic income has been touted as a libertarian answer to the bloated welfare state. With a pedigree that goes back to Milton Friedman, it has proved attractive to free marketers as well as leftists. But it could also prove an immense threat to personal freedom.
Italy after the referendum
Italy's political establishment is hanging tough after the failed constitutional referendum. But buying time and tinkering with the election law will be of no avail unless the economy improves. Prime Minister Paolo Gentiloni’s caretaker government appears to lack the political clout to cut spending and fix the banks. That will only strengthen the appeal of Beppe Grillo’s Five Star Movement.
Argentina’s new government makes an ambitious start
President Mauricio Macri of Argentina, who was elected last October, has quickly set out to show how much his administration differs from that of his predecessor, Cristina Fernandez de Kirchner. Much of the attention has focused on its determination to end the country’s complex set of price controls, subsidies and exchange rate restrictions. But his most significan...
Exchange rates: a race to the bottom
Trying to predict how exchange rates will evolve during the rest of the year is a futile exercise. For different reasons, the world’s major central banks are all doing their best to weaken their own currencies. Summary <i>In the United States, the Federal Reserve is having second thoughts about resetting ...
U.S. defense procurement to change after presidential election
For the rest of this election year, the United States military will endure a funding squeeze as politicians try to hold down federal spending. But rising demand for forces to operate against Daesh, (also known as Islamic State or ISIS) in the Middle East and South Asia is putting pressure on the Pentagon. Once the November elections are resolved, persistent public ...