Redefining America
After a 20-year run as the world’s hegemonic power, the United States is retrenching. The Trump administration accelerated this process, answering China’s disruptive rise with an economic and military challenge, and using similar confrontational tactics with Iran. Domestically, the U.S. is doubling down on its faith in small government. American bilateralism’s key risk is estranging long-time partners needed to sustain its preeminence.
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The Fed and ECB: Average inflation targeting for two
Central banks have long maintained that price stability means 2 percent inflation. Now we hear from the U.S. Federal Reserve and the European Central Bank that it actually means “average” 2 percent inflation. This seemingly small change in the banks’ mission aims to contain and sustain public debt, not inflation.
The new computing technology may alter our civilization beyond recognition
China, the United States and other technologically advanced countries are in an epic race to develop the next generation of computing machines – with designs based on quantum physics’ principles. The state that achieves an early breakthrough in this contest could gain scientific, military, economic and geopolitical advantages of historic ...
Causes and consequences of the dollar’s weakness
At the pandemic’s onset, few paid any attention to exchange rates. The U.S. dollar has weakened significantly since March 2020, surprising many observers. Some of the drop can be ascribed to the diminished international trade flows, which cut the demand for the globe’s leading exchange currency. There may also be, ...
Departing U.S. troops leave tough questions behind
President Donald Trump has finally announced a long-discussed redeployment of some American forces in Europe, mainly from Germany to Italy and Belgium. Wielded as a “punishment" by the U.S. administration, the move is less consequential from an immediate military perspective than critics and the media would admit. But it does ...
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More Disruptions
Expanding state
A trend toward increased government influence in economies and personal life is curbing growth, and freedom, in many Western countries. The outsized role of government results in misplaced incentives, overregulation – which restrains markets and competition – and irresponsible budgetary ...
Middle East politics
The region, one of the cradles of civilization, is going through a turbulent period of historic realignment. Its powers are vying for political, military, economic and religious dominance with local players and outside actors. Armed conflicts, mainly civil wars, are ...
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