Washington Post (March 22)
Singapore’s Lee Kuan Yew “was the democratic world’s favorite dictator.” Despite his virtues, he was “demonstrably unwise about democracy in Asia. While he was touting supposedly unique Asian values incompatible with liberal Western norms, Taiwan, South Korea and Indonesia became robust democracies and prospered economically.”
Tags: Asia, Democracy, Dictator, Indonesia, Lee Kuan Yew, Prospered, Singapore, South Korea, Taiwan, Values, Virtues, Western
New York Times (March 22)
“The U.S. economic outlook again “has a dispiritingly familiar ring to it.” It looks unlikely that “this year’s early Easter” will “boost consumer spending after a brutal winter.” Despite optimism, Easter shopping and warmer weather have failed for several years proven “a sure catalyst for growth.” For that matter, it’s increasingly unclear where that catalyst will come from.
Tags: Boost, Catalyst, Consumer spending, Dispiriting, Easter, Economic outlook, Growth, U.S., Warmer weather
The Economist (March 21)
The Islamic State (IS) may still be launching attacks, but “the good news is that cracks in the caliphate are becoming increasingly apparent. IS is losing ground, money and the consent of the people it rules.”
LA Times (March 20)
Last year “Californians responded initially with big water savings but let the hoses and sprinklers run again toward the end of last year, as the Sierra snow began to fall and it was easier to hope — to pretend — that the dry times were behind us. It’s clear now that’s not the case.” With the drought in its fourth year, “Californians must begin using water as though they are still at the front end of…cataclysm.”
Tags: California, Cataclysm, Drought, Snow, Water savings
Institutional Investor (March 18)
“Market sentiment today hinges almost entirely on the Federal Open Market Committee’s announcement this afternoon. The anticipation of any change in wording to policy means investors are again ready to rethink what a new market reality may look liked as the process of policy normalization begins.”
Tags: Announcement, Anticipation, FOMC, Investors, Market, Normalization, Policy, Sentiment
Wall Street Journal (March 18)
“Major Japanese manufacturers lined up Wednesday to give their employees bigger pay raises starting in April.” This could provide a boost to Abenomics, but “the diverging fortunes of Japan’s big and small firms suggest that Mr. Abe may have more work to make wage growth spread.”
Tags: Abenomics, Employees, Japan, Manufacturers, Pay raises, Small firms, Wage growth
Euromoney (March Issue)
“As Basel III was an admission that Basel II got things wrong, Basel IV is a clear recognition that there is much that is wrong with Basel III.” Judging from their reactions, bankers aren’t terribly excited about proposals that would among other things, “restrict banks’ use of internal models to determine their capital requirements and to limit their freedom to measure risk.”
Tags: Bankers, Basel III, Basel IV, Capital requirements, Freedom, Internal models, Proposals, Risk
Financial Times (March 16)
“Since nobody knows how many days or weeks Athens is from insolvency, the risk of a sudden exit is clear and present. Grexit may never happen — but it is time to get ready.” Without preparation, it is possible that “a sudden seizure of the Greek financial system” could “bring about a humanitarian crisis, global financial contagion and reputational damage to the EU.”
Tags: Contagion, EU, Financial system, Greece, Grexit, Humanitarian crisis, Insolvency, Reputational damage, Risk
The Economist (March 14)
China “is clinging on to low-cost manufacturing, even as it goes upmarket to exploit higher-value activities.” Developing countries shouldn’t expect to “manufacture their way to prosperity” on the back of higher manufacturing costs in China. “Just waiting for higher Chinese wages to push jobs their way is a recipe for failure.”
Tags: China, Developing countries, Higher value, Jobs, Low-cost manufacturing, Prosperity, Upmarket, Wages
LA Times (March 12)
“California leads the pack with the share of electricity from renewable sources, more than doubling from 12% in 2008 to 25% today. In that period, private companies invested more than $20 billion in new renewable power plants here. California is home to the largest geothermal, wind, solar thermal and solar photovoltaic power plants in the world.” By2030, California is aiming to reach 50% renewable energy, after which fossil fuels will become “the alternative energy.”
Tags: Alternative energy, California, Electricity, Fossil fuels, Geothermal, Photovoltaic, Power plants, Renewable sources, Solar, Thermal, Wind
