Bloomberg (March 2)
“For a global economy that’s been muddling through Trump’s tariff rollout and growing uncertainty over the impact of Artificial Intelligence on labor markets, the latest spike in Middle East tensions adds yet more uncertainty. Travel chaos extended through the region and beyond, while the world’s largest container carriers had to reroute ships to avoid the Persian Gulf.”
Tags: Artificial intelligence, Container carriers, Labor markets, Middle East, Muddling, Persian Gulf, Reroute, Spike, Tariff, Tensions, Travel chaos, Trump, Uncertainty
Wall Street Journal (February 27)
“Economics 101 teaches that international trade is all about comparative advantage.” Specialization and trade result “in everyone getting more of everything.” This theory “no longer guides global trade. Instead, what’s happening looks more like portfolio theory. Countries are no longer maneuvering to maximize gains. They’re diversifying to minimize losses. The risk they’re hedging against? The U.S.”
Tags: Comparative advantage, Diversifying, Economics, Hedging, International trade, Maximize gains, Minimize losses, Portfolio theory, Risk, Specialization, U.S.
