Financial Times (September 18)
“With their economies struggling and domestic politics in disarray, the last thing leaders in China and Japan need now is a foreign policy crisis. Sadly, that is what they are getting into.” The dispute over the Senkaku islands has entered “a more dangerous phase.” A number of circumstances conspired to create the crisis, but there is “no reason for China and Japan to allow further escalation. It is inconceivable that Asia’s two economic giants, joined at the hip commercially, should get into a prolonged confrontation, let alone a military conflict, over these islands. The crisis has already exacted a heavy toll on both countries.”
“With their economies struggling and domestic politics in disarray, the last thing leaders in China and Japan need now is a foreign policy crisis. Sadly, that is what they are getting into.” The dispute over the Senkaku islands has entered “a more dangerous phase.” A number of circumstances conspired to create the crisis, but there is “no reason for China and Japan to allow further escalation. It is inconceivable that Asia’s two economic giants, joined at the hip commercially, should get into a prolonged confrontation, let alone a military conflict, over these islands. The crisis has already exacted a heavy toll on both countries.”
Tags: China, Confrontation, Crisis, Japan, Military conflict, Senkaku islands
The Independent (May 31)
A day of stunning developments in the European debt crisis is summed up simply. “Spaniards are moving money out of their nation’s banks faster than at any point since records began, as Fitch downgrades eight regions and ECB President Mario Draghi warns Europe’s leaders must clarify their vision for the euro.”A day of stunning developments in the European debt crisis is summed up as “Spaniards are moving money out of their nation’s banks faster than at any point since records began, as Fitch downgrades eight regions and ECB President Mario Draghi warns Europe’s leaders must clarify their vision for the euro.”
Washington Post (April 13)
“The European ‘crisis’ is back. Actually, it never went away — and won’t for many years. The problems are so deep and pervasive that there is no easy or obvious solution…. Europe is caught in a trap that promises more political and social unrest.”
Wall Street Journal (February 22, 2012)
“China could face an economic crisis unless it implements deep reforms, including scaling back its vast state-owned enterprises and making them operate more like commercial firms.” A soon-to-be released report, titled “China 2030,” also warns that “China’s growth is in danger of decelerating rapidly and without much warning.” The report indicates that China, like Brazil and Mexico, will face a “middle-income trap,” which tends to snare developing countries that reach a threshold income level.
“China could face an economic crisis unless it implements deep reforms, including scaling back its vast state-owned enterprises and making them operate more like commercial firms.” A soon-to-be released report, titled “China 2030,” also warns that “China’s growth is in danger of decelerating rapidly and without much warning.” The report indicates that China, like Brazil and Mexico, will face a “middle-income trap,” which tends to snare developing countries that reach a threshold income level.
New York Times (December 18)
China’s bubble appears to be bursting “and there are real reasons to fear financial and economic crisis.” The biggest is that “a world economy already suffering from the mess in Europe really, really doesn’t need a new epicenter of crisis.”
China’s bubble appears to be bursting “and there are real reasons to fear financial and economic crisis.” The biggest is that “a world economy already suffering from the mess in Europe really, really doesn’t need a new epicenter of crisis.”
Tags: Bubble, China, Crisis, Europe, Global economy
Wall Street Journal (November 30)
Germany is unfairly getting blamed for the Eurozone crisis. “The reality is that the Germans—along with the Dutch and the Finns—are the rare Europeans who understand that saving the euro requires more than a blank check. It requires a new political commitment to better economic policy…. Money alone won’t solve Europe’s more fundamental debt and growth problem.”
Germany is unfairly getting blamed for the Eurozone crisis. “The reality is that the Germans—along with the Dutch and the Finns—are the rare Europeans who understand that saving the euro requires more than a blank check. It requires a new political commitment to better economic policy…. Money alone won’t solve Europe’s more fundamental debt and growth problem.”
Investment Week (November 10)
Famed investor Jim Rogers predicts the next crisis will be worse than that of 2008. “In 2002 it was bad, in 2008 it was worse and 2012 or 2013 is going to be worse still—be careful.” He points his finger at non-sustainable debt levels which have left countries with few options for increasing economic stimulus. “The world has been spending staggering amounts of money it does not have for a few decades now, and it is all coming home to roost.”
The Telegraph (October 31)
“Veteran investor George Soros has attacked the lack of leadership at the top of the eurozone and said that the new Brussels ‘deal’ to solve the debt crisis will only last between ‘one day and three months.’” Soros points out faults. The 50% Greek debt cut will actually only amount to 20%. Banks may not agree to the terms, hoping to collect on their credit default swaps. And clueless European leaders have again responded with “too little too late.”
The Economist (October 8)
The solution to Europe’s crisis is fairly obvious, but there is one problem. The solution “depends on the Europeans to carry it out. The debt crisis has been running for 18 months now, and the only way that euro-zone leaders have dazzled is through sheer incompetence.”
Tags: Crisis, Debt, Europe, Incompetence, Leadership
New York Times (September 20)
Nobel prize winning economist Paul Krugman was convinced “the next great crisis would be different” from the last. He figured it might be technology- or resource-related, rather than financial. He’s now surprised to find “we’re having the same crisis, and making the same mistakes.” We are again suffering from “a banking crisis and a collapse of aggregate demand, aggravated by bad monetary and fiscal policy.”
