Washington Post (August 2)
Washington may be badly broken, but “it works extremely well for its most important citizens: the lobbyists. The permanent government of the United States is no longer defined by party or a branch but by a profession comfortably encamped around the federal coffers. The result is that Washington has become the wealthiest city in the nation, and its relative position has actually improved over the past five years, during the worst recession in 75 years. The country might be struggling, but K Street is not.”
Tags: Country, Government, K Street, Lobbyists, Recession, Struggling, U.S., Washington, Wealth
New York Times (July 23)
“To keep commerce going with China, Japan’s most important Asian trading partner, Mr. Abe has to stop rubbing raw the wounds of World War II. That includes not visiting the Yasukuni Shrine, where war criminals from that conflict are honored. Nor should his government divert budget resources into military muscle flexing. Pushing into these politically contentious areas would erode the economic progress and promise of stable political leadership Mr. Abe has just worked so hard to achieve.”
Tags: Abe, Budget, China, Commerce, Conflict, Criminals, Government, Japan, Leadership, Military, Progress, Trading partner, World War II, Yasukuni
Financial Times (July 10)
“The coalition government’s plan to sell off Royal Mail is ambitious. Even Margaret Thatcher balked at such a course, fearing the political risks outweighed any commercial and financial gains…. Success is far from assured. Nonetheless, Royal Mail has brighter prospects in private hands. Britain will be well served if investors profit from creating a postal service that meets its needs.”
Tags: Government, Investors, Margaret Thatcher, Privatize, Profit, Prospects, Risks, Royal Mail, UK
Euromoney (July 9)
“The new Chinese government’s policy drive to deleverage the banking sector has become more apparent, and that deleveraging will continue to unfold in the next six to 12 months. In what Morgan Stanley calls its ‘super-bear scenario’, it estimates that aggressive policy tightening will reduce Chinese GDP growth to an annual rate of 5.5% in the second half of this year.” If the scenario plays out (a one in ten chance according to Morgan Stanley), it “would have major implications for global markets.”
Tags: Banking sector, China, Deleveraging, GDP, Global markets, Government, Growth, Morgan Stanley, Policy, Scenario, Super-bear
Institutional Investor (June issue)
“Optimism is beginning to infect Japan’s corporate leaders–a crucial factor considering that the new policies must spur corporate investment and expansion if they are to succeed in fostering a sustainable economic turnaround.” Corporate leaders have welcomed Abenomics, but the jury is still out. “Corporate Japan will consider the new government successful if it can end the psychology of deflation and stagnation and offer the prospect of renewed growth. So far, business leaders are fairly optimistic.”
Tags: Corporate leaders, Deflation, Expansion, Government, Investment, Japan, Optimism, Psychology, Stagnation
South China Morning Post (June 3)
“Loose-lipped politicians are a problem for any government. Japan seems particularly bedevilled by them. Rising political star Toru Hashimoto has been especially insensitive, his recent comments on comfort women heightening regional outrage and prompting criticism in Europe and North America. Coming on the heels of a string of incidents involving dozens of right-wing lawmakers, Prime Minister Shinzo Abe most prominent among them, it is not surprising that the nation is again being called on to apologise for its wartime atrocities.”
Financial Times (May 30)
“In France, when public servants cash in by taking private sector jobs, it is called pantouflage. In Japan, it is amakudari (“descent from heaven”); and, in the US, it is normal.” The revolving door between government and private sector jobs is a perplexing global issue that recently garnered attention in Britain when the head of tax collection became a consultant to Deloitte.
Tags: Amakudari, Britain, Deloitte, France, Government, Japan, Private-sector, Public servants
The Economist (May 18, 2013)
Shinzo Abe is defying expectations. “He has put Japan on a regime of ‘Abenomics’, a mix of reflation, government spending and a growth strategy designed to jolt the economy out of the suspended animation that has gripped it for more than two decades. He has supercharged Japan’s once-fearsome bureaucracy to make government vigorous again.”
Tags: Abenomics, Expectations, Government, Growth strategy, Japan, Reflation, Shinzo Abe, Spending
Bloomberg (April 22, 2013)
“Last week we were reminded both of the dangers posed by chemical plants and of the threat of terrorism in the U.S., and the conclusion that chemical plants could be a lot safer is unsettling. But such a conclusion is also inescapable.” The Texas blast, which killed 14, took place at a fertilizer plant storing highly combustible and toxic substances. The plant “was clearly too dangerous to be located a few blocks from a middle school, a nursing home and a 50-unit apartment building.” The Government needs to institute rules to keep the public safe.
Tags: Blasts, Chemical plants, Fertilizer plant, Government, Terrorism, Texas
The Economist (March 16)
America’s “debt is rising, its population is ageing in a budget-threatening way, its schools are mediocre by international standards, its infrastructure rickety, its regulations dense, its tax code byzantine, its immigration system hare-brained—and it has fallen from first position in the World Economic Forum’s competitiveness rankings to seventh in just four years.” But “dysfunction in Washington is only one side of America’s story…. There is also another America, where things work.” The successful side of America can be seen in the improving performance of the real economy where “businesses and politicians are not waiting for the federal government to ride to their rescue.”
Tags: Businesses, Debt, Dysfunction, Government, Population, Real economy, Regulations, U.S., WEF