The Economist (December 22)
Freer trade is a no-cost measure that the U.S., Japan and Europe can take to boost otherwise weak forecasts of economic growth. “The gains to be had from sluggish rich countries opening their borders to each other’s goods and services look enticing. The world is less integrated than most people realise.” A TPP deal alone “could raise the region’s GDP by more than 1%” and there are two other major trade pacts (an EU/U.S. transatlantic pact and an EU services agreement) with strong potential. “Now is the time to act.”
Tags: Economic growth, Europe, Free trade, Japan, TDP, TPP, U.S.
Economist (June 23)
On July 1, the Chinese Communist Party (CCP) turns 90. Despite this milestone, the CCP’s future looks uncertain. “The inevitable slowing in economic growth,” will strain relations between the middle-class and the CCP. Moreover, “tensions between China’s prosperous middle classes and its poor will make it a harder country to govern.” The CCP may feel forced to repress an increasingly restive middle class, further worsening relations. “In other Asian countries a taste for democracy has risen with income; and repression would mean withdrawing freedoms from people used to their liberty gradually increasing.” The CCP is in for a bumpy ride. The next 90 are far from assured.
Tags: CCP, China, Economic growth, Middle class, Tension
The Economist (September 9)
Soon Mexico will celebrate 200 years of independence from Spain. Across Latin America, similar anniversaries are popping up. Yet, how much is there to celebrate? “Democracy may have replaced the dictators of old…but other Latin American vices such as corruption and injustice seem as entrenched as ever.” The Economist points out that economic progress has been “remarkable.” Between 2003 and 2008, the region grew at an annual rate of 5.5%. Growth paused during the economic crisis, but the region is again poised to register 5% growth in 2010. “After two centuries of lagging behind, the southern and central parts of the Americas are at last fulfilling their potential.” Now that’s worth celebrating.
Soon Mexico will celebrate 200 years of independence from Spain. Across Latin America, similar anniversaries are popping up. Yet, how much is there to celebrate? “Democracy may have replaced the dictators of old…but other Latin American vices such as corruption and injustice seem as entrenched as ever.” The Economist, however, points out that economic progress has been “remarkable.” Between 2003 and 2008, the region grew at an annual rate of 5.5%. Growth paused with the economic crisis, but the region is again poised to register 5% growth in 2010. “After two centuries of lagging behind, the southern and central parts of the Americas are at last fulfilling their potential.”Now that’s worth celebrating.
Tags: Economic growth, Latin America, Mexico
