In The News

Is the Sun Setting on US Dominance? – Part I

Joergen Oerstroem Moeller February 27, 2008
As the world’s economic and security interests become increasingly interconnected, many analysts speculate on what global leadership will emerge throughout the 21st century. This two-part series examines the changing role of the United States in the world‘s economic and security scene. In the first part of the series, Joergen Oerstroem Moeller, visiting senior research fellow with the Institute...

Mobilization for Globalization

Steven Pearlstein February 27, 2008
As economies move through cycles, the countries experiencing problems envy the countries enjoying growth. At this moment in time, US politicians and workers view China and India as “imminent threats to US prosperity and economic hegemony,” writes Steven Pearlstein for the Washington Post. Big imbalances in wages and benefits within the country prompt a majority of Americans to question the value...

Brave New Economy

David Hale February 27, 2008
The Asian financial crisis 10 years ago convinced many governments on the continent to become big, yet cautious savers. Developing nations account for 75 percent of the world’s $6 trillion of foreign exchange reserves – and have sovereign funds worth $2.5 trillion. By purchasing vast sums of US treasury bonds and other debt, Asian and Middle Eastern investors contributed to low interest rates in...

The Recession Felt Around the World

Nouriel Roubini February 21, 2008
A recession looming for the US could affect countries all over the world that rely on exporting to the world’s biggest economy. Some analysts suggest that decoupling, or the process of decreasing dependence on American consumers, would prevent a recession’s effects from spreading. But the fact remains that the US is a top trading partner for many countries in the world, and even states that have...

India Back In Global Chain

Nayan Chanda February 20, 2008
The Tata-Boeing deal to supply a critical part used in the next-generation Boeing-787 Dreamliner shows that India has a chance to become a key member of the global manufacturing network, once again. Given India's long history of participation in the global world, this comes as no surprise. As Nayan Chanda points out, if Tata can meet the challenge of the production, its reputation will...

Why Spanish Banks Seem Immune to the Subprime Virus

February 20, 2008
The subprime crisis that originated in the US – with lenders giving out mortgages to many people who could not afford future payments – has begun to weaken European banks as well. Credit-rating agencies assured investors that US mortgages were a safe investment, and banks purchased securities packages that included problem loans. As prices for homes in the US market fall and homeowners struggle...

Clinton and Obama Emphasize Economic Themes

John M. Broder February 18, 2008
Candidates for US president Barack Obama and Hillary Clinton are neck in neck, battling to win the Democratic nomination. To attract votes, both have adopted a populist stance and make plenty of economic promises to workers. Many border on assistance, including programs to help homeowners facing foreclosure or workers pay for health care. Growing income disparity tempts voters and candidates to...