In The News

Inflation Promises a Belt-Tightening Era

David Dapice June 17, 2008
Oil and food prices are rising – and plenty of economists worry about inflation. With some analysts predicting $200 per barrel oil in the near future and serious consequences down the line, consumers must prepare to get by with less. Much of the economic outlook depends on the ability of the US financial system to handle its growing debt load, explains economist David Dapice in this YaleGlobal...

Oil Currency Hypocrisy

Kenneth Rogoff June 17, 2008
The internet and instant communication quickly expose inconsistent policies, even in the most technical of areas. An example of such inconsistency, according to economist Kenneth Rogoff, is US policy on currency exchange rates. The US simultaneously criticizes Asian countries for manipulating currencies, preventing them from appreciating faster against the dollar, while supporting elaborate...

Globalization Exposes Food Supply to Unsanitary Practices

June 13, 2008
Countries that import food must check on producers’ sanitary standards, warn scientists attending an American Society for Microbiology meeting, reported on by Science Centric. Lower wages in developing nations and specialized growing environments contribute to the trends in food trade. The US imports more food than it exports, the article reports, and about 15 percent of food consumed in the US...

This Global Show Must Go On

Tyler Cowen June 12, 2008
Living standards have improved immensely throughout the world since 1990, largely due to open trade and globalization. But ordinary observers and intellectuals increasingly express concern about the speed of globalization and suggest that applying some controls could ease climbing commodity prices and inflation. Slowing the global economy would be a challenge, argues economist Tyler Cowen for...

Oil Majors Say US Restrictions Delay Iran Projects

Benoît Faucon June 12, 2008
Despite surging oil prices, companies investing in Iranian energy projects confront long delays. The US has long imposed sanctions on Iran, and as a result, it becomes more difficult to use American technology or equipment, hindering many foreign ventures in Iran. US companies once exploited legal loopholes to continue operations in Iran, but the September 11th attacks ended that strategy. The...

Globalization Is Good

Peter Mandelson June 11, 2008
The US has been a major driver behind globalization of trade, and either Barack Obama or John McCain will preside over the next phase. Peter Mandelson, EU trade commissioner lays out the challenges for the next US president and offers advice: The global economy is no longer based on a powerful center, inequality within a society matters as much as inequality between countries, and trade...

Distance Does Matter

Nayan Chanda June 10, 2008
As fuel and transportation costs rise, regional networks are likely to become more essential. High transport costs will slow international trade for certain products, especially those with low value-to-freight ratios, such as apparel or industrial machinery. Producers will pass increased costs on to the consumer, but the most significant changes may emerge in the supply-chain production system...