In The News

Deadly Greed: The Role of Speculators in the Global Food Crisis

Beat Balzli April 25, 2008
Investors, sensing opportunity in climbing food prices, made record profits in the commodities markets, including wheat, corn, rice and palm oil. “Commodity speculation spread long ago from standard products like oil and gold to anything edible and available for trade on the Chicago Futures Exchange,” write Beat Balzli and Frank Hornig for Spiegel Online. The futures market allowed farmers to...

Irrational Exuberance to Bust: Financial Bubbles Demand Regulation

Kemal Dervis April 23, 2008
As the financial sector has gained dominance in the world economy, some investors have become accustomed to steady growth and double-digit profits. While the financial industry rewards efficiency and innovation among competing firms, the relentless quest for profits and a short-term mentality in some finance circles have contributed to a series of asset bubbles: the Asian-Russia financial crisis...

40% of Afghan Aid Returns to Donor Countries, Says Report

Richard Norton-Taylor March 25, 2008
The US and the UK toppled the Taliban regime in Afghanistan in 2001, and NATO forces have battled extremists since. In the six years since, the Western nations have spent more on military endeavors than on health, education or economic initiatives. Wealthy nations have not come though with amounts originally pledged, and a substantial percentage of aid money that did come through went for...

US Pushes Sovereign Funds to Open to Outside Scrutiny

Bob Davis March 3, 2008
Western banks and companies have recently relied on huge savings accounts run by Asian and Middle Eastern governments for some financial rescues. But governments in the US and Europe also know that constituents can get uncomfortable over bailouts or foreign ownership of major companies, particularly those linked to national security. So the US has suggested that two of the major funds – based in...

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...
January 28, 2008
Corporate boards reflect the values of a company and their national culture. Although multiple forces pressure firms around the globe to follow the US-model of corporate governance, divergent styles do emerge and challenge the status quo. Major institutional investors have long invested in US markets and appreciated strong regulations on how companies audit and organize their boards. Those huge...