In The News

China Girds for Wider Influence in Asia

Frank Ching September 6, 2003
Last month's meeting of the Shanghai Cooperation Organization demonstrated China's growing influence across Asia. Following 9/11, this six-nation group, which also includes Russia and many Central Asian countries, agreed to establish a regional antiterrorism center in Uzbekistan. The reason for this move may have been strategic. Ever since the country agreed to host US troops engaged...

India and Israel Ready to Consummate Secret Affair

Edward Luce September 4, 2003
At first glance, India and Israel seem like improbable allies. India has long championed Palestinian rights, and the country’s large Muslim population makes cooperation with Israel politically dangerous. But 11 years after New Delhi established full relations with Tel Aviv, the two countries share increasingly strong ties based on a common desire to defeat violence rooted in Islamic...

How Not to Be a Boiled Frog

Chua Lee Hoong September 3, 2003
Wages are not the only factor that leads to higher labor costs; corporate payments to retirement plans do as well. Foreign companies seeking to raise the bottom line search for countries with the lowest labor costs, often leaving formerly cheap nations for even cheaper ones. And Singapore has felt such a phenomenon first hand. Ten years ago Singapore enjoyed foreign direct investment (FDI) of...

How Washington Can be a Hyper-Power and a Hyper-Borrower

Philip Segal September 2, 2003
What kind of a superpower gets into so much debt that it has trouble pushing around countries that it would love to? The American kind, says Philip Segal, Markets and Finance Editor of the Asian Wall Street Journal. China and Japan - two major buyers of US government bonds - could do great damage to the American economy if they decided to stop buying or to suddenly sell their share of the US...

The World-System: The Era of Lula

Immanuel Wallerstein September 1, 2003
In 2002, Brazil elected its first ever candidate from a leftist party, Luiz Inácio da Silva. Nicknamed Lula, the leader of the "Party of the Workers" was installed amid a perilous economic climate. With high interest rates and potentially explosive debt, investors expressed their concern by trading Brazilian currency for US dollars and withdrawing financial resources. However, Lula...

Is America's Economy Really Too Big to Go Down the Drain?

Stephen King September 1, 2003
To most people, the prospect of an American collapse is almost unimaginable. But to Stephen King, managing director of economics at HSBC, it is a very real possibility. In this article, King traces the economic success of the US in the 90s, arguing that this growth was due in large part to other countries which were willing to prop up the US economy. America frequently spent more than it...

SARS: Down but Still a Threat

August 31, 2003
In a recently released report on Severe Acute Respiratory Syndrome (SARS) the Central Intelligence Agency says that although the Sars wave has been overcome it has not been eradicated. Despite the announcement by the World Health Organization that on 5 July the disease was contained, the agency says that many health experts fear it could return again in the fall when cooler temperatures return...