In The News

Bridges to Somewhere

Justin Yifu Lin September 15, 2011
Following the financial crisis of 2008, the developed world still faces weak growth prospects and dim employment forecasts, and leaders in the US and Europe urge debt reduction. In this Foreign Policy article, Justin Yifu Lin of the World Bank makes a strong case for global infrastructure initiative, encouraging developed countries to invest billions of dollars on infrastructure projects at home...

Arms Makers Eye Exports to Offset Pentagon Cuts

Jim Wolf September 12, 2011
With US politicians up in arms over deficits and debt, defense manufacturers anticipate sharp budget reductions for the US Department of Defense. US spending on defense nearly doubled in the decade following the 9/11 attacks, but even hardline politicians have expressed a new willingness to reduce defense spending, which makes up about 20 percent of the federal budget. Without incoming orders,...

Fall of Gaddafi: Policy Challenge for China and Russia

James M. Dorsey September 7, 2011
As rebels organize to govern Libya, global powers pay their respects to new rulers of a nation ranking ninth in the world with oil reserves. NATO supported overthrowing the Gaddafi regime, while Russia, China, India, Brazil and South Africa abstained from voting on Resolution 1973, approved in March, authorizing UN member states to protect Libya’s civilians. Now abstainers are scrambling to win...

Argentina Acts to Protect Local Films

Jude Webber September 7, 2011
More often than not, protectionism represents desperation. The Argentine state film institute has begun imposing fines on foreign film, reports Jude Webber for the Financial Times. The extra fees, to be levied on films shown on more than 161 Argentine screens, are intended to curtail mass releases of Hollywood blockbusters, Webber reports, and collect revenues “to protect national filmmakers.”...

Chinese Tycoon Seeks to Buy Tract of Iceland

Andrew Ward and Leslie Hook September 2, 2011
Big land purchases attract public scrutiny, especially if the buyer is a foreign national. A Chinese real estate investor has set out to buy 300 square kilometers of Icelandic wilderness for an eco-tourism project. The tract, partly under public ownership, represents about 0.3 percent of the island and government approval is required, reports the Financial Times. Investor Huang Nubo is a former...

Chasing Rare Earths, Foreign Companies Expand in China

Keith Bradsher August 30, 2011
Besides a huge market and inexpensive labor, China’s lure for foreign firms has now been revealed to be its vast holdings of rare earth minerals, essential for manufacturing cell phones, hybrid cars and other electronic products. “Companies that continue making their products outside the country must contend with tighter supplies and much higher prices for the materials because of steep taxes and...

Only 3 Percent of What You Buy Is Made in China, But It's the Most Important 3 Percent

Greg Lindsay August 25, 2011
For four decades, corporations have outsourced manufacturing operations to Asia, reducing costs. Shifting manufacturing off-shore eliminated jobs and also “sacrificed the know-how to think of new ways of manufacturing goods,” explains Greg Lindsay for Fast Company. In all, services represent two thirds of the US economy. Manufacturing’s role is small: San Francisco Federal Reserve economists...