In The News

Piracy Shaves 11% Off Music Sales

Tim Burt October 1, 2003
Internet file sharing and downloads, as well as illegal CD manufacturing, have caused a global decline in music sales. While this may strike fear in the hearts of shareholders of the five music majors – Universal, Sony, EMI, Warner, and BMG – all is not lost. DVD sales increased by 55% in the first half of 2003, offsetting the decline in CD revenues. Yet, a representative of the major music...

A Very Dangerous Game

Martin Wolf September 30, 2003
Overspending in America to stimulate its economy has pushed the US fiscal deficit way out of balance – up to about six percent of US GDP. To service this debt, the US government has sold US$870 billion in Treasury bonds to foreign governments since 1999, creating a significant current account deficit. Martin Wolf argues that the US has mortgaged its economy by selling overpriced treasury bonds to...

Dateline Dubai

Mohamed Darwish September 29, 2003
In stark contrast to the scene at the WTO meetings this month, anti-globalization activists did not make their presence known at the World Bank and International Monetary Fund (IMF) annual meeting in Dubai, UAE. Air-conditioned tents set up for them by the government were left empty, as civil society representatives instead tried to engage in dialogue with the officials. Though hostilities with...

Too Soft, Too Open, Too Democratic?

September 26, 2003
Voting in the World Bank and IMF is far from democratic – votes are determined by the amount each state contributes to the coffers, leaving poorer countries with next to no say in decisions. This undemocratic system is in line with the original intent of the Bank and IMF: they were to be the lenders, representing creditor nations. No 'bank' allows the borrower to determine policy....

Many Small Firms Want to Join Exodus

Kim Sung-mi September 19, 2003
Fed up with their country's strict regulations and contentious labor market, many of South Korea's manufacturing firms are moving their operations overseas. China, with its cheap labor and rapidly expanding market, is the most popular destination for Korean firms on the move. Many manufacturers not looking to relocate say they are considering switching to the service sector, prompting...

China Joins the Global Economy - Part Two

Deborah Davis September 17, 2003
In part one of this 2-part series, David Zweig explained the processes by which China joined the global economy. In part two, China scholar Deborah Davis discusses the prospects for China's continued economic growth. While incomes have improved and everyone's boat has risen, Davis says, so has the country's once-low income inequality. Increased differences in wealth, as well as...

US Economic Folly Should Worry Us All

Joseph Stiglitz September 17, 2003
US President Bush's recent request for global financial support to pay for the war in Iraq has met with little sympathy and more than a little gloating from countries who argue the US should never have entered Iraq. Compounding the world's amusement at Washington's financial problems are the Bush tax cuts that have decimated the budget surplus that existed when he came into office...