In The News

Global Financial System and the Abyss: Bloomberg

Molly Smith, Alex Harris and Matthew Boesler March 29, 2020
The United States, with more confirmed COVID-19 cases than other country in the world and a patchwork approach to testing and emergency closures, has not set a good example in slowing the disease's spread. On the other hand, the US Federal Reserve has led in preventing a global economic depression by applying massive, far-reaching and historic actions to ensure liquidity and stabilization....

The Flu, COVID-19 and the Economy

March 27, 2020
The United States leads the world in confirmed cases of COVID-19, passing even China, with almost four times the population and where the disease emerged in November. Some government and business leaders resist advice from public health experts on lockdowns and slowed economic activity. There is an argument that a pause on food supplies, utilities and other essential services poses a health...

Nations Try to Contain COVID-19 Economic Damage: DW

Kate Martyr and Ankita Mukhopadhyay March 21, 2020
Cities have imposed lockdowns to slow the spread of COVID-19, disrupting and even stalling economic activity. Advanced economies simultaneously address both health and economic crises, providing funding to develop and test treatments and vaccines while ensuring liquidity for banks and companies through credit and tax measures. The goal: Keep markets liquid and tradable. Some countries like...

COVID-19 Debt Deluge: Project Syndicate

Jayati Ghosh March 16, 2020
Crises immediately expose any weaknesses in public infrastructure, and COVID-19 will reveal needs in public health and economic systems. Societies realize that privatization and cost-cutting for health care for vulnerable populations expose all citizens to infection, explains Jayati Ghosh. Analysts anticipate a recession with supply chain disruptions and entire regions locked down. “A world...

Central Banks Line Up to Rescue Markets: Asia Times

Umesh Desai March 15, 2020
Financial markets fell sharply during the second week of March, rivaling the 1987 plunge. Central banks try to stabilize economic systems hit by the health crisis of COVID-19. “Expectations of fiscal support measures are rising in addition to the deep rate cuts by various central banks already included in bond prices,” explains Umesh Desai for Asia Times, describing how a new series of liquidity...

China and Global Balance of Economic Power: Lowy

Roland Rajah and Alyssa Leng March 13, 2020
A rising China since 1980 has changed the global trade landscape. The world’s leading manufacturer, the largest trading nation and second largest economy has displaced the United States from its traditional dominance. Roland Rajah and Alyssa Leng analyzed bilateral trade data from the International Monetary Fund’s Direction of Trade Statistics database, focused on exports and imports, and...

Russia vs Saudi Arabia: Reuters

Davide Barbuscia and Darya Korsunskaya March 10, 2020
OPEC nations failed to reach agreement with a group of non-OPEC nations led by Russia to limit oil production and, in defiance, Saudi Arabia approved opening the pumps for full production, forcing prices to plummet. Stock prices of major oil companies also fall. Saudi Arabia and Russia have large financial cushions, but other countries and oil companies with debt could struggle. “The world’s top...