In The News

Will Printing Money Do It?

Nayan Chanda October 9, 2012
Central banks can add to the money supply by lowering interest rates for major financial institutions and purchasing bonds, thus increasing credit and liquidity – and this is what major central banks in the West have set out to do until economic growth and jobs return. The practice amounts to “printing money.” For example, the US vows to insert $40 billion each month into the economy to purchase...

US Economy – Muscular or Obese?

David Dapice August 16, 2012
The US, with great potential for economic growth, still could rescue the dragging global economy – the country’s energy development, agricultural output, steady labor force, and education programs all offer promise. But the US has immediate challenges, argues economist David Dapice, including rising inequality and high youth unemployment rates. Young workers often bring innovations to workplaces...

7 Reasons to Expect US Manufacturing Resurgence

Farok J. Contractor August 7, 2012
The US may be a service economy, but it’s still the world’s largest manufacturer. There are many reasons to remain bullish on US manufacturing and the American worker, suggests Farok Contractor, professor of management and global business at Rutgers Business School. US firms invest in high-tech equipment, and the US worker is tops in adding value per hour on products. Recent economic difficulties...

Emerging Economies – Rich And Confident

Bruce Stokes July 12, 2012
The emerging economies account for an increasing share of the globe’s billionaires. But widespread public attitudes can wield far more influence over an economy than the wealth of a few hundred people, suggests Bruce Stokes, director of Global Economic Attitudes at the Pew Research Center in Washington. While people polled in the US and Europe are pessimistic about their future prospects,...

Eurozone Heaves Sigh of Relief – For How Long?

Jean-Pierre Lehmann July 3, 2012
The European Union’s heads of state avoided disaster for the time being, preventing impending collapse of Spanish banks and offering assistance to Italy, too. Europe has decided to move toward a more complete integration. The steps are cautious, but “the USE – United States of Europe – would seem to be the ultimate destination, in fact if not in name,” explains Jean-Pierre Lehmann. Yet nobody...

Could Europe Ruin the World Economy?

David Dapice June 19, 2012
Greek voters in parliamentary elections narrowly approved staying with the euro, but the debt crisis is far from over. Winning about 30 percent of the vote, the conservative leaders of New Democracy must build a coalition government and fend off a sizable opposition that resists austerity that was imposed as part of the bailout. Italy and Spain, heavily indebted, also test the eurozone’s...

Time to End Fuel Subsidies?

Will Hickey June 7, 2012
Subsidies distort markets and discourage development of substitutes. Subsidies for fuel are especially problematic, because energy is a backbone of any economy. In terms of energy production and consumption, the world is an uneven playing field in terms of reserves, taxes, regulations, public versus private ownership and income availability. An abrupt end to fuel subsidies would crush the poorest...