Jun 1st 2018
Extract from the article: "While the West’s relative decline is almost inevitable, its economic dysfunction is not. Yet pessimism can be self-fulfilling. Why undertake difficult reforms if a dark future seems preordained? As a result, accepting and anxious pessimists tend to elect governments that duck difficult decisions (witness Germany’s grand coalition), while angry pessimists make matters worse (by voting for Donald Trump’s “America First” agenda or for Brexit, for example). It doesn’t have to be this way. As French President Emmanuel Macron has demonstrated, bold leaders can succeed with a message of hope, openness, and inclusion, and by promoting a vision of progress based on credible reforms."
May 30th 2018
It has been nearly two years since the United Kingdom narrowly voted in favor of leaving the European Union. As the march toward Brexit – formally set for the end of next March – proceeds, fundamental questions about the nature of the future UK-EU relationship remain unanswered. Instead, every time a tough decision must be made in the negotiations in Brussels, British ministers kick the can down the road, or even into the long grass. This is somewhat surprising. Apparently, none of the politicians and newspaper editors who plotted for years to get the UK out of the EU thought much about what would happen if their machinations succeeded.
May 30th 2018
Discussions are now underway to establish a system of joint deposit insurance for eurozone banks. Proponents of the scheme, with the European Commission and the European Central Bank (ECB) taking the lead, point out that deposit insurance would avert the danger of a run on banks in times of crisis. While this argument is true, critics emphasize the disparity in risks, owing to the high share of bad loans on the balance sheets of banks in some countries. To address this risk disparity and move ahead with the plan, balance sheets will need to be cleaned up before considering the next step. While the share of bad loans for banks in the stable eurozone countries is just 2%, the most recently published International Monetary Fund statistics, from last April, show a share of 11% for Ireland, 16% for Italy, 40% for Cyprus, and 46% for Greece.
May 29th 2018
Trump’s decision cannot be justified by any breach of the agreement on Iran’s part. It is, rather, a return to the old, largely unsuccessful US policy of confrontation with Iran. The only difference this time is that the Trump administration seems determined to go to the brink of war – or even beyond – to get its way. If the administration has any plans for keeping Iran’s nuclear program in check in the absence of the nuclear deal, then it is keeping them a secret. Judging by some of the administration’s rhetoric, it would appear that airstrikes against Iran’s nuclear facilities are on the table. But bombing would only delay Iran’s nuclear program, not stop it. Would Trump then consider a massive ground war to occupy the country and topple the regime? We know all too well how that strategy worked the last time it was tried.
May 28th 2018
US President Donald Trump’s abrupt decision to cancel his planned June 12 summit with Kim Jong-un represents a diplomatic coup for the North Korean leader, and an even bigger victory for China. In the space of just a few months, Kim’s image has gone from that of international pariah to that of thwarted peacemaker.
May 23rd 2018
The good news is that the United States and China appear to have backed away from the precipice of a trade war. While vague in detail, a May 19 agreement defuses tension and commits to further negotiation. The bad news is that the framework of negotiations is flawed: A deal with any one country will do little to resolve America’s fundamental economic imbalances that have arisen in an interconnected world.
May 21st 2018
The cryptocurrency revolution, which started with bitcoin in 2009, claims to be inventing new kinds of money. There are now nearly 2,000 cryptocurrencies, and millions of people worldwide are excited by them. What accounts for this enthusiasm, which so far remains undampened by warnings that the revolution is a sham? One must bear in mind that attempts to reinvent money have a long history. As the sociologist Viviana Zelizer points out in her book The Social Meaning of Money: “Despite the commonsense idea that ‘a dollar is a dollar is a dollar,’ everywhere we look people are constantly creating different kinds of money.” Many of these innovations generate real excitement, at least for a while. As the medium of exchange throughout the world, money, in its various embodiments, is rich in mystique. We tend to measure people’s value by it. It sums things up like nothing else. And yet it may consist of nothing more than pieces of paper that just go round and round in circles of spending. So its value depends on belief and trust in those pieces of paper. One might call it faith.
May 19th 2018
The protests that rippled across Russia ahead of Vladimir Putin’s fourth inauguration as president followed a familiar script. Police declared the gatherings illegal, and the media downplayed their size. Alexey Navalny, the main organizer and Russia’s de facto opposition leader, was arrested in dramatic fashion, dragged out of a rally in Moscow by police. On May 15, he was sentenced to 30 days in prison. More than 1,600 protesters across the country were beaten and detained.
May 16th 2018
Many knowledgeable people dismiss the prospect of advanced AGI [=Artificial General Intelligence]. Some, ..........,argue that it is impossible for AI to outsmart humanity........Yet other distinguished scholars........do worry that AGI could pose a serious or even existential threat to humanity. With experts lining up on both sides of the debate, the rest of us should keep an open mind.
May 15th 2018
The world’s most important bilateral relationship – between the United States and China – is also one of its most inscrutable. Bedeviled by paradoxes, misperceptions, and mistrust, it is a relationship that has become a source of considerable uncertainty and, potentially, severe instability. Nowhere is this more apparent than in the brewing bilateral trade war.
May 15th 2018
Viewed from Palestine, it’s hard to disagree that we’ve perhaps seen one of the most inflammatory weeks in recent memory. In just a few days, several extremely sensitive events have coincided to devastating effect: the culmination of weekly protests in the Gaza Strip, the relocation of the US embassy from Tel Aviv to Jerusalem, the 70th anniversary of the 1948 Nakba (from the Arabic, “Immense Catastrophe”) and the start of the holy month of Ramadan. Throw in for good measure Israel and Iran’s recent clash over the occupied Golan Heights and it seems that more than ever, the region is something of a tinderbox.
May 14th 2018
The irony, of course, is that this is exactly the type of “grand bargain” Iran proposed to the Bush administration in May 2003. Bush rejected the offer, vowing never to talk with a member of the “axis of evil.” As Vice President Dick Cheney put it in reference to North Korea – another member of that fanciful “axis” – Americans “don’t negotiate with evil; we defeat it.” But by trading diplomacy for saber-rattling, the Bush administration slammed the door on a solution with Iran. Today, as Trump embraces the same tactics, it’s hard to fathom how the outcome will be any different.
May 12th 2018
Quote: "If you take out a piece of paper and put 10 political issues that are important to you on one side and the words “Republican” or “Democrat” on the top, then categorize them, most of you are likely to find that you, too, are a hybrid of both. If my contention is correct, and enough voters get fed up enough with the political status quo in the mid-terms and the next presidential election to say that neither Party actually represents their belief system, we may just find that the 40% of American voters who are already Independent turns into 50% or 60% in the near term. I am willing to bet that in spite of all the hype about most Americans being firmly in one political camp or the other, that most Americans are actually middle ground voters who form part of the emerging hybrid political class. Whether they choose to remain affiliated with either the Democrat or Republican Parties in the future remains to be seen. Stay tuned".
May 10th 2018
Quote: "China, clearly, is emerging as a world power, even more quickly than it otherwise would, to the extent that the US is coming to be seen as an unreliable partner concerned only with advancing its own interests – at the expense, if necessary, of other countries. But the belief that China will continue growing at mid-single-digit rates for an extended period violates the first rule of forecasting: don’t extrapolate the present into the future. At some point, China will hit bumps in the road, and there is no guarantee that its leaders will admit their failures and adjust policy accordingly."
May 8th 2018
The decertification of the Joint Comprehensive Plan of Action (JCPOA) by Trump is most unfortunate. It seems that Trump was not swayed by either France’s President Macron or Germany’s Chancellor Merkel to preserve the deal. Instead, he appears to have taken Israeli Prime Minister Netanyahu’s advice to decertify the deal, even though Iran continues to fully adhere to all of its provisions. It is dangerous that neither Trump nor Netanyahu appears to fully grasp the dire regional and international implications of the unilateral decertification of the deal by the US.
May 4th 2018
Quote fromthe article: "Iran has been instrumental in the survival of the Assad regime since the Syrian uprising began in March 2011. Since then, Israel has used its air power to disrupt weapons supplies to Hezbollah and maintain a buffer zone in the southwest, near the Israeli-occupied Golan Heights. But now it seems things are heating up. Is this now a far bigger, more direct confrontation in the Syrian arena?"
May 3rd 2018
As signs of an incipient slowdown in the European economy begin to multiply – coincident indicators suggest that industrial production has slowed sharply in 2018 – the case for agreeing on a Brexit deal and refocusing attention on capital markets union is becoming more powerful and more urgent. The commissioner now responsible, Valdis Dombrovskis, said in London in late April that the “building blocks” will be in place early next year, to “help our companies to better cope with the departure of Europe’s largest financial center from the single market.” That is a laudable goal, but it could well be too little, too late.
May 3rd 2018
Gaza has often been invaded for its water. Every army leaving or entering the Sinai desert, whether Babylonians, Alexander the Great, the Ottomans, or the British, has sought relief there. But today the water of Gaza highlights a toxic situation that is spiralling out of control. A combination of repeated Israeli attacks and the sealing of its borders by Israel and Egypt, have left the territory unable to process its water or waste. Every drop of water swallowed in Gaza, like every toilet flushed or antibiotic imbibed, returns to the environment in a degraded state.
Apr 24th 2018
Renewable electricity costs have fallen faster than all but the most extreme optimists believed possible only a few years ago. In favorable sunny locations, such as northern Chile, electricity auctions are being won by solar power at prices that have plummeted 90% in ten years. Even in less sunny Germany, reductions of 80% have been achieved. Wind costs have fallen some 70%, and battery costs around 80%, since 2010.........[The] estimate that the cost of going green will be very small has proved too pessimistic – the cost will actually be negative.
Apr 23rd 2018
Electric Vessels, EVs don’t rise or fall on Tesla — Nissan and the Chinese brands are arguably way ahead, and the Chevy Bolt is comparable to the Tesla 3. But it is unarguable that a price spike in petroleum would certainly help the company get past its current Tesla 3 production problems by substantially bolstering investor and consumer confidence.