18 October 2012
Energy and taxes have come up as important topics in this year’s race to the White House. From energy independence to tax breaks for the oil industry, affordable gas prices and environmental protection – these are the issues that can and will affect the vote. But with Big Oil working behind the scenes and funding U.S. politicians, the industry’s influence on politics cannot be underestimated.
15 October 2012
The US Federal Reserve’s third round of quantitative easing, or QE3, has many observers arguing that the effects on risky assets could be greater than in previous rounds. But, despite the Fed’s commitment to aggressive monetary easing, QE3's effects on the real economy and on US equities could well be smaller and more fleeting.
12 October 2012
In the aftermath of its disastrous invasion of Iraq back in 2003, the U.S. has learnt critical lessons on the consequences of intervention, which has led to the emergence of a new foreign policy doctrine based on 'reality'. As demonstrated by its actions in Libya, Syria and possibly Iran, the U.S. now appears to have entered a period in which it has moved from military domination to more subtle manipulation; and more importantly, they have begun to allow events to take their course.
4 October 2012
Apart from the problems stemming from the 2008 financial crisis, the U.S. economy is now also being weighed down by little monopolies, or quasi-monopolies, which reduce economic efficiency, slow economic growth, and reduce the average income of every U.S. household. Can the U.S. government once again unleash the “curse” of competition on businesses, in order to revitalise the economy?
2 October 2012
The need to address America's fiscal situation has just been magnified by a warning from Moody’s that the US could lose its top credit rating if Congress fails to make progress on medium-term fiscal reforms. But why didn't the imposition of a "fiscal cliff" in 2011 succeed in focusing US politicians' minds?
NEWPORT BEACH – It sounded like a really clever idea: Use a very public and sizeable threat to get bickering politicians to collaborate and compromise. Well, it has not worked so far, and the already-sizeable stakes just got bigger.
6 September 2012
According to the latest polls, public support for the U.S. Congress is now at a record low, with few believing that its members can overcome a prolonged period Of congressional paralysis & polarization . What if members of the US Congress, now returning from their summer recess, were to receive a “back to school” memorandum from concerned citizens? At a minimum, it should call on Congress and the president to converge on a multi-prong, multi-year policy initiative that makes simultaneous advances in six critical areas.
5 September 2012
Mitt Romney may not be a tax evader, but he certainly is a tax avoider on a grand scale. And the problem is not just Romney; writ large, his level of tax avoidance makes it difficult to finance the public goods without which a modern economy cannot flourish – and weakens the bonds of trust that hold a society together.
NEW YORK – Mitt Romney’s income taxes have become a major issue in the American presidential campaign. Is this just petty politics, or does it really matter? In fact, it does matter – and not just for Americans.
7 August 2012
Regardless of who wins the upcoming U.S. presidential elections, the next American president will only have limited room for manoeuvre on economic policy. The real choice as such should concern the social policies that accompany a broadly similar set of economic measures; and, here, the differences between the candidates are highly consequential.
3 August 2012
America has typically relied on its domestic market for economic growth, with consumer spending accounting for some 70 percent of annual GDP growth. Given the strong likelihood that US consumers will remain weak for years to come, America’s growth agenda needs to focus on getting more out of the other 30 percent. But can this be done?
27 July 2012
Though many optimists now believe that a combination of lower oil prices, rising auto sales, recovering house prices, and a resurgence of U.S. manufacturing can refuel America’s economic recovery, the reality is the opposite: For five key reasons, the U.S.’s economic growth will slow further in the second half of 2012 and be even lower in 2013 – close to stall speed.