Bloomberg Angela Merkel’s main rivals for the Chancellery stepped up their criticism of her handling of Germany’s domestic and international agenda, slamming her for failing to address the diesel scandal rocking the auto industry and accusing her of kowtowing to President Donald Trump. Six weeks before federal elections that will determine whether Merkel wins a fourth term, Social Democratic Party ...
Read More »Dual-citizenship ensnares Australia’s deputy leader
Bloomberg Australia’s Deputy Prime Minister Barnaby Joyce said he may be a dual citizen, which potentially bars him from serving in parliament and could jeopardize the government’s razor-thin majority. Joyce said he’d been advised by New Zealand High Commission that he may be a citizen by descent. He won’t step down as deputy leader and will refer the matter to ...
Read More »The one big problem with new Russia sanctions
The latest round of congressional sanctions against Russia garnered much attention for the message they sent to President Donald Trump: We don’t trust you to decide when to lift or ease sanctions on Moscow. True, it was an important signal to the American people, the president and the rest of the world that nearly all of America’s legislators felt Russia ...
Read More »France’s Macron repeats past errors
In politics, holding the center ground might be a useful strategy for winning elections, but rarely for generating enthusiasm. Emmanuel Macron’s favorability ratings just dropped seven points, to a low 36 percent, according to a recent poll for the HuffPost and CNews. If he’s not careful, Macron may repeat the mistakes of Francois Hollande, his mentor and predecessor. Macron’s victory ...
Read More »Economists losing their inflation-forecasting touch
July was another month of very low inflation, we learned it. That’s too bad. Economists had anticipated a small but respectable gain in the US consumer price index. That would have relieved some pressure on the US Federal Reserve to delay interest-rate increases in the name of economic growth. The increase was indeed small at 0.1 percent in July from ...
Read More »US students should be taught how to code
During a recent White House meeting with President Donald Trump, Apple CEO Tim Cook remarked that “coding should be a requirement in every public school.†He’s right. But turning an aspiration into a reality—whether in the classroom or in the Apple store—takes time, money and concentrated effort. The economic argument for upgrading computer science education in the US is strong. ...
Read More »Amazon could probably conquer drugstores, too
Can Amazon do to the pharmacy business what it’s done to … well, everything else? Rumor has it they’re thinking about doing just that. They’ve reportedly created a new general manager position to look into such an expansion. In May, when those rumors started floating, Bloomberg’s own Max Nisen explained why they might find the business attractive: CVS Health Corp.’s ...
Read More »Will China finally trim state-owned firms?
A little-noticed statement last week could portend the next big battle in China’s effort to control its debt. On August 2, the finance ministry issued directives that state-owned companies improve returns, control risks and make sure that “projects are financially viable before decisions are made.” That the government feels the need to spell out such obvious goals tells you the ...
Read More »Free markets don’t really work for everything
My Bloomberg View colleague Tyler Cowen has a running series of blog posts bearing the title “Markets in Everything.†Plenty of other economists and writers have picked up the phrase, and with good reason—it’s evocative of a powerful idea that defined much of Western political economy in the later part of the 20th century. The idea is that markets—systems of ...
Read More »Stocks bounce, havens drop as North Korea fears abate
Bloomberg The risk-off mood that gripped markets last week showed signs of easing, with shares in Europe following Asian equities higher and American stock futures advancing as the prospect of a war between the US and North Korea receded. Havens including gold, Treasuries and the yen fell. The Stoxx Europe 600 Index headed for its first gain in four days, ...
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