Paul Krugman: The Conscience of a Liberal


January 14, 2012, 11:31 AM

S&P On Europe

S&P’s downgrade of a bunch of European sovereigns was no surprise. What was somewhat surprising — and which went unmentioned in almost all the news stories I’ve read — was why S&P has gotten so pessimistic. From their FAQs:
We also believe that the agreement [the latest euro rescue plan] is predicated on only a partial recognition of the source of the crisis: that the current financial turmoil stems primarily from fiscal profligacy at the periphery of the eurozone. In our view, however, the financial problems facing the eurozone are as much a consequence of rising external imbalances and divergences in competitiveness between the EMU’s core and the so-called “periphery”. As such, we believe that a reform process based on a pillar of fiscal austerity alone risks becoming self-defeating, as domestic demand falls in line with consumers’ rising concerns about job security and disposable incomes, eroding national tax revenues.

Lạm phát giảm, châu Á vẫn phải lo


KIỀU OANH
14/01/2012 09:24 (GMT+7)
pictureTrong năm 2011 vừa qua, lạm phát tăng mạnh tại khu vực châu Á - Ảnh: Reuters.

Lạm phát tại nhiều nước châu Á như Trung Quốc và Việt Nam diễn biến theo hướng giảm thời gian gần đây. Tuy nhiên, theo báo Financial Times, các chính phủ trong khu vực sẽ đối mặt với thách thức không nhỏ trong năm 2012 này, vì bất kỳ một sai lầm chính sách nào cũng có thể khiến giá cả tăng vọt trở lại.


Standard & Poor’s cuts credit ratings for France and eight other European nations

Schumpeter: Romney the revolutionary


Mitt Romney’s career says a lot about how American business has changed

IN A Republican primary field full of radicals, Mitt Romney is the establishment candidate. Yet earlier in his career he was a revolutionary. Hard though it may be to imagine Mr Romney waving a pitchfork or manning a barricade, Schumpeter is not joking. As a businessman, Mr Romney was at the heart of three revolutions.