The US is returning somehow to the “no friends no enemies” foreign policy of the 1920s. Except that at that time there were no nukes nor ICBM, so much easier to be a proud isolationist. Advertisements
A NATO summit is to be held in July and the Europeans are fearing another reprimand from the US for not spending enough on defence and, more than that, another outburst on the state of the transatlantic relations. The dog that barks does not bite ? Because The U.S. has more than doubled its budget…… Continue reading Transatlantic Alliance : which NATO ?
The last known number of Chinese US Treasuries was $ 1.19 tn. It was speculated that they could be used as a “nuclear option” in the current US China trade war. Wrongly, it appears, because no matter what, the US Treasuries are the most liquid and secure place to invest the huge pile of Chinese dollars.…… Continue reading Chinese Economic Engineering : foreign currency
The Chinese government is slowly cutting down borrowing in order to reduce corporate debt, which in turn could decrease Chinese economy’s growth to 4.5% from the now 6.5%. To note that business investment makes a quarter of GDP, while corporate debt is estimated by independent analysts to some 160% of GDP. As social and economic…… Continue reading Chinese Economic Engineering : corporate debt
Mark Leonard, head of the European Council of Foreign Relations. And British. Skeptics will say it’s highly unlikely the EU will risk putting itself on a collision course with Washington. Europeans still heavily depend on the U.S. when it comes to security, and many of the Continent’s leaders are attached to a status-quo that allows them…… Continue reading Time for EU to stand up and fight ?
There is also the opinion that it was better for the EU to impose a 1980s-style voluntary export restriction (VER) in order to continue to export steel and aluminium to the US, though in smaller quantities. The Koreans have apparently done exactly that for a number of years, asking higher prices for their steel, and…… Continue reading World Trade War : no more VERs
Nouriel Roubini and Brunello Rosa in the Guardian or how the history never ends. Let us return to the question of whether Italy will choose to break free of its straitjacket. Despite the euro’s advantages, it has not worked for Italy economically. Italy’s real (inflation-adjusted) per capita GDP is lower than it was when the euro…… Continue reading Euro as a Straightjacket for Italy