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China is holding its own in regards to economic growth because the government is pumping massive amounts of government money into the economy in order to make up for the loss in trade.  What does this mean for China, Chinese shares and the global economy?
The Bloomberg video below makes the bullish case for China and [...]

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We are starting to get a sense of who the winners and losers of the Great Unraveling are. Spain is definitely a loser.
Just think, a few years ago Spain was the envy of Western Europe with a dynamic and booming property market and prodigious GDP growth. The country was THE holiday-maker’s paradise, with many buying [...]

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George H. W. Bush’s National Security Advisor talks with Charlie Rose and Carlos Pascual, Brookings Institute vice president and director of Foreign Policy. They opine on “the Obama Doctrine” as Barack Obama nears his 100-day mark in office.

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This past week, I caught an article in Wirschaftswoche (WiWo), the German Business Week, which suggested that the South Koreans were very confident about their economy and had learned from the Asian Crisis.
Just today, the South Koreans released GDP numbers that many would find amazing, showing that the economy grew 0.1% in the first quarter [...]

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Marshall Auerback here with a few thoughts about this economic cycle, external imbalances, fiscal stimulus, and current account deficits.
This is not the Great Depression. We are going to have “muddle through” here precisely because we lack the courage to deficit spend on the magnitude we did in World War II. We are spending too much [...]

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I don’t want to beat a dead horse here, but the Chinese have been making a lot of muscular moves diplomatically. While shifts in balance of power often take decades, it is increasingly apparent that China is making a strategic move in that direction right now.
We have been chronicling these moves here in a [...]

The following post is up on Morgan Stanley’s website and highlights the degree to which money printing has become the policy tool of choice used by central bankers with which to fight this deflationary threat. I have highlighted the whole paragraph on the inflationary risk of all of this.

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This comes via the Financial Times (Hat tip CR):
China’s central bank on Monday proposed replacing the US dollar as the international reserve currency with a new global system controlled by the International Monetary Fund.
In an essay posted on the People’s Bank of China’s website, Zhou Xiaochuan, the central bank’s governor, said the goal would be [...]

If you have noticed, Pakistan is in a real state of crisis right now. Given the fact that this country is both unstable and possesses nuclear weapons courtesy of A. Q. Khan, it stands to reason that everyone should be interested. The fact that it has a border with Afghanistan only makes things that much more urgent.

In this video on Charlie Rose, Steve Coll of the “New Yorker” discusses Pakistan with Joe Klein, Hasain Haqqani, Director of the Center for International Relations and Professor at Boston University, and Imtiaz Ali.