Financial Crisis and Geopolitics

The White House unveiled a new National Security Strategy that will serve to guide America's approach to the world. It signals a sharp break from the previous administration whose unilateral, reckless, and ideologically-driven policies left America isolated, overstretched, and weaker. This strategy outlines a clear vision that reflects the the last decade of progressive thought; it demonstrates a comprehension of the geopolitical landscape and of the challenges confronting the United States and the world.

Economics: I'm going to discuss trillions of dollars in a moment. As an economics teacher, I understand numbers this large are extremely difficult to imagine. If you are among the majority with this difficulty, I recommend that you follow the expert testimony that paints the picture, and know that success in this area of public education transformation that unleashes trillions of our dollars for human creative capacity in unimaginable power is sufficient to end the current economic crisis. This is the longest section of my briefing. If you tire in reading, please consider that at trillions of dollars of annual public benefits, you literally have nothing more valuable to do than understand the following facts and ideas. Harvard's Linda Bilmes co-authored a paper with Nobel Prize winner Joseph Stiglitz estimating the long-term costs of current US wars at now $3 to $5 trillion ($30-$50,000 per US household of $50,000/year income), with total debt increase since 2001 of over $10 trillion. Remember, as demonstrated by the evidence disclosed by our own government, all the reasons Americans were told to go to war were known to be lies as they were told and applicable law proves these wars Orwellian unlawful. Just down the Charles River from Harvard, MIT's Simon Johnson (and former Chief Economist of the International Monetary Fund) describes our economy being lead by gambling oligarchs who have captured government as in banana republics (his words), and might plunge the US into an economy worse than the Great Depression. From his article under the telling title, The Quiet Coup: "Elite business interests-financiers, in the case of the U.S.-played a central role in creating the crisis, making ever-larger gambles, with the implicit backing of the government, until the inevitable collapse. More alarming, they are now using their influence to prevent precisely the sorts of reforms that are needed, and fast, to pull the economy out of its nosedive. The govern

El premio Nobel de Economía Joseph Stiglitz, (Indiana, EEUU, 1943) se dibuja como el último baluarte de la economía progresista. Miembro del Comité Científico de la Fundación Ideas, creada por Jesús Caldera para servir de think tank del PSOE, visitó ayer Madrid para promocionar la adopción de una tasa financiera. Defiende la estrategia económica que ha adoptado Zapatero y lo anima a subir más algunos impuestos.

La mediación de Lula con Irán enturbia el foro de la Alianza de Civilizaciones.- Moratinos defiende el "tremendo esfuerzo de Brasil y Turquía"

Se admitirmos que os efeitos das prováveis sanções serão mínimos, qual o sentido da tentativa do governo Obama sabotar o esforço diplomático do Brasil e da Turquia? Trata-se, ao que tudo indica, de uma resposta às crescentes críticas na sociedade norte-americana - provavelmente devido às eleições no Congresso norte-americano em novembro -, de que os EUA estão aceitando o seu declínio, ao permitir que países emergentes estejam preenchendo o vácuo de poder na política mundial. Talvez o custo dessa irresponsabilidade seja alto demais.

Um dia depois de a secretária de Estado americana, Hillary Clinton, criticar a aproximação do Brasil com o Irã, o presidente Luiz Inácio Lula da Silva voltou nesta sexta-feira a defender o acordo nuclear que mediou ao lado da Turquia.

O acordo nuclear entre o Brasil, a Turquia e o Irã se gue, ponto a ponto, todas as solicitações que o presidente Barack Obama havia exposto em carta a seu colega Luiz Inácio Lula da Silva, datada de 20 de abril, apenas três semanas antes, portanto, da viagem de Lula ao Irã, da qual resultou o acordo. A Folha obteve, com ex clusividade, cópia integral da carta, na qual Obama es creve que o objetivo era ofe recer "explicação detalhada" de sua perspectiva "e sugerir um caminho a seguir".

DOMINIQUE PLIHON, de ATTACT, dice que detrás de la crisis están la dominación de las finanzas y la especulación por encima de los Estados, la pérdida del poder político frente al financiero, la degradación consiguiente de la democracia, los déficit y la pobreza.

Según publicó la prensa paulista, el presidente Obama envió una carta a sus pares de Brasil y Turquía en la que apoyaba un acuerdo similar al alcanzado hace diez días en Teherán. La Casa Blanca insiste con más sanciones.

As fear continues to spread over the impact of the Greek debt crisis, more people are questioning how such a small country could impact markets around the world.

Much has been discussed on the root causes for the current financial crisis, including but not limited to lessons on monetary policy, financial sector regulations, accounting rules. This note aims to stimulate debate and discussions on some of the pro-cyclical features in the system, possible remedial measures, and how monetary and fiscal authorities can play their professional roles at times of severe market distress. It also touches upon China's financial sector reform and macroeconomic policy to counter slowdown in economic growth. The major points here were presented at the G20 Meeting of Finance Ministers and Central Bank Governors in San Paulo, Brazil on November 15, 2008.

In their recent book on the history of financial crises, Carmen Reinhart and Kenneth Rogoff note that banking crises are frequently succeeded by sovereign debt crises, as governments are forced to assume private liabilities to keep their national financial systems afloat. The 1997-98 Asian crisis provides a relatively recent example of how private debts can rapidly become public liabilities if a default threatens the overall economy.

Report described as clean break from Bush years addresses fresh challenges including rise of India and China

The Obama administration has unveiled a new national security strategy, saying armed conflict should be a last resort when diplomacy is exhausted.

The euro rebounded on Thursday after China reaffirmed its long-term strategy of diversifying currency holdings away from the dollar and denied it was reviewing its holdings of euro sovereign bonds.

El presidente de EE UU se distancia de la doctrina de Bush y llama a tejer alianzas globales con China e India en su nueva estrategia de seguridad

Beyond the usual anti-American rhetoric, some analysts say that Iran is trying to avoid sanctions and resolve tensions with Washington over its nuclear program.

U.S. Treasury Secretary Timothy F. Geithner dined on Wednesday night with European Central Bank President Jean-Claude Trichet, a closed-door, no-public-comment session that placed the American official in the middle of an ongoing European debate: Which Trichet would show up?

Russia and Iran publicly traded barbs on Wednesday, showing strains in their longstanding alliance because of Moscow's support for a new set of American-backed sanctions over the Iranian nuclear program.

A network of national funds should be introduced so the cost of bank failures are not met by the taxpayer, the EU internal market commissioner has said.