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China has accused Italy, Greece and the EU for supposedly illegally subsidizing domestic solar manufactururs (suspected that due to a decline in Italian imports of Chinese Solar panels.)  The US international Trade Commision then made a locked tariff of 24-36% on imported solar panels from China.  A year ago the Coalition of american Solar Manufacturers filed antidumping cases against China, saying they were flooding the US market with inexpensive and heavily subsidized solar panels that the US couldnt compete with.  The US fears that China is dumping because it means their domestic producers are not able to compete in the market for solar panels. Therefore this high tariff of 24-36% has been imposed to promote consumption of domestic solar panels. 

China faces some serious economic problems. One main problem is that China seems to be suffering from excess capacity resulting from an overinvestment in factories, retail stores or infrastructure which leads to an imbalanced supply and aggregate demand relation. Aggregate demand is the total demand for a nation's goods and services from domestic households, firms, the government and foreigners. The article reveals two different approaches to evaluating China's economy: the Keynesian theory and the Austrian school theory. The Keynesians argue that aggregate demand drives stability and that governments can and should help in difficult times. The Chinese government has the tools to increase aggregate demand as it could for example "adjust interest rates and bank reserve requirements, instruct state-owned banks to maintain lending", deploy foreign exchange reserves, or initiate construction and infrastructure projects. On the other hand, the Austrian school of economics believes that it is hard for the government to invest money wisely, particularly in China, where there seems to be an environment of "economic favoritism". The Keynesians may believe that China will be able to manage its overcapacity; however, the Austrian theory argues that the Chinese government will distort resource allocation and further limit aggregate demand. - Julieta Fischer

The article describes how unemployment in Argentina has dropped below 7% for the first time in a long time. The decreased unemployment is due to an increase in the country's exports and an increase in national aggregate demand. Both of these things would cause an increase in aggregate supply, which in result would increase the aggregate supply of labor, causing the unemployment rate to decrease. However, this is only seen as a short term change, as the export are expected to decrease due to the economic crisis in Europe, and the increasing movement of production to china, and the growing competition from Chinese produced goods, because of the cheaper prices. This would cause aggregate demand in Argentina to decrease, which would cause a response from the short run aggregate supply, in the form or a decrease. This would again cause the aggregate supply of labor to fall back down again, resulting in the unemployment rate rising again.

As we know, inflation is a rise in price levels. In India at the moment, there is a slide in the value of the rupee, and simultaneously food, fuel and manufactured items are raising in price, leading in a high inflation. This is an exmple of stagflation becuase it is a 'cost-push' inflation (inflation caused by rising costs of products).  In India, the inflation rate was expected to rise 6.7% (by economists) but it actually rose 7.23%.