About Get Newsletters Login
February 08, 2012
Browse by Regions and/or Topics

Economics and Business Articles

Top Story - News/Analysis

Economic Clouds Darken Turkey's Diplomatic Horizon in the Middle East

By Nader Habibi 07 Feb 2012
Briefing

Turkey’s diplomatic re-engagement with the Middle East during the past decade not only coincided with a period of strong economic growth at home, but was closely interconnected with it. Now, there are some indications that Turkey’s economy might be heading for difficult times in 2012, raising the question of how an economic downturn could affect Turkey’s active foreign policy in the region.

Sudan Kidnappings Raise the Heat on China Over High-Risk Investments

By Catherine Cheney 07 Feb 2012 | Trend Lines

Over the past 10 days, 54 Chinese nationals have been taken prisoner in Sudan and Egypt, putting greater pressure on China to protect its 800,000 citizens working overseas in resource-rich but high-risk investment environments.

Germany's New Role in Europe

By Daniela Schwarzer 07 Feb 2012 | Feature

As a result of changes in the European Union’s functioning resulting from both the Lisbon Treaty and the effects of the sovereign debt crisis, Germany has become the most influential member state of the union, at the center of the debate over the shifting power relationships in the EU. But does Germany still want the EU? How far does Germany’s European commitment go? These questions are among those most often heard when it comes to the changing politics of European integration.

German Foreign Policy: The Temptation of Going Alone

By Ulrike Guérot 07 Feb 2012 | Feature

Germany’s handling of the sovereign debt crisis gripping the eurozone has led some to wonder whether Germany has lost interest in Europe, or in the role it has historically played in the European Union. But does Germany really believe it has other, global options for a more unilateral foreign policy? The answer is clearly “no,” but it is a no that has shades of gray. German foreign policy is no longer unambiguous, to say the least.

The Paradoxes of German Economic Performance

By Jeremy Leaman 07 Feb 2012 | Feature

The European Union’s stuttering economic recovery and ongoing debt crisis have called attention to the significant economic and commercial imbalances that exist within the union. In particular, Germany has been pointed to as a model of fiscal and economic governance. However, the nature of the recent German recovery raises several questions about the overall performance of the country’s political economy and the particular contribution of labor market arrangements to that performance.

Global Insider: With Trade Booming, China-GCC FTA Would Change Little

By The Editors 02 Feb 2012 | Trend Lines

In an email interview, Jean-Francois Seznec, a visiting associate professor at Georgetown University’s Center for Contemporary Arab Studies, discussed the proposed China-GCC free trade agreement.

China's Sovereign Wealth Funds Gaining Credibility and Traction

By Iain Mills 01 Feb 2012 | Briefing

With Western investors on the back foot in the past year, Chinese sovereign wealth funds have expanded their ownership of strategic overseas assets. While Chinese foreign investment is seen by many as a cause for geopolitical concern, these entities are becoming increasingly sophisticated and credible, representing one of the most viable mechanisms for restoring balance to global trade and investment flows.

Global Insights: U.S. Defense Budget Priorities Leave Unanswered Questions

By Richard Weitz 31 Jan 2012 | Column

On Jan. 26, the Pentagon released further information about how the new Defense Strategic Guidance will be reflected in the Defense Department’s future spending priorities. The changes, designed to meet the White House’s mandate to cut $37 billion from its previously planned Fiscal Year 2013 defense budget, conform with the strategic guidance document, but they leave several questions unanswered.

France's Rafale Wins Tender for India's Multi-Role Fighter Purchase

By Catherine Cheney 31 Jan 2012 | Trend Lines

In a huge win for the French defense industrial base, Dassault Aviation has emerged as the lowest bidder for a $10 billion contract to supply India with 126 of its Rafale fighter jets.

Special Report: Global Governance, Unruly World

By The Editors 31 Jan 2012 | Report

Whether it was in global security, economic governance, nonproliferation efforts or climate change negotiations, a host of transnational challenges put the spotlight on global governance institutions in 2011. This WPR special report examines the issues and institutions of global governance through articles published over the past year.

The New Rules: China Faces a 'Teddy Roosevelt Moment'

By Thomas P.M. Barnett 30 Jan 2012 | Column

The American political discourse is rife with fear-threat reactions regarding rising China, with one recurring theme being the superiority of Beijing's “state capitalism” model of economic development.  But China is now reaching the same boiling point that America did in the late-19th century: It can either pursue a progressive agenda or suffer continued attempts at revolution from below.

Global Insider: Global Migration Patterns

By The Editors 27 Jan 2012 | Trend Lines

In an email interview, Stephen Castles, a specialist in international migration at the University of Sydney, discussed changing global migration patterns.

Global Insider: Japan-Turkey Relations

By The Editors 23 Jan 2012 | Trend Lines

In an email interview, Selçuk Esenbel, a Japan specialist at Bosphorus University, dicussed Japan-Turkey relations.

Romania Protests Bring Long-Brewing Anger to the Surface

By Andrew MacDowall 20 Jan 2012 | Briefing

With anti-government protests in Romania moving into their second week, demonstrators are showing a persistence unusual for this part of the world, underscoring the importance they have placed in calling attention to their grievances. The woes that have brought Romanians to the streets are familiar to many in Eastern Europe, leading some to suggest that this is the European incarnation of the Arab Spring.

Global Insider: Egypt's International Borrowing

By The Editors 19 Jan 2012 | Trend Lines

The Egyptian government is currently in talks with the International Monetary Fund over an emergency loan of $3 billion, after having declined a similar offer from the IMF last year. In an email interview, Magda Kandil, the executive director and director of research at the Egyptian Center for Economic Studies, discussed Egypt’s international borrowing.

Global Insider: France-India Relations

By The Editors 18 Jan 2012 | Trend Lines

Earlier this month, India approved a $1.18 billion deal for the purchase of 500 Mica air-to-air missiles from the French defense firm MBDA. In an email interview, Jean-Luc Racine, a senior CNRS fellow at the Center for South Asia Studies at the School for Advanced Studies in Social Sciences and the vice president of the Asia Center in Paris, discussed France-India relations.

Azerbaijan LNG Deal Boosts Ukraine's Energy Leverage

By Michael Cecire 17 Jan 2012 | Briefing

The standoff between Ukraine and Russia over gas prices will be accompanied by an added wrinkle this year, with news that Ukraine plans to ink a deal with energy-rich Azerbaijan for supplies of liquefied natural gas. The partnership will finally introduce unconventional energy sources to Ukraine, and underscores the flagging fortunes of Russia’s pipeline monopoly and the dwindling leverage it commands.

Global Insights: Ahmadinejad's Latin American Tour Highlights Iran's Isolation

By Richard Weitz 17 Jan 2012 | Column

Iranian President Mahmoud Ahmadinejad’s Latin American tour last week was noticeable for its lack of achievements. The trip again underscored the gap between Tehran’s global ambitions and its constrained capabilities. Iran has yet to establish the means to challenge core U.S. economic, security and other interests in Latin America, and there is little likelihood of that changing in the future.

The New Rules: China Must 'Pay Globalization Forward' in Africa

By Thomas P.M. Barnett 16 Jan 2012 | Column

Throughout globalization's historical expansion from Europe to North America to Asia, the last region "in" has become the integrator of note for the next region "up." Europe was the primary investor, customer and integrator for the U.S. economy in its rise, and America subsequently "paid it forward" with East Asia. Recently, it has been Asia's turn, primarily through China, to pay it forward once again with Africa.

EU Must Restructure Debt to Solve the Eurozone Crisis

By John Ryan 13 Jan 2012 | Briefing

From the start, the eurozone crisis has been a battle over who will ultimately be liable for the losses on sovereign debt held by European financial institutions. For political reasons, the EU has implemented what amounts to a covert bank bailout to prop up peripheral countries. However, a restructuring that allows peripheral economies to reduce their debt to sustainable levels is economically necessary now.

Nigeria's Fuel Protests Speak to Larger Unease

By Alex Thurston 11 Jan 2012 | Briefing

This week, a general strike has paralyzed much of Nigeria’s economy while anti-government protests have occurred across the country. The protests were triggered by the government’s decision to remove a subsidy on fuel on Jan. 1. But they also encompass broader concerns that speak to a widespread lack of faith in President Goodluck Jonathan's ability to meet Nigeria’s challenges.