LyrArc Article Gist
Germany's deputy finance minister, Jorg Asmussen, was nominated by the German government to the executive board of the ECB. This follows the resignation of Jurgen Stark. Asmussen was originally appointed by the previous finance minister, Peer Steinbruck, and is from the SPD party. He was retained by Finance Minister Schaeuble because he had experience with the global financial crisis of 2008. Both Asmussen and the new Bundesbank president, Jens Weidmann, are students of Axel Weber, who was a professor before becoming central banker.

LyrArc Article Gist
Lally Weymouth of the Washington Post interviews Israeli defense minister Ehud Barak on June 20, 2012. On the negotiations of the P5+1 countries with Iran in Baghdad, Istanbul and Moscow, Barak says the Iranians are simply buying time, hoping that by being a little forthcoming they can delay giving up nuclear weapons programs capabilities and see if the situation changes with a new President in office in the U.S.. The Iranians are trying to reach a "zone of immunity," the way Pakistan and N. Korea did, and it will take a resolute determination on the part of the U.S. the Europeans, the Russians and the Chinese to prevent a nuclear Iran and nuclear proliferation. By the third meeting in Moscow it should be clear whether the Iranians are willing to give up capabilities that lead to nuclear weapons. Ayatollah Khamanei is the person in charge in Iran, but decisions are made collectively with the moderate Ayatollahs still ayatollahs, says Barak. The addition of the Khadima party to the coalition government of prime minister Netanyahu increases Israel's desire for dialogue and seeking progress on a peace with the Palestinian Authority- if not a peace arrangement then even unilateral steps towards peace by both sides. The way forward in Syria is for the U.S. to talk with the Russians about a new government. The important thing is for the removal of the Assad family, the entire Syrian state does not need to be dismantled as happened with the Baath party in Iraq. Israel continues to build a fence in the Sinai facing Egypt, as it fears infiltration during the period of civil strife in Egypt. Israel views Egypt from the standpoint of any future Egyptian government honoring its treaty committments with Israel, otherwise says Barak it is upto Egypt to decide its future government....

LyrArc Article Gist
Ip's point about the actions of previous president's in promoting a recovery long after they are in office has to be qualified by the uncertain economic outlook for 2013, with a slowdown in the eurozone, China and India, and the efforts to control the deficit in the U.S. also affecting the economic outlook. The process of deleveraging has still to work itself out and the economy is still being supported by the Fed's continual easing of monetary policy.

LyrArc Article Gist
The protests in Chile that started with a subway fare increase and then into protest against inadequate pensions, poor health care and schools, have turned into violent protests with extensive damage. Damage to supermarkets, stores and other businesses is estimated at billions of dollars. Damage to the modern Metro is about $370 million dollars. The economy will grow at 1% this year after growth of 4% in 2018.  The government plans a $5.5 billion stimulus, and the central bank could sell $20 billion including a quarter of its reserves to support the peso currency.  The government of president Pinera has only a 13% approval rating. A December poll by COES Santiago think tank shows 65% of Chileans support continuation of protests, and found that 89% of Chileans planned to back a new constitution. The old constitution was designed in a way that led to poor support for retirement and inadequate pensions. It also led to increased inequality in this country of 18 million. This constitution was drafted during the Pinochet dictatorship  and has now lost its legitimacy along with the rest of the political leaders. A referendum will be held in April 2020 for a new constitution.  The copper mines that support Chilean copper exports are intact and the country has low debt, which should help Chile invest in a recovery with the stimulus. ...

LyrArc Article Gist
The 2018 state elections leave an inconclusive result says Soutik Biswas of the BBC.On one side an arrogant government and on the other side a older party from the Independence struggle that has not developed younger leaders and lacks a compelling narrative. Rajasthan has tended to give only 1 term to an incumbent government, and in Madhya Pradesh Congress party had 113 to BJP's 111, a very close vote, with the BJP facing anti-incumbency sentiment in an effort to win a fourth time in succession.  A lot depends on regional allies for the Congress says Biswas, and here it is not clear how well this will work. The Modi government faces discontent of farmers, and the loan waiver for farmers promise by Congress helped it with voters. In the general election much also depends on how well prime minister Narendra Modi keeps the narrative focused on development and retains the support of younger voters, and his personal popularity. This only leaves an embattled Republic between a government that has struggled to create jobs and modernize the country even with good intentions, and a older centrist party that has not cultivated new leaders from within its ranks and lacks a compelling narrative to take the country into the ranks of close to developed nations the way its neighbors South Korea, and China have rapidly developed. ...

LyrArc Article Gist
Protests in 5 of Turkey's largest cities with mayors from the CHP party, Istanbul, Ankara, Bursa, Izmir following the arrest of Imamoglu, Mayor of Istanbul, just before he was being nominated by his party to run against Erdogan for president of Turkey in 2028. Ekrem Imamoglu was elected mayor of Istanbul in 2019, with 54% of the vote in a recount when Erdogan had been in power for 16 years starting in 2003. Erdogan also started his political career as Mayor of Istanbul. Erdogan became popular following mismanagement of the economy by the administration of the time. He increased growth with foreign investment in his first ten years. His popularity began to wane with tendencies for authoritarian rule. Without a strong candidate from the opposition Erdogan was elected again in 2020 with 52% of the vote. In 2024 Ekrem Imamoglu was relected a second time as Mayor of Istanbul.  In 2025 Turkey is a changed country- with countries around it Ukraine, Russia, Middle East, and the US, very different from the 2000 turn of the century period. CHP party in power in the cities is now in a position to run the country after two decades in the Opposition. As a result there is a shift in mood in the country seeking new leadership and the AKK party of Erdogan now faces a serious challenge from the Opposition CHP and Imamoglu. ...

LyrArc Article Gist
It is not clear how China's president Jinping's support for the idea of "China Dream," -of China as a world power on a level with the U.S.- should be interpreted. China will increase its defense budget and continue its efforts to be the dominant power in its region, even as the U.S. and Japan begin to build closer ties in the Pacific. Is it simply a new assertiveness for its rights in relation to territorial disputes with Japan, and a continuation of a policy of peaceful development of earlier leaders. The move could also be an effort to build close ties with the military as the new leadership of Jinping-Keqiang prepares to make major changes in the economy. A speech in Dec. 2012 to Communist party officials in Guangdong province by Jinping, on how the lack of unity with the military led to the collapse of the Soviet Union under Gorbachev, could throw light on the thinking. In a few days an old party was gone, as he put it. This also follows the Bo Xilai episode which involved contacts with the military and the risks of division in the military and political leadership....

LyrArc Article Gist
The TPP as negotiated by Nov. 2015 gives biologics drugs 8 years of protection. Senator Hatch of Utah and the pharmaceutical industry seek 12 years of protection to recoup costly investments in these drugs. Japan says the agreement would be difficult to renegotiate. There is opposition to extending it beyond 8 years in many TPP countries.

LyrArc Article Gist
The last days of the pro-Russian Donetsk People's Republic in eastern Ukraine, as Ukrainian government forces under the government of prime minister Poroshenko defeat separatists by July 2014. Russia decides not to intervene further. Opinion polls show a majority of Ukrainians in Donetsk do not favor separatism, and opposition is based on alienation from the poor quality of governance in Kiev. With the Poroshenko government committed to respecting the rights of Russian speaking Ukrainians, Tymoshenko soundly defeated in elections, and Russia's economy at risk in the adverse impact on foreign investor sentiment, Russia's sees little to be gained from supporting the separatists.

LyrArc Article Gist
Britain's former prime minister David Cameron who said after resigning that he would continue as constituency Member of Parliament, says he will stop representing his constituency in the county of Oxfordshire. The decision comes early compared to previous prime ministers. Cameron says he does not want to continue because of the "risk of becoming a diversion." Critics say Cameron was reckless when he called for the referendum that led to the "yes" vote on Brexit with 52% support, leaving Theresa May with the daunting job of negotiating Brexit throughout the remainder of the term as prime minister.

LyrArc Article Gist
ECB president, Mario Draghi, is interviewed at his office in Frankfurt by the Wall Street Journal's Blackstone, Karnitschnig, and Thomson. Draghi quotes economist Rudi Dornbusch, who told him in the old days that the Europeans were rich enough to afford paying for it if everybody didn't work. Draghi, was head of the Bank of Italy, before becoming president of the ECB. He is acutely aware of the problems faced by Italy and other countries like Spain which have let labor markets become rigid, with extensive job protections and generous benefits for the unemployed. The result is that employers are reluctant to hire and young people face high unemployment rates- as high as 50% in Spain. For this reason Draghi sees the old social model in Europe as obsolete and already out. Draghi's sees austerity measures and spending cuts with the structural changes underway in Spain, Italy and other countries as the only way to generate economic renewal. On the Long Term Financing Operation launched by the ECB in Dec. 2011, Draghi says there was agreement within the ECB and the decision was unanimous. He makes it one of his objectives to achieve as much consensus as he can, to do what is right for Europe and to do it together with his colleagues in the ECB and the EU. That financing operation, and the binding deficit controls achieved at a recent summit of European leaders, he sees as all part of the pathway to fiscal union. ...

LyrArc Article Gist
The role of the Judiciary in Pakistan in acting as a check on corruption in the Zardari government, and a check on the army's interference in Pakistan's democratic process. For the first time in Pakistan's history a peaceful tranistion between elected governments is planned in 2013.

LyrArc Article Gist
Timothy Egan points to the huge gap between a T.R. in 1910 making the speech in Osawatomie, eastern Kansas, and Professor Obama making an election speech in 2011. T.R.'s was an election manifesto that brought up the issues of conservation, child labor, a plea for an income tax, call for worker protections, limits on corporate power and influence on the laws and direction of the country. The speech was made in 1910, after Taft had assumed the presidency with Roosevelt's backing, and would lead to T.R. running against Taft and Woodrow Wilson. Most of what T.R. advocated became part of the country's social and economic fabric, much of the work beginning with Theodore Roosevelt's two terms as president, and also pursued by Woodrow Wilson, the president elected in 1912. By contrast, in line with the timidity of today's politics, Obama's speech called for approving his nominee for consumer protection bureau chief, and continuance of tax cuts for the middle class. Egan calls it a curse of today's politics and national debate that no politician can set the course for revitalizing America the way T.R. did. Some of what T.R. said in Kansas that day is: "There can be no effective control of corporations while their political activity remains. To put an end to it will be neither a short nor an easy task, but it can be done." "The right to regulate the use of wealth in the public interest is universally admitted." Jackie Calmes covered the extensive ties of both candidates, Obama and McCain, to Fannie Mae and Freddie Mac, in her report for the New York Times, on September 9, 2008- "For 08' Rivals a Skein of Ties to Loan Giants." Paul Gigot, editorial page editor of the Wall Street Journal, who with his reporters did some of the difficult reporting on Fannie and Freddie, wrote in one of his columns with a note of pessimism, that he wasn't sure that either of the presidential candidates were interested in what was happening. ...

LyrArc Article Gist
Saying that these countries had significantly cut imports from Iran, the U.S. government gave exemptions from the sanctions on Iran to 10 European countries and Japan. Exemptions were given to Belgium, Britain, Czech Republic, France, Germany, Greece, Italy, the Netherlands, Poland and Spain. This leaves 11 countries facing possible sanctions including China, India and S. Korea, with negotiations underway with these three major importers. The sanctions law passed by the U.S. Congress gives the government room to avoid damage to global oil markets and U.S. allies.

LyrArc Article Gist
Clearing the land by burning dense forest vegetation is a long standing practice in the Amazon rain forest. In an effort to open up the Amazon for settlement and agricultural use the Brazilian government has encouraged people to settle there. Squatters can get title to the land at a discount if they clear the land and use it for economic activity. In 2017 pressure from the agricultural lobby resulted in a law for privatization of large portions of land. 90,000 titles were issued by the Ministry of Agriculture in 2018. Deforested land that has been converted to pasture can be very profitable. It can be sold at upto 6 times what the settler pays for the land to the government. The fines imposed by Brazil's environment agency Ibama are small in comparison to what farmers can make by deforestation.  During the election campaign Mr. Bolsonaro said he would rein in Inama and "not let it issue fines left and right." As a result about 30% fewer fines for violations, illegal burning and deforestation were issued since Bolsonaro became president in January 2019. During this period upto July 2019  deforestation is up 40%, according to Brazil's Institute for Space Research. Ibama employees  say the agency's budget was cut by 45% from 2010 to 2019. Bolsonaro's statements were used by rural leaders in the Amazon state of Para, allegedly organizing the fires along a highway across the rainforest to show support. Brazilian farmers say the problem is not with them because they realize it is hard to control fires once they are started. That it is the work of inexperienced settlers who do not understand the risks. The skies over Sao Paulo were darkened one day at noon as a result of the smoke from the fires moving south from the Amazon, causing the whole nation to take notice. International outcry has also caused alarm. Europeans are planning boycott of agricultural products from Brazil, with Finland calling for action banning beef imports. Fashion labels Vans, Kipling, Timberland, say they will not import Brazilian leather.  Now the agricultural lobby is waking up to a bigger problem that of international pressure in Brazil's export markets for agricultural products.  Even though Bolsonaro is taking action, and has said farmers and loggers would no longer be allowed to use fires to clear land, its hard to make the changes. Ibama and Brazilian authorites are unable to effectively patrol a rainforest this large covering 60% of Brazil's territory. Governors of Amazon states are saying land ownership laws have to be rewritten so that people can be held accountable for breaking the law. Experts at the Federal University of Minas Gerais say that the underlying problem is the government incentives to settlers, loggers and farmers to clear more land, and the environmental management agencies working to limit the damage from illegally set fires.  By setting a Wild West logic without realizing what he was doing the Brazilian president is now facing a problem controlling the fires. Bolsonaro is now calling for a 60 day halt to all fires in the Amazon. Long standing traditions, laws, practices, his own rhetoric are now in the way. Few people in Brazil realized that the fires out of control would eventually darken the skies over Sao Paulo one day at noon, causing an international outcry.     ...