LyrArc Article Gist
A vote on Brexit giving parliament a bigger voice if no deal is reached with the EU was defeated narrowly in parliament with 324 for and 298 against. Tory members led by Mr. Grieve called for parliament to take part in future strategy if no deal is reached by March 2019. British prime minister Theresa May argued that this would weaken Britain's negotiating position with the EU in Brussels. Mr. Grieve and Tory dissenters agreed to support the government. The recent election with Labor winning 40% of the vote leaves the Conservative Party's Mrs. May dependent on a small number of MP's from Northern Ireland for her government to survive. Some members of May's cabinet feel cutting off Britain from the EU market will hurt the economy in their districts, and a junior minister resigned. 

LyrArc Article Gist
In comments to the Financial Inquiry Commission bankers Blankfein and Dimon show a lack of comprehension of the magnitude of the global financial crisis and their role in it. Blankfein says this kind of crisis was a once in a 100 years event and one should't react. Dimon says such crises happen every 5 to 7 years and is not something to get overly concerned about. And they offer no solutions or problem solving ideas, except to resist any form of regulation that would strictlly limit damage from a future crisis.

LyrArc Article Gist
The Labor Department report for September 2013 shows 148,000 jobs added, lower than expected. The lower jobs figures and the political uncertainty provide additional support for new Fed chairman Janet Yellen to continue pursuing the policies of Ben Bernanke aimed at reducing high unemployment.

LyrArc Article Gist
Leslie Gelb says US should focus on its strengths, on the areas that it can build on to come up with something of enduring value and not focus all one's energies on situations and troublespots that siphon off a lot of American energies. This is a good idea and should be something that policymakers at State and the National Security Council and advisers to the President could keep in mind. There is alot to be said about the Truman example of the Marshall Plan in building western Europe after the war. At the same time its not as clear cutthat troublespots and the difficult work can be avoided. Was the Berlin airlift a troublespot? And Truman had little time to respond to the invasion of South Korea from the north, acrisis he would have chosen to avoid, if he had the choice. Instead he was drawn into along drawn out war on the Korean peninsula. Still the idea that you want to save your energies and not dissipate them in conflicts which can't clearly be won is a useful one. The Korean war was fought on conventional terms so the US could point to success years later in South Korea. But for conflicts fought in the jungles of Vietnam or in the remote mountainous terrain of Afghanistan, limited objectives and willingness to consider history, customs, and local tribal cultures is very constructive. ...

LyrArc Article Gist
Jaguar Land Rover has strong sales in 2013 of 425,006 vehicles. JLR is investing 1 billion pounds to build a factory in China, in a joint venture with Cherry Automobile Company. The factory will make 130,000 automobiles a year when it starts in late 2014. In Brazil JLR is investing 240 million pounds for a factory that will make 95,000 vehicles a year. JLR currently has assembly facilities in India for the Freelander 2 sport-utility vehicle and Jaguar XF sedan, and assembly facilities in Pakistan, Kenya, Malaysia, Turkey. JLR plans to spend 3.5-3.75 billion pounds in the fiscal year beginning April 1, an increase from the 2.75 billion pounds capital spending budget for 2013. 2013 capital spending was 17% of total revenue of 15.78 billion pounds. Dealers are expected to spend an additional 1 billion pounds on improving the sales network.

LyrArc Article Gist
Alexander Kudascheff of DW.com, says the Berlin Christmas market attack on the Kurfstendamm, is likely to change the way Germany looks at the terrorist threats in the world. Smaller attacks had hit Germany earlier in 2016. This one resembling the attack in Nice on Bastille Day is likely to touch a nerve with Germans who did not see something like this possible for a Christmas tradition of Christmas markets in Germany, and right in Berlin's centre.  This means stormy waters for chancellor Merkel's refugee policies. The comments to this opinion in the DW.com show the public dissatisfaction with current policy. Many of the comments focus on too open an approach of liberal media, what is perceived as a spin on stories for refugees, and on the use of words "suspected terrrorist attack" even when it had become clear to most people that it was a terrorist incident. In other ways this incident is different as it puts Germans in the same situation as Americans, Spaniards, Turks, French, and other people in the way terrorism has made people less safe or unsafe in 2015-2016. Most of this is a result of the situation in Syria and Iraq, as is the refugee situation that has divided European opinion, and American opinion.  ...

LyrArc Article Gist
PetroChina loses $1 billion in market value as the government opens investigations of corruption at the company.

LyrArc Article Gist
Juan Montes of the WSJ describes the problems facing states in Mexico as the governors have accumulated power, debt has risen rapidly, and accountability of state officials is at a new low. Half of the states with elections in 2016 have doubled their debt in 6 years, according to government data. The federal audit office points to irregularities in $13 billion of federal funds transferred to states. Elections in states in 2016 shows public discontent with poor governance, corruption, and the lack of rule of law. This is leading to a close election in Veracruz with the PAN and PRD parties challenging the PRI in the state.

LyrArc Article Gist
Krugman points out that the prevailing bias in the US distorts the facts about Europe's performance. Frankfurt, London and Paris he says are just as lively and modern as New York and Chicago. They are not poor and backward. When you factor out population growth in the USA, since 1980 per capita real GDP which is what affects living standards has grown in America at about the same rate as the 15 European Union countries: 1.95 percent in the USA vs. 1.83 percent for the EU. And for the 25-54 years working age group unemployment in the EU 15 countries in 2008 was 80% of adults (83% in France), which is about the same as in the USA. The French and Germans work fewer hours but output per hour is close to American levels.

LyrArc Article Gist
Jane Spencer interviews Lenovo CEO, Bill Amelio. Amelio throws light into how a company can best operate in China and reach out to a global market. Consider the way Amelio recruits Chinese talent working in the local language, and how he works with Chinese managers who tend to be more reticent on issues and opinion. Amelio is unique in his approach to hiring Chinese managers and building a bench with deep talent. He has abandoned what he calls the "colonial approach" of hiring with expat executives interviewing in English for managers in emerging markets. He says its a good idea to leave the English filter out to get more talent. Instead he has English language classes for the hired managers to help them improve language skills. Amelio talks about Lenovo's approach to the U.S. and other international markets as it competes with the likes of Acer and Dell. Amelio headed Dell's Asian operations prior to this position. Lenovo is testing ideas for giving low cost access at $100-$150 to people in India and China. The way this works is for Lenovo working with Intel and Microsoft to reduce the cost by 50%. For the bank to have half the ownership and the customer paying for the rest. Customers would buy cards for 10 hours of computing, and buy the computer back from the bank through regular use. Lenovo's strategy is to go after small and medium size businesses and consumers to increase market share in the U.S. and Europe. To do this it is using soccer star Ronaldinho and basketball stars to give Lenovo visibility as a brand. In other areas, Amelio has brought Dell managers to Lenovo to improve the supply chain management, an area Lenovo needed to improve....

LyrArc Article Gist
The LDP Party led by prime minister Abe wins 290 seats in the lower house of parliament in the Dec. 2014 elections. Its ally the Komeito Party gets 34 seats giving the government a two thirds majority in parliament. The LDP previously had 295 seats from the 2012 elections. Of the total 475 seats in parliament, 73 seats went to the opposition DPJ Party and 21 seats to the Communist Party. This gives Abe a 4 year mandate reducing the uncertainty from having a regular change in prime ministers in recent history, making Abe the 17th prime minister in 25 years. The stable government and clear economic policy will help the economy. Abe says he will focus on prodding companies to raise wages, as many people say they have not personally seen any benefit from Abenomics. As a result turnout hit a new low of 52% compared to 59% in 2012 parliamentary elections, with prospective voters showing their dissatisfaction by staying away. Severe winter weather and public confusion about why the snap election was being held may have added to low voter turnout. Other parts of the Abe agenda include restarting some of the 48 nuclear reactors offline since the Fukushima disaster. Abenomics faces hard work ahead as it grapples with two quarters of declining growth in 2014, consumers feeling the effects of the increase in the consumption tax from 5% to 8%, and small businesses feeling the effects of higher cost for imports with the weaker yen. ...

LyrArc Article Gist
U.S. president Trump is to announce U.S. withdrawal from the 2015 Paris climate change agreement. The process of withdrawing is one that takes 4 years to complete, putting off a final decision till after the presidential election of 2020.

LyrArc Article Gist
A sign of the growing people to people relationship of the US and India is the number of Indians in US graduate schools which went up from 68,000 to 102,000 in the 2021-2022 academic year, up 48%. There almost as many Indians taking the GRE exam for entry into US graduate schools in 2023 as Americans taking GRE in the US. Another sign of the expanding people to people relationship is the decision of the Biden administration to give 1 million visitor visas to Indians in the coming year. In India physical sciences and humanities for GRE exceed engineering by a wide margin, showing the shift in subjects. Under India's new education policy NEP the shift is to a more multidisciplinary approach and allowing students to mix science subjects, math with humanities. This approach is seen as best for India to produce a new generation that can think for itself better than the purely engineering science or medical track graduates of the past who had limited knowledge of the humanities. This overly engineering focus has prevailed in the educational approaches of Japan and China during their rapid growth period. India under the Modi administration is betting on a wider knowedge of different and contrasting subjects and disciplines for its future. ...

LyrArc Article Gist
CIC makes a shift in investment strategy away from energy assets to investment in Europe and the U.S., as western economies recover and the Fed tapers its bond purchases leading to credit outflows from emerging markets.

LyrArc Article Gist
Following Brexit on January 31, 2020, Britain's government led by Boris Johnson prepares to negotiate new trade deals with the U.S. and other countries. The freedom to negotiate these trade deals was a key part of the plan of Brexit supporters and Mr. Johnson. The Times, Britain's leading newspaper, looks at the prospects of trade deals with each country- the U.S., Australia, New Zealand, Japan. Facing re-election Mr. Trump is seen as favorably inclined to work out a trade deal that he can show during the campaign. Trade discussions have taken place between the UK and Australia, Japan. Mr. Morrison in Australia and Mr. Shinzo Abe want to see strong trading ties and investment with Britain. Japan or Australia could be the first countries that work out a trade deal with Britain as discussions are at an advanced stage.  Britain has a small deficit with Japan in trade. It has a small dollar surplus in trade with the Australia and New Zealand. With the U.S Britain has a large surplus, it exports 121 billion pounds and imports 76 billion pounds. The prospects of trade deals are enhanced by the similarity in outlook of the governments of the U.S., Australia, and Japan, which share views on jobs expansion, economic growth and are centre right in economic philosophy. They also share a strong connection with working class voters under Johnson,Trump and Morrison. Mr. Trump is seen as a strong deal maker so that any deal would involve some concessions from Britain that increase U.S exports, including farm exports. Difficult issues with the U.S. are -pharmaceutical drug imports that could increase Britain's NHS cost for drugs, the digital services tax from Britain on U.S.  companies such as Google and the Trump retaliatory threat to impose tariffs beyond the current 2.5% on car imports of $11 billion from Britain. On agricultural imports Britain's natural foods preference conflicts with imports of genetically modified (GMO) foods from the U.S. Experts say this could lead to a partial or Phase 1 deal that does not need approval from the U.S. Congress, similar to the Phase 1 trade deal with China which sidestepped the thorny issues on trade. This is something both sides can show their support base as a win. ...

LyrArc Article Gist
Marcel Furstenau in DW.com says the Federal Police (BKA) have done well to foil several terrorist plots, and the failure to arrest Anis Amri is a result of the rule of law that prevents detention without evidence. The investigation of Amri went on for 6 months and the length of the investigation shows that police were alert to the risks, says Furstenau. He points out that it would be irresponsible to say security services are not doing their job, and the focus should be on mistakes or errors on which improvements can be made for tightening security.

LyrArc Article Gist
Friedman points to the parallel between the democracy movements in Eastern Europe and the Arab World, and sees one difference. Whereas the countries in Eastern Europe were mostly homogenous except for Yugoslavia, the countries in the Arab world are homogenous only in Egypt, Tunisia and Morocco. Which makes the transition to democracy that much harder with sectarian interests, the Sunni-Shiite divide, tribal differences, and the lack of a transition period for building democratic institutions. This will require vision, leadership and perseverance from Arab peoples and from the outside world.

LyrArc Article Gist
A long overdue wage agreement gives pay raises to teachers and state employees in public sector. State employees will get 8% pay raise implemented over 33 months. By end of 2021 state employees would make at least additional 240 euros per month. The deal impacts 3.3 million people in Germany- 1 million state workers and 2.3 million civil servants and pensioners. Extra money was allocated for health care workers who receive additional 120 euros per month. Child care workers at daycares and teachers also get upto 105 euros additional per month on top of the raise.

There are severe shortages in schools, daycare centers, hospitals, and this helps to make the public sector more attractive for people to join. Making these professions more attractive was a dire need in Germany not tackled earlier.

LyrArc Article Gist
The SEC is conducting an investigation of the rumors that on three separate occasions led to drop in Lehman's share price of 10-21% in one day. This happened also to Bear Stearns and the SEC is cracking down on this practice by short sellers who hope to profit from their actions by driving down the price of Lehman's shares. This should also help to calm the financial markets and hold those responsible as it can have a serious negative impact on the markets.