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Baker and Shear show the changes in president Trump's views on Islam and Islamic extremism following his meetings with leaders from the region since taking office. In his speech to leaders of the region Trump said "Islam is one of the world's great faiths" and said what was needed was "tolerance and respect for each other." He also said it was not about "conflict between religions, sects or civilizations." General McMaster calls it "learning" for Trump, something Trump has shown a capacity for when he badly needs to get it together and make a conscious effort. As a result the page on the travel ban on the Trump website has been taken down. This is an astonishing about face seen in one way because of Trump's rhetoric during the election and right upto the travel ban, yet it also shows Trump's business instincts and willingness to learn and be open, showing he has many personality traits and is a more complex person than he looks at first glance. This may also be how he survived in business bankruptcies, by adapting and learning. Contrast this with the views of Marine Le Pen during the French presidential election, and it shows that the business side and commercial instincts of Trump make a real difference. He can appeal to the cultural angst of followers, whether it be for Mexico or the Middle East, yet take a sensible approach to get on with it when needed. Trump needed to be careful about words and meaning following a month of media revelations on the relations between Flynn and Russia, and the appointment of a Special Counsel to investigate Trump campaign connections with Russia. ...

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Honda's Insight will compete with the Prius on price, at $18,000 it is priced $4000 below the Prius.

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China to introduce local-content requirements for alternative fuel and hybrid cars to qualify for expected subsidies. This is aimed at Toyota which imports parts from japan for the Prius and assembles it in China. National Development and Reform Commission is drafting new rules for the automobile sector. GM's solution to keeping its own technology within the company is to establish its own research center in China. Previously it had a setup research center with its partner Shanghai Automotive Industry Corporation which has 1300 employees. The new research center in Shanghai will be devoted to hybrid and other advanced technologies. The way the Chinese market is growing and becoming a key part of GM's global market GM now sees this as a good investment especially in the light of the new local content rules and the fact that with its own research center the technology will not be able to be copied. Note that Honda, Ford and VW also have announced plans for their own research centers....

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France, Germany, Italy, Spain and Britain agreed to have automatic exchange of information for offshore accounts to fight tax evasion. Luxembourg agreed to join this group. The EU nation move follows the U.S. Foreign Account Tax Compliance Act of 2010 which requires foreign banks and entities to disclose accounts of U.S. citizens, in an effort to fight tax evasion.

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Duncan Moore of the University of Rochester points out what makes Pittsburgh, San Diego and Rochester different from Detroit, Cleveland and Fresno. The investment in the local community, large universities and the research money they bring in, the small businesses using advanced technologies and connecting with the universities, have helped these communities thrive even when a dominant employer or a dominant business has suffered decline. In Detroit's case it is also learning some of these lessons- the areas around Detroit such as Dearborn are recovering with the recovery of Ford Motor Company, and the University of Michigan in Ann Arbor is a major research hub with large federal funding, the Fiat engineered recovery at Chrysler is also giving new life to the region.

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Vietnam devalued its currency by 8.5% on Feb 11, 2011. A series of devaluations have reduced the value of Vietnam's currency by 20%. The devaluation will lead to higher cost for imported products, especially refined oil products, thus fueling inflation that is already high in developing countries. The Communist party central committee is not giving inflation fighting a priority, and instead is focussed on keeping high growth rates. The party's inflation target is 7% annually, same as 2010 for 2011, when the inflation is already estimated to be about 11% for 2010. Barclay's now expects inflation to reach 13.5% by March and exceed 15% by June. Part of the hesitation to raise interest rates and slow inflation as is happening in China and other developing countries, is the need to create new jobs for a young and increasing workforce. Vietnam's inefficient state enterprises, poor management at some enterprises, and state subsidized lending, have created problems which are putting downward pressure on the currency. State owned shipbuilder Vinashin approached bankruptcy recently with $4.4 billion in debts and poor management decisions. Another significant reason for the devaluation is the seriously precarious situation of Vietnam's foreign exchange reserves. State media have reported that Vietnam's international reserves have fallen to "more than $10 billion" at the end of 2010, compared to $16 billon for 2009 and $26 billion for 2008. This suggests a deeper crisis from years of loose monetary policy and lending to state enterprises to create China type growth rates. Vietnam still a less developed country and not equipped to handle this kind of growth, say analysts....

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Krugman says the kind of spending on helping the US economy never happened. That is relative to the size of the US economy, not much happened uder the Obama administration. As evidence, he cites the figures that total government payrolls have declined by 350,000 since January 2009. And he says government purchases of goods and services increased only by 3% in the last 2 years.

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Microsoft's new Surface Tablet with a keyboard to be introduced with Windows 8 in the second half of 2012.

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Natarajan Chandrasekharan, CEO of TCS, describes his approach to running TCS so that individual unit managers can use 100% of their processing power, and have the advantage of the scale and initiatives launched by the corporation as a whole. He says he finds people and builds teams and sees the big picture, but lets units operate independently with 100% of their processing power- calling it democratization. TCS stays ahead in new technologies of mobility, cloud, social, big data, analytics and robotics using its innovation labs in Santa Clara and Cincinnati in the U.S. with centers of excellence in India tied ot these labs. About $4-5 billion in new revenues are expected from these new technologies in 3 years. TCS, India's largest IT company, under Chandrasekharan has doubled its revenue since he took over during the financial crisis in 2009.

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Deocuments from the weekly cabinet meeting show the new budget in France will increase revenues from household income taxes by 23%, and business taxes by 30%. The top marginal income tax rate goes up to 45% from 41%. Limiting a deduction for financial charges for company's taxable income brings in $4 billion in 2013, according to the finance ministry. The goal is to cut the budget deficit to 3% of GDP in 2013 from 4.5% in 2012. The finance ministry has assumed higher borrowing rates for future years- 2.9% on 10 year debt for 2013, up to 3.65% in 2015, and is not relying on the low rate of 2.18% on 10 year government bonds as reported by Trade Web Sept 28, 2012. The overall tax burden will be 46.3% in 2013, and 46.7% in 2015. French debt is at 91% of GDP for the 2nd quarter 2012, expected to be 91.3% in 2013 and falling to 82.9% in 2015. Prime minister Ayrault emphasized- "If we don't put a stop to this, taxpayer money will keep paying for debt reimbursement." Swift anticipatory action and unified government-business-labor posture under a favorable borrowing environment characterizes the approach for Britain and France in 2011-2012, compared to the situation in Spain where government action has been slow, not tough enough in cleaning up the banks, fallen behind in anticipating events and the government-business-labor unified posture has cracked under the strain. As a result under an unfavorable borrowing environment money raised from austerity type tax increases now goes to paying for debt reimbursement in Spain, leading to a situation in which debt and deficit reduction targets just get harder to achieve. A looming drop in credit ratings to junk status for Spain only makes the situation harder to overcome. ...

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A new survey of senior lending officers of 45 emerging market banks by the Institute of International Finance is similiar to surveys done by central banks in U.S., Europe and Japan. The IIF is an asssociation of large global banks. The IIF's chief economist says the survey shows strong demand for loans in these countries. Emerging market banks are becoming cautious, but its difficult considering the strong demand for loans. In China and Brazil, banking authorites are trying to cool the huge increase in loans as asset bubbles are developing. The IIF's first survey shows strong demand for loans aross the board, especially in Brazil. Similiar information from Turkey shows strong loan demand. An index of loan demand for consumer loans in emerging markets- with a score of 50 indicating expansion of loan demand and below 50 contracting loan demand- is at 64.1. Similiar indexes for the U.S. are at 50.1, for Europe 49.8, Japan 48.5, according to the recent surveys by central banks. While 56% of emerging market banks say corporate loan demand has grown in the 1st quarter 2011- the similiar number for the U.S. is 35% in the Fed survey, and 28% for Europe in the ECB survey. The IIF survey looked at the bank's lending practices and found banks in emerging Asia were tightening standards while banks in Eastern Europe, Latin America and the Middle East were lowering the standards. 25% of emerging market banks tightened corporate lending standards, 16% relaxed standards, and the remainder left things as they were. A similiar Fed survey for the U.S. showed no banks tightening corporate lending standards, and 16% relaxing standards. And an ECB survey shows more banks tightening standards than relaxing them....

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About 425 cty residents of New York were looking for work as of December 2009.

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Building housing in gated communities and apartment complexes for the new middle class in China.

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This report in WSJ says 4 months before becoming China's president in 2012 Xi Jinping issued a Communist party directive as head of the party committee overseeing the former British colony. The directive cautioned officials about a growing separatist sentiment in Hong Kong. It said "we must dare to struggle and be good at fighting," a retired official describes as Xi's approach. Another facet of Xi's views on Hong Kong are that his father as a party leader for the southern province of Guangdong in 1978 to 1980 near Hong Kong was the first after the Cultural Revolution to set up ties between the mainland and the British colony of Hong Kong. China was experimenting with a different model for the economy and Xi's father set up the early links with Hong Kong so that the flow of economic refugees from mainland China to Hong Kong could be reduced and the gap in living standards could be narrowed. He set up the first "Special Economic Zone" and met delegations to start the Sino-British talks on Hong Kong's future. Xi Jinping grew up in the turmoil of the Cultural Revolution. His father Xi Zhongzun, was jailed in 1962 in internal party struggles, and his family was persecuted during the Cultural Revolution that started in 1966. The Cultural Revolution that went on till 1976 ironically was an attempt to stamp out possible capitalist or imperialist influences from the colonial period and the opium wars with Britain. He was later rehabilitated under premier Deng. During the turmoil Xi with some difficulty was admitted to University after spending some years in the countryside. His father remained loyal to the ideals of the Chinese Revolution even though he had suffered from the internal party struggles, an experience remains a strong memory for Xi Jinping. It is as if the period is seen as a period of experimentation and failure for the party not for its ideals of China rising from the colonial period after its failure to engage with the world before the colonial period leading to backwardness. The unity of the country had to be maintained bringing Hong Kong and possibly Taiwan together with the mainland. Rejuvenation was happening and stability was essential for Chia to grow and emerge into the "China Dream" a word coined by Xi for its emergence in the community of nations as an equal to western powers after the colonial period of oppression and cultural backwardness. In this way he is different than other leaders before him who followed premier Deng who started the experimentation with markets and economic structures. The leader preceding him was party secretary in Tibet with a prime minister who was an engineer working on public projects, in sharp contrast to Xi who had the the sense of authority from seeing different phases of Communist party experimentation in his early years. The Bo Xi Lai incident during the transition before 2012 also influenced Xi. This was an attempt similar possibly to the attempt by Lin Piao under Mao to subvert Communist Party leadership into a new direction bringing China under Soviet influence after the break by Mao. Bo Xi Lai, a party secretary for an interior less developed region Chongqing, who rose from being Mayor of Dalien to governor of Liaoning province. Bo Xi Lai attempted to subvert the process operating since the Cultural Revolution of leadership by consensus within the party ensuring stability and continuity needed for development and pushing the trauma of the Cultural Revolution out of memory. He did this by seeking high party office for his own ambitions not for the party and China's interests that guided leaders after the Cultural Revolution. This incident and the period of two decades of growth of market economy had led to growing corruption and Xi was convinced that "corruption would doom the Communist Party and the State" and the resulting instability was bad for China. During this period in 2012 Xi Jinping said that it was necessary to remove "tigers and flies" who could endanger the party's ideals and the future growth and stability of the country.  About 10,000 party officials were removed for corruption, and the rule of Politburo Standing Committee immunity (PSC) of the party operating after the Cultural Revolution was removed. The PSC is the body that at the top of the organization structure that runs China. On Hong Kong Xi now believes that the problem is best tackled by the Hong Kong government not by intervening from Beijing. There is increasing perception in Beijing and Hong Kong that the local government, business leaders have messed things up, by getting into the habit of telling Beijing planners what they wanted to hear, and failing to communicate with the 7 million people of Hong Kong. These leaders are also in a bind because Xi believes that Beijing exercized "overall governance authority" over Hong Kong. A 2014 government white paper warns against "confused or lopsided perceptions" of Hong Kong's status, saying that its partial autonomy comes "solely from the authorization of the central leadership."     ...

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Lars Kingbeil SPD parliamentary head March 2025 negotiations with CDU head Merz for a new government in Germany following federal elections. Combined the 2 parties have 45% of the vote with the Left having 9% and the Greens 12% in Opposition and AfD having 21%. In addition Wagenknecht and FDP received 9% of the vote. About 80 percent of the German vote still went to non far right parties in a period of immigration anxiety and economic contraction. Strong action on immigration should by Merz and the CDU that was missing from Scholz and SPD, and weak economic leadership from Scholz limited by the FDP's Lindner Finance minister replaced by CDU under business friendly Merz should change Germany's situation in the next 4 years. It will making immigration issues fade by 2027 and help Germany's economy rebound with investments in key areas.  Merkel and Merz are very different leaders. Merkel a pastor's daughter with a physics background lacks the business background in capital markets of Merz and the ability to understand the mood and thinking of Germans in the industrial west and south of the country and in Bavaria's Munich region (CSU). ...