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The US Fed under Jerome Powell is going to raise interest rates one more time in 2023 following rate increases in 2022- by a quarter percentage point this week. This is not only a fight against inflation but a way to reverse a situation that has affected the wealth and standard of living of ordinary Americans by reducing interest on savings to a paltry less than one percent. Only stock market investors benefitted under the previous regime widening income and wealth disparities in America. Just as today's story in the WSJ showing Bath and Body Works returning to basics such as producing soap in America, something that would not even have been given a second of thought in the 1900's, the Fed is doing its job under Jay Powell of going back to the basics. Where interest on savings provided retirees a comfortable stress free retirement and the inducement to save help build a savings pool in America to invest in what really improves the standard of living for all Americans across this country, from rural to urban, from all parts of the land. ...

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US Treasury Secretary Janet Yellen says that she does not see an inflation problem as a result of Mr. Biden's increased spending in the trillions of dollars for the Families Plan. The Families Plan is to rebuild American infrastructure after decades of underinvestment, in addition to pandemic related spending. Yellen says the additional spending for the Families Plan is small relative to the size of the US economy. The $1.8 trillion Families Plan is for workers, students and American families. It addresses needs in education, health, and wellbeing and rebuilds the roads bridges and other infrastructure at every level in the economy.

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The BBC shows pictures of the blue supermoon from different parts of the world including Brazil, Israel, Japan, Russia, US, England. It is a unforgettable sight in the night sky that people all over world were able to see on August 30, 2023. This one is over an old fort in Israel. Other pictures show it with a flower in Srinagar, India, and spectacular over the ancient temple of Poseidon in Greece.

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900 million eligible voters in India means this is the largest election ever. The election will take place in 7 phases in April and May from April 11 to May 19. Votes will be counted on May 23. The election is for 543 seats in parliament, the Lok Sabha. Turnouts are high with 66% turning out in the last election that brought Mr. Modi and the BJP to power.  Unlike elections in Britain a lot is spent in each election, about $5 billion in the last election and double that this time. The U.S. elections in 2016 had spending of $6.5 billion as a comparison. Women vote at about the same rate as men and more women than men are expected to vote this time. Prime minister Modi won the last election with promises of development and infrastructure. He is delivering on infrastructure but building manufacturing and generating jobs in the formal sector remains a tougher task for any administration in 4 years. During the first term Mr. Modi made needed changes including introducing the GST tax to integrate India's fragmented market and get rid of a patchwork of regional state taxes. He introduced a whole range of projects and yojanas which are setting the stage for widening the middle class, and improving living conditions. Some of the problems such as the bad loans in the banking system date back to previous administrations and the government has taken steps to clean up this problem by refinancing banks and introducing a bankruptcy law. This has slowed GDP growth to about 7%. However this would have happened under any administration.  The brief war with Pakistan in February 2019 has added another dimension to this election with questions about whether this may help Mr. Modi because of his strong stand against terrorism camps in Pakistan.  In the end it all comes down to whether the public still believes the BJP party under Modi is best qualified to develop the infrastructure to modernize the country and improve services, and whether it can create enough of the manufacturing capabilities to generate jobs needed. It may not be that the BJP under Modi has  not made mistakes in the process of learning how best to tackle development, but whether a patchwork of regional parties led by the opposition Congress party is in a position to provide the strong decisive direction to make quick decisions on development. Getting the agreement of a number of regional parties such as the party in West Bengal state or the Uttar Pradesh state when it was under a previous administration of Mrs Mayawati means an even slower rate of decision making as it leads to lack of speedy decision making. Whether voters have short memories and forget the slow rate of infrastructure development under previous administrations or have a willingness to give the BJP a chance to show what it can do under Modi for development can eventually decide this election. An example of what this means is in how the Mumbai Metro is being pushed through to timely delivery- Metro Rail's head Mrs. Ashwini Bhide simply says she feels for the people of Mumbai who have suffered from delays in development of needed infrastructure for so long, with millions doing appalling rides in a creaky old rail system. In her view it should have been done yesterday. It is this attitude that can make or break the current administration, and whether it can get this message through to voters one more time. Most who have this attitude are aware that China is now laying enough concrete every two years than America did in the whole 20th century, as reported in the Guardian newspaper, and are equally passionate about delivery of services and rapid development of badly needed infrastructure.         ...

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The Reserve Bank of India (RBI), India's central bank, left rates unchanged in October 2012. RBI Governor Subbarao says inflation could go above 8% by January 2013. High global oil prices and a weaker currency are adding to food price increases to push inflation higher. The RBI lowered its growth forecast to 5.8% from 6.5%. Mr Rangarajan, chairman of the Prime Minister's Advisory Council said the RBI will not lower rates till January 2013 unless there is a significant tendency for a decline in inflation before then.

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Increasing use of opioids, suicides, chronic liver disease, are resulting in higher mortality rates for white Americans middle aged 45-54. This group has been hit hard by manufacturing losses, by the mortgage crisis of 2008 with its aftermath of job losses and low interest rates that slashed savings. Added to this is the effect of people with lower incomes needing to take retirement social security early, leading to another hit on incomes and the quality of lives, increasing uncertainty and even despair. People without a college education are hit harder in the current environment with fewer opportunities and greater uncertainty in life. The social security check being smaller for this group and its shorter life span means more of the social security pie is going to better off Americans who retire later, creating a uniquely American situation of widening economic inequality and unfair distribution of the economic benefits of society. This means disadvantaged groups are facing a crisis that will affect not just this generation but the children of these disadvantaged groups for the next generation- a failure to keep the promise of "life, liberty, and the pursuit of happiness," American ideal for most of its history. ...

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Norwegian skier Lie McGrath with father US alpine skierand Norwegian mother on Vermont ski team, does something unusual in the Olympics. After leading 0.59 seconds and in a good position for first in downhill skiing in slalom he goes all out but makes one error missing a tightly set gate, then decides to throw his poles, teke off his skiis and go into the woods. He says-

"I thought I would get some peace and quiet, which I didn’t because photographers and police found me out in the woods. I just needed some time for myself.”

McGrath is a 5 time World Cup winner in slalom. He had lost his grandfather just at the start of the games and was distraught. He just decided this was it after the slight error. The Gold, Silver or Bronze medal meant little by that time.

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Federal Reserve chairman Bernanke said the Fed would target a 2% inflation rate and keep short term interest rates near zero till late 2014. Eleven of seventeen Fed officials at a two day policy meeting ending Jan. 25, 2012 supported this policy. The announcement is part of the Fed's new communications policy which hopes to lower long term rates to stimuate growth and employment by signalling intentions on rates on a longer term basis. The Federal Reserve has lowered its estimate for growth in the U.S. to between 2.2-2.7% in 2012 from 2.5-2.9%.

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Efforts by the government of prime minister Erdogan to keep Turkey's interest rates at the same rate as inflation, with an effective real interest rate of zero. Erdogan strikes out at what he calls the "higher interest rate lobby." Erdogan's party fears a downturn in the Turkish economy could affect the government's referendum on a new constitution. The IMF sees a high credit growth to GDP ratio as a warning light for countries and Turkey is identified as one of the main countries facing this problem.

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Former U.S. Supreme Court justice, Sandra Day O'Connor, started a nonprofit civics education group, iCivics, in 2009. iCivics has 19 free online games with lesson plans for middle school students to learn about how the branches of government of the U.S. work, and the Constitution. About 3.2 million students used these online games in 2016, according to iCivics. Justice O'Connor now considers this her most important legacy. She says civics has to be taught to each generation, that it is not inherited. In one of the games Supreme Decision, a justice has to cast the deciding vote in a case. Another online game is Win the White House, and it teaches students about what a candidate has to go through in an election, a political platform, what a liberal or conservative is, selecting a vice presidential candidate to broaden his appeal, and making compromises in his positions where necessary. Justice O'Connor started iCivics after she realized schools were not teaching student how to engage in the political and other processes of governance. Filament Games, a learning games company in Madison, Wisconsin, designed the games for iCivics. O'Connor came across educational interactive online games after retiring from the Supreme Court in 2006, and this has become a passion for her, to teach young people how to become engaged in the process of governance at an early age....

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The Israel perception of the protests for democracy in Egypt are different from that of other observers and the press in the US and other countries. They fear that the 1979 peace treaty with Egypt will not be honored, and they fear Islamist elements will co-opt the democracy movement as has happened elsewhere they say.

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Raghuram Rajan, former chief economist at the IMF, and William White, former head of the economics department at Bank for International Settlements, both see the need to raise rates. But expert opinion on the other side sees the need for caution as the economic outlook worsens, and supports ECB and US Fed's efforts to counteract a deteriorating economic situation.

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In a policy shift the Bank of England's Governor, Mark Carney, announces that the central bank will keep interest rates low and bond purchases at the current level till the unemployment rate drops to 7%. This is similiar to the policy action of the U.S. Federal Reserve chairman, Ben Bernanke, to keep interest rates low till the unemployment rate reaches 6.5%. Carney said conditions under which this could change are if inflation increased or financial stability was affected by the easy monetary policy. He said: "Our biggest concern is the possibility that as the recovery gathers pace, that there is an unwarranted change in expectations about the pace of the withdrawal of monetary policy stimulus." "That is one of the principal points of providing explicit forward guidance." BOE said the official unemployment rate was 7.8% in the three months to May, and it is unlikely to decline to the 7% level till early 2016. The inflation rate for Britain was 2.9% in June. The higher inflation rate is partly due to the higher taxes and large increase in university tution fees which are unlikely to be repeated. The BOE's Monetary Policy Committee sees inflation declining to 2% by 2015....

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Italy is only now waking up to the challenge of climate change. Over a 36 hour period northern Italy's Emilio Romagna region received half the annual rainfall. A similar situation was experienced with sudden rainfall and floods in Germany last year.

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India's central bank governor, Raghuram Rajan, announces a interest rate reduction of the benchmark rate by one quarter percentage point to 7.75 percent on Jan. 14, 2014. He had come under criticism from business for not lowering rates at the Dec. 2, 2014 meeting, after the decline in oil prices. Rajan notes in his news release that when he left rates at the same level on Dec. 2, the policy statement said clearly- "once the monetary policy stance shifts, subsequent policy actions will be consistent with this stance." In the NYT interview with Keith Bradsher, Rajan pointed out that more information was needed to confirm that low crude oil price environment was going to last. India imports about $100 billion in crude oil and is a key beneficiary of lower oil prices, at a time when the energy infrastructure and supplies are lagging behind causing a severe bottleneck for growth. The current situation points to inflationary pressures easing. Dec. 2014 inflation was 5%. Prices have fallen for fruits and vegetables since Sept.2014, and cereal price pressures are also easing. ...

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US president Biden's effort to appeal to all American families and workers in the $2 trillion plan for investment in child care, paid leave, healthcare and education, and the importance of staying away from the divisive and polarizing effect of the Clinton years on Republicans, is part of the new approach of the Biden administration as it tackles America's most important problems with hopes for bipartisan support.

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This report in WSJ cites the PM's office saying a tax cut just when tourism revenue slowed with the start of the pandemic reduced Sri Lankan government annual revenues by 800 billion rupees. The combined impact of the tax cut with the pandemic relief measures and drop in tourism revenues widened the budget deficit from 9.6% of GDP to 12.2% of GDP in 2020. PM Wickremasinghe has increased VAT from 8% to 12% to generate 65 billion rupees. And an additional 52 billion rupees from increasing corporate tax from 24% to 30%. The ill timed tax cuts and mismanagement of finances are at the roots of the economic crisis.