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The Financial Times Original article ›
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There is a sense of cognitive dissonance in the states of former East Germany, known as the GDR or German Democratic Republic in the Soviet Union period from 1950's to 1990. The 5 states that formed the GDR continued to build close ties with Russia after the fall of the Berlin Wall, in the perception that this would build good long term relations. The crisis in Ukraine with border states of the Soviet Union opting in favor of close ties with the European Union and not Russia have disrupted the economic relations between the Federal Republic of Germany and Russia. As long as Russia needed the economic ties to build its economy and standard of living the political issues posed by NATO expansion and EU expansion were set aside by Putin and political parties within Russia. The very ties that were supposed to usher in an era of peace in Europe helped strengthen the Russian and Chinese economies. Leading to a point where these two economies were strong enough by 2021 in the midst of the waning pandemic to  assert themselves on political issues where serious differences existed such as expansion of NATO and Taiwan. When the economic relations such as making China a manufacturing powerhouse  was the path taken by American and European business in 1990's, business interests were focused on the declining quality and high wages demanded by unions and workers in the US and Germany. This could be personally witnessed at Apple's factory in Colorado Springs where quality was failing badly in the 1990's. Apple when Steve Jobs returned in 1997 adopted a China manufacturing strategy when its manufacturing operations in the US failed to deliver the quality and cost structure needed for it to expand. The high margins with low costs of manufacturing in China was the strategy adopted by Steve Jobs to compete with Microsoft and turbocharge its expansion. Soon other companies followed. A similar process happened in economic ties with Russia on a smaller scale. Two decades of such expansion whittled down American manufacturing, hurt American workers, hurt European manufacturing and European workers.  This process could not continue- yellow vest protests in France, the protest vote in US midwestern states in recent elections, the protest votes in German elections and fragmentation of parties, made this clear. The US imposed trade tariffs on Chinese products and moved to restrict flow of technologies to China under the Trump administration, accelerated by the Biden administration. President Xi was once of the view that China's ties with the US were important "thousand fold" in the period as late as 2010. Yet this lopsided trade relationship was not beneficial to American workers or American interests as a technologically advanced leader. It is true that American workers and engineers at Apple had failed to ensure American quality competitiveness in the 1980's into 1990's, yet no advanced country or its business can come up with a false narrative that cedes its manufacturing leadership and jobs for the working class of its country. That false narrative is being challenged today by Mr. Biden, Mr. Scholz, and all American and German political parties, and by Mr. Modi with Atman Nirbhar Bharat for local manufacturing. The integration one sees of the port of Hamburg as Chinese export hub with China's economy is one aspect of what has happened. A new leadership is taking its place in Europe and in America that sees clearly the false narrative. The visit of the new Danish prime minister to India is the beginning of the effort to set up a new logistics relationship with South and South East Asia, as Denmark's Maersk is a world leader in shipping logistics for exports and manufacturing. The planned Noida logistics center outside of New Delhi under Gati Shakti integrated development is part of the change happening today as a new supply chain is being built. The unwinding of the one sided trade relationship with China, and its related relationship on energy with Russia, led to the changing perception in Russia and China of the value of the relationship. Political relations superseded economic and cultural relations during Putin's second phase and Xi's second phase with assertive attitudes on NATO, and on Hong Kong, Taiwan under Xi and Putin 2.0. As could be expected Germany and the US were caught flat footed as leaders who were cast in the mold of Putin as a Soviet representative in Dresden, and Xi with his father leading the Communist struggle in the 1930's and 1940's against Chiangkaishek, acted in ways that reflected the Soviet period. Chiang left for Taiwan in 1948 when Mao-tse-tung setup the People's Republic of China. Taiwan and Hong Kong remained important in the perceptions of Xi 2.0, in the effort to build "China Dream" and erase last vestiges of what in Soviet times were seen as western colonialism. US and EU particularly Business and the new IT telecom Business failed to grasp these matters, and historical events such as the opium wars of the 1850's. Business and cultural interests lacked both the inclination to learn and the knowledge of these events in Chinese history and its relations with colonial powers Britain and Japan, and also Russia. In 1900 the Boxer rebellion against ceding Chinese ports to colonial powers Britain, Japan, Russia, ended with permanent colonial settlements in Hong Kong, Shanghai, Tsingtao, other Chinese ports. Chinese rejuvenation in the mind of leaders such as Xi from the second generation of Communist leadership, means putting this behind, leading to the action taken in Hong Kong. In some ways as some observers have commented it is as much a problem of the sluggishness of American and European thinking, particularly business interests including in Taiwan, post British Hong Kong, and ignorance of recent Chinese history which was mistakenly thought not to exist or forgotten. This is as much of a problem as the action taken by Putin and moves by Xi Jinping. The great democracies such as India, Indonesia, Bangladesh, were ignored as American and European business interests integrated the American and German economies with China's. In terms of population the population of these regions and related parts of South East Asia such as Malaysia and Vietnam which have a shared cultural history is about 1.5 times the population of China. Travelling through the parts of India's largest state Uttar Pradesh, an Madhya Pradesh one finds how much American and European business interests have failed both their own interests, their own workers and failed the great democracies of the world, by not only not investing in the democracies of Asia, and also of Africa and Latin America and bought into a narrative of China which no longer holds true and may never have been true all along. This is starkly evident in a once in a century pandemic in these great democracies of the world. These democracies have been left to fend for themselves during the pandemic and their leaders facing false narratives in the media such as the BBC and American media outlets even on issues such as vaccination of the largest part of the world's people.           ...
The Guardian Original article ›
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Michael Barnier was the candidate for Les Republicains. Macron's Movement Renaissance party is closest in thinking to the Les Republicains, the party of De Gaulle. He was appointed prime minister of France by Macron. Barnier had proposed a strong policy of turning off non European immigration for 4 years, and not allowing relations of immigrants within the country to come in. This immigration policy is becoming accepted in Europe among the socialist parties. In Denmark socialist prime minister Mette Fredriksen was elected with policies for the working class and unions but opposed to migration on grounds that it hurts the working class. France, Germany are shifting in this direction after overburdening of social services, and crime by migrants. The US is also shifting in this direction for both Democrats and Republicans with Biden policy to close the Mexican border. This ends a period of relative tolerance which set back goals of workers and their families for a decade or longer as anti migrant parties used the protest vote to oppose worker rights and shifted the economy into the hands of pharma, oil and tech companies, billionaires in the US, UK and Europe at the expense of workers, middle class, and students.  ...
NYTimes.com Original article ›
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US Supreme Court Justices fail to grasp the importance of education and education affordability in the rise of America as an industrialized nation in the last 150 years- from a largely agricultural rural country to an advanced industrial economy. Comments by Supreme Court Justices show this clearly. Justice Roberts compares a college education to starting a lawn business, failing to grasp the importance of education and it being affordable for all when he asked yesterday whether it made sense to forgive loans made out by students and not say ones made out to someone starting a lawn care business.  Astonishingly the same lack of awareness prevails among Justices appointed by Democrats. Justice Kagan said- "Congress passed a law that dealt with loan repayment for colleges, and they did not pass a law for loan repayment for lawn businesses. And so Congress made a choice, and it may have been the right choice or the wrong choice, but that's Congress's choice." Kagan shows a lack of conviction about the value of education for the US economy, and the serious crisis with the lack of affordability of education in America in America's ability to compete with China and the European Union, through her words. Reporting in the WSJ has shown in the past year- the lack of college enrollment for young men graduating from high school where lack of affordability makes a college education out of reach, and young men falling behind young women. This is a serious problem that America has not seen in its rise as an industrialized advanced nation. The pandemic has worsened this problem. Reporting also shows federal funding of education remains underutilized today because it is seen as burdening with debt. President Biden seeks to change this perception of education that is deindustrializing America and failing the country in its efforts to compete in the world. Justice Roberts and Justice Kagan have both failed the country.     ...
POLITICO Magazine Original article ›
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The former head of U.S. Homeland Security ministry, Mr. Chertoff, and the former head of NATO, Mr. Anders Rasmussen, say the U.S. and European allies are not prepared to meet Russian meddling in elections two years after the U.S. elections and elections in the last year in Germany, France, Spain and Italy. Both co-chair Transatlantic Commission on Election Integrity. They expect 20 elections between now and 2020, and see 20 opportunities for Russian meddling in these elections- suggesting the response to the recent meddling is very inadequate. They cite the shift from fake news to hyper partisan narrative used in the Italian election. This approach uses some content that is true to weave a narrative that leads to an exaggerated version of events. It was used on immigration to appeal to immigrant weary Italians to lead to a situation where the anti-immigrant party Northern League attracted a large portion of the vote. This approach is not new as it was used by pro-Brexiters with ads showing an unending wave of immigrants crossing European borders. Suggesting Britain itself was facing this wave of immigration, using pictures of immigrants from Africa crossing the borders of Hungary and Austria. Placed on buses and billboards this influenced the election, including hyper narrative stories about what how the UK was sending 350 million pounds a week to the European Union which could go to the NHS instead. Britain's Liberal Party leader Nick Clegg and Joe Biden former Vice President are members of the new Commission. ...
NYTimes.com Original article ›
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America has its own conversation points. Ischinger says we would love to vote in the US election as it affects us greatly. Americans would love to vote in the German and French elections as it affects us. As America fights to give workers and families their rights and invests trillions of dollars in infrastructure when will Germany and France do this? When will Germany and France fight to give all workers and families opportunity to get ahead and make a decent living? Are Germany and France aware that the Biden-Harris, Biden-Walz fight is for domestic policy to determine foreign policy and this is the domestic policy of America. Wolfgang Ischinger ,who heads the Munich Security Conference Foundation, writes in NYT about the importance of keeping the conversation with European allies going. He says US and European Union do not have a common policy towards China and this needs to be discussed and clarified. US and EU need to come closer for NATO to carry out it's mission now that the EU countries are shouldering a fair share of the defense burden in percentage of GDP devoted to defense. Ischinger says the Europeans are not investing defense dollars efficiently and developing European arms suppliers. His third point is that there should be consistent application of rule of law, democracy and western values in policy to build the alliance. He remains blissfully unaware that the same divisions that are fostered in America exist in Europe and some of them started in Europe- for Europe to be strong it must invest in its People, in workers and families and in infrastructure, domestic policy will become foreign policy.    ...
France 24 Original article ›
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This report in FR24 looks at the Ukraine war from a demographic perspective. The chaos in Russia after the collapse of Communism led to fewer births during the 1990's and there are fewer people born during this period who are now of child rearing age. This has led to a further effect on childbirths after the earlier decade when population declined to 143 million.  Mr. Putin has offered incentives for child birth, improved hospital care, and incentive payments to new parents. Yet the war can have its own effects of reducing the sense of economic well being and opportunity that drops the level of childbirths. This is already confirmed by statistics showing a decline in childbirths in the first quarter of 2022. The Russian government and Mr. Putin see that Russia's position in the world depends on its population. Mr. Putin may have wanted to make up for the population decline by integrating parts of Ukraine such as eastern and southern Ukraine into Russia, says this FR24 report. It also shows that other factors such as population decline may have played a part in the invasion. It is a miscalculation according to the Biden administration and also from the perspective of many Russians who see Ukraine as a brotherly people speaking the same language and sharing culture and traditions. Russia's occupation of Poland for 2 centuries since the 1750's, and the region of western Ukraine near the Polish border such as Lviv about 100 miles from the Polish border  with Polish influence and distrustful of Russia, have led to pro-EU sentiment in Ukraine. This played apart in splitting opinion in Ukraine about Russia leading to the conflict. With Putin going by historical ties with Ukraine from the foundation of the Russian state in Kviv in 1000, and today's geographical realities after 2 centuries of occupation of Poland and the desire for options to join the European Union of a younger generation of Ukrainians. ...
WSJ Original article ›
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This report in the WSJ shows in an extraordinary detailed way going back 20 years how under each administration Bush, Obama, Trump in the US and Angela Merkel in Germany, Hollande and Macron in France, the serious differences in the world view and thinking between president Putin of Russia and western leaders were simply ignored or overlooked. Mr. Putin truly believed in Ukraine and Russia as one people, researched history on his own and wrote an essay that made him more convinced than ever about his views that separation of Ukraine from Russia was an artificial construct, more so in the last two years.  By integrating the German and European Union economies with Russia and China without coming to terms with the large separation in views of the world and ignoring Russian views because of its economic size as an economy the size of France, both Merkel and Obama's policies failed to grasp what was happening. This report shows in much detail each event since 2005 that led to increasing distrust by Putin of western leaders.  The integration of the economies of the west and the integration of supply chains with China and Russia continued even after serious concerns had developed during the Trump administration. US and European business was operating on a completely different path not taking this into account in any way. It was only in the Biden administration and after the election of Scholz in Germany in 2021 that the situation was becoming clear. On the other side Ukraine itself and its people had changed in ways that were not anticipated by people in Germany or Russia, much less the leaders in Germany or Russia. There was a genuine sense that Ukraine was a national identity leading to the Ukraine resistance and a prolonged conflict. Brendan Simms, Cambridge historian shows how Europe went through conflicts and wars in its history as each of the major European nations sought advantage from 1453 to the present in his book, "Europe- The Struggle for Supremacy 1453 to the Present." Small gains were made in these wars that dragged on bringing great suffering to ordinary people.These wars involved England, France, Spain, Netherlands, Germany, Sweden, Denmark and Russia. ...
The Guardian Original article ›
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Biden meets workers of the Culinary Workers Union in Las Vegas as he campaigns for the Nevada primary. Biden says he recognizes that there is a lot of work to do to get worker enthusiasm up, as this has been a difficult period for workers in the hospitality industry that is the main industry in Nevada. This is an industry that was affected badly by the pandemic and is only now recovering. Cost of living is a major issue with the union negotiating for wage increases. Nevada needs to have jobs from manufacturing and other industries to support its young people.

WSJ Original article ›
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Greg Ip in the WSJ says India is shifting towards  becoming an important partner with the US and the European Union in trade under the Modi government. This report reflects the situation upto 2021 and the changes in Indian and American perceptions during the pandemic. It does not reflect the rapidly evolving situation under president Biden.US president Biden and Jake Sullivan National Security Advisor see rapidly expanding US trade and investment in India. The recent Raisina Dialogue  brings together 26 countries- named after Raisina Hill in New Delhi where India's administration is located- in dialogue with Indian leaders. Finance Minister Sitharaman in an interview at Raisina Dialogue stated that Janet Yellen, US Treasury Secretary, was with her during a G-20 meeting, and Yellen called for friendshoring- foreign investment in democracies that respect the rule of law and provide the right conditions for investment. The right conditions are now being created in India, including infrastructure and logistics, trade practices, and assistance to foreign companies, to invest in Indian manufacturing. The conditions are being created for shifting significant number of manufacturing facilities to India in a complete redesign of the supply chain. A look at the period 1950-2015 in US-EU India relations says little of the newly evolving situation in trade in the way that looking at the US-EU China relations 1950-1990 during the Cold War would tell one little about how that relationship evolved in trade after 1990 in the 1990-2019 period for massive trade with China. The pandemic and the inflation from existing supply chain bottlenecks has led to a realization in US-EU that the existing concentration of manufacturing in one country  was a mistake and is a serious problem that needs correction.  This means an acceleration in the effort to build rapidly over the next 5-10 years a strong US-EU manufacturing presence in India for advanced technologies. India under prime minister Modi is creating the infrastructure and logistics for this to happen with large domestic investment, the help of Denmark's Maersk in port logistics, and from other countries.  Fo India manufacturing and infrastructure building is the only way to create the jobs needed to meet the aspirations of its young population. For the US-EU the redesign of the supply chain is the highest priority to cut inflation, remove potential bottlenecks, and provide a stable supply chain.    ...
DW.COM Original article ›
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Sabine Kinkartz of the DW.com looks at the way in which Olaf Scholz achieved what was seen as impossible through patience, grit, and hard work in the face of adversity. SPD was seeing poll numbers of as low as 15% in the spring of 2021, just months before the election. Scholz believed in his party's ideas for the renewal of Germany, remained undeterred even after losing an election to lead the SPD to Esken and Walter-Borjans in 2019, when Esken and Walter-Borjans reinforced the idea that the SPD should stand for workers and families, what it always stood for. Scholz was put forward as candidate by Esken and Walter-Borjans in 2021 with conviction. By Spring 2021 it was clear that Scholz had achieved the impossible, getting the conservative Merkel and the CDU, with instincts against borrowing in all situations, to agree to a huge aid package for Germany to fight the pandemic, and a huge aid package for the European Union to fight the pandemic.  That Scholz remained undeterred in his campaign by low poll numbers and went on campaigning on the basis of convictions about what is right for Germans and Germany, comes from deeper convictions from his days growing up in the Hamburg youth wing of Social Democrats in the years following SPD's Wily Brandt and the post war recovery. Germany's most remembered leader after Adenauer, Willy Brandt was leader of the SPD Social Democrats from 1964 to 1987, and chancellor 1969-74. Both Adenauer and Brandt are respected some 50 years later in the world and in Germany. That Germany is going back to this tradition of leadership after the period of the Merkel years when Germany was held back, brings new hope to Europe and the world. In allying with the Greens under a younger generation leaders Scholz saw the promise of an opportunity to tackle problems of climate change and investment in infrastructure together. Both parties see borrowing as essential to invest big in the future. Scholz message to Germans, Europeans and the world is - "Big jobs, but our country is capable of doing them." A message sent out from the US by president Biden, and from Asia by the Indian prime minister. ...
WSJ Original article ›
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The US has expanded access to products from China and other countries gradually leading to a loss of US manufacturing over 2 decades. Today both Republicans and Democrats see the dangers of such economic policies for American workers and families. Mr. Trump first raised this issue that has been raised for a decade or more. Mr. Biden realizes what this means for the future of the Democratic party with the loss of manufacturing communities in the US. For this reason the Indo-Pacific Economic Framework and new economic alliances in Asia are being built in a different way. This may not seem much today but as the US shifts its investment, and the European Union shifts its investment, to home countries and countries in Asia and Latin America, Africa, till 2030- 2040 over two decades this will create huge opportunities for the US, Europe, India and other partners in the free world. It is a mistake to think that a better life for the people of the free world can be built on the mistaken idea that the loss of American manufacturing communities was somehow acceptable. The sudden failure of the trade policy with China after the loss of so many American manufacturing communities shows that in the long run only policies that benefit both American workers and foreign workers will work and deserve support. The return of US manufacturing and European manufacturing to US and Europe must therefore be the very foundation of our effort and with it can evolve the building of manufacturing communities in friends in the free world such as India and other Asian, Latin American and African countries.  For India this is the kind of policy that Mohandas Gandhi would have chosen because of his broad and deep knowledge of the world and how it works best, he would have seen policies that benefit American manufacturing communities needed as much as building manufacturing communities in India. The ripping up of manufacturing communities in the US and Europe and what it has done to American and European workers and families, as has happened with globalization, would have been abhorrent to Mohandas Gandhi. This is why the Indo-Pacific Economic Framework and economic alliance in Asia starts with the right principle even in its basic form, with the hard work of all and creative ideas creating the right solution for the Free World as it evolves to 2040. With respect for all, opportunity for all, confidence of all, efforts of all. ...
Board of Governors of the Federal Reserve System Original article ›
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The US Federal Reserve Report on Economic Wellbeing of US Households 2024-May 2025 gives some insights into the well being of American households. It shows food insufficiency households the same in 2023-2025 at 7%. The situation for cost of living remains a concern in 2024 as well as 2025. Retirement savings have improved for many middle class Americans, as confirmed by reports from Fidelity and Vanguard. The people earning less than 25,000 are 19% and about the same in 2024 under Biden as under DJT in 2025. 39% make $100,000 or more and 26% make $50,000 -$100,000. Combining the 19% making less than $25,000 and the 16% making between $25,000 and $50,000 shows about one third of the population under $50,000 living paycheck to paycheck. It would appear that $2000 DJT rebate putting $160 billion out of $550 billion of tariff revenues for 2025-2026  in the hands of 79 million households that make less than $100,000 would go a long way to keep the situation stable with optimism and hope arising from the restructuring of world trade that would bring trillions of dollars of investment into the US from Europe and Asia. A this investment plus domestic investment should bring back jobs and higher incomes to US manufacturing in small towns across America. The rest of $550 billion tariff revenue of $390 billion would go to reducing the deficit which would improve prospects for the economy in 2027 and produce a more resilient economy in 2027-2028. As shown on this page the popular Democratic Governor of Michigan in her op-ed in Washington Post supports strategic tariffs, and supports using the revenue for a check to American workers of $2000 per worker or per worker household and offers to work with the opposite party to get a WIN-WIN for the American People.  In the whole process of trade tariffs it must be remembered when seeing the inconsistent cases of tariff use by this Republican administration that these were special reason situations not aberrations or whimsical. First, it should be borne in mind that behind the appearance of DJT making tariff decisions is a carefully thought out process that took ten years to form under Reagan era Trade Representative Lighthizer who negotiated with Japan, and his deputy Jamieson for 2016-2024, and the economic and capital markets experience of Scott Bessent as Treasury Secretary. The two cases of inconsistent application of tariffs relate to the 50% tariff on India and the reduction of tariffs on China agreement on rare earths, and the imposition of a large tarif on Japan and the EU. In the first instance with India it was intended to give Ukraine breathing room from Russian attacks as Germany steps up its military preparedness and assistance to Ukraine. With both countries it was about saving face important in Asian or any societies and it has achieved it's purpose. Reports show both Indian and Chinese refiners have quietly cut purchases of oil from Russia leading to Russian oil selling at about $20 discount to Brent crude oil. In the case of Japan the quick action to raise tariffs was intended not to get into long drawn negotiations and show serious intent- Japan is known for dragging out negotiations for years if not decades. The same is true for the European Union. With the Swiss it was about a certain disrespect of the US coming from attitudes that Swiss products were somehow superior. Not just in the long run, in 2026-2028 history will show that the effort done right - and it takes effort to get this right- to restructure world trade so that other nations are not siphoning off the benefits and leaving the US to lose its manufacturing and factories is the right one. And taken with courage and sincere desire to create a fair distribution of the benefits of world trade for too long distorted by egregious practices of competitors. It has nothing to do with 2 senators from the 1930's who were from places like the Mountain West in the US, having no concept of world trade, Smoot and Hawley, who under a irresponsible president Hoover got everything wrong. This is a carefully set out plan to evenly balance the benefits of world trade to all nations.   ...
Le Monde.fr Original article ›
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Le Monde publishes the speech JD Vance gave at the Munich Security Conference with it says added context and explanation. It is useful because it is easy to make hasty judgements in one direction or another. The focus here is on immigration to EU and to the US, a sore point. Vance does not mention a bigger sore point - the lack of recognition worldwide to the 490,000 American lives lost in the illegal flow of fentanyl into the US without needed action from CMC Canada, Mexico and China. And business as usual carried on by these countries and the European Union, and a failure to act by the US.  JD Vance said- "And of all the pressings—challenges that the nations represented here face, I believe there is nothing more urgent than mass migration. Today, almost one in five people living in this country moved here from abroad. That is, of course, an all-time high. It’s a similar number, by the way, in the United States—also an all-time high. The number of immigrants who entered the EU from non-EU countries doubled between 2021 and 2022 alone. And, of course, it’s gotten much higher since.And we know the situation, it didn’t materialize in a vacuum. It’s the result of a series of conscious decisions made by politicians all over the continent, and others across the world, over the span of a decade." Fact Check- About 14 million of Germany's 84.5 million people are foreign nationals according to Destatis. This is 16.6% of Germany's population. Vance rounds it off to 20% not 17%. In the US there are 47.8 million people who are foreign born or 14.3% of the population in 2023. It increased by 1.6 million from 2022 to 2023, much of it coming from Venezuela and Central American failed states from left parties mismanaging the economy for hyperinflation and from gang violence. In 2022 EU member states welcomed 1.8 million Ukrainian nationals that was only 100,000 in 2021, which is two thirds of the increase. The reason for Vance's doubling. A similar situation happened in the US with Venezuela as a failed state with hyper inflation into 1000 percent inflation leading to migration to other Latin American countries and into the US during the Biden administration. Some of this happened because sanctions made things worse, mismanagement of the economy. A similar migration happened from Syria into the EU member states as a result of the civil war.     ...
Original article ›
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This Weekend Essay in The Times by Tom McTague looks at the European Union skepticism about the US after the failure of three administrations under Bush, Obama and Trump to extricate America from wars,  concentrate on building its infrastructure and manufacturing, renewing the lives of workers and families that were neglected. That skepticism came from administrations in Europe that also failed the Europeans in much the same way with the neglect of infrastructure, manufacturing, and little done for climate change under Schroeder and Merkel, Sarkozy, Hollande and Macron. The dependence on China for manufacturing and on Russia for energy for the EU and Britain made the situation even worse than in the US.  Al this has changed with the election of president Biden in the US, and Scholz with Habeck- Baerbock in Germany and with the recent elections in France upholding workers and families, acting on climate change. A false idea is presented about the Europe vs US and dominance as each is part of the free world alongside India, Australia, Japan, South east Asia, Latin America, French and English language Africa. This is why one has the G7 and G20 with countries like Argentina, Brazil and Indonesia critical parts of the free world. It is the ignorance of many officials in the EU more than the sentiments of the people of the free world in all these countries that leads to these false ideas about which country is dominant and skepticism - none are dominant it is through the unity of all and a shared vision in international rule of law, fairness, humility, respect for poorer nations. It is this that Kipling talked about in his poem "Intercessional," the lines repeatedly calling for the Lord's grace and for man to merit that grace with "a humble and contrite heart." It is also the spirit that so recently Mohandas Gandhi grasped and put forward for India and the world. Europeans talk about dominance- think about this for a moment, Gandhi merely asked for the right to move freely for Indians and Asians including Chinese at a meeting in 1908 where he gave a speech. The speech was on May 18, 1908, at the YMCA in Johannesburg and it debated the question "Are Asiatic and colored Races a Menace to the British Empire."  Not a word of ill will was uttered by Mohandas Gandhi even when talking about segregation in the speech. It is a humble and contrite heart that the Lord listens to. Both India and South Africa found a way out in a different way with faith in a higher authority, that even the British had not failed to address as Kipling clearly shows. ...
New York Times Original article ›
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The jobless rate of 7.1% in Germany in April 2011, is down from 7.8% in the prior year. In the states of Bavaria and Baden-Wurttemberg, where BMW and Daimler are located, the unemployment rate is down to 4% in April. Jurg Kramer, chief economist at Commerzbank in Frankfurt, says this could lead to higher inflation. Inflation went up to an annual rate of 2.6% in April. The ECB raised the official interest rate to 1.25% in April, but Kramer says the rate appropriate for Germany is more like 3%. The euro is rising with expectations that the ECB will raise rates further. The euro was at $1.49 on April 28, 2011. Kramer also cites some factors that could slow inflation and wage increases in Germany- most union wage contracts continue till 2012, and the change that allows people from Eastern European countries such as Poland and the Czech Republic to be easily hired.
WSJ Original article ›
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Greg Ip of the WSJ looks at the result of changes in supply chains away from China, and the new trading relationship with China to 2028. He says the shift to a new global supply chain that diversifies it away from concentration in China is taking place. Would taking the tariffs from 30% to 60% under a new Trump administration be a good idea? Greg Ip thinks it is a bad idea as the change is gradual and is actually taking place. It may have the unintended effect of worsening US China relations essential for global stability when it is coupled with erratic or retaliatory rhetoric. Rhetoric that appears to China that it is being singled out in world trade beyond what are changes that have taken place with Japan in the past in trade. The Biden administration is for good reasons working to restore a balanced yet stable relationship with China. Apple is shifting production of 25% of iPhones to India. Samsung is investing more in Vietnam. The trade deficit with Mexico has reached $151 billion twice as large as in 2017. And $100 billion with Vietnam three times as large as 2017. The US trade deficit with China has dropped from $381 billion to $281 billion in the last 12 months, the Commerce Department reports show. And from $1.1 trillion with the whole world from $1.2 trillion for the last 12 months, 4% of US GDP. Overall the Trump era tariffs of 30% have not reduced the US  trade deficit substantially but has shifted American and European foreign investment to India, Vietnam, Mexico and other countries as well as to the home country. Over time the supply chain would become truly diversified as India makes great strides to become the third largest economy with new infrastructure by 2030. The head emeritus of the European Union Chamber of Commerce in China, Joerg Wuttke, says the pressure to export will be high for China as its economy shifts more to manufacturing from construction. Most Chinese companies are producing more than internal demand in China, and most companies in solar are losing money, in wind turbines and solar all are losing money, Wuttke says. This means China will double down and increase its investments in Mexico, Vietnam, Morocco and other countries so that it can send its products to the US through third countries that do the final export. One expert even says removing a few screws here and some there, find a different supplier, and shipping to a third party for final export that makes it not 100% Chinese content, the pressure for that is high. ...
WSJ Original article ›
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"Progressive" is a misused word, people are just interested in the words "decent," "fairness," and "Christian" from the color of the heart.  It is just how Republicans see the contest for the US Senate  that reveals their sense of priorities for the Nation.The main concerns of Republicans, old traditional Republicans shown here in this WSJ Editorial are that somehow gains on the US Supreme Court could be reversed with retirement of Alito and Thomas in their seventies, and fears of the same policies that set up Medicare and Social Security- following the changes of the Industrial Revolution and dismal factory conditions and wages at the turn of the century- under Republican Teddy Roosevelt  (the incipient changes), Woodrow Wilson an academic from Princeton, and Franklin Roosevelt. A new version of old Tory politics still exists in the US. It is these industrial conditions rewritten with work safety laws, workmen's compensation, first 54 in 1918 after the Triangle Factory Fire,  then 40 hour week, unemployment insurance, worker union rights for fair negotiations on wages, that made the US a strong manufacturing nation and Industrial power, creating the synergies for worker contributions combining with technologies, managerial skills for a decent standard of living that surpassed all other nations. It is this achievement that was put at risk in the 21st century by shipping factories overseas and thoughtlessly sending the technologies with it, which happened under a series of administrations since the 1980's Reagan, Bush, Clinton, Bush Jr., Obama and Trump. Done thoughtlessly and recklessly. And the wars that started with president Reagan in Iraq/Iran/Afghanistan that diverted the two trillion dollars that would have rebuilt America's aging infrastructure. Biden was the first president to have a clear focus on the changes needed to rebuild infrastructure and manufacturing, technologies and science, and rural America, in a concerted push that has made gains that surpass any that exist in Europe or China. Restoring the US economy to No. 1. Harris in her own way offers the pieces of the puzzle to reverse the pandemic induced cost of living increases that complement the work of president Biden in 2024, continuing the work of rebuilding infrastructure and manufacturing for leadership in the world.     ...
International Monetary Fund IMF Original article ›
LyrArc Article Gist
Some of the statements on the IMF Blog on Inclusive Growth raises the question-Does the IMF, the International Monetary Fund, as an American institution funding developing countries, and economists, grasp what people find troubling in 2022? One of the lessons of the economic crises for families and workers in the US and other countries is that wisdom, a grasp of the soul of a country and its people through the thinking of its founders, and common sense, should drive managing of economies, with a knowledge of how economies work- not economists. Some of that is already happening. America's central bank is headed by Jerome Powell who has wide experience and has knowledge of how the economy runs, is not an economist. He was chosen by president Trump and continues to have the confidence of president Biden for this very reason. Some of the statements on the IMF economic blog are- "Why jobs are plentiful and workers are scarce" Jan 2022 "In the US and UK recent labor market the puzzle, can be partly explained by mismatch, the pandemic's effect on women and older workers leaving the work force." The Reality Wages for teachers are depressed compared to workers in the financial and economics industries, in a frighteningly disproportionate way. When it comes to logistics, hospitality, leisure and restaurants industries workers were paid poorly for what is hard work and long days. In case the IMF economists, and economists at companies, missed this it was called the Great Resignation, people simply choosing to reject the conditions that were handed down to them by the financial industry and economists who built the economic structures of recent decades. Women leaving the workforce are faced with issues of mental health coping with added responsibilities of children at home for the two years, loss of income and widespread mental health problems. The word mental health may be beyond the grasp of economists and the financial industry, yet it is the one of the biggest problems for people. Another pernicious effect noted on the pages of the WSJ is that young white men are dropping out after school because they cannot afford college in alarming numbers. Leading to the kind of discontent for workers and families that president Biden is struggling to address. On IMF Blog- "IMF Podcasts: The Year in Review" Dec. 2021 "The past year has brought us new challenges even as the old ones persist. If anything, the ongoing pandemic has taught us to think differently abut tackling the challenges and questions when it comes to thinking about big issues such as climate change, gender equality, inflation and economic measurement." The Reality Climate change lumped in with economic measurement and inflation. The floods, fires, river and reservoir water levels affecting access to basic life supporting water, drought, all over the world are of a magnitude that is missed entirely.The response to a challenge of this type requires the kind of leadership that president Biden has provided for the world with his $360 billion climate change bill as just the first step of many, and  comprehensive policies covering all aspects of the climate crisis. ON IMF bog- "How Domestic Violence is a Threat to Economic Development." "Stopping violence against women is not only a moral imperative, new evidence shows it can help the economy." The Reality Domestic violence hurts children growing up in such households. It is not so much a moral imperative as it is bad for men, women and children. So many things are wrong about it and it is made worse in conditions of low wages and poor working conditions in poor neighborhoods lacking education. These neighborhoods are also affected by lack of healthcare and the opioid crisis and mental health issues. Not investing in education and healthcare in these communities is what is simply wrong, and which the founders of America as a nation, particularly Lincoln, would find appalling.   Relationship between Capital (the Financial Industry) and Labor (Workers and Families) On the basic issue of the relationship between capital and labor, the IMF and the financial industry, economists, and the economic structure they built in recent decades, have simply got it wrong. It violates both common sense and wisdom, and violates the spirit of the founders particularly Abraham Lincoln. This is what Abraham Lincoln had to say on Upward Mobility, the ease with which each generation can do better than the one before it, as critical in the fight to save the Union. This is from the Annual Message to Congress Dec. 3, 1861, at the start of the Civil War. That upward mobility has been lost in the US with ideas that "place capital on an equal if not above labor, in the structure of government," for the last three decades in the US after the early post war period of Truman and Eisenhower, Kennedy-Johnson.  And Lincoln says this about a hired laborer being fixed in that condition for life, or of future generations of that hired laborer facing disabilities and burdens, similar to the loss of upward mobility for the people today. "Now there is no such relation between capital and labor as assumed, nor is there any such thing as a free man being fixed for life in the condition of a hired laborer. Both these assumptions are false, and all inferences based on them are groundless." "Labor is prior to, and independent of capital. Capital is only the fruit of labor, and could never have existed, if labor had not first existed. Labor is the superior of capital, and deserves much the higher consideration. Capital has its rights, which are worthy of protection as any other rights." "Again: there is not, of necessity, any such thing as the free hired laborer being fixed to that condition for life. Many independent men everywhere in these states, a few years back in their lives, were hired laborers. The prudent penniless beginner in the world, labors for wages awhile, saves a surplus with which to buy tools or land for himself, then labors on his own account another while, and at length hires another new beginner to help him. This is the just, and generous, and prosperous system, which opens the way to all- gives hope to all, and consequent energy, and progress, and improvement of condition to all." Lincoln even offers this warning- No men living are more worthy to be trusted than those who toil up from poverty- none less inclined to take, or touch, aught which they have not honestly earned. Let them beware of surrendering a political power which they already possess, and which if surrendered, will surely be used to close the door of advancement against such as they, and to fix new disabilities and burdens upon them, till all of liberty shall be lost." US president Biden has these ideas in mind as he struggles with one piece of legislation after another to restore what once was, to open the door of advancement, to remove these disabilities and burdens that Lincoln speaks of, and in so doing restoring liberty.   ...
The Times of India Original article ›
LyrArc Article Gist
India's robust debate as a democracy is of an astonishing size and diversity of opinion. The debate did not diminish when there was one federal party in many states under Indira Gandhi (1970's). It actually increased many times during this period compared to the period under Jawaharlal Nehru (1950's) taking the example of one state Gujarat as an example of what was going on in 18 states of that time. Newspapers in Gujarati such as Jansatta, Gujarat Samachar and others carried on a vigorous debate with opposing points of view to the Indira Gandhi government at the state and federal level of the 1970's. Most people in places like New York and London fail to understand or see the local language newspapers or are totally unaware of their existence, and the debate carried on in their pages. So that they falsely assume what a small group of English language newspapers tell them about the vigor of Indian democratic debate that is truly unmatched anywhere in the world. And in terms of its 22 languages in one nation one could say in the entire history of the world. Swapan Dasgupta in the Times of India gives the staggering number of publications today in 2023- 144,520 publications reaching 386 million people every day. And 392 television news channels . All in 22 languages. To ignore the local languages as if they did not exist is to ignore India as if a billion people did not exist. Or as it is for China to say that everything written in Chinese papers and Chinese news channels did not exist. Dasgupta also points out that one should take Mr. Modi and the BJP out of this as at the national level its a 10 year old phenomenon. Look back from 2010 for the sixty years from 1950 to 2010 and India was as badly misconceived, misrepresented, and misperceived back then. India he says fell from 105th place in Freedom House rankings in 2006 to 140th place in 2013. Mr. Modi only enters the picture after that. Dasgupta points out the small sample for these ratings 150 respondents and the methodology having missed much if not everything that is needed in a robust democratic debate. There is another aspect which is present which is prominent in New York and London and Washington D.C. and that is that non-alignment is not popular.  One has to see the way Adlai Stevenson running against Eisenhower twice in the 1950's very warmly received Jawaharlal Nehru on his visit to the US and compare it with the way the US perceived India under John Foster Dulles after Dwight Eisenhower was elected in 1952 to understand this aspect of American perception. Dulles was facing the Soviet Union and the British under Churchill then Macmillan had an equal disdain for Nehru's non alignment and tilt towards the Soviet Union. These root perceptions did not change with the Kennedy and Johnson administrations, and continued into the 1970's when Nehru's daughter Indira Gandhi was prime minister and continued non alignment.  India's political alignment after the pandemic is anything but non-aligned. It thinks, acts and lives in a way that is similar to the people of the US and Europe. Not even because it chooses to but because of what it is, coming from being part of its ancient path of Vedanta and Buddhist civilization that is the core Asian experience. It also needs to bring 400 million out of poverty and build the next phase of industrialization and modernization that requires fossil fuels in large quantities at lower prices to sustain its rapid growth. Some of it comes from Russia purely as an economic decision during the pandemic. The Biden administration fully supports India in this task of rapidly growth to meet the aspirations of a mostly young population- sourcing fossil fuels from whichever source that makes sense. To become a key part of the US new supply chain that reverses the overconcentration of the supply chain in China. It can only be said then that Freedom House has the peculiar affliction left behind from the John Foster Dulles period, combined with a bit of arrogance in failing to grasp the central fact of India which is its 22 languages forging one nation- a task nowhere seen in the history of the world. ...
WSJ Original article ›
LyrArc Article Gist
Most American large companies support president Biden's decision to mandate vaccinations for all employers with more than 100 employees. Smaller business also supports the decision as it makes this decision for them. The US Business Roundtable of the largest US companies issued a statement saying it "welcomes the Biden Administration's continued vigilance in the fight against Covid." It went on to applaud the decision of some companies to implement a vaccine mandate before the president's decision. Companies would like to see a rapid ramp up in testing capacity as they see testing capacity levels not the vaccine mandate as the real problem today with the surge in Delta variant. These companies such as Target, Nike, and retailers see testing capacity as "stressed" and say "testing capacity must be scaled immensely to meet the new requirements." Labor unions clearly support president Biden's decision including teachers associations, and the AFL-CIO. Some companies including Delta Airlines are imposed health surcharges for unvaccinated employees, and United Airlines has brought in its own vaccine mandate. The president's vaccine mandate has broad and deep support of the American people and business, according to this WSJ report, with recognition of the huge risks posed by the transmission rates of the Delta variant in the surge of coronavirus in September 2021. However companies say the Biden Administration has to scale up testing capacity quickly to make it work. ...
WSJ Original article ›
LyrArc Article Gist
The sense of conflict in China and US relations may not have developed in the shaping of Xi Jinping's thinking till the emergence of Mr. Trump. Jinping comes into the China shaped by Deng and Zemin after the collapse of the purely Communist experiment with modernization without access to western technologies and capital, and the experiment with American help. It is only after the realization that the Communist party had lost its sense of purpose in these years leading to the Bo Xilai episode, and the rhetoric of Mr. Trump against China, that the idea of first friction and then conflict emerged. The initial idea for Jinping before Trump was that this has worked for China- the experiment with the cooperation of the US in modernizing China. Trump's rhetoric and the Republican party's rhetoric about China stealing American jobs and technology after 2015 may have been targeted to win the election but it had an unintended effect after the tariffs of shaping Jinping's thinking about the future for China. Between the Bo Xi Lai episode in 2012 when it appeared he would be attempting to manipulate the Communist party's direction in unknown and unpredictable ways, Bo's trial in 2013 and the anticorruption campaign and the 2015 election campaign of Mr. Trump in the US, there must have been much soul searching in the party that shaped Jinping's thinking about the future for China after all the tumult of the 20th century starting with the Boxer rebellion in 1901. Stability is highly prized in China particularly for modernization. This perspective is important to grasp for world peace to be preserved with different coexisting perspectives about the world based on national as well as shared interests in issues such as climate change. US after its own disastrous experiment with capitalism that led to widening inequality of the kind not seen since Lincoln in the 1850's, the 2009 crisis, and the shift of jobs to China under a purely capitalist idea of how economies should function, had its own national interests in jobs, local manufacturing and Made in the USA. Once this process was underway after 2016 and grasped by president Biden after 2020, and supply chain reconstruction made the goal after covid, the US and China were on divergent economic and political paths.   That rethinking by Xi Jinping is not over as it may still be going on. The war in Ukraine may even convince Jinping and China's No. 2 leader Li Keqiang who studied the US constitution and American urbanization under mentors when he was in college, that Russia's prolongation of the war in Ukraine does not serve the interests of China. That risking relations with the European Union as Russia prolongs the war and finds itself in the complex problems of  a war it started, is not in China's interests in setting its own course for the future. ...
DW.COM Original article ›
LyrArc Article Gist
Russia invades Ukraine on multiple fronts, across Belarus, across its western border with Ukraine, on the pre dawn hours of February 24, 2022. Russian foreign minister Lavrov says "tense and detailed discussions" with US and NATO are still taking place. In talks with the US, president Putin of Russia had demanded that Ukraine commit to not joining NATO. The US insisted that this was upto Ukraine and that the territorial integrity of Ukraine had to be respected. Interventions by Macron of France and other leaders failed to bring the two sides closer. The US and Europe with a reluctant Germany looked at sanctions as a deterrent. This proved to be wrong. Mr. Putin has a passionate view of Ukraine and Kviv's historical role in the formation of the Russian state, evident in his televised address only 48 hours before the actual invasion. Ukraine has shifted between Poland and the Baltic states, Germany on one side and Russia on the other in its thousand year old history. The shift away from Bolsheviks and Communists under the Soviet Union after 1990 changed the relationship of Ukraine with its neighbors once again as Ukraine became closer to Poland and the Baltics, and Germany. Germany remains reluctant to revert to the relationship with Russia that led to 2 World Wars. During the leadership of Willy Brandt and successive German SPD leaders, as well as with Konrad Adenauer and CDU leaders, the goal was to build a good relationship with Russia. Merkel of the CDU went as far as accepting dependence on Russia for 40% of its gas supplies, after shifted out of nuclear energy and supporting a new Nordstream undersea pipeline for gas supplies.  The early reaction on DW.com and German television was one of shock as no one really expected that this would lead to a full scale invasion. Scholz of the SPD the new chancellor in 2022 was not active in forging anew consensus allowing NATO's Stoltenberg who is a former Norwegian prime minister 2005-2013 to frame the response of Europe. Norway's role in European security was marginal for most of the twentieth century. Other events had detracted from bringing active German and American participation in coming up with a framework of dialogue to address concerns of both sides and still build a common ground for peace- Afghanistan, the pandemic in its third year, China's deteriorating one sided trade relationship with America that hurt American workers and manufacturing. As a result China and Germany were essentially absent in building the framework for peace. Afghanistan hasty withdrawal made it harder for president Biden to come up with new approaches to build a common framework. President Macron made some faltering efforts on the fringes even as president Putin focused on the US response and its intentions with NATO on European soil, and declared that it was directly US Russia negotiations that needed to work. With this the whole framework of relations since the presidency of Reagan and the relations with Russia and China come to a close. And a new framework needs to be constructed that draws in India already or soon to be the most populous nation in the world, in an effort to build an enduring new framework. The voices of Eastern Europe need to be heard, yet balanced with the voices from India, China, Germany, Russia, and other countries in Asia, Latin America and Africa that are affected by world events. ...
WSJ Original article ›
LyrArc Article Gist
The 1985 hit "Small Town" by John Mellencamp is about Seymour, Indiana. Republican State Representative Jim Lucas says the city of Seymour welcomes immigrants legally here who are properly vetted. The concern is about migrants not vetted and not legally here. At a recent city council meeting Lucas attended it was decided not to go ahead with an economic development agenda. Says Lucas- “However, Seymour has changed drastically in just the past few years, and many of us are obviously concerned about the direction we are headed,” he added. New immigrant cases or migrant arrivals for Jackson county, Indiana, where Seymour is located went up to 435 in 2024 from 66 in 2021. It is at that point that the welcome center idea ran into opposition in this small town in Indiana, an hour from Indianapolis population 21,000 in Jackson County. As the town's population mix changes - it was 1% Hispanic in 1990, then 5% Hispanic in 2000- jumping in two decades of Bush-Obama-Trump-Biden to 25% Hispanic, questions besides economic about the sense of uneasiness of resident came up. Also of cultural literacy of the state of Indiana, and of the history of the state within the Union forged by Washington and Lincoln, FDR and Eisenhower, and of Wendell Wilkie of Elwood, Indiana. Unemployment rate for Jackson County is 3.3%, median income $63,000, home ownership 57%. Issues were not about the economy alone, and about how many immigrants could be absorbed and the cultural and language literacy of arriving migrants. There were issues about the perceived crime rate (metrics show traffic related offenses were up), and about drawing too much of the school's resources as English learning went up slowing learning in the schools. Republican State Representative Jim Lucas says it is crowding the health care clinic downtown with immigrants. ...
WSJ Original article ›
LyrArc Article Gist
WSJ reports that the former president's supporters will rally to his side but swing voters might be repelled by this latest legal controversy including the context in which it happened that of a sordid affair. Mr. Trump built his support base out of two mistakes of president Obama, his neglect of rural America, and neglect of American manufacturing. And of the mistake of president Bush in pushing America into two wars in Afghanistan and Iraq that put money into wars with no productive purpose that needed to be put in rebuilding America's infrastructure. Others could have done this, Mr. Trump aggressively pushed ahead and found himself first. President Biden has closed the chapter on the wars by ending them, he has also closed the chapters of neglect of American manufacturing and put working families and America at the top of his agenda at every point. And as he did at the State of the Union address in 2023, made it personal by reciting what his father has told young Joe about standing up for working families. Biden's abilities rival that of president Lyndon Baines Johnson, who had as much experience in the US Congress as Biden, and delivered the passage of Medicare and Social Security for all Americans. Biden has done something that ranks similar with trillions of dollars for the Inflation Reduction Act, CHIPS and Science Act and pandemic assistance, and has the conviction that there is much more to be done. ...
FRANCE 24 Original article ›
LyrArc Article Gist
The astounding fact in this French FR24 report on the Paris Climate Change Agreement and country carbon emissions show that China's emissions accelerated to rise 3 fold in 2015 to about 12 billion tons of carbon emissions from about 4 billion in 2000. US remains at about 6 billion. India is at about 3 billon tons of carbon emissions, about where China was in 2000 when it had about 4 billion tons of carbon emissions. This is shown in the graph on carbon emissions from FR24. The US, European Union graph curves on tons of carbon emissions since 2000 are all flat or declining, India rising slowly from a small base, China's curve is rising straight up from a large enough base at an unbelievable and dangerous rate. What has happened and is it getting worse? China's economy expanded too quickly as globalization was accelerated by banks, and business in the US and Europe, and by the Chinese governments at the local level and the state level. This had negative consequences for US, Europe and China. The too fast growth in China at rates of 10-15% based solely on False GDP indicators that did not take into account damage to the environment and workers was that it hurt manufacturing and working class in US and Europe and contaminated the environment. This was not like growth of Japan in 1960-1980, a smaller country in the way it affected the US and European working classes. Hyper Growth at 10-15% of a large country with 1 billion people compressed over a short period, is cited by Greg Ip in the WSJ as the cause of the negative impact on America.  It hurt China through pollution of rivers and land at an accelerated pace. It hurt China as trade with US and Europe became unsustainable with the loss of manufacturing in the US and Europe leading to a trade war. From these graphs of emissions it now appears that the 3 fold rise in carbon emissions from about 4 billion tons in 2000 to about 12 billion tons in 2015 is the result of unregulated business activity of all those who preferred to push hyper growth in China purely for reasons of profit such as investment banks and corporations in US, Europe, and state or local companies in China.  This has also aggravated inequality in US, Europe and China, and hurt rural populations. Xi Jinping is attempting to correct this in China, Biden is trying to correct this in the US, and Scholz will now attempt to correct this in Germany and the European Union. It is also to be noted that China in 2000-2015 did not have the benefit of the newer technologies that India now has access to, which is why India says it is able to reduce carbon emissions per each unit of GDP by 35% from 2005 levels by 2030. It is this efficiency in producing units of GDP with newer and newer technologies that China lacked in its period of hyper growth 2000-2015 that now looks to have hurt China- with overflow of highly polluting steel mills and other factories which it would prudently and wisely have cut back on. Looking back at this period one sees the wholesale transfer of highly polluting plants in Germany being sold and put up in China, a poor developing country in 2000. Was this a good decision for Germany or for China? In this way the banks and large corporations in the US and Europe who use economic indicators that are limited such as dollar profits, without overall indicators that include negative effect damage to the environment that requires huge investments to correct, problems of trade wars leading to political conflicts, are acting like a person walking blindly in one direction.  With some foresight China and all its trading partners would have done better with slower but more careful Chinese growth of 7-8% that would have better met societal goals in US, Europe and China, avoiding high carbon emissions segments of industries from Day 1. Jinping is doing this in China, and Biden is doing this in the US- cutting out highly polluting factories and segments of industries- but in a climate of mutual distrust, which could have benefitted the world when conducted in a climate of cooperation and trust. The pandemic made the situation even more difficult. Power shortages in factories and blackouts in Chinese cities have led to a reversal of policies on use of coal in China months before the COP26 Glasgow conference and G-20 summit leaving a huge gap. Without the presence of Xi Jinping at COP26 in Glasgow and with Chinese participation uncertain significant progress on climate change is elusive. Estimates by US Renewable Energy Agency is that it would cost $131 trillion to pay for limiting emissions to global warming of 1.5 degrees Celsius. Some major share of this cost can be attributed to the increase from about 4 billion tons in 2000 of carbon emissions in China to about 12 billion tons in 2015, increase by 3 times. One can clearly see from this sudden jump in carbon emissions in China that policies of hyper growth with unregulated polluting industries adding to GDP growth figures was bad policy for China, bad policy for US, and Europe, even if it offered temporary profits for individual companies. India has the advantage of learning from this experience and charting its own wiser course as a partner with US, Europe and Japan and by Modi's vigorous efforts in renewable energy. The lesson- look at all indicators of progress, including climate and society, not just economic indicators in profit or dollar terms, take the tough decisions early in regulating polluting companies and industry segments, and bring full and active public participation with transparent access to data on climate damaging activity in real time because climate and the environment we live in free of polluting substances belongs to all the people, belongs to all life on the planet from trees to animals and birds, not companies that can choose to ignore it. ...

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