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from MacroScope:

To QE or not to QE?

ECB Vice-President Vitor Constancio testifies to the European Parliament prior to attending the IMF Spring meeting in Washington at the back end of the week along with Mario Draghi and other colleagues. Jens Weidmann, Yves Mersch and Ewald Nowotny also speak today.

There has undoubtedly been a change in tone from the ECB, which is now openly talking about printing money if inflation stays too low for too long (no mention of deflation being the required trigger any more). Even Bundesbank chief Weidmann has done so.

Last week, Draghi made it sound as if really serious thought was being given to how to do it. He raised the prospect of buying private sector assets, rather than government bonds as other central banks have. The question is whether he is trying to talk the euro down or whether the central bank is now more alarmed, and therefore deadly serious.

Over the weekend, Frankfurter Allgemeine Zeitung reported an ECB study which showed one trillion euros of new money would raise inflation by just 0.2 percentage points, while another model came up with 0.8 points. We have established the studies do exist and if they are believed it’s hard not to conclude that the bar for instigating QE remains high, whatever the rhetoric.

from MacroScope:

IMF verdict on Ukraine due

G7 leaders didn’t move the dial far last night, telling Russia it faced more damaging sanctions if it took any further action to destabilize Ukraine.
They will also shun Russia’s G8 summit in June and meet ”à sept” in Brussels, marking the first time since Moscow joined the group in 1998 that it will have been shut out of the annual summit.

There were some other interesting pointers. For one, the G7 agreed their energy ministers would work together to reduce dependence on Russian oil and gas. Could this lead to the United States exporting shale gas to Europe? A committee of U.S. lawmakers will hear testimony on Tuesday from those who favour loosening restrictions on gas exports.

from Photographers' Blog:

Inside Nollywood

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Lagos, Nigeria
By Akintunde Akinleye

I wasn’t sure if my pictures of Nigeria’s film industry, or “Nollywood” as it is fondly called, would ever make it to publication.

As I spent time stringing the project together, I met barrier after barrier. Lots of my appointments with producers and other contacts fell through. In cases where it seemed like I would be given the green light to take pictures, the location of shootings would change without notice. Getting access to the new luxurious cinemas in the metropolis of Lagos was hellish. But slowly, I managed to make headway.

from MacroScope:

A glimmer of hope in Kiev

A glimmer of hope in Ukraine?

Let’s not count our chickens after 75 people were killed over the past two days but President Viktor Yanukovich’s people are saying an agreement on resolving the crisis has been reached at all-night talks involving the president, opposition leaders and three visiting European Union ministers.
A deal is due to be signed at 1000 GMT apparently although no details are as yet forthcoming. There has been no word from the EU ministers or the opposition so far.

Even if the violence subsides and some sort of political agreement is reached (a huge if), there is potential financial chaos to deal with despite Russia’s only partially delivered pledge of $15 billion to bail its neighbour out.

from The Great Debate:

Human Rights Day: Still pursuing religious freedom

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December 10 marks Human Rights Day, the 65th anniversary of the landmark Universal Declaration of Human Rights (UDHR), signed by 48 nations -- with just eight abstentions.

Sixty-five years ago, naysayers insisted it was nobody else’s business how governments behaved within their borders. The declaration confronted this cynical view -- and continues to do so today. Human rights abuses and their consequences spill beyond national borders, darkening prospects for harmony and stability across the globe. Freedom of religion or belief, as well as other human rights, are essential to peace and security. They are everyone’s business.

from MacroScope:

ECB quandary

Another round of European Central Bank speakers will command attention today with disappearing inflation fuelling talk of further extraordinary policy moves.

Chief economist Peter Praet, who last week raised the prospect of the ECB starting outright asset purchases (QE by another name) if things got too bad, is speaking at Euro Finance Week in Frankfurt along with Vitor Constancio and the Bundesbank’s Andreas Dombret, while Joerg Asmussen makes an appearance in Berlin.

from The Human Impact:

A male child is still important for some Nigerian women

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For Amaka Okoli, a modern-minded businesswoman living in urban Nigeria with her loving husband Nonso and their daughter, the sex of the baby she’s expecting is irrelevant.

The same can’t be said of her mother-in-law who, in accordance with Nigerian Igbo culture, is desperate for her son to have a male heir and is trying to persuade him to take a second wife, in spite of his reluctance and Amaka’s open opposition.

from John Lloyd:

The coming clash of civilizations over gay rights

Supporters of gay rights have been protesting in Western cities this past week, picketing in front of Russian embassies and consulates. They’re protesting the passing of a law in the Russian parliament that bans "homosexual propaganda" directed at under 18-year olds -- which if interpreted strictly, bans all public demonstrations and much public and private discussion on the issue.

Not so long ago how a country’s administration handled its ‘homosexual problem’ would be thought of as its business. Many still think that way. But most Western democracies don’t. They haven’t just adopted legislation that enjoins equality of treatment for all, irrespective of sexuality. They have taken seriously, for the most part, the claims made by gay organizations for many years: that discrimination against gay men and women is an affront to civil liberties, and that when some states pursue discriminatory policies, those who do not should make their disapproval clear. Gay rights are now part of the world’s clash of cultures.

from The Great Debate:

A fragile peace with Taliban if school attacks escalate

In the week in which America opened the door for negotiations with the Taliban, three bloody massacres of school children -- shot down simply because they wanted to go to school -- raise grave questions about what kind of peace the Taliban offer.

Within days of the initiative for talks, the Taliban shot to death nine foreign tourists encamped on the peak of Nanga Parbat in northern Pakistan, saying the murders were in retaliation for a drone attack that killed one of their leaders. But what kind of justification can possibly be offered for the firebombing of a college bus carrying forty girls from their Quetta campus in Pakistan? Fourteen defenseless girls died in the bombing; eight more people died when the terrorists ambushed the hospital.

from The Great Debate:

A fragile peace with Taliban if school attacks escalate

In the week in which America opened the door for negotiations with the Taliban, three bloody massacres of school children -- shot down simply because they wanted to go to school -- raise grave questions about what kind of peace the Taliban offer.

Within days of the initiative for talks, the Taliban shot to death nine foreign tourists encamped on the peak of Nanga Parbat in northern Pakistan, saying the murders were in retaliation for a drone attack that killed one of their leaders. But what kind of justification can possibly be offered for the firebombing of a college bus carrying forty girls from their Quetta campus in Pakistan? Fourteen defenseless girls died in the bombing; eight more people died when the terrorists ambushed the hospital.

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