Jan 10, 2013 02:33 UTC

A how-to guide for Japan to escape deflation

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By Andy Mukherjee

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Japan has a real chance of ending deflation. But the authorities need to act boldly. It will be hard for the Bank of Japan to dispel a decade of accumulated pessimism by merely adopting a formal inflation target. The goal of the central bank and the finance ministry should be to make people believe that price gains that didn’t occur in the past 10 years will now take place. A de facto currency peg may be the way to engineer those expectations.

Jan 8, 2013 08:06 UTC

CDB highlights China’s dysfunctional finance

By John Foley

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

China Development Bank is on a roll. The policy lender raised 1.2 trillion yuan ($193 billion) in net domestic funds in 2012, according to Reuters data. The proceeds funded high-profile foreign takeovers, allowed U.S.-listed Chinese companies to go private, and helped Indian billionaire Anil Ambani refinance bonds. Such activities have less to do with development than with China’s financial dysfunction.

Jan 3, 2013 14:57 UTC

Depardieu would find heaven in Putin’s Russia

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By Pierre Briançon

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Tax heaven can’t wait. Vladimir Putin has seized on an inebriated joke from his good friend Gerard Depardieu and granted the French actor Russian citizenship, by presidential decree. Depardieu announced a month ago he was leaving France for Belgium because of the 75 percent tax rate sought by the French government on higher incomes. The uproar that followed – from both supporters and outraged critics – only confirmed Depardieu’s intention, which he maintained even after a French court struck down the new tax rate.

Jan 3, 2013 14:32 UTC
Edward Hadas

Liberal economists aid Tea Party in cliff debate

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By Edward Hadas

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

If everyone agreed that outsized fiscal deficits present a clear and present danger, the American politicians who object to tax increases would be in serious trouble. But the anti-tax zealots are given intellectual cover by their ideological enemies, the deficit-loving liberals.

COMMENT

The so-called Tea Party began and remains a grass roots movement that demands our government stop giving away hard-earned dollars our citizens pay in taxes. Why should anyone be forced to throw hard-earned dollars down a sink-hole? The national budget is or should be a means of announcing agreed-upon priorities to tax payers. The fact we don’t have a budget tells our citizens we don’t know our priorities for beneficial use of tax dollars. Political smoke can’t cover the mirrors politicians use to castigate one another. Blow away the smoke by passing a budget that clearly documents the priorities of our representatives in congress. Oh, yes. Then stick to the budget or change it publicly. If we agree with your priorities, we’ll supply the tax revenues to fund them. If we don’t agree with your priorities, we won’t keep sending you to represent ours. At least that’s the way it should work.

Posted by RetiredNMKid | Report as abusive
Jan 2, 2013 12:51 UTC
Edward Hadas

Global relief on fiscal cliff misses the point

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By Edward Hadas

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

The fiscal cliff has been averted. Asian and European stock markets rose 1-3 percent after the U.S. Congress managed to avoid the previously mandated spending cuts and tax increases. The rally is unlikely to last long.

Jan 2, 2013 10:08 UTC

India braces for last year of political stability

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By Andy Mukherjee

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

India’s politics is about to take a sinister turn. The coming year may be the last one of relative stability for the country.

COMMENT

India’s current political environment is complex and in a sense is very fragile. Reason, there is no single large political party in the country. Every key reform the ruling government tries to pass in the parliament is being objected by the opposition parties, more worse by its own coalition parties.

I haven’t heard of a country having so many political parties like in India. Political parties are most corrupted in the world. A tough journey ahead for India. I could easily take a century for India to become the CURRENT China.

No political stability eventually leads to economic downturn.

Posted by Kshatriya | Report as abusive
Dec 26, 2012 16:50 UTC

Mexico may teach U.S. a lesson on good government

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By Raul Gallegos

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Mexico may teach the United States a lesson on good government in 2013. Latin America’s second-largest economy needs to enact key fiscal and energy sector reform. That might sound hard since its political parties have little history of working together. But they look set to reach a compromise with far less rancor than their counterparts north of the border.

Dec 21, 2012 19:14 UTC

Washington may finally take up mortgage reform

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By Daniel Indiviglio

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

America’s lawmakers may finally take reforming housing finance seriously in 2013. Assuming Congress settles the deficit debate, sorting out the government’s role in funding home loans should be its next stop. And a number of obstacles are dissolving.

COMMENT

? Besides the Consumer Financial Protection Bureau action hoped for in January ,the author has given no evidence that ‘things are changing’ and we will have this kind of mortgage reform.
How many congressman support this? There are no quotes of anyone with insight about who would sponsor or support this reform.

Posted by peterfairley | Report as abusive
Dec 21, 2012 05:57 UTC

Modi’s Gujarat win doesn’t mean he will rule India

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By Andy Mukherjee

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Narendra Modi’s resounding election victory in the western Indian state of Gujarat has made Indian businessmen optimistic. Many see his win, the third in a row, as a sign that the centre-right leader with a reputation for effective administration could be ruling the nation in 2014. But a chequered past, an autocratic personality and the peculiarities of India’s coalition politics make Modi less than a shoo-in.

COMMENT

Personality Cult?? The Congress Party has named airports, dams, bridges, hospitals, highways, universities and countless foundations after their precious Nehru-Gandhi artificial monarchy, and you have the gall to label Narendra Modi a “personality cult”? The Congress Party is built on Personality Cult politics. That this would escape your notice or mention strains credulity and your credibility past all limits.

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Dec 19, 2012 07:38 UTC

South Korea’s next leader will face a currency war

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

By Andy Mukherjee

Every new South Korean president has to contend with sabre-rattling by Pyongyang. It won’t be any different this time. North Korea’s recent rocket launch shows just what kind of reception the next occupant of Seoul’s Blue House can expect from across the demilitarized zone.