Breakingviews

Indonesia cashes in on model tax amnesty

September 28, 2016

Citizens have admitted hiding almost $200 bln in what is shaping up to be one of the world's more effective schemes. Success stems from low charges, credible government, and big penalties for abstainers. The global backdrop makes it a good time for other countries to strike.

Trump’s economic plan built on typical hyperbole

September 15, 2016

The Republican White House nominee says his proposals to cut taxes and red tape would boost output growth to 3.5 pct a year and create 25 million jobs over a decade. The huge potential cost of Trump's plans only shrinks thanks to heroic assumptions about their likely benefits.

China’s car scam shows best and worst of subsidies

September 15, 2016

Lavish grants for electric vehicles nurtured new technology and a massive market. The largesse came at a price, though, with many millions of dollars lost to scammers faking sales to claim cash. There may yet be a happy ending for home-grown heroes like BYD.

Burkinis oust economics in French identity tussle

August 26, 2016

A ferocious debate over bans on full-body swimwear sounds like pre-election posturing, but is more than that. France is less and less able to hang its identity on a unique economic and social model. As a result, the battleground is shifting to its deep-seated secular tradition.

Trumponomics favors pin-stripes over blue collars

August 8, 2016

The GOP presidential nominee is calling for corporate tax cuts and a halt on regulations to boost U.S. growth. Billionaire investors on his new economic team helped craft the plan. For a candidate supposedly championing the working class, Trump has a soft spot for the 1 pct.

Note to D.C.: Jack-hammer away on infrastructure

August 3, 2016

With interest rates at record lows, there's growing support on the campaign trail for rebuilding U.S. roads and bridges. Donald Trump called for at least doubling the $275 bln in spending proposed by Hillary Clinton. To grow jobs, wages and GDP, it's a policy deserving of a deal.

Fat-tail US legal risk keeps Malaysian scandal hot

July 21, 2016

The Justice Department has alleged over $3.5 bln was siphoned off from 1MDB. The legal details join the dots of the controversy, with plenty of colour. Everyone involved with the sovereign fund, from the Malaysian premier to Goldman Sachs, should feel uncomfortable.

Cox: Dismantling Dodd-Frank is a Trump distraction

By Rob Cox
July 12, 2016

Republicans and their presumptive leader want to overhaul the financial-reform law. Recent stress tests and narrowing funding costs between big and small banks suggest that swapping reliance on regulators for bankruptcy courts is a bad idea, even if Trump knows the latter well.

UK’s tax cut goal: calm business, scare Brussels

July 4, 2016

George Osborne has plans to cut the UK's already-low corporate tax rate to near-Irish 15 pct levels. It might stop domestic business jumping ship post-Brexit. But the prospect of a tax haven UK also acts as a bargaining chip to use in forthcoming exit negotiations.

Chancellor: Brexit can make a stronger, fairer UK

June 28, 2016

The British elected to pop the UK’s bubble economy, which delivers appalling productivity growth and unequally distributed gains. Turmoil unleashed by the vote could put the economy on a sounder footing. As asset prices deflate, the distribution of wealth becomes less unequal.