The Great Debate UK

from Breakingviews:

China could fight inflation by letting money out

November 22, 2010

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

from Chrystia Freeland:

What’s good for the world is bad for the U.S. and China

By Chrystia Freeland
November 12, 2010

This fall, much of the United States seemed to have settled on a narrative for the country’s struggle to adapt, after a debilitating financial crisis, to a post-industrial and post-unipolar global economy: China and its undervalued currency are largely to blame.

Is the currency war over?

November 1, 2010

The communiqué from last week’s IMF G20 finance minister’s meeting was the first step in trying to resolve the so-called global currency war. The ministers released a joint statement on October 23 which pledged that all countries would “move towards more market determined exchange rate systems that reflect underlying economic fundamentals and refrain from competitive devaluation of currencies.”

from The Great Debate:

U.S., China and eating soup with a fork

By Bernd Debusmann
October 29, 2010

-The opinions expressed are the author's own-

Are economists the world over using an outdated tool to measure economic progress?

from Chrystia Freeland:

Why emerging market countries have an edge

By Chrystia Freeland
October 29, 2010

Tony Hsieh and Sanjay Madan wrote the program to create LinkExchange over a weekend. Before the following weekend, they had more than a dozen websites participating in their ad-sharing network. Over the next several weeks they worked frantically on the project. They refined their business in real time, learning—quickly!—from their mistakes. Less than a year later, the Harvard grads were offered $1 million (U.S.) for the company. Less than a year after that, they sold it for $265 million.

Is there a way out of the currency war?

October 27, 2010

CHINA-USA/CURRENCY-WARCompetitive devaluation is no longer a possible danger – it is already here. Many people are worried that, after global stock market crashes and a collapse of most of the world’s banking system, a war over exchange rates completes a sequence of events that looks awfully like a rerun of the 1930’s. There is however one crucial difference. The Chinese role certainly makes matters more complicated, though it is as yet unclear whether it makes the outlook better or worse.

from Breakingviews:

Beijing’s keep-’em-guessing approach has flaws

October 21, 2010

Two days before Thursday's strong inflation figures, the People's Bank of China surprised with a rate hike. Global markets sold off, but quickly recovered. The effect of conducting monetary policy through short sharp shocks is waning. It looks time for a well-explained, concerted plan to fight rising prices.

from Chrystia Freeland:

‘We can’t inflate our way to prosperity’

By Chrystia Freeland
October 12, 2010

"There is no other policy tool available [besides quantitative easing],"' Laura Tyson, a former chairwoman of the Council of Economic Advisors, said at this morning's Reuters/YouTube live debate on how to fix the economy. Tyson argues that additional Fed purchases of long-term bonds is the most viable way to energize the U.S. economy since a new fiscal stimulus bill is unlikely to pass Congress:

Why the world needs a weaker dollar

By Guest Contributor
October 8, 2010

IRAN-CURRENCY/RATE/Kathleen Brooks is research director at forex.com. The opinions expressed are her own.

from MacroScope:

Will China make the world green?

October 5, 2010

Workers remove mine slag at an aluminium plant in Zibo, Shandong province December 6, 2008. REUTERS/Stringer

Joschka Fischer was never one to mince words when he was Germany's foreign minister in the late '90s and early noughts. So it is not overly surprising that he has painted a picture in a new post of a world with only two powers -- the United States and China -- and an ineffective and divided Europe on the sidelines.