The Great Debate UK

from The Great Debate:

First 100 Days: Obama and trade

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Sean West-- Sean West is a Comparative Analytics analyst at the political risk consulting firm Eurasia Group. The views expressed are his own. --

Fear that President Barack Obama will backslide on America’s free trade commitments is misplaced—in fact, he may eventually expand America’s commitment to liberalization. His pledge to revisit the North American Free Trade Agreement (NAFTA) amidst an economic slump was one of his most widely discussed policy positions of the campaign season.

The economy—and, notably, unemployment—has gotten far worse since Obama derived political benefit from making the rhetorical connection between trade and job loss. Obama could use the magic policy window of his first 100 days to push through controversial but politically plausible anti-free trade measures. He will not do so—and if he does not do it now, he is unlikely to revisit it later.

If Obama is ever going to pound away at NAFTA it would in coming weeks. He is pushing this month for a comprehensive approach to saving or creating up to 4 million jobs in two years. If there was any real desire to rework NAFTA because it was thought responsible for job loss, it would make sense to address it now.

from The Great Debate:

First 100 Days: Fix the banks

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morici-- Peter Morici is a professor at the University of Maryland School of Business and former Chief Economist at the U.S. International Trade Commission. The views expressed are his own. --

For every new president, campaign promises and inaugural idealism must give way to the hard choices that measure the mettle of their leadership.

from The Great Debate:

Nationalization: Terrible but inevitable

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James Saft Great Debate -- James Saft is a Reuters columnist. The opinions expressed are his own --

Nationalization of weak banks in Britain and the United States may be preferable to current plans for insurance and soft "bad banks" schemes which risk being swamped by future losses as assets, especially real estate, continue to crater.

An insurance program, getting banks to identify their riskiest assets to the government which will insure them for a fee, is one of the main planks of a UK plan to bail out banks unveiled this week.

from The Great Debate:

First 100 Days: Obama’s first climate change target

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Mary D. Nichols-- Mary D. Nichols is Chairman of the California Air Resources Board, the lead agency for implementing California’s landmark climate change law, the Global Warming Solutions Act of 2006. The views expressed are her own. --

After eight years of inaction on climate change by the federal government, we can now look forward to the Obama administration tackling global warming head on. With not a minute to lose, Lisa Jackson, the soon-to-be new head of the EPA, should move quickly to capitalize on the momentum of states that have so far been the leaders in fighting global warming. There is no better place to start than by establishing a national greenhouse gas emission standard for automobiles based on California’s landmark clean car law.

from The Great Debate:

First 100 Days: Obama, Iran and Richard Nixon

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Bernd Debusmann - Great Debate- Bernd Debusmann is a Reuters columnist. The opinions expressed are his own -

Here is a piece of advice for Barack Obama for dealing with Iran, one of the countries that will loom large in his presidency. Forget the way five of your predecessors dealt with the place. Take your cue from Richard Nixon and his 1972 breakthrough with China.

Just as Nixon and his secretary of state, Henry Kissinger, realized that a quarter of a century of isolating and weakening China had not served America's interests, so Obama should acknowledge that 30 years of U.S. policy since the 1979 Iranian revolution has failed and that what is needed is a grand bargain, a shift as fundamental as the one Nixon achieved with China.

from The Great Debate:

Do we need a credit policy?

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John Kemp Great Debate-- John Kemp is a Reuters columnist.  The views expressed are his own --

The last eighteen months have witnessed a revolution in financial regulation -- if by that we mean a fundamental reconstruction, total change or turn round from the previous orthodoxy occurring in a relatively compressed time.

In particular, the sheer scale of recent policy interventions in the banking system is throwing up very uncomfortable questions about the government's role in the economy, centered on its function as the ultimate re-insurer of risk and its function via the central bank as "lender of last resort" (LOLR) to the banking system.

from The Great Debate:

China Inc. takes stock after overseas buying spree

wei_gu_debate-- Wei Gu is a Reuters columnist. The opinions expressed are her own --

Abundant liquidity, government support and a strong yuan fueled Chinese companies' overseas buying spree.

But since they went out at the peak of the market and did not have a clear strategy for acquisitions, it should come as no surprise that most of those deals have turned sour. Once bitten, twice shy.

from The Great Debate:

Scoop! U.S. offers to cooperate with world

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Paul Taylor Great Debate-- Paul Taylor is a Reuters columnist. The opinions expressed are his own --

An American president vowing to cooperate with the rest of the world would barely be news if it did not follow eight years' of George W. Bush's tenure in the White House.

Barack Obama's inauguration address was thin on foreign policy specifics, but his pledge to work with allies and adversaries on global problems from nuclear weapons to climate change was a message many have waited impatiently to hear.

from The Great Debate:

Obama: plus ça change?

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Robin Shepherd is a senior research fellow at Chatham House in London. The opinions expressed are his own.

robinshepherd-cropped1Which part of the word “change” did Barack Obama not understand? A year from now it is a question that many outside America will be asking about his foreign policy.

from The Great Debate:

As Big Brother steps up, time for credit

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James Saft Great Debate -- James Saft is a Reuters columnist. The opinions expressed are his own --

Want to do well out of the rolling and ever expanding bailouts? Hold your nose, buy corporate credit and try not to read any news for the next five years.

First off, let's get one thing clear: the prospects for companies in Europe and the U.S. are absolutely awful and many will default, quite probably more than in any post-war recession.

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