Columns

EU is ill-equipped to meet growing global threats

27 Nov 2023

The bloc would be more effective in a dangerous world if its 27 members could make decisions more quickly. The snag is that nationalistic currents make countries even more reluctant to give up their vetoes. It is not clear if the European Union can find a way to square the circle.

The future of interest rates is more surprises

24 Nov 2023

The return of inflation surprised central banks which until recently predicted rates would remain “lower for longer.” Economists and investors struggle to agree on what has changed or what will happen next. Those who assume current interest rates are normal may be in for a shock.

High bond yields challenge “Pax Americana”

6 Nov 2023

The end of free money is adding to US political dysfunction. This may undermine the country’s ability to meet multiple global challenges: witness the struggle in Congress over military aid for Ukraine. The only consolation is that China has even bigger debt problems.

 

Israel war tests US appeal to global swing states

30 Oct 2023

US power in part hangs on its claim to pursue a principles-based foreign policy. The Gaza conflict has led to accusations of double standards. If these stick, the United States’ attempts to woo developing countries as part of its new Cold War with China could suffer.

The case for a career in bond investing

27 Oct 2023

Rising rates and volatile markets have hammered the conventional case for buying fixed income securities. But higher yields, pockets of value in credit and a possible weakening of the strong US dollar mean there are still opportunities in bonds for budding portfolio managers.

Time is ripe for another push on carbon pricing

24 Oct 2023

Green subsidies can help fight climate change but are fiscally unsustainable. Regulations can be politically unfeasible, while doing nothing is ecologically untenable. Carbon taxes raise cash, some of which can be used to ease the public backlash.

US grand strategy can prop up the global order

16 Oct 2023

The horror in Israel and Gaza is a new blow to a fragile world. But the United States can prevent the rules-based order from collapsing by continuing to steer a steady course with regards to Russia and China. The biggest risk would be the return of Donald Trump as president.

Why an economic soft landing may prove elusive

13 Oct 2023

Financial markets suggest the US economy will avoid a deep recession even as interest rates rise. The British economist Bernard Connolly argues these expectations are deluded. If he’s right, inflation-linked bonds will be a good bet for investors, argues Edward Chancellor.

The EU is stuck with its one-trick refugee policy

9 Oct 2023

Africans and Asians fleeing persecution could boost the European Union’s ageing workforce. But its leaders are so scared of nationalism at home they prefer to pay North African regimes to stop asylum-seekers crossing the Mediterranean. It’s a short-term fix, says Hugo Dixon.

The Queen’s question returns with a vengeance

6 Oct 2023

‘Why did no one see it coming?’ the late British monarch asked economists during the 2008 financial crisis. Applying the same query to resurgent inflation is even more awkward for central bankers. There are multiple answers, but no magic solutions, says Felix Martin.