Economics & Business Archive

This month represented another stepping stone in the long diplomatic march toward a prospective international climate change agreement in Paris in December. In the Bavarian Alps on June 7-8, the G-7 countries agreed on a communiqué reiterating their support for the goal of limiting climate change to below 2 degrees Celsius—compared to pre-industrial baseline levels—and pledging complete decarbonization of the global economy by 2100. The G-7 countries also restated their commitment to a promise that they have been making repeatedly since the Copenhagen climate accord talks in December 2009. Developed nations pledged billions of dollars a year in financial assistance […]

In a speech at last week’s annual conference of the Center for a New American Security, Deputy Secretary of State Antony Blinken described Russia and China as presenting a common challenge to the U.S.-backed “global order,” a characterization that echoes that of various Western think tanks and scholars in recent months. Elaborating, Blinken said, “In both eastern Ukraine and the South China Sea, we’re witnessing efforts to unilaterally and coercively change the status quo . . .” The United States, he said, would counter by “seizing America’s unique capacity to mobilize against common threats and lead the international community to […]

Globally, the legal, political and social progress achieved by women over the past half-century has been attributed to the democratization of societies and the emergence of more widely accepted human rights norms. This is not the case with respect to the Arab monarchies of the Persian Gulf: Kuwait, Bahrain, Qatar, Oman, Saudi Arabia and the United Arab Emirates. These countries have confronted rapid internal and external changes in recent years, and they have strived to reform themselves on a variety of fronts, including the economy, labor and some areas of politics. Yet despite some progress in these other domains, Gulf […]

The U.S. Navy and Air Force have begun preliminary work on developing a sixth-generation unmanned fighter. In an email interview, Peter Singer, a senior fellow at the New America Foundation and co-author of “Ghost Fleet,” discussed the next generation in U.S. military technology. WPR: What are some of the already operational next-generation U.S. military technologies that emerged from, or were accelerated by, the U.S. wars in Iraq and Afghanistan? Peter Singer: In some ways you can think of Iraq and Afghanistan as akin to World War I, where a number of science fiction-like technologies made their bones. Back then it […]

Welcome to what could turn out to be the most important, and potentially the most destructive, week in international diplomacy since the end of the Cold War. In the next seven days, we are meant to reach three major turning points in global affairs. On Tuesday, major powers are meant to conclude an agreement with Iran on its nuclear program. On the same day, Greece is supposed to make a 1.6 billion euro payment to the International Monetary Fund (IMF), but may fail to do so. And on Sunday, Greek voters will vote in a referendum on the latest bailout […]

Unlike his predecessors, Ecuador’s president, Rafael Correa, has enjoyed consistently high approval ratings since coming into office in 2007. And while support for some other regional leaders, hit hard by economic slowdowns and corruption scandals, are nearing rock-bottom levels, Correa’s rule has also been relatively free of political turbulence. But over the past several weeks, that has changed. Growing protests reveal that many Ecuadoreans are increasingly disaffected and no longer afraid to take to the streets and openly defy a self-assured president intent on carrying out his so-called citizens’ revolution. The biggest protests came late last week in the country’s […]

British Prime Minister David Cameron once implored his fellow Conservative Party members to “stop banging on about Europe.” But that was back in 2006, when he was just running the party as its new leader. In a speech in January 2013, as his awkward coalition government with the pro-European Union Liberal Democrats was enacting unpopular austerity cuts at home, Cameron changed course. He promised that, if re-elected, he would renegotiate the fundamental terms of the United Kingdom’s EU membership and put the result up for an in-or-out referendum to be held by the end of 2017. Since all opinion polls […]

AMSTERDAM—Like much of Europe, the Dutch have been keeping a close eye on developments in Greece. As negotiators continue to meet in efforts to hammer out a deal that would avert a Greek default, experts warn that the consequences of failing to reach an agreement would range from very painful to catastrophic. Here in the Netherlands, the subject occupies private conversations, occasional streets protests and countless headlines. And yet, the dilemma of how or whether to give another lifeline to Greece is only a prelude to a more far-reaching and divisive political battle looming ahead. If Greece defaults and ultimately […]

Another round of bailout talks today between Greece and its creditors, the so-called troika of the European Commission, the European Central Bank (ECB) and the International Monetary Fund (IMF), ended without a deal. Next Tuesday Greece is scheduled to make a $1.8 billion loan repayment to the IMF at the same time its bailout program is due to expire. If there is no agreement, an additional $8.1 billion in bailout funds will remain frozen; Greece will default on its loans; and the country could be forced to leave the eurozone. European finance ministers are scheduled to reconvene Saturday for a […]

Mining conflicts are intensifying across Latin America, with 218 mining projects embroiled in conflicts with 312 communities—including six conflicts spanning national borders—from Mexico to Argentina. One of the most prominent protests flared up this spring in southern Peru, at the $1.4 billion Tia Maria copper mine run by the Mexican-owned company Southern Copper. In late May, more than five years of protests came to a head there, with a general strike and police crackdown that resulted in five deaths and hundreds wounded and arrested. One issue above all is driving the Tia Maria protests, the 34 others in Peru and […]

Russia’s joint naval exercises with Egypt in the Mediterranean earlier this month put into sharper relief its resurgent ties in the Middle East, where it is steadily reviving a meaningful role for itself. Russia has negotiated a slew of new arms sales and security cooperation agreements, both with Iraq and Egypt; is one of the chief arbiters of Syria’s fate, as a backer of President Bashar al-Assad; and remains an important component of the negotiations on Iran’s nuclear program. Despite a toxic relationship with the West over the crisis in Ukraine, Moscow’s foreign policy is not inherently inimical to U.S. […]

At last week’s St. Petersburg International Economic Forum hosted by Russian President Vladimir Putin, Russian and Greek officials negotiated a framework agreement for Greece’s participation in the Turkish Stream gas pipeline that, if realized, will transport Russian gas via the Black Sea and Turkey to European markets. The deal comes just a year after the European Union adopted a comprehensive strategy to enhance its energy security, with a key objective being to reduce the EU’s dependence on Russian energy sources. However, if the Russia-Greece deal and other developments of the past year are any indication, this campaign could take decades […]

A recent memorandum by Undersecretary of State Richard Stengel painted an ominous picture of America’s failure to counter propaganda from the so-called Islamic State (IS). Across the board, the U.S. narrative is, as Stengel put it, “being trumped.” To a great extent this competition of narratives takes place on the Internet, particularly in social media. The Islamic State has made mistakes in that venue, but a number of indicators—its continued flow of recruits, the number of other extremist movements seeking to affiliate with it and its ability to inspire attacks in the West—demonstrate that the United States is losing on […]

In the winter of 2013, then-Italian Prime Minister Enrico Letta came out of a meeting with U.S. President Barack Obama with the idea that the United States, too busy with other issues, had delegated the solution of the turmoil in Libya to Italy. This perception soon percolated into both the foreign policy and the defense establishments in Rome: Libya was now important not just because of geography and longstanding ties, but also because it was one of the few areas of the world in which the rest of the West would look to Italy for a solution. Yet two years […]

The political change heralded by the 2010-2011 wave of protests across the Middle East and North Africa known as the Arab Spring never reached Lebanon, but the small Mediterranean country of 4 million has been suffering from the repercussions of those momentous events ever since. To the north, fighters and goods are still being smuggled to embattled Syria. To the northeast, a war of attrition is underway with Islamist militants, who have already seized vast swathes of territory from northern Syria and Iraq. To the south, there is the ever-volatile border with Israel. Indeed, in all directions, Lebanon’s fate is […]

With all eyes on Greece, especially after the International Monetary Fund (IMF) walked away from debt negotiations last week, bringing Athens that much closer to default, it is easy to miss that last week also marked the one-year anniversary of Portugal completing its bailout program. Portugal isn’t in the clear just yet: Its employment rate increased to 13.7 percent last month and debt to GDP ratio is 129 percent. But its economic situation has stabilized, and the government is repaying its debts on time, if not early. Portugal signed its 78 billion euro economic adjustment program with the so-called troika […]

In late March, Jane’s reported that Angola would soon receive the first batch of Russian-made Sukhoi Su-30 fighter jets as part of an ongoing military modernization program that kicked off four years ago. The modernization program aims to boost the number of troops in service and renew Angola’s military hardware in order to improve the operational capabilities of its armed forces. But when it was launched, resource-rich Angola was awash in oil revenue. The drop in global oil prices since last summer raises questions about the sustainability of Angola’s military modernization, as a growing economic crisis has already forced the […]