Economics & Business Archive

U.S. President Donald Trump, in words and action, favors bilateral relations as the cornerstone of his foreign policy. Special ties to some key countries and leaders will always be important, but his approach is downplaying the value of regional systems and multilateralism, and of their institutions. As a result, it will fall short in protecting American interests in an age of redistributed power and transnational threats. In his first month in office, Trump has held bilateral meetings with the leaders of the U.K., Canada, Japan and Israel, while having one with Mexico’s president canceled. Watching his strangely aggressive handshakes and […]

Editor’s note: This article is part of an ongoing WPR series on income inequality and poverty reduction in various countries around the world. Last year, millions of South Koreans joined marches to demand that President Park Geun-hye step down over a corruption and influence-peddling scandal. But the protests also drew on popular grievances over growing economic inequalities. In an email interview, Anthony P. D’Costa, chair and professor of contemporary Indian studies at the University of Melbourne and editor of “After-Development Dynamics: South Korea’s Engagement with Contemporary Asia,” discusses income inequality in South Korea. WPR: What is the extent of income […]

Indonesia has one of the world’s greatest stores of natural resources, but it can sometimes be tricky getting them out of the ground. Over 20 percent of the world’s tin comes from this archipelagic nation. In West Papua province, the Grasberg mine contains the world’s largest store of gold and the world’s third-largest store of copper. Majority-owned and operated by American mining giant Freeport-McMoRan, the mine is home to an estimated $100 billion in reserves. But at the moment, Freeport is exporting very little ore and has begun laying off its workforce at the mine amid a standoff with the […]

Editor’s note: This article is part of an ongoing WPR series about workers’ rights in various countries around the world. Dockworkers in Spain announced a series of strikes yesterday to protest a government plan to allow ports to hire nonunion workers. The strikes are set to begin March 6, although talks continue between the government and the unions. In an email interview, Alexandre de le Court, a visiting professor at the Pompeu Fabra University of Barcelona and member of the UPF Research Group in Labor Law and Social Security Law (greDTiSS), discusses labor rights in Spain. WPR: How robust are […]

As the Chinese government has worked to raise its profile in the Middle East, it has sometimes struggled to promote Chinese culture in the region. Despite its emphasis on cultural engagement since then-President Hu Jintao called for China to increase its global soft power in 2007, Beijing has found it difficult even to eclipse its Asian rivals. A young Arab man or woman might buy Chinese-made goods or even study abroad at a Chinese university, but he or she would be more likely to watch a Japanese film or listen to a Korean pop song than to consume China’s cultural […]

In November, Nobel laureate Muhammad Yunus warned that a growing gap between the super rich and the rest of the world’s population is a “ticking time bomb” that will lead to exploitation of the poor, immigrants and minorities. There is good evidence that time is running out to keep that bomb from going off. Economic fragility in the eurozone has fueled the rise of populist and nationalist parties in European elections since 2008. The refugee crisis confronting Europe compounded the swing. A wave of populist wins in 2016, from Brexit and Italy’s rejection of constitutional reform to the election of […]

On May 19, Iranians will go to the polls to choose their president for the 12th time since the Islamic Republic was established in 1979. The incumbent, President Hassan Rouhani, will almost certainly be one of the contenders, once Iran’s powerful Guardian Council confirms his candidacy. The upcoming elections will inevitably be a referendum, in part, on Rouhani’s track record, especially his promise to open up Iran’s economy after the nuclear agreement that lifted international sanctions. Unlike the American system, with its excruciatingly long election seasons, the official Iranian election calendar is deliberately short. The week-long official registration of candidates […]

When then-President Bill Clinton signed the North American Free Trade Agreement in a White House ceremony in December 1993, he called it “a defining moment” for the United States and praised Mexico and Canada as “our partners in the future that we are trying to make together.” All three countries had made what then seemed like an irreversible decision to marry their economic futures. Yet today, less than a quarter-century later, those bonds are badly fraying. The new U.S. president, Donald Trump, wants to renegotiate NAFTA, which he has called “the worst trade deal in history.” Mexican President Enrique Pena […]

The emergence of a brash and little-known 31-year-old as the public face of a dynamic new style of leadership in Saudi Arabia has caught international attention over the past two years. Deputy Crown Prince Mohammed bin Salman Al Saud, whose rise began in 2015, has promoted his so-called Saudi Vision 2030 initiative as an instrument of economic transformation in an era of plummeting oil prices. Against the backdrop of emergency spending cuts in 2015 that stove off financial ruin, the project aims to balance the Saudi budget by 2020, wean the country off of energy subsidies, and reduce the role […]

After sending signals of his plans to retire from politics for nearly a year, Angola’s president, Jose Eduardo dos Santos—the second-longest-ruling leader in Africa—announced earlier this month that he will step down at the end of his current mandate and not run in August elections. That will bring an end to a presidency that began in 1979, when Jimmy Carter was in the White House. The transition from dos Santos’ rule is the most significant political event in Angola since its independence from Portugal in 1974, and comes at a time of deep economic and social crisis in the oil-rich […]

Earlier this month, Japanese Foreign Minister Fumio Kishida and visiting Israeli Finance Minister Moshe Kahlon signed an agreement that makes it easier for Japanese businesses to invest in Israeli cyber-technology firms. In an email interview, Emanuel Shahaf, CEO of Technology Asia Consulting, discusses Israel’s ties with Japan. WPR: What are the main areas of cooperation between Japan and Israel, and how extensive are bilateral ties? Emanuel Shahaf: Relations between Israel and Japan are developing in the wake of Israel’s pivot to Asia and, in particular, in response to the considerable development of relations between Israel and China. Israel’s relations with […]

Human rights organizations have become alarmed that, according to documents leaked to Reuters, U.S. President Donald Trump is expected to sign an executive order suspending Section 1502 of the Dodd-Frank financial reforms. The rule requires companies to disclose whether their products contain the so-called 3TG conflict minerals—gold, tungsten, tantalum and tin—seen as critical drivers of the ongoing conflict in the Democratic Republic of Congo. Advocates of the rule, which went into effect in 2014, contend that conflict minerals, which the U.N. has called the “engine of the conflict” in Congo, provide hundreds of millions of dollars to armed groups, which […]

Editor’s note: This article is part of an ongoing WPR series on income inequality and poverty reduction in various countries around the world. Indonesian President Joko Widodo recently pledged that his administration would focus on reducing economic disparities in 2017, and he called on his ministers to accelerate the implementation of the government’s poverty-eradication programs. In an email interview, Matthew Wai-Poi, a senior economist at the World Bank, discusses inequality in Indonesia. WPR: What is the rate of income inequality in Indonesia, what are the latest trends in terms of widening or lessening inequality, and what are the main factors […]

Last month, the Indian government approved plans to move forward with talks for a free trade agreement with Peru, which would be India’s first free trade agreement in Latin America. In an email interview, Hari Seshasayee, a Latin America analyst at the Confederation of Indian Industry, discusses India’s ties across Latin America. WPR: Who are India’s main partners in Latin America, and what are the main areas of cooperation? Hari Seshasayee: India and Latin America cooperate in six main areas: energy, mining, automobiles, pharmaceuticals, information technology and agriculture. Three of these sectors-energy, mining and agriculture-are focused primarily on commodities. Venezuela, […]

The Trump administration has signaled that it is likely to scale back traditional U.S. development assistance programs in sub-Saharan Africa and favor more commercial engagement with the continent. That shift was evident in a four-page list of questions distributed to the State Department last month before Donald Trump’s inauguration. The questions relayed skepticism from the Trump transition team about some U.S. aid programs and security policies in Africa, while asking, for example, “How does U.S. business compete with other nations in Africa? Are we losing out to the Chinese?” Paradoxically, such a shift could be healthy for America’s relationship with […]

When Barack Obama became president of the United States in 2009, few would have guessed that he would be followed by an administration touting nationalism and protectionism. Yet eight years later, with Donald Trump as president, the United States appears to be abandoning Obama’s vision of America as a global partner and the leader of the liberal international order. What happened? World Politics Review has compiled 24 articles that trace Obama’s foreign policy legacy and what it means for the Trump era. The following 24 articles are free to nonsubscribers until Feb. 16. Where It All Began Sworn in during […]

Last week, when tensions between U.S. President Donald Trump and his Mexican counterpart, Enrique Pena Nieto, boiled over, Latin American leaders followed the news with great interest. As they strategized about the way forward under the new U.S. administration, the signals from Washington confirmed their fears that the Trump administration will unleash new headwinds for a region where many countries are facing mounting difficulties. The spectacle of watching a fellow Latin American nation berated and, in many people’s opinion, insulted by the man in the White House produced a wave of diplomatic reactions. But more than anything, it spurred a […]