2016 will go down in the annals of history as the year that the world changed course. Hitherto, since the 1970s, the main theme of global economic development was globalisation – the idea that international borders were inimical to economic development; that tariff-free trade went hand in hand with the free flows of goods, capital…
Another vote, another shock Yesterday, Italy became the most recent domino to fall in the global populist revolution about which I wrote in this month’s MI magazine. If Mr Cameron (score: 48 percent) resigned at half past eight in the morning, Signor Renzi, the Italian Prime Minister (score: 40 percent) resigned at midnight. He had…
Every school kid now knows that if the British government wants to fulfil the will of the British people expressed last June they have “to trigger” or, “to invoke” Article 50 of the Treaty of Lisbon (2007). Prime Minister May has stated that she intends to do this before the end of March 2017. Sadly,…
During the painful periods of hyperinflation in the last century, there were a few episodes when governments decided to demonetise the economy and to reintroduce money in new forms in an attempt to contain the rampant price increases. But these moves pale in comparison to India’s bid to absorb 87% of its circulating physical currency…
While the global euphoria ignited by Donald Trump persists, there are parts of the world where sentiment is a little weaker. Trump will certainly help central banks to adjust policy and boost the domestic economy, but it will bring a lot of trouble to emerging markets. When I say trouble, I’m not thinking about Trump’s…
In keeping with the Indian Government’s reform agenda, on 8 November Prime Minister Modi announced the immediate withdrawal of Rs. 500 & Rs. 1000 notes, in a move to reduce black money in the system, curb funding of illegal activities and address the problem of counterfeit notes. The decision to withdraw these two denominations –…
Last week I was in New York, and by sheer chance I ended up right next to Trump’s golden palace (and of course the many thousands of indignant demonstrators objecting to his position as President-elect). I’d come across on the mighty Queen Mary II, as I find it easier to research new books on the…
UK public finances are way off course. But, despite the unsympathetic forces of a cynical state ranged against him, one well-meaning bean-counter is trying to survive in extreme adversity. It makes for a harrowing Ken Loach movie… I’m appointed to make an assessment, Mr Hammond When Philip Hammond MP, Chancellor of the Exchequer, stood up…
We have reached a point where people are so tired of the current economic model that they’re willing to support anyone promising to do away with the status quo and make life great again. It’s hard to find fault, because the current model is obviously rotten and is overwhelmingly biased towards the incumbent wealthy. But,…
Financial Armageddon? At least you reacted… Readers’ reactions to my piece in this month’s MI magazine on the theme of Financial Armageddon were, as usual, intelligent and interesting. In case you missed it, I was arguing that risks in the global financial system have been rising inexorably to a point where another systemic financial crisis…
