Best Of Economics On The Web This Week - 24 April 2016
Missed the economic and business news of the week? No need to worry. Here are Dr V. Anantha Nageswaran’s picks from the economic stories of the week:
India
Sudipto Mundle, member of the 14th Finance Commission thinks that States have vindicated his trust in their fiscal responsibility. I am not so sure that their budgets indicate fiscal responsibility.
An exercise in how not to get people to feel socially responsible.
India signs an agreement – Logistics Exchange Memorandum of Understanding – with the US, hanging fire since 2006.
The National Agriculture Market – e-platform – launched on April 15 – is missing important agricultural markets, for now.
Kunal Singh of MINT is convinced that the dole-addicted middle class is to blame for the ban on surge pricing in Delhi. He is right. Mostly, India is a country of free-riders.
Raghuram Rajan’s interview to ‘Marketwatch’ on the global and Indian economy. Wonder how many critics actually read the transcript?
Is there a plan to grow the economy to a size of ten trillion dollars by 2032?
USA
US bank stocks excel in the game of beating expectations. US stocks surge towards their historical highs.
US regulators propose new rules to regulate executive pay and claw back bonuses. Six regulators have to sign off and the ‘comment’ period ends on July 22.
China
David Lipton, IMF No. 2 says that China’s debt-fuelled economic growth might be dangerous. Amen to that.
Account Receivables and Shadow banking in China
A Chinese consortium buys American printer Lexmark for USD3.6bn.
The head of Asia-Pacific Sovereign Ratings at Fitch is not sure that he understands China’s priorities. We do. It is growth.
In China, the nation’s largest railway construction wares maker freezes trading on all its bonds due to debt distress.
Europe
Fitch warns of risks to big Italian banks as they are called upon to support weaker Italian banks.
General and Global
How Airbnb lost its soul – it is as much a philosophical as a business story.
The lower house of the Brazilian National Congress (‘the Chamber of deputies’) votes to impeach the President.
Saudi Arabia is unhappy with a new American bill that would prosecute foreign officials known to have assisted in the 9/11 attacks and freeze foreign assets.
There is no freeze on oil production and hedge funds that are long oil celebrate Kuwaiti oil workers on strike.