Finance & Economics
Finance & Economics
Fair Observer's analysis of important economic and financial issues, events and trends in global markets and the world economy.
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Anthony Gokianluy / Asia Pacific / Benigno Aquino III / Noynoy / Philippines / PNoy / Politics / SONA / Economics / Focus Article / Asia PacificAquino is under pressure to improve socioeconomic conditions in the Philippines. As President Benigno Aquino III, also known as “Noynoy” and “PNoy,” approaches the midpoint of his presidency, many question his domestic and foreign policy. Has Aquino, the son of progressive and renowned political figures, lived up to expectations? A Bright Start Benigno Aquino III was born with the pedigree for a memorable political run, at least as far as Philippine political dynasties go. As the son of political dissident Benigno “Ninoy” Aquino and his wife, Corazon “Cory” Aquino, the figurehead of the People Power Revolution, PNoy was...
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Bipartisan Policy Center / Debt Limit / Donald Marron / Government Shutdown / North America / Treasury / US Congress / Economics / Focus ArticleCongress has been paying its bills since May 19 by using extraordinary measures. You’ve probably heard that Treasury will hit the debt limit on October 17, and soon thereafter it won’t be able to pay all of America’s bills. That second part is true: Congress needs to act soon — preferably before the 17th — so Treasury doesn’t miss any payments. But the first part isn’t: Treasury actually hit the debt limit way back on May 19. So how did Treasury keep paying our bills? Extraordinary measures. When money gets tight, Treasury uses several accounting gimmicks and cash flow sleights of hand — the extraordinary measures — for extra...
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Capital Gains Tax / economy / North America / United States / US / Washington DC / Economics / Focus ArticleBy Dave LandryCan the capital gains tax be sidestepped? Granted, taxes are a drag. What’s an even bigger drag are capital gains taxes. Call them what you wish — “justified” or “penalties for hard work” — the fact is they’re going nowhere. And all of what used to be the old practice of moving assets abroad, offsetting short positions for trading stocks for diversified pool shares; well all that has become a big no-no to Congress and the IRS. The question becomes: what can one do today – right now – to mitigate the 2013 capital gains tax hike? In short, what manner of combat and hopeful defeat can be taken to rein in the hike? Clear as Mud Capital...
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9/11 / Akunyili.Tochukwu / Basque Territory / Boko Haram / ecomomy / Foreign Direct Investment / Goodluck Jonathan / Maiduguri / Nigeria / terrorism / Economics / Focus Article / AfricaBoko Haram could have a disastrous impact on Nigeria’s economy. In May, President Goodluck Ebele Jonathan suspended the constitution and declared a state of emergency in three states at the northeastern tip of Nigeria. On August 10-11, an attack on a mosque in the state of Maiduguri left 56 people dead — Boko Haram is largely believed to have been responsible. Boko Haram, the militant Islamist group, has made a mockery of peace and security in Nigeria, and its threat to regional security is well-known. So far, a lot has been written about the political consequences of the group. In fact, almost all that has been written on Boko Haram both in popular media and academic...
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Arab World Competitiveness Report 2013 / Civil society / GCC / government / IMF / Informal Economy / King Mohammed VI / MENA Economy / Morocoo / Private Sector / Saudi Arabia / Women's Unemployment / Youth Unemployment / Economics / Focus Article / Middle East & North AfricaIn the Middle East and North Africa, rates of unemployed young women are eight times that of men. This is the last of a two part series. Read part one here. As Jamie McAuliffe, president and CEO of Education for Employment (EfE), remarked at the WEF conference in Jordan: “We are trying to get governments and businesses to identify job-creating sectors and encourage investors to engage in them.” He also spoke of the need to encourage entrepreneurship and facilitate ways for young people to start small businesses through micro-financing programs. He went on to emphasize with regards to women that: “The rates of unemployment are as high as eight times that among young men,...
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Algeria / Arab Competitiveness Report 2013 / Civil society / Education / Employment / GCC / government / ILO / Jean AbiNader / Libya / Morocco / Private Sector / Qatar / Saudi Arabia / Training / Youth Unemployment / Economics / Focus Article / Middle East & North AfricaIn the Middle East and North Africa, rates of unemployed young women are eight times that of men. This is the first of a two part series. After more than two years, economic issues raised during the Arab Uprisings are still lingering on government agendas. Along with governance and transparency concerns, the most obdurate legacy for most countries is the demand for meaningful employment — a nettlesome priority that bedevils governments in the Middle East and North Africa (MENA), including the wealthy Gulf Cooperation Council (GCC) members. A Complex and Interconnected Challenge Current governments are burdened with trying to fix education and training regimes that did not prepare...
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360° Analysis / China / EU / EU-Asian Relations / Hassan Rouhani / India / Iran / Iranian Sanctions / Kingdream PLC / Sinopec / South Korea / US Foreign Policy / US Sanctions / US-Asian Relations / US-Iranian relations / Economics / Middle East & North Africa / Central & South Asia / Asia PacificEconomic relations between Iran and its Asian partners might be limited, but are never completely cut. This is the last of a two part series. Read part one here. The extra-territorial nature of US sanctions, as well as the fact that these measures were supported by a large number of countries (such as the UAE, Canada, Australia, EU members and others), also have a negative influence on Asian-Iranian economic relations. Even with support from their government, Asian exporters appear to be scared to deal with Iran in order to avoid punishment from US authorities. Only in 2012, Korean SK and Samsung, as well as Japanese Mitsubishi and Toyo, stopped dealing with Iran. In August 2012,...
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360° Analysis / Arak refinery / Bank of China / Barter Trade / China / EU Sanctions / FAO / Food Import / India / Iran / Iranian Central Bank / Iranian Gas / Iranian Oil / Iranian Sanctions / Japan / National Iranian Oil Company / South Korea / UN Security Council / US Sanctions / Economics / Middle East & North Africa / Central & South Asia / Asia PacificEconomic relations between Iran and its Asian partners might be limited, but are never completely cut. This is the first of a two part series. There are no doubts that international economic sanctions imposed on Iran remain one of the main factors shaping Tehran’s dialogue with the rest of the world. Nevertheless, their influence on Iranian economic cooperation with leading Asian countries such as China, Japan, South Korea and India cannot be considered as either negative or positive. It is more accurate to speak about diverse implications which the international punitive measures have on the development of the economic dialogue between Tehran and the Asians. Economic Cooperation With...
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360° Analysis / General License D / ICT Sector / Iran / Iranian Economy / Iranian Presidential Election 2013 / Iranian Sanctions / North America / Syria / US Sanctions / US State Department / US Treasury Department / US-Iranian Economic Relations / Economics / Middle East & North AfricaBy Karen HansenThe easing of tech sanctions offers the opportunity to reintroduce Iran as a potential market of entrepreneurs. The US Treasury Department recently issued "General License D," allowing the export of personal communications hardware and fee-based software to Iran. US mobile phones, Internet equipment, computers and tablets, anti-virus and anti-malware software, VPN service and other proxy tools, and even games like World of Warcraft, can now legally be sold to Iran, excluding purchase by the regime and other specially designated individuals and organizations. The move was aimed to aid activists and dissenters in avoiding the Iranian government’s content monitoring and...