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One Flew Over the Resource Curse

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One Flew Over the Resource Curse

GENEVA – Geopolitical insight is often gained through real-life experience, rather than big-picture thinking. Arriving at Charles de Gaulle airport in Paris from Conakry, Guinea, is a case in point: Conakry’s airport, located in one of the world’s poorest countries, outperforms France’s prestigious global hub in terms of cleanliness, service, and pride.

 

Missing Growth Multipliers

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Missing Growth Multipliers

PRINCETON – In April 2010, when the global economy was beginning to recover from the shock of the 2008-2009 financial crisis, the International Monetary Fund’s World Economic Outlook predicted that global GDP growth would exceed 4% in 2010, with a steady annual growth rate of 4.5% maintained through 2015. But the forecast proved to be far too optimistic.

Last Updated ( Monday, 19 November 2012 16:41 )
 

The Moral of Sandy

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COPENHAGEN – When “superstorm” Sandy hit the east coast of the United States on October 29, it not only flooded the New York City Subway and became the most important factor for 15% of US voters in the presidential election a week later. It also resurrected the unwarranted claim that global warming was to blame for such events, together with the morally irresponsible argument that we should help future hurricane victims by cutting CO2 emissions.

 

Oki-Now-What?

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OSAKA – Japan’s alliance with the United States is widely viewed as a crucial counterweight to China’s hegemonic ambitions, which pose significant threats to Asian security. But, although the United States and Japan are conducting joint naval exercises in the East China Sea in order to signal to China that it should tone down its actions over the disputed Senkaku Islands, all is not well with the alliance.

 

Regional Economic Outlook for Sub-Saharan Africa

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Regional Economic Outlook for Sub-Saharan Africa

The global economy faces significant uncertainty and growth prospects remain weak. Yet, Sub-Saharan Africa continues to perform strongly, with economic growth expected to exceed 5 percent this year and next. This resilience was already in evidence 2008-09, when the global economy experienced its deepest recession since the 1930s, while notably low-income countries fared much better than they had during past global downturns. Ample policy space, resulting from prudent policies over the preceding decade as well as comprehensive debt relief, helped many countries to respond counter-cyclically by allowing fiscal deficits to widen. This helped protect critical spending: most countries were able to increase spending on infrastructure, health, and education. Strong growth in emerging markets, growing trading partners for many countries in Sub-Saharan Africa, also helped cushion the impact of the recession in traditional partner countries.

 
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