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...most important business dynamic that works against job creation in an economy dropping this quickly is the fact that every worker is a consumer. Layoffs set in motion a vicious cycle that undermines a major pillar of any expansion. Consumer confidence drives the process that is the largest single component of GDP. In this recession, the trouble is compounded by an unprecedented lack of access to credit because of housing prices and the near failure of the banking system. (See pictures of office cubicles around the world...
...ferocity, the credit crunch has taken its varying toll on each of the European Union’s 27 diverse nations, dashing many semblances of unity among member governments. The need to “stick it out in tough times” is easier said than done. The largest and most threatening fracture divides new EU countries from old and has caused Prime Minister Ferenc Gyurcsany of Hungary to warn against “a new Iron Curtain” that could once again divide the continent. A solution must be formulated to prevent that development...
...China is not only America’s largest creditor, but it is also America’s only real global competitor. American demand for Chinese goods has fueled growth in Chinese manufacturing, and Chinese savings, in turn, have enabled America to live beyond her means. Yet this symbiotic economic relationship has, until recently, only made the headlines when it’s a matter of defective toys and toxic foodstuffs. Although at earlier points in our history we woefully mistreated African Americans and Native Americans, we lecture China about its treatment of Tibet and sell arms to what...
...designation that opened the floodgates to cruise ships. In the past five years, foreign visitors to Colombia have more than doubled, from 1 million to 2.6 million a year. From 2006 to 2007 alone, the country saw a 13.2% increase in tourism, which is now Colombia's third largest industry...
...attack comes at a sensitive time for Pakistan, and Punjab in particular. The country's largest and wealthiest province was plunged into turmoil last week after its most popular politician, opposition leader and former Prime Minister Nawaz Sharif, was barred from holding elected office by the Supreme Court in a controversial ruling. The decision sparked angry protests across the province and opened up a major rift with the government. Sharif has held political rallies across Punjab, urging supporters to join this month's lawyer-led "long march" to Islamabad to demand the reinstatement of deposed Chief Justice Iftikhar Chaudhry. Over...