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...fresh idea comes from Eric Dinallo, the New York state insurance superintendent, who in a March 3 Wall Street Journal op-ed suggested that insurance commissioners mediate the ratings process, since insurers are among the largest buyers of rated bonds. Regulators would collect a fee from insurance outfits and then use the money to buy ratings for everyone to use. If the ratings proved too rosy over time - or inaccurate in another way - regulators would switch to a different ratings company...

Author: /time Magazine | Title: How to Fix the Credit-Ratings Agencies | 3/23/2009 | See Source »

Many finance experts think the rules fall far short. Including, it seems, the SEC's new chairman, Mary Schapiro. In congressional testimony on March 11, two months after she was confirmed to her post, Schapiro said, "I'm not sure if it's enough, to be perfectly honest." On April 15, the SEC will hold a roundtable, to hear from the ratings firms about what they have done to improve things on their own, and also from people who think the entire issuer-pays model needs to be scrapped. "There have been some very thoughtful proposals out there...

Author: /time Magazine | Title: How to Fix the Credit-Ratings Agencies | 3/23/2009 | See Source »

...rose more than a fifth against the dollar in the last four months of 2008, as previously big-spending investors cashed in risky assets overseas and brought their earnings home. But that's changing. Japan's economy is in freefall. In its latest assessment of the global economy published March 19, the International Monetary Fund forecast the country's output shrinking by 5.8% this year, much more than in the U.S. or eurozone. With interest rates close to zero for months now, there's speculation Japan could intervene to weaken the yen in order to help stoke its all-important...

Author: /time Magazine | Title: Why the Norwegian Krone Is the World's Safest Currency | 3/23/2009 | See Source »

...March 8 confrontation between an unarmed U.S. Navy surveillance vessel and Chinese ships off China's Hainan Island, the site of a major People's Liberation Navy base, only reconfirmed the authors' notion of foreign states bent on encroaching upon China. "If Obama wants to talk about world peace, not sending troops abroad and so on, then what is the U.S. Navy doing in the South China Sea?" says Wang Xiaodong, a nationalist scholar who contributed several chapters to Unhappy China...

Author: /time Magazine | Title: A New Book Reveals Why China Is Unhappy | 3/20/2009 | See Source »

...Blumenthal had voluntarily closed down The Fat Duck for two weeks - losing an estimated $145,000 as a result - while testing was carried out. After getting the all-clear from authorities, he reopened it on March 12, but kept seafood off the menu, just in case it would prove to be the culprit. The three-star restaurant is known for its inventive menu that includes scrambled egg and bacon ice cream, and snail porridge. Its 17-course set menu costs $180 and can take three hours to complete. (See pictures of the perfect steak...

Author: /time Magazine | Title: What Made the Fat Duck Diners Ill | 3/20/2009 | See Source »

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