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...What Summers proceeded to offer was, in fact, an unusually candid insight. And though couched in jargon, it was an insider's confession of why our present economic moment is fraught with both danger and opportunity. There appears to be, Summers told the suddenly very attentive crowd, a strange bit of physics working itself out in our economy. The problem is related to a hiccup in an economic rule called Okun's law. First mooted by economist Arthur Okun in 1962, the law (it's really more of a rule of thumb) says that when the economy grows, it produces...

Author: /time Magazine | Title: Jobless in America: Is Double-Digit Unemployment Here to Stay? | 9/11/2009 | See Source »

...Fritz Henderson phoned Chancellor Angela Merkel's office Thursday to seal the deal. The decision to sell Opel and Vauxhall to Magna is a coup for Merkel who has staked her credibility on the bid, a joint offer from the Canadian car-parts manufacturer and Russia's state-owned Sberbank. Since May, Merkel and the German government have thrown their weight behind Magna's offer, arguing that Magna already had extensive experience in building autos. Berlin also likes the fact that the Magna bid will keep open Opel's four factories in Germany, thus saving more jobs there than rival...

Author: /time Magazine | Title: GM Accepts Canadian-Russian Bid for Opel | 9/11/2009 | See Source »

...well as $4 billion in future loan guarantees. The German government also made it clear it wouldn't stump cash for any other bidder. Some politicians accused Merkel of "blackmail" and warned that her government's support for Magna could backfire. Initially, GM had serious reservations about Magna's offer and seemed to favor a rival bid by the Belgian-based investor, RHJ International. One GM official said RHJ's offer was "simple and elegant." In particular, GM was uncomfortable with a Russian company getting its hands on Opel's technical expertise and patents...

Author: /time Magazine | Title: GM Accepts Canadian-Russian Bid for Opel | 9/11/2009 | See Source »

...deal, Magna and Sberbank will own 55% of the "New Opel", GM will keep 35% and the company's workers will take a 10% stake. GM's chief negotiator John Smith, who flew in from Detroit for a Berlin news conference, said Magna had come up with the best offer. "Magna has a great manufacturing culture and it enjoys the support of German labour unions, and the funding is there. It makes sense," said Smith. But he also warned of job-cuts. Magna's bid outlined a plan to wind down production at GM's factory in Antwerp, Belgium...

Author: /time Magazine | Title: GM Accepts Canadian-Russian Bid for Opel | 9/11/2009 | See Source »

...individual student’s interests,” she said. Despite the evident trend, the Gen Ed office will be unable to estimate exactly how many juniors and seniors are making the switch until October 15 at the earliest, said Kenen. On that date, the registrar plans to offer an online tool allowing students who have declared their concentration to officially choose between the Core and Gen Ed. In hopes of better educating students about the differences between the two curricular programs, the Gen Ed office plans to hold an information session open to all students sometime around...

Author: By Benjamin M. Jaffe, CRIMSON STAFF WRITER | Title: Upperclassmen Flock to Gen Ed | 9/10/2009 | See Source »

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