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...Bloomberg recently reported "Fallout from the recession implies a 'markedly higher' natural rate of unemployment, says Edmund Phelps, a professor at Columbia University in New York and winner of the 2006 Nobel Prize in economics. "It was 5.5 percent; maybe it will be 6.5 percent, maybe 7 percent." Phelps has a number of equally qualified experts who agree with him. (See pictures of Cleveland struggling with unemployment...

Author: /time Magazine | Title: Despair and the Vision of the New Economy | 5/5/2009 | See Source »

...Politicians, too, need to play a crucial role in restoring confidence, not least by letting us know when and why banks deserve it. There's a snag with that, though: our leaders' own levels of trustworthiness are depressed amid the global downturn. In that ICM poll, the rate of trust in the government to manage the financial crisis was just 4.5 in Britain, similar to the level in France but higher than that of Germany. In the U.S., where citizens were polled only days after President Obama's election, confidence was higher, at 6.3. (See pictures of Barack Obama...

Author: /time Magazine | Title: What Banks Are Still Missing: Trust | 5/4/2009 | See Source »

...easy to understand the economic appeal of the project, as the county's unemployment rate hovers around 10% and Hardin's central business district has seen much better days. On a Saturday morning, two 30ish sisters who had been up all night partying, wobbled along the sidewalk then slouched in the sun against one of many vacant storefronts lining Center Avenue. They said they needed a ride out of town and were afraid they might be picked up by the police and jailed, but then laughed with some relief when reminded that the closest lock-up, the Big Horn County...

Author: /time Magazine | Title: The Montana Town That Wanted to Be Gitmo | 5/3/2009 | See Source »

...numbers: Caracas, with about 3.2 million people, is in a bloody league of its own, with an estimated murder rate of 130 per 100,000 residents according to government figures. Cape Town is about the same size as Caracas but nearer to Baghdad's murder rate with 62 violent deaths per 100,000 people. New Orleans, with an estimated post-Katrina population of just over 300,000, is tiny in size compared to its rivals. But the number of murders is huge; figures vary, but even the low estimate puts the city on a par with Cape Town...

Author: /time Magazine | Title: Is Baghdad Now Safer Than New Orleans? | 5/1/2009 | See Source »

...enlargement process encouraged a wrenching industrial overhaul of those nations, based on the privatization and liberalization that was set as part of the price for E.U. membership, and in doing so shepherded their makeovers from stodgy Soviet vassals into economic dynamos. Slovakia and the Baltic states saw growth rates as high as 7-10% in their best years. And in Poland, the unemployment rate dropped from 19% to 9.5%; in Lithuania, it plummeted from...

Author: /time Magazine | Title: Second Thoughts About E.U. Enlargement | 5/1/2009 | See Source »

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