A tale of two economies – Greece and Iceland Last Friday (March 9, 2012), the Greek government effectively defaulted on its public debt after the required minimum of 75 per cent of private creditors agreed to the so-called “haircut” or debt swap. I find it amusing how the Euro leaders have attempted to massage the default as a debt swap or some other euphemism. The facts are obvious – close to 100 per cent of those who are holding Greek government debt will lose at a minimum 53.5 per cent of the value of their assets. All the political elites in Europe (or most of them) seemed to be raising their Chardonnay glasses to toast a success. On Saturday (March 10, 2012) the Sydney Morning Herald reported in the article – Greek problem solved, Sarkozy says – while Germany warns – which predictably had the French leader making political statements in the face of his upcoming election and the Germans – being, well, Germans. Sarkozy was quoted as saying: Today the problem is solved … A page in the financial crisis is turning. Conclusion
Is the Arab Spring good or bad for terrorism? 22 June 2011Last updated at 13:00 ET By Frank Gardner BBC security correspondent Some observers fear that Yemen's revolt is creating opportunities for terrorists In foreign ministries and intelligence agencies on either side of the Atlantic, counter-terrorism officials are asking themselves the same question over and over: is the so-called Arab Spring good or bad for terrorism? Six months down the line, it is a mixed picture. The collapse of unpopular, undemocratic regimes in Tunisia and Egypt has certainly removed a major grievance, although neither country is finding the path to democracy trouble-free. But the slow-motion agony of Yemen, Libya, Syria, and to some extent Bahrain, as protesters vent their anger with their rulers, raises the spectre of long-term violence. Al-Qaeda and global jihadists, who found themselves left behind by the wave of liberal protest, are now looking at ways to exploit the situation, while Iran is taking a close interest in Bahrain's troubles. “Start Quote
FairShare Helps Bloggers Track Their Content Across The Web; Grab An Invite Here FairShare, a new site launching today in private beta, is looking to help bloggers keep track of their content online. The free service allows users to specify what kind of Creative Commons distribution license they’ve previously assigned to their material, and uses a vast index of the web to see where their content has been distributed and how it has been used. TechCrunch readers can grab one one of 1,000 invites by going here and entering the code “TechCrunch”. In many ways FairShare is a toned-down version of Attributor (an enterprise-grade web service that helps large media companies search the web for copyright infringement). Getting started with FairShare is straightforward. The service will appeal to two very different groups of people. It will be nice for bloggers to easily look up when other sites are reposting their content, but I doubt many of them will have time to hunt down any offenders, and it’s already fairly easy to tell who is linking to your site using trackbacks.
Germany: A False Model at Reports from the Economic Front As growing numbers of countries face renewed austerity pressures, there is a tendency to explain the trend by searching for specific policy failures in each country rather than considering broader structural dynamics. Key to the credibility of those who argue for a focus on national decisions is the existence of countries that people believe are performing well. Thus, the argument goes, if only policy makers followed best practices their people wouldn’t find themselves in such a bad place. Here is a typical framing of the German experience: At a time when unemployment rates in France, Italy, the UK, and the US are stuck around 8%-9%, many are turning to the apparent miracle in the German labor market in search of lessons. In other words, Germany seems to be doing things right. This development was far from accidental. The New York Times described the German employment miracle as follows: As the chart below shows, German wages have been stagnating for over a decade.
Austria witnesses new gold rush There's a new gold rush. The financial crisis is prompting people to look for safer forms of investment than stocks and shares. The interest in gold coins is so great that many of the world's major mints are struggling to keep up with demand, including the Austrian Mint, which produces the Vienna Philharmonic - one of the best-selling bullion coins worldwide. Sales of Vienna Philharmonic gold coins have gone up by more than 230% since last year. Kerry Tattersall, the director of marketing at the mint, says production has gone into overdrive. "We are running at present something like three shifts on all of the machines, on the presses, producing both gold and the silver bullion coins. How gold coins are made "We've actually got delays in delivering orders in silver. In September alone, the mint sold 100,000 ounces in gold coins - in normal times it would take three to four months to sell that much. Mr Tattersall says people are looking for security. King's ransom Life savings
ip consultants non profit A new, non-profit, legal services organization, the Virtual Intellectual Property Organization (VIPO), has opened in Second Life. VIPO advertises that it offers “accessible legal advice concerning virtual property, trade and commerce and the use of real life intellectual property in virtual worlds.” VIPO is the brainchild of Tamiko Franklin (Second Life’s ‘Juris Amat’). Franklin was born and raised in Columbus, Ohio, and earned a Bachelor of Arts in Linguistics from Antioch College, and a J.D. and Master of Intellectual Property from Franklin Pierce Law. She is currently Director of International Legal Services for Matijevich Law Offices in Zagreb, Croatia and Director General of the VIPO. VB interviewed ‘Amat’ by email. VB: In very general terms, what is the Virtual Intellectual Property Association, and why did you start it? JA: VIPO is a virtual intellectual property legal services organization. VB: Specifically, what are some of the services that VIPO will offer?
Business | US banks make shock status switch The last two major investment banks in the US have changed their status to become bank holding companies, allowing them to take deposits from investors. The changes should enable Goldman Sachs and Morgan Stanley to raise more funds by opening commercial banks. The move - part of a huge restructuring effort on Wall Street - will also give them access to Federal Reserve support. The US government has announced a $700bn (£382bn) package to tackle the worst financial crisis for decades. Congress is considering the plan, drawn up by Treasury Secretary Henry Paulson, which would set up a fund to buy up much of the bad debt held by financial institutions, which had triggered the credit crisis. The BBC's business editor Robert Peston said transforming these investment giants into licensed, deposit-taking banks marked the end of an era for Wall Street. 'Greater safety' They speak about 'economic forces' as if they are natural disasters - they are man made James, Southend Flexibility and stability
Special Reports | The cost of food: Facts and figures Explore the facts and figures behind the fluctuating price of food across the globe. Rising prices will improve the trade balance of major food exporters, but major importers stand to see a greater deficit Figures from the Commodity Research Bureau and the FAO show a take off in energy prices, before food prices start to rise There will be billions more mouths to feed by 2050, making an increased demand for food a long-term trend Business | Global recession timeline - 2007 - 2010 8 February 2007: HSBC WARNS OF SUBPRIME LOSSES HSBC reveals huge losses at its US mortgage arm Household Finance due to subprime losses, in one of the first signs that the US housing market is turning sour, and that it could have a knock-on effect on the global financial sector. Full story 2 April 2007: NEW CENTURY GOES BUST New Century Financial, a leading subprime lender, files for bankruptcy. It is the first signal that something is seriously amiss at US mortgage lenders. 9 August 2007: CREDIT MARKETS FREEZE Credit markets go into freefall after Paribas announces that two of its hedge funds are frozen due to "complete evaporation of liquidity" in asset backed security market. 14 September 2007: RUN ON THE ROCK Savers in beleaguered UK former building society Northern Rock begin withdrawing their savings after the BBC reveals the bank has received emergency financial support from the Bank of England. 17 March 2008: BEAR STEARNS RESCUE 7 September 2008: FANNIE MAE RESCUE