Canada’s Trudeau Pushes Keynesian Stimulus
Ottawa — Fiscal stimulus may be what the doctor ordered for the world economy, but Prime Minister Justin Trudeau will have a tough time persuading his peers to swallow the medicine. Canada’s new Liberal government is expected to post a shortfall of about $22.5 billion in its debut budget, representing one of biggest expansionary swings in fiscal policy in the nation’s history. It’s the sort of activism increasingly touted within...
Technology Could Change Trend of Global Trade
Two of the biggest forces influencing global economic activity over the past three decades — globalization and automation — have had polar-opposite effects on workers in emerging markets. The former pushed multinationals to move production to countries with cheaper labor costs than advanced economies, while the latter effectively substitutes capital for labor in the production process. In a note to clients, analysts at the Goldman...
Russia and Saudis Fix Oil Output
Saudi Arabia and Russian oil ministers agreed to freeze — but not cut — crude oil output at near-record January levels, a highly unusual pact between the world’s leading OPEC and non-OPEC petroleum producers. Qatari and Venezuelan oil ministers also joined the agreement in a meeting Tuesday in Doha, but the accord did not include Iran, which is seeking to ramp up oil output after the lifting of sanctions related to its nuclear...
China’s Slowdown Casts a Shadow
China’s economic slowdown and financial mayhem are fostering a cycle of decline and panic across much of the world, as countries on nearly every continent see escalating risks of prolonged slumps, political disruption and financial losses. South Africa’s currency, the rand, plunged on Monday after stocks once again sold off in China, which is the country’s largest trading partner. South Africa’s economy — like that of many countries...
Obama, Senate GOP Team Up
Washington — The Obama administration and Senate Republicans worked in unusual harmony Tuesday to advance major trade legislation opposed by many rank-and-file Democrats, an expanding struggle already leaving a mark on the 2016 campaigns for the White House and control of Congress. In rapid-fire order, the administration threatened to veto a proposed change in the trade bill to require U.S. negotiators to target currency manipulation...
