2018-04-20 10:38:00 Fri ET
technology antitrust competition bilateral trade free trade fair trade trade agreement trade surplus trade deficit multilateralism neoliberalism world trade organization regulation public utility current account compliance
Allianz chairman Mohamed El-Erian bolsters a new American economic paradigm in lieu of the Washington consensus. The latter dominates the old school of thought prior to the Trump administration. Most key countries would benefit from embracing domestic deregulation and free trade and open cross-border capitalism. When the Washington consensus turns into blind faith, however, America suffers the major discontents of financial globalization such as subprime mortgage risks in the global financial crisis from 2008 to 2009.
Unemployment surges to unforeseen double digits, capital investment wanes, real productivity protracts, and U.S. residents reap lower disposable income. Secular stagnation emerges from the worst-case scenario where the central bank hits the zero lower bound on interest rates to ease labor-market frictions, whereas, higher prices become inadvertent seigniorage taxes. Political polarization further deepens economic income and wealth inequality.
With socioeconomic advantages such as elite education and political clout, the rich become richer as most of their income and wealth would result from cash dividends and capital gains. El-Erian thus proposes his new consensus on fair trade, artificial intelligence, big data, and greater labor mobility. This new consensus better adapts to the current tech titan dominance in both American labor and capital markets.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2019-07-09 15:14:00 Tuesday ET

The Chinese new star board launches for tech firms to list at home. The Nasdaq-equivalent new star board serves as a key avenue for Chinese tech companies t
2019-08-30 11:35:00 Friday ET

The conventional wisdom suggests that chameleons change their skin coloration to camouflage their presence for survival through Darwinian biological evoluti
2020-05-05 09:31:00 Tuesday ET

Our fintech finbuzz analytic report shines fresh light on the fundamental prospects of U.S. tech titans Facebook, Apple, Microsoft, Google, and Amazon (F.A.
2019-06-15 10:28:00 Saturday ET

The Sino-American trade war may slash global GDP by $600 billion. If the Trump administration imposes tariffs on all the Chinese imports and China retaliate
2019-11-07 14:36:00 Thursday ET

America expects to impose punitive tariffs on $7.5 billion European exports due to the recent WTO rule violation of illegal plane subsidies. World Trade Org
2023-10-28 12:29:00 Saturday ET

Paul Morland suggests that demographic changes lead to modern economic growth in the current world. Paul Morland (2019) The human tide: how