Middle Class Dismissed

Japan should let elderly ‘hurry up and die’: finance minister Taro Aso

"Japan’s finance minister Taro Aso said Monday the elderly should be allowed to 'hurry up and die' instead of costing the government money for end-of-life medical care. Ageing is a sensitive issue in Japan, one of the world’s oldest countries, with almost a quarter of its 128 million people over 60. That figure is expected to rise to 40 percent within the next half-century. At the same time a shrinking number of workers is placing further strain on an already groaning social security system, with not enough money going into the pot to support those who depend on it." Continue reading →

Continue ReadingJapan should let elderly ‘hurry up and die’: finance minister Taro Aso

Food prices may be catalyst for 2013 revolutions

"The easiest prediction to make for 2013 is that everything we eat will once again rise sharply in price. So where will the revolutions start this year? Keep an eye on Algeria and Greece — and if you want to feel very nervous, Russia and China. And if you are smart, keep your money out of those countries as well. The link between the cost of feeding your family and political turmoil is too well-established to be ignored. We saw it most recently with the Arab Spring of 2011. The uprisings that deposed the autocracies of the Middle East had their roots in food inflation." Continue reading →

Continue ReadingFood prices may be catalyst for 2013 revolutions

Watchdog: U.S. postal service in desperate need of rescue from Congress

"The postal service has reached its $15bn credit limit with the US Treasury, and has in effect run out of money. 'This is the year that they borrowed so much that they can’t borrow any more,' Williams said. Asked whether the USPS will need a bailout this year, Williams replied: 'Yes. The choices are that it would cease to exist or it would need a bailout.' Williams said he did not expect the USPS to require taxpayer dollars, but instead that it would require congressional intervention, perhaps to reduce the pension payments." Continue reading →

Continue ReadingWatchdog: U.S. postal service in desperate need of rescue from Congress

Study: Companies from emerging markets will shape global economy in next decade

"The top 100 fast-globalising companies from rapidly developing economies are outpacing their rivals from developed economies in terms of expansion, job creation and productivity, said the Boston Consulting Group (BCG) study. These companies, which it called global challengers, grew at an annual average of 16 percent from 2008 through 2011, four times the rate of their competitors in developed countries. Their average revenue hit $26.5 billion (20 billion euros) in 2011, compared to $21 billion for the non-financial companies listed on the S&P 500 stock index." Continue reading →

Continue ReadingStudy: Companies from emerging markets will shape global economy in next decade

China Overtakes Sluggish Europe in Car Sales

"It's no secret that Europe's automobile industry isn't exactly booming. Several carmakers on the Continent are struggling as demand has fallen off during the euro crisis, particularly in southern European countries, where austerity programs have taken a bite out of prosperity. In China, however, more and more cars are flying off the lots. And in 2012, for the first time ever, Chinese consumers purchased more automobiles than did buyers in Europe, according to the dailySüddeutsche Zeitung, citing an unpublished report by Germany's VDA automobile industry association." Continue reading →

Continue ReadingChina Overtakes Sluggish Europe in Car Sales

Food Shortages in Venezuela Bigger Worry Than Constitution

"At a bustling food market in downtown Caracas, armed officers belonging to President Hugo Chavez’s National Bolivarian Guard marched by boxes of lettuce and tomatoes, checking prices and storage rooms. The inspection is part of a nationwide campaign to crack down on over-pricing and hoarding the government blames for shortages of basic goods, from toilet paper to sugar. The government said today that consumer prices in December jumped the most in 2 1/2 years, highlighting the growing economic problems that are amassing as Chavez’s battle with cancer unleashes a power struggle." Continue reading →

Continue ReadingFood Shortages in Venezuela Bigger Worry Than Constitution

Economic Riots and TrampleFests

"This is just a peek at what lies ahead. In a Detroit suburb, rioting ensued when a government organization attempted to hand out welfare freebies in the form of Section 8 Housing Vouchers. The county was giving out 1,000 vouchers and at least 4x that many people showed up to get the freebie. The Michigan State Police had to come in and suppress the out-of-control redistribution celebration gone wild." Continue reading →

Continue ReadingEconomic Riots and TrampleFests

Themes for 2013: Eight trends to follow in 2013 and beyond.

"Rather than attempt to predict the unpredictable – that is, specific events and price levels – let’s look instead for key dynamics that will play out over the next two to three years. Though the specific timelines of crises are inherently unpredictable, it is still useful to understand the eventual consequences of influential trends. In other words: policies that appear to have been successful for the past four years may continue to appear successful for a year or two longer. But that very success comes at a steep, and as yet unpaid, price in suppressed systemic risk, cost, and consequence." Continue reading →

Continue ReadingThemes for 2013: Eight trends to follow in 2013 and beyond.

Portugal warns EU-IMF troika to back off on austerity demands

"Portugal has taken its medicine with stoicism until now, winning praise from the EU leaders for sticking to its bail-out terms. But Troika officials fear that 'social cohesion' is fraying as the slump deepens. The country saw the biggest street protest this autumn since the end of the Salazar dictatorship. Portugal’s jobless rate has risen from 13.7pc to 16.3pc over the past year, reaching 39pc for youth, even before the full impact of austerity hits." Continue reading →

Continue ReadingPortugal warns EU-IMF troika to back off on austerity demands