Why Only America's Economic Recovery Is Built to Last
While this summer has yielded mostly positive economic news, the engines of recovery in Europe, Japan, and China, may inevitably lose steam.
What's the Latest Development?
While this summer has yielded mostly positive economic news, the engines of recovery in Europe, Japan, and China, may inevitably lose steam. "Unlike America, the euro area has failed to clean up its banks or write down unpayable debts. ... Britain’s rebound may fizzle out because its companies are investing so little. Japan’s main problem is the gap between...macroeconomic boldness and the timidity of...deregulation. ... China is in the midst of two tricky transitions: from an investment-led economy to a consumption-driven one; and from an economy addicted to rapidly rising credit to one that is more self-sustaining." But neither transition has gone far, implying slower growth.
What's the Big Idea?
Although America's Federal Reserve has spooked markets with its commitment to taper bond buying, those actions depend on an economy strong enough to withstand fiscal changes. "Better macroeconomics is a step forward, but its effect will be muted unless the financial plumbing is working, households are spending and firms are ready to invest. Those conditions hold in America, where repairs from the financial crisis are all but complete. After a painful adjustment, the housing recovery is built on solid foundations. Consumer debt has plunged. Banks are keen to lend. Add in the supply-side boost from shale gas, and you have the makings of a strong recovery."
Photo credit: Shutterstock.com
Swipe right to make the connections that could change your career.
Swipe right. Match. Meet over coffee or set up a call.
No, we aren't talking about Tinder. Introducing Shapr, a free app that helps people with synergistic professional goals and skill sets easily meet and collaborate.
A new study explores how certain personality traits affect individuals' attitudes on obesity in others.
- The study compared personality traits and obesity views among more than 3,000 mothers.
- The results showed that the personality traits neuroticism and extraversion are linked to more negative views and behaviors related to obesity.
- People who scored high in conscientiousness are more likely to experience "fat phobia.
The rise of anti-scientific thinking and conspiracy is a concerning trend.
- Fifty years later after one of the greatest achievements of mankind, there's a growing number of moon landing deniers. They are part of a larger trend of anti-scientific thinking.
- Climate change, anti-vaccination and other assorted conspiratorial mindsets are a detriment and show a tangible impediment to fostering real progress or societal change.
- All of these separate anti-scientific beliefs share a troubling root of intellectual dishonesty and ignorance.
The history of the Geneva Conventions tells us how the international community draws the line on brutality.
- Henry Dunant's work led to the Red Cross and conventions on treating prisoners humanely.
- Four Geneva Conventions defined the rules for prisoners of war, torture, naval and medical personnel and more.
- Amendments to the agreements reflect the modern world but have not been ratified by all countries.
SMARTER FASTER trademarks owned by The Big Think, Inc. All rights reserved.