New York Times
WHEN Mitt Romney takes the podium at Ford Field in Detroit today, he’s likely to include yet another sharp denunciation of the government’s rescue of General Motors and Chrysler.
Financial Times
Amid the finger-pointing about the failures of capitalism, we should not forget the responsibility of governments. They relaxed regulatory requirements, turned a blind eye to dangerous activities and indulged in their own excesses. Capitalism is like an energetic child who needs boundaries and discipline. If a toddler accidentally sets his home on fire, it is the parents who bear the blame. “Capitalism in crisis” could easily be subtitled “government in crisis”.
Politico
By now, every literate American is probably familiar with former Massachusetts Gov. Mitt Romney’s 14 percent federal tax rate, the result of most of his income coming via capital gains.
New York Times
With little fanfare, a dangerous notion has taken hold in progressive policy circles: that the amount of money borrowed by the federal government from Americans to finance its mammoth deficits doesn’t matter.
Financial Times
Lest we needed another reminder, Thursday’s announcement that the Italian automaker Fiat had achieved the final performance target in its alliance with Chrysler underscored once more the remarkable success of the rescue of the American automobile industry.
Financial Times
Here is what I want Santa to bring me: straight talk from political leaders about the true nature of America’s economic problems, and some solutions for dealing with them. So far, my Christmas stocking is empty.
New York Times
HARDLY a day goes by without news of yet another economic problem facing China. A frothy real estate market. Quickly rising wages. A weakening manufacturing sector. Tightening lending standards. The list can seem endless and frightening.
But after a recent visit to China, I remain staunchly optimistic that it will continue to be the world’s greatest machine for economic expansion.
Financial Times
MF Global is not the first firm to be done in by bad bets in the casino known as Wall Street, nor will it be the last. With many questions still unanswered – perhaps most importantly what exactly happened to the $630m of customer money that was required to remain in segregated accounts – attempting to divine the meaning of its collapse may
be premature. But a first rough draft of the meteoric history of the brokerage company offers a few lessons and timely reminders.
New York Times
Here’s the critical takeaway from last week’s European rescue plan: Nothing in it addresses the endemic economic weaknesses that nearly propelled the euro zone into a meltdown.
Financial Times
Eurobonds. EFSF. IMF austerity. ESM. Budgetary rules. A European finance minister. So many wonky ideas for saving the single currency swirling as pressure mounts on the eurozone’s leaders to find a solution at this weekend’s summit. Unusually, senior US policymakers have also weighed in, urging boldness and the American policy tools of 2008 on their European counterparts.
