Follow @AEIdeas on Twitter
Most Popular on AEIdeas
What’s New on AEI
Get the best from AEI each morning
Panama’s inability to combat financial crimes places it in the center of the United States’ efforts to combat money laundering originating in the Maduro and Ortega dictatorships. Its newly-elected president, Laurentino Cortizo, offers fresh hope that the US can continue to freeze the coffers of these regimes.
The prospect of a hard Brexit, or of a general election that could see the Labor Party’s far-left leader Jeremy Corbyn elected as prime minister, will hardly inspire foreign investor confidence. Nor will the prospect of renewed global financial market turbulence that could put pressure on the City of London.
Since the 1990 business cycle peak, wages are up 20% in real terms. And if you use the “personal consumption expenditures price index” rather than the CPI as the inflation measure — it’s the one preferred by the Federal Reserve and Congressional Budget Office — you find a 32% increase in average worker wages and about the same for the bottom fifth of workers.
View related content: International Economics
The economics of Trump’s trade agenda are in fact, to a first approximation, fairly simple: impose taxes on imports and create non-tariff barriers to imports, which will block mutually beneficial transactions between Americans and foreigners and incentivize retrenchment from the global economy.
Critics who have argued (correctly) that the president’s scatter-shot tariffs on China are inefficient and self-destructive should at least applaud this more targeted move. Yes, there are downsides — there always are in any offensive weapon; but this action has strategic logic behind it.
View related content: Technology and Innovation