IMF Concedes Central Banks Are Doomed

 

The International Monetary Fund (IMF) has warned at the G20 summit in Hangzhou, China, that in the face of crises, the refusal to reform how things are functioning will lead to economic weakness in the global economy. “The latest data show subdued activity, less growth in trade and a very low inflation, suggesting an even weaker global economic growth this year,” the IMF told G20 leaders.

Indeed, we are looking at 2016 coming in as the fifth consecutive year in which global growth will be below the average of 3.7% which prevailed between 1990 and 2007. The IMF said: “Without strong political countermeasures the world could suffer a disappointing growth” for several years to come. Christine Lagarde told world leaders: “Even in the longer term the outlook remains disappointing.” Continue reading

The Challenge for the Next President: Reversing the Decline in U.S. Power

A top priority for the next President of the United States must be to demonstrate the strength and confidence to protect the nation’s vital interests at home and abroad. These vital interests are: (1) defense of the homeland; (2) prevention or successful conclusion of a major war with the potential to destabilize regions of critical interest to the U.S.; and (3) preservation of freedom of movement within the global commons: the sea, the air, cyberspace, and outer space domains through which the world conducts business.[1]

There is clearly a need to do something different. The Heritage Foundation’s Index of U.S. Military Strength graded the ability of the United States to protect its vital interests as “marginal,” an assessment that reflects both deteriorating U.S. capabilities and rising concerns in key parts of the world.[2] Further, it is clear that this Administration’s approach to defense and foreign policy is deeply flawed.[3] In practice, it has served the nation poorly. Continue reading

Trade Policy and Economic Decline

In a book titled SELLING US OUT, J.R. Martin writes of Chinese companies “exploiting loopholes in the U.S.-China tax treaty signed by the Reagan administration in 1986.” He asks what the Founding Fathers would say about our current trade deficit, and our indebtedness to communist-ruled China. Martin asks, “What would Washington and Adams think about the corrupt and destructive power of the two major political parties in America? How would they judge today’s capitalism?” Continue reading