News and Analysis: 9-13 Nov 09 | EmergingFrontierMarkets.com

Based in: Manila, Philippines

Posted on Fri, 13 Nov 09:

Apec seeks new balance of power: If you simply look at the numbers, the Asia Pacific Econ Cooperation forum ought to be one of the most influential gatherings on the global calendar. But in an interview ahead of the summit w/ its host, Singapore's PM, 2 words seemed to dominate - rebalancing and re-engagement, BBC News, 13 Nov 09 (Apec '09)

Jeffrey Schott: Apec and trade liberalization--Towards greater integration: Apec's 20th anniversary is a fitting time to remember and reinvigorate its founding goal of econ cooperation. Serious consideration should be given to how to transform the 'concerted bilateralism' of the past 2 decades into an integrated Asia-Pacific pact. The process would almost surely have to be incremental, but such new initiatives could revive the Bogor vision of free trade and, more importantly, its fundamental goal of improving the econ welfare of all the people in the region, says Inst senior fellow, Biz Times/ S'pore (courtesy Peterson Inst), 10 Nov 09

Posted on Thu, 12 Nov 09:

APEC calls for market-driven currency rates: Asia-Pacific finance ministers incl from China and US pledged today to pursue 'market-oriented exchange rates', following criticism that China has been keeping its currency artificially low in order to boost its exports. The 21-nation Asia Pacific Econ Cooperation grouping's fin mins met ahead of its annual summit which will be attended by US Pres Obama and his Chinese counterpart Hu Jintao. But the host, Singapore's fin min, sidestepped a question over the yuan's level, Ag. France-Presse (courtesy inSing[apore]), 12 Nov 09

Obama will face a skeptical Asia: Q&A w/ Inst deputy director Marcus Noland--Q: What is going to be the agenda at the APEC meeting, a group that has had its ups and downs over the yrs? Esp after the recent Japanese election, there's more and more talk of regional inter-Asian cooperation? Is that something that the US has to worry about at the APEC meeting?, Peterson Inst, 2 Nov 09 [pdf]

Posted on Wed, 11 Nov 09:

Lights return following Brazilian blackout: Brazil emerged early today from a widespread power outage that plunged its major cities into darkness, prompting security fears and concern from residents about another black eye for a nation hosting the 2016 Olympics. Power went out for more than 2 hrs after transmission problems knocked one of the world's biggest hydroelectric dams offline. Neighboring Paraguay was also plunged into the dark, but for less than 30 mins. The govt blamed storms that took down power lines and towers, causing a domino effect that rippled across the region, AP (self-updating link courtesy NPR), 11 Nov 09

New study highlights India's key economic strengths and weaknesses: A new report analyzes India's performance in an intl context. The India Competitiveness Review (w/ exec sum) makes comparisons with a no. of nations, incl China, Indonesia, Philippines and Brazil, revealing significant differences in performance, World Econ Forum, 5 Nov 09

Coffers: Forget China, Brazil's a cheaper investment--Brazil isn't growing as fast as China and India, but its stock market boasts a more attractive valuation. Its once-troubled economy has bounced back from the global financial crisis more quickly than many, and its govt debt earned an investment-grade rating from Moody's in Sep, Fortune, 28 Oct 09

Posted on Tue, 10 Nov 09:

Japan passes aid package for Afghanistan: The Japanese govt today passed an aid package worth $5B over the next 5 yrs to help reconstruction in Afghanistan. The package is to replace the military aid for the Afghan war, which involves a controversial refuelling mission in the Indian Ocean. Japan plans to support training Afghan policemen in nations like Indonesia and vowed to pay half the wages of the 80,000-strong Afghan police force, Deutsche Presse-Agentur (courtesy Earth Times), 10 Nov 09

IMF urges Ukraine to stick with recovery policies: IMF says that Ukraine has stabilized a difficult economic situation, but it is
pressing policymakers to avoid actions that could undermine the recovery. An IMF Mission has recently returned from Kyiv after discussions w/ the authorities, IMF Survey Mag, 4 Nov 09 (Iceland's quiet progress | Helping avert systemic crisis in emerging Europe) [Ed.'s note: A previous post identified Ukraine, Latvia and Iceland among the world's 10 riskiest sovereign debt issuers, acc to Credit Market Analysis.]

Newsroom: World Press Freedom Index--Obama effect in US, while Europe continues to recede, Israel in free fall, Iran at gates of infernal trio: An organization recently issued its 8th annual world press freedom index, which finds the US has climbed 16 places in the rankings in just 1 yr. Obama's election and the fact that he has a less hawkish approach than his predecessor have had a lot to do w/ this. Iran has now reached the gates of the infernal trio at the very bottom - Turkmenistan, NKorea and Eritrea - where the media are so suppressed they are non-existent, Reporters Without Borders, Oct '09 (Freedom House's Freedom of the Press '09)

Posted on Mon, 9 Nov 09:

G20 officials agree to continue rescue measures: Finance officials from rich and developing nations pledged to maintain emergency support for their economies until recovery was assured, but failed to reach agreement on the cost of fighting climate change. The G20 said after talks in Scotland that economic recovery was 'uneven and remains dependent on policy support', SAfrica Press Assn/ AP (courtesy Business Report), 9 Nov 09

A Alesina and N Fuchs-Schündeln: Goodbye Lenin (or not?)--The effects of Communism on popular preferences--While the common view in the West is that most Europeans who lived under Communism were happy to trade state-run economies for free-market capitalism, it turns out that their Marxist indoctrination may have more staying power than previously thought. After being reunited w/ West Germany, most East Germans have retained a decidedly Communist view of what the govt should do in terms of providing a social safety net and redistributing wealth from rich to poor, say Harvard economists, Nat Bur Ec Res (NBER) Digest, Apr '06 (Ed.'s note: For the advanced reader, here's a link to the underlying research, published later in the Amer Econ Rev, Sep '07 [pdf])

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