Monday Financial Headlines
Imagine If China Had A Free Economy
Daniel Twining of the Financial Times notes that China has experienced rapid growth under a system of bureaucratic authoritarianism, but it also has produced imbalances in wealth and stifled innovation. What if China were to pursue a more democratic system?
“Should China become a democracy – in a gradual rather than a revolutionary fashion, giving institutions time to mature – its most pressing challenges would become more manageable. Moreover, the strategic threat the country poses to its neighbours, the US and the global order would also diminish,” Twining contends.
More Calls For Action On Fiscal Cliff
Former presidential candidate Steve Forbes adds his voice to those warning Congress that a failure to address the fiscal cliff will result in an economic disaster.
On a related matter, economist John Taylor has an interesting graph detailing the risk to the economy if Congress ignores our growing debt.
Would Taxing The Rich Make California Less Golden?
Would policies adopted by the state of California responsible for an exodus of millionaires from the Golden State? An analysis of research conducted by the Los Angeles Times says a state proposition to increase taxes would not drive t into neighboring states.
Europe Embracing Idea For Currency Commissioner
European Central Bank president Mario Draghi has issued his initial support for a plan to establish a “currency commissioner” to oversee – and have veto power over – national budgets.