Joseph Stiglitz, author of the new book 'The Price of Inequality,' argues that the wealth gap in the United States 'is holding us back' because it weakens consumer demand. 'If we want to restore growth, and therefore full employment and greater tax revenues,' we need to address this gap.
The G8 summit at Camp David failed to find a plan for economic growth in Europe and to deal with a euro crisis that goes beyond debt. It may seem strange to propose that the world’s second-richest continent needs a global rescue. But today’s European consumers are too fearful to spend.
As developed economies deal with debt and emerging economies like China ramp up, the G20 must spearhead coordinated, complementary policies to navigate the choppy waters ahead, especially for Europe. Austerity alone won't do the trick.
Either Europe develops into a political union or it moves backward as a continent of nation-states that have neither political nor economic clout – surpassed by China and other emerging nations.
The quality and openness of the selection process for a new International Monetary Fund leader matters as much as the outcome. It will be key not only to the future legitimacy of that institution but to the very notion of cooperative global economic management.
With a bright future ahead of it, Asia is increasingly rediscovering its past. To fully understand Asia's rise, we must come to grips with the forces that shaped its history: Western, Islamic, and Buddhist heritage. It's time to consider Asia's lesson on religious and cultural pluralism.
The global financial crisis continues, threatening countries across the European continent. A united Europe requires a united solution. To survive this and future economic storms, the European Union needs the capacity to coordinate economic and fiscal policies on the federal level.