Greek Lessons in East Germany by Peter Gumbel

　　Could the restructuring of the former GDR show the way? 　　There are two analogies concerning the economic recovery of Greece. One is found in Argentina, which experienced an economic rebound. The other is the comparison with the former East Germany. Argentina’s recovery was led by exports of commodities. However, this does not apply to Greek because Greece does not have commodities. The GDR way—patience and rigor eventually pay off. German Chancellor Anglela Merkel’s dogged insistence will recover Greek economy if Greece is willing to accept top-to-bottom institutional reform in such points as a new tax code, propriety rights, and legal, social, and financial structures. Slashing labor costs is also needed to boost competitiveness. 104 words

Fiddling While Rome Burns

 Written by Stephan Faris (TIME May 14,2012)

   Italy’s failed politicians cling to power even as the country’s woes linger.

An Italian comedian Beppe Grillo is organizing nationwide protests against governmental corruption called “Go F Yourself” days. Italy’s politics has stagnated. Political parties change frequently through splits and mergers. Corruption scandals are competing for column inches. Public confidence in the political class is in the single digits. 11.6% of the workforce had given up looking for work. The official unemployment rate is 9.8%. However, maverick mayoral candidates in Milan and Florence have challenged their party hierarchies and won. The message should not be “button down,” but “open up.” 100 words

THE SAVIOR OF EUROPE

WORLDVIEW (March 5, 2012) by Fareed Zakaria

The Savior of Europe. Mario Draghi just bought his continent—and the rest of the world—some breathing room.

　　Because Draghi, the head of the European Central Bank, printed about $600 billion so that Europe’s banks would be able to borrow as much money as they wanted at the rate of 1%. Thanks to the printing, European stocks had their best January in nearly 15 years. Draghi’s action is not a new model because the Federal Reserve in U.S. did the same four years ago although it was criticized by many. Japan’s central bank also printed trillions of yen to stabilize the economy after the Great Tsunami in March. The fear of inflation is justified, but it will not happen at a time when unemployment is sky-high. If the lenders of last resort had not done it, we would be discussing how to get out of a global Great Depression.
(148 words)

IS HUGO CHAVEZ IN TERMINAL DECLINE?

ESSAY (March 19, 2012) by Jorge Castaneda

Venezuela’s influential President could lose re-election if voters believe he is dying. Although the Venezuelan President Hugo Chavez underwent cancer surgery in Cuba, he is campaigning for the upcoming presidential election. We do not know what sort of cancer he is suffering from, but we do now know it is grave and recurrent. If he is seriously ill, the electorate may not believe he is capable of governing for another six years. This matters for the following three reasons: (1) Chaves’s role in relation to Cuba is crucial for Cuba because Cuba depends on Venezuelan oil and subsidies. (2) Chaves’s departure from the Latin American political scene would weaken pro-Chavez governments like Bolivia, Ecuador, and Nicaragua. (3) If Chavez is no longer president, Cuba, Iran, and Syria will lose a valuable and irreplaceable ally. (134 words)

THE CURISOU CAPITALIST

When the Dismal Science Was Brilliant
by Rona Foroohar

Sylvia Nasar explains the history of economic genius. We could sure use some.

The 20 century economists have done a good job, but their theories do not apply in today's post financial crisis. The writer says in conclusion, "As we enter an era of rising inequality and powere shifts that promises to be just as unsettling as the Industrial Revolution was, it's clear that economic genius is needed now more than ever.

I did not know that Charles Dickens's "A Chrismas Carol" called for new and more generous economic thinking. Now I understand how Scrooge helped the Cratchit and his family in the end of the story.

America's Nitwit Anglophiles by Joe Queenan

  Why are they so oblivious to the things that really make Britian great?

　　Americans’ Anglophiles believe Americans are loud, rude and afflicted with poor taste and despise their compatriots, but 20,000 drunks, lechers, sluts and gangsters hang around London’s Leicester Square. Anglophiles get all weak in the knees at the very mention of Beatrix Potter and Peter Pan. Their admiration of the royal wedding is an act of demented form of cultural fetishism. Anglophiles do not admire the wonderful things the English have given the U.S.—legal system, King Lear, Jane Eyre, and the Protestant Reformation, but their attention is madly directed at the things like bowler hats, Harrods, people with names like Bonham-Carter. Isn't something wrong with Anglophilia? (105 words)

Question: Why do Anglophiles admire people with names like Bonham-Carter? What lies in the name, Bonham-Carter? Please, anyone reading this blog, give me the answer.

Join the Club by Michael Elliot

 How Europe can help the revolutions in the Middle East succeed

　　As long as you grasp the revolutions in the Middle East within the framework of what has gone before, you will get nowhere. Instead, if you review history, you will get useful lessons.
　　First, when revolutions happen, tolerate messiness. Any revolutions were unstable at first. If you review the revolutions in the United States, France, and Russia, you will understand that these countries had to wait nearly 100 years before they became peaceful dispensations. Second, while leadership matters, institutions matter more. Institutions that support the revolution are necessary for successful revolutions. Thirdly, revolutionary states need to be welcomed into international clubs like EU. (103 words)