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Adrian Blundell-Wignall

February

Elon Musk at the Conservative Political Action Conference last week.

Milton Friedman warned about budget problems such as Musk and DOGE

Special interest groups have always been a headache for government deficits and efficiency. Now they are running Washington.

January

Donald Trump has lost some momentum in the past week.

How China will dodge Trump’s tariffs again

American first protectionism won’t bring manufacturing jobs back to the US. Chinese foreign investment will just increase in imports from the lower tariff countries.

October 2024

The Future Made In Australia program is not going to transform the economy, only a small corner of the mining industry.

Why mining lies at the heart of Australia’s productivity problem

Australia badly needs to diversify towards more productive industries. The politically privileged position of the mining industry is one of the obstacles.

July 2024

Marine Le Pen with Jordan Bardella, the 28-year-old who had hoped to be France’s next prime minister.

Why does France’s far right get stronger with each election?

The Western nation has not responded well to the challenges of globalisation, which is a problem that also applies to the whole of Europe.

February 2024

Buying growth on credit and using state subsidies can boost growth temporarily, but there comes a payback time.

Optimists about China bouncing back are just hoping

The problem is that China isn’t just another member of the global community and bad economic policy is not punished at the ballot box.

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Federal Reserve chairman Jerome Powell has stared down the pressure.

Why central bankers are right to push back on rate cuts

Trying to rig economic growth by slashing interest rates ignores the forces that really decide what levels rates will be.

December 2023

 The lowest-hanging fruit for raising productivity growth is to move the population up from lower levels of educational attainment.

Tip private schools out of boardrooms for a more productive Australia

Favouring the wealthy over innate talent in the education system is no way to filter what a country’s human capital might have to offer.

November 2023

High deposit rates are allowing the cashed-up to protect their asset gains when interest rates were low.

How disinflation is driving more social inequality

Letting central banks prop up fiscal spending and households was an idea that should have stayed in the dustbin of history.

October 2023

Australia could make steel makers pay more and use less when it comes to coal.

How an Australian coal tax can help save the world

This country’s grip on world coking coal supplies means we are well-placed to force up prices and discourage coal use.

September 2023

China’s ghost cities cannot be filled by official exhortations.

China learns nothing from the financial crises of others

Beijing’s reluctance to bite the bullet on bad assets looks like an error that the whole global economy may pay for.

July 2023

France burns when it excludes minorities from the employment system.

Labor is failing to learn the lessons of rigid France

The French same-work, same-pay system promises equality – at the cost of a huge cohort of people left outside the labour market.

Mining expansion without end is not helping Australia.

There has to be more to Australia’s fortunes than miners

Mining might be Australia’s most profitable industry. But it can’t be the answer to the economy’s biggest problems unless it is taxed properly.

May 2023

China’s port of Nansha: share of the US import market is now declining.

Now it’s China on the losing side in the art of the trade war

China’s ancient military sage would not be impressed with how Beijing has been playing the modern game of trade strategy.

Why US inflation will defy gravity this time

Financial markets should get ready for rates higher for longer than hitherto anticipated due to the absence of factors to cause a sharp slowdown.

March 2023

Credit Suisse, UBS, and Swiss banking authorities announce the shotgun marriage of the two giant Swiss banks.

Why the writing was on the wall for the Swiss banking sector

Swiss bankers kept subsidising high-risk investment banking products with their consumer business. And the authorities let them do it.

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Nothing about the SVB story changes the case for the Fed continuing to move rates to contain inflation.

The SVB collapse gives no cause for the Fed to pause

The real story here is about keeping monetary policy separate from the need for further regulatory reform to achieve the most sustainable outcome in the end.

February 2023

Income-contingent loans do little to encourage poor students to undertake courses that lead to lucrative careers.

Why student loans don’t address elitism in universities

Australia needs a long-term plan that should include means-tested, free and better quality higher education.

January 2023

Federal Reserve chairman Jerome Powell. The US central bank will keep raising rates until it feels it has beaten inflation.

There is chance to bring global interest rates back to reality

Global rates have been torn away from the fundamentals of economics and productive investment. Now is the time to put them back.

December 2022

Arthur R. Burns was the Fed Chair who got it all wrong and let the inflation genie out of the bottle.

Don’t go down wobbly path of Arthur Burns-like inflation errors

There are worrying parallels with the flawed New Deal thinking that led central bankers to let the inflation genie out the bottle in the 1970s.

November 2022

Coal at the port of Newcastle in NSW, the world’s largest coal export port.

Coal exports are the elephant in the climate policy room

Australia’s carbon reduction targets are dwarfed by the coal shipped to be burnt elsewhere. Taxes are the only answer.

Original URL: https://www.afr.com/by/adrian-blundell-wignall-h1fprj