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EmergingFrontierMarkets.comemerging and frontier markets:the unofficial field guideSite
Owner/ Publisher: Sta.
Romana, Leonardo L.
Based in: Manila,
Philippines
Posted on Thu, 3 June 10: Knightian uncertainty explained:
The econ crisis has revived an old philosophical idea about risk and
uncertainty. But what is it, exactly? As economist Frank Knight saw it,
an ever-changing world brings new opportunities for businesses to make
profits, but also means we have imperfect knowledge of future events.
Therefore, acc to Knight, risk applies to situations where we do not
know the outcome of a given situation, but can accurately measure the
odds. Uncertainty, on the other hand, applies to situations where we
cannot know all the info we need in order to set accurate odds in the
1st place, MIT News, 2 June 10
Nigeria's agony dwarfs the Gulf oil spill. The US and Europe ignore it: The Deepwater Horizon disaster caused headlines around the world, yet more oil is spilled from the Niger delta's network of terminals, pipes, pumping stations and oil platforms every yr than has been lost in the Gulf of Mexico. The people who live in the Niger delta have had to live w/ environmental catastrophes for decades, Observer/ UK, 30 May 10 Study/ den: The great brain race--How global universities are reshaping the world: In an interview, Ben Wildavsky, Kauffman Found. senior fellow/ fmr US News & World Report educ editor, answers questions about the themes of his new book--Q: Your book is generally positive and optimistic about the new global higher educ, yet much of the discussion of intl educ in the US is competitive (fears that some nations' univs might compete w/ American ones, or that other nations are becoming more competitive at attracting grad students). Is the competitive nature of these discussions helpful or missing the point?, Inside Higher Educ (courtesy Brookings), 5 Apr 10 (Princeton U Pr) Posted on Wed, 2 June 10: Japan PM's resignation deepens unease about
nation's direction: Prime Minister Hatoyama's surprise
announcement that he is stepping down before the July Upper House
election is likely to deepen uncertainty about Japan's politics and
raise more concerns about its still fragile econ recovery, analysts
said Wed. The once popular PM announced his departure amid mounting
criticism over flip-flops involving a deal to relocate a US Marine
base, as well as political funds scandals. In the short term, market
watchers will focus on who will become the next finance min, as that
will affect an anticipated hike in the consumption tax and other
important issues involving fiscal and financial policies,
Japan
Times, 3 June 10
India's urban awakening--Building inclusive cities, sustaining econ growth: India has a young and rapidly growing population - a potential demographic dividend. But India needs thriving cities if that dividend is to pay out. India's lack of effective policies to manage its rapid and large-scale urbanization could jeopardize the nation's growth trajectory. But if it pursues a new operating model for its cities, it could add as much as 1 to 1.5% to annual GDP growth, bringing the econ near to the double-digit growth to which the govt aspires, McKinsey Global Inst, Apr '10 Posted on Tue, 1 June 10: Africa needs a stronger voice in
global affairs - Sarkozy: Africa will fuel world econ growth
for
decades to come and must have a stronger voice in global affairs,
French Pres Sarkozy said Mon as he opened a 2-day Africa-France
summit in the Riviera city of Nice. The summit w/ 38 African
leaders is Sarkozy's 1st since taking office in '07 and reflects
France's shift away from its traditional west African allies toward
engagement w/ the continent as a whole. The push on the econ front
comes as France has taken a back seat to China, Africa's biggest trade
partner, Ag. France-Presse (courtesy AfricAsia/
UK), 31 May
10 (New report calls on African leaders
to turn 'scramble for Africa' into real results for
continent, Africa Progress Panel, 25 May)
Bank releases intl comparison of purchasing power in 73 cities around the globe: Oslo, Zurich, Copenhagen, Geneva, Tokyo and NY are the world's most expensive cities based on a standardized basket of 122 goods and services, acc to the most recent 'Prices and Earnings' report. And the basket costs the least in Kuala Lumpur, Manila, Delhi and Mumbai, UBS, Aug '09 Nook and cranny: Leverage, capital markets and monetary policy - Interview w/ economist Hyun Shin, Princeton U prof, Squam Lake Group member and advisor on intl finance to SKorea's pres--Q: You argue that financing decisions of investment banks tend to destabilize the financial system. Why?; What conclusions should central bankers draw for monetary policy?; What are the lessons for fincl regulation?, Swiss Natl Bank Found. Study Ctr Newsletter (courtesy Princeton), Jan '09 [pdf] Posted on Mon, 31 May 10: Global economy double-dip possible - China's Wen: Chinese Premier Wen Jiabao warned on Mon that global econ growth remained vulnerable to sovereign debt risks and the possibility of a 2nd downturn, but said his nation's growth remained on track. He told an audience of biz execs in Tokyo that it was too early for economies to consider exiting stimulus spending that has shored up growth since the global financial crisis hit in '08. But he also warned that mounting govt debt risks could frustrate full econ recovery, Reuters (courtesy PublicBroadcasting.net), 31 May 10 Abhijit Banerjee: Measured success vs failed miracles--Politicians prefer not to be told that they need to wait 3 yrs before they can launch their flagship program; journalists prefer stories about grand successes to qualified endorsements; donors want to eliminate poverty today, and being told that we don't know how to, puts a pall on the proceedings, says MIT economist/ Jameel Poverty Action Lab (J-PAL) co-founder, Forbes/ India, 24 May 10 Bank transfers $91 mil. to Palestinian Authority (PA) to support budget needs: The Bank transferred the additional funds to the PA to support its urgent budget needs, providing for educ, health care and other vital social services for the Palestinian people and for the econ reforms currently underway. This latest contribution, donated by Kuwait and UK, represents the 12th tranche disbursed from the Palestinian Reform and Devt Plan Trust Fund, a multi-donor budget support mechanism. With contributions from Kuwait and UK, total transfers to the PA have reached $499 mil., World Bank, 24 May 10 (Ad Hoc Liaison Cmte [AHLC] for Assistance to Palestinians meets in Madrid, Norway Foreign Aff Min, 19 Apr | Reports to AHLC by World Bank and IMF) |