economy

Sovereign Funds - A Powerful Secret

Topics: Corporations

As a result of a huge surplus of petrodollars in the United Arab Emirates (UAE), "a secretive, government-controlled investment fund is helping to shift the balance of power in the financial world," explains the World Business section of today’s New York Times. The Abu Dhabi Investment Authority is investing in markets in every region of the world and quietly playing a role in the success, or failure, of companies on a global scale.

Sovereign funds are state-owned funds that manage state savings for the purpose of investment. Basically, they are pools of money governments use to invest for profit, and, generally, these investments are made in foreign companies. For a more in-depth explanation, see the Council on Foreign Relations' Sovereign Wealth Funds fact-sheet.

From the Archives

Russia and the New Great Game

Previously filed under: Asia, Global Economy
Russia appears to be perfectly situated in the global scramble to secure energy resources. This position is giving rise to a more assertive and possibly antagonistic Russia.

From the Archives

Is Globalization to Blame for Income Inequality?

Topics: Globalization
Previously filed under: General Globalization
A look at the causes of income inequality and how they can be overcome.

For Better or Worse...

Can migrant workers help to improve an economy? An article in the Economist says they can. According to the National Research Council with a high school education a migrant worker can contribute as much as 105,000 dollars in taxes, along with the contribution of their children once they are employed.

Migrants need health, skills, determination, a willingness to take risks and some entrepreneurial nous to take the plunge, which marks them out as special people. Moreover, migrants increasingly alleviate specific labour shortages in rich economies. Some economies could not function without foreign workers.

World on the Move

Topics: Migration
Countries: Cape Verde

Cape Verde, Africa is feeling the affects of migration, says The New York Times. With roughly half of its population gone, family relations have become strained, families separated, and skilled workers lost. Its hard to complain, especially when migrant's remittances make up 12 percent of the nation's GDP.

Even as Cape Verdeans struggle to get out, others are migrating in. This, too, is characteristic of the age of migration — most “sending” countries are also “receiving” countries, underscoring how universal the phenomenon is. Nearly half the migrants from poor nations move to other poor nations.“Migration is probably more important to more people than it has ever been,” said Dr. Carling of the International Peace Research Institute, a nonprofit group in Oslo. “But what characterizes the world today is also the feeling of involuntary immobility.”

From the Archives

The Mixed Blessings of Oil Boom for African Countries

Previously filed under: Africa, Global Economy
In Africa, oil revenue has the potential to improve the lives of millions.

From the Archives

Beyond the Oil Peak

Previously filed under: Global Economy
Peak oil may only be decades away and it is time to understand the consequences for an oil-dependent society.

From the Archives

U.S. Immigration Policy Fritters Away Education Benefit

Previously filed under: North America, Opinions and Editorials
Close-minded immigration policy forces many U.S.-educated foreign students to seek other pastures.

From the Archives

Historic Election in Argentina

Countries: Argentina
Previously filed under: South America, Culture and Society
Cristina Fernandez, former first lady and senator, has become the first women to be elected president in Argentina.

From the Archives

The Humanitarian Impact of Urbanisation

Previously filed under: Africa, Culture and Society
Population growth in cities has resulted in increased concentrations of people in slums, which has escalated the effects of server poverty.

From the Archives

The Malaysian Miracle

Previously filed under: Asia, Global Economy
Economic growth in Malaysia shows that a strategy of bringing the bottom up can lead to success.

From the Archives

The Tale of Sushi in the Global Economy

Previously filed under: Asia, Interviews
Devin Stewart talks with writer Sasha Issenberg about his new book, The Sushi Economy - Globalization and the Making of a Modern Delicacy.

From the Archives

Two Koreas, One Economy?

Previously filed under: Asia, Global Economy
The August summit between North and South Korea could result in peace between the two countries.

From the Archives

Lake Kivu - A Time Bomb or Source of Energy?

Previously filed under: Africa, Environment
Lake Kivu, one of Africa's Great Lakes, is showing measurable increases in methane gas deposits, potentially harming the fishing industry vital to the region's economy.

From the Archives

Yuan Revaluation Debate

Previously filed under: Asia, Global Economy
Asia's growth is impacting global financial relations, but the debate about the Chinese currency may be oversimplified.

Breaking News

Zimbabwe: Inflation Rockets to 231-Million Percent

All Africa - Fri, 10/10/2008 - 08:24
Zimbabwe's annual inflation raced to a record 231-million percent in July, up from 11,2-million percent the previous month, deepening a severe economic crisis, official figures showed on Thursday.

Africa: Going Bananas to Fight Poverty And Hunger

All Africa - Fri, 10/10/2008 - 07:30
Arguably one of the world's most popular fruits, bananas are poorly marketed as a value-added commercial crop in Africa. But that is about to change as a plan is being conceptualised to transform the way Africa produces and sells bananas.

Global Markets Dive in Relentless Selloff

International Herald Tribune - Fri, 10/10/2008 - 06:48
Global investors looked to leaders meeting in Washington for coordinated action to end the financial turmoil on Friday as stocks plummeted again around the world.

The Stunning Collapse of Iceland

Business Week - Fri, 10/10/2008 - 06:30
Home to just 304,000 people, tiny Iceland is emerging as the biggest casualty of the global financial crisis.

Don't Cut Aid to Africa, AU Head Pleads to World

The Epoch Times - Fri, 10/10/2008 - 11:44
The chairman of the African Union urged the world not to slow aid to the world's poorest continent. Experts say that while Africa is relatively insulated from the global credit crisis, there could well be a negative effect on investment, remittances and aid flows from abroad.

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