Thankfully, short-run GDP is overrated, and the labor force, capital stock, and productivity remain unchanged. While the second quarter will be weaker than last year, it will be much stronger than the first. Read it here.
China’s ruling elite stumbles into a ‘disaster’Deserted factories, businesses struggling to survive and the economy on life-support.
SYRIA FACES ECONOMIC COLLAPSE
MIDDLE EAST INSTITUTE Winter 2019 Issue
Damascus battles economic collapse as the Syrian pound plummets
Faced with the threat of further sanctions, a volatile situation in neighboring Lebanon, and a brutally tough winter, the only thing currently rising from the embers of war-torn Syria is the value of the dollar against the struggling Syrian pound. This marks the beginning of a dangerous new phase in the Syrian conflict as the government, fresh from its eight-year-long war for survival, tries to fend off an economic collapse from within.
China: Xi Admits Knowing of Virus Two Weeks before Telling Public. The publishing of a speech made on February 3 showed that President Xi Jinping knew about the coronavirus in early January. This is earlier than previously stated by the Chinese Communist Party, who said they became aware of the dangers posed by COVID-19 on January 23. “I have at every moment monitored the spread of the epidemic and progress in efforts to curtail it, constantly issuing oral orders, and also instructions,” President Xi announced to the public. Some in China are convinced the statement confirms President Xi and the Communist Party identified and handled the outbreak well while others question why the public was not informed on the dangers of the virus by the government until two weeks later.
Associated Press Forbes
Desmond Lachman warns of the potential economic fallout a major pandemic could create.
The coronavirus’ dollar boost
Desmond Lachman | AEIdeas
An all too likely casualty of the coronavirus epidemic will be President Trump’s oft-repeated promise of promoting a more competitive US dollar and eliminating the US trade deficit. Indeed, if the coronavirus epidemic is not soon brought under control, we must expect a much stronger US dollar and a widening in the US trade deficit. Any slowing in the Chinese economy as a result of the coronavirus is bound to have a much larger adverse effect on the Asian and German economies than it will on that of the United States. This is bound to induce a much easier monetary policy stance in Asia and Europe than that in the United States.
Fentanyl is the norm in illicit markets
Roger Bate | AEIdeas