21st Century Working Dynamics Reshape Economies
Over the last week, I spent some time in London, where I had the opportunity to visit what might be called “worker’s cafes.” It used to be that a worker’s café was a cheap location for brickies or other manual labourers to get low cost energisers (the good ol’ British “cuppa tea” and a slap-up greasy breakfast, of the kind that the French think defines British cuisine). Times have changed. Continue reading
Europe has a problem. Well, clearly it has many problems. But recently it has a new problem. A real elephant in the problem room, which threatens to rip the global financial system to shreds even as the US is starting to see the light of the exit door from the emergency room. Luckily, there is an easy way that Germany, and its fiscally responsible neighbours, can restore financial stability, and save the Eurozone by doing so.
The elephant has a name. The new systemic threat to the global financial system is negative rates. As recently as one or two years ago, there was clear agreement among economists and investors alike: interest rates could not safely go below zero. Continue reading