Economics & Business Archive

The Congressional Research Service recently published a report on conventional arms transfers that identifies Russia as the world’s leading arms supplier to developing countries in 2005. According to CRS calculations, Russia ranked first in arms sales agreements with developing nations, with contracts worth approximately $7 billion. Although Russia’s current arms exports have decreased considerably since the Soviet period, its revenue per transaction is now greater because Russian firms have yielded much of the lower-end market to lower-cost suppliers like China, India, and former Soviet bloc allies. In addition, whereas the U.S.S.R. transferred much weaponry under easy commercial terms or without […]

Although NATO countries have made some progress in promoting intelligence sharing and mutual law enforcement assistance as part of the Global War on Terrorism, they need to substantially improve their cooperation in researching, developing, and testing homeland security technologies. A strategic and coordinated approach — directed towards generating science and technology (S&T) contributions in areas of highest priority — would help optimize allied countries’ collective response to common security challenges. The Nov. 28-29 NATO summit in Riga, Latvia, could provide an opportune occasion for launching several initiatives to promote such an integrated multinational S&T approach. Europe’s uneven approach towards developing […]

HONG KONG — Mum rang the other day. It was only unusual because we had already spoken between Melbourne and Hong Kong twice that week, for her 70th birthday, and this conversation was stilted, though she assured me everything was fine. Then she blurted out: “You might think me silly but it rained last night. Oh it rained and rained from midnight until eleven in the morning and it was heavy. It’s just that,” she hesitated. “It hasn’t rained for so long.” Such is the drought afflicting Australia — the worst in living memory — that it warranted a call […]

CARACAS, Venezuela — Fond of mocking George W. Bush and railing at the U.S, Venezuelan President Hugo Chavez has called his country’s number one oil customer, otherwise known as “the empire,” the greatest threat to human existence today. On the verge of reelection, Chavez has said that his geopolitical mission is nothing less than “saving the world” from the evils of U.S-style capitalism. As part of this plan, say analysts, Chavez has reached out to China. Eager for oil to fuel its economy, China has agreed to form a “strategic alliance” with Venezuela, strengthening bilateral ties through oil agreements and […]

NAIROBI, Kenya — For a number of reasons, including an agricultural sector that enjoys relatively low land and labor costs, many see sub-Saharan Africa as well suited to pioneer the development of biofuel as an alternative energy source for the continent and the world. Development analysts say it may be decades before biofuel becomes a significant alternative source of energy for Africa, but significant production could mean a boost for sub-Saharan economies by both providing new income and reducing the continent’s reliance on imported fossil fuels. For many countries in Africa, oil makes up a significant portion of gross imports, […]

Just a single sentence among the many tens of thousands uttered in Hanoi this past week by 14,000 delegates and their retinues sums up the futility of APEC, the Asia-Pacific Economic Cooperation forum: “One of the major outcomes that is anticipated from the leaders’ meeting will be the Hanoi Action Plan to implement the Busan roadmap to achieve the Bogor goals,” said Vietnam’s Vice-Minister for Foreign Affairs, Le Cong Phung, at the start of the week-long jamboree. Busan was the South Koreans’ turn at staging the event last year. Bogor was Indonesia’s contribution back in 1994. The political and business […]

It was billed as the, “chance of a lifetime,” by Panama’s President, Martin Torrijos, and 77 percent of Panamanian voters backed this view when they approved plans to expand the Panama Canal in a national referendum last month. The $5.25 billion expansion will make one of the engineering wonders of the world 60 percent wider and 40 per cent longer. The eight-year project involves enlarging existing locks, deepening navigation channels and adding a third set of locks to ease bottlenecks and allow larger container vessels, known as post-Panamax ships, to traverse the famous passage linking the Pacific and Atlantic oceans. […]

VALETTA, Malta — On Memorial Day, a senior officer of Malta’s tiny army placed a wreath at the Monument of the Fallen situated just outside the capital. The granite column topped by a golden eagle commemorates the Maltese and British defenders who lost their lives in the heroic 1942 siege, in which Axis planes bombed the island into rubble but failed to take it. The siege of Malta is an incredible saga of resilience in the face of overwhelming odds. But bygones are bygones: Since 2004, the former British colony has been tied to Europe as the smallest member of […]

The Bush administration recently published an unclassified version of its new National Space Policy. Like the 2005 National Defense Strategy and the 2006 Quadrennial Defense Review, the new policy stresses the vital interest of the United States in remaining a major space power. Although it acknowledges the value of international cooperation in space and the right of “free passage” for all countries’ satellites and other space-based objects, the policy reaffirms the intent to protect U.S. space capabilities by all available means. The new policy will likely intensify Chinese and Russian fears that the United States intends to deploy weapons in […]

BANGKOK, Thailand — Gambling is illegal in China, but Macau, the special administrative enclave on the coast of Guangdong province, is this year expected to outstrip the United States’ Las Vegas Strip with casino revenue turnover of about $7 billion. The explosive growth of casino gambling in the tiny former Portuguese colony is yet another staggering statistic that illustrates the story of China’s breakneck development. Macau has been transformed in a few short years from a relatively sleepy, rather quaint oddity on the South China Sea into a brash waterfront of ugly, modern casino “resorts” that smother the old colonial […]

Think Fidel Castro is going soft in his old age? A recently published report from Reporters Without Borders, “Going Online in Cuba: Internet Under Surveillance,” suggests you should think again. In fact, if authors Claire Voeux and Julien Pain with the French journalism organization are correct in their assessment, even the information age hasn’t changed much about daily life in this Caribbean nation of 11 million people. “With less than 2 percent of the population online, Cuba is one of the world’s most backward countries as regards Internet usage,” reads an excerpt. “The worst off by far in Latin America […]

GUADALAJARA, Mexico — While campaigning last April in the National Action Party (PAN) heartland of Los Altos, a dry region east of Guadalajara known for tequila distilling, blue-eyed inhabitants and conservative-Catholic politics, candidate Felipe Calderon scheduled a youth rally, an event that inadvertently highlighted his biggest shortcoming: a lack of charisma. Jaded members of the national press core — who had already been riding the PAN campaign bus for three months and had barely reached the halfway point of their sojourn — described him as gris (gray), a Spanish expression for dull. As he entered the boisterous auditorium that Sunday […]

NANNING, China — A huge sign strung across the entrance to a trade exhibition center in the southwest Chinese city of Nanning blandly says “10+1=11.” But behind this uninspiring piece of sloganeering, and in and around this provincial capital, more exciting things have been happening. The Philippines’ President Gloria Arroyo went for a cruise on the Li River, Singapore’s Prime Minister Lee Hsien Loong popped up to Sichuan and received a bottled gourd for happiness and prosperity, and deals worth $600 million were signed between Chinese companies and several Southeast Asian countries. There have also been some amusing asides in […]