An anxious world, watching for signs of instability after the death of Kim Jong-il, has been reassured for the time being. After 37 years of brutal rule marked by firing squads and concentration camps, a father’s arrangements for transfer of power to his third son, Kim Jong-un, appear to be moving along smoothly. But in the end, Kim’s legitimacy and political survival depend on whether or not he can resolve the ever-present threat of hunger and achieve economic reforms that could obviate a regim

CAIRO ― “Whatever the majority in the People’s Assembly, they are very welcome, because they won’t have the ability to impose anything that the people don’t want.” Thus declared General Mukhtar al-Mulla, a member of Egypt’s ruling Supreme Council of the Armed Forces (SCAF).Al-Mulla’s message was that the Islamists’ victory in Egypt’s recent election gives them neither executive power nor control of the framing of a new constitution. But General Sami Anan, Chief of Staff and the SCAF’s deputy hea

Although Warren Buffett may be a stellar investor, his entry into the world of federal tax policy has brought forth nothing but bad ideas based on flawed information and misleading demagoguery. Let’s review the record. In his State of the Union address last week, President Barack Obama called for enactment of the so-called Buffett rule, saying it wasn’t fair that a rich person pays a lower tax rate than Buffett’s secretary. In a bald act of political theater, Obama invited Buffett’s secretary to

Twenty years after they left their military bases here, the American forces may be back in bigger numbers. Philippine defence and military officials have confirmed a Washington Post report last week that Manila and Washington are negotiating a deal that would increase cooperation between the two militaries, owing to the tension in the West Philippine Sea over the disputed Spratlys as well as other considerations. Although Defence Secretary Voltaire Gazmin said the terms of any accord would still

The East Asia situation is changing significantly, with China emerging as an economic and military power and North Korea becoming even more enigmatic with its transition in power.Despite their separation by sea, at this juncture it would be in the national interest of both Japan and Russia to deepen cooperation.Japanese Foreign Minister Koichiro Gemba and visiting Russian counterpart Sergey Lavrov agreed in talks Saturday (Jan. 28) to increase bilateral relations in the security, energy, economy

Taiwan’s first four-year Legislative Yuan will open on Feb. 1. Altogether 113 parliamentarians will be meeting for four years rather than three, as in the past, to tackle the increasingly tough job of legislating for the common good of the electorate. The lineup is 64 for the Kuomintang, 40 for the Democratic Progressive Party, three each for the Taiwan Solidarity Union and the People First Party, and as many independents. The ruling Kuomintang has a majority of seven in the new legislature.The

A decade ago, domestic credit companies created a huge financial bubble by recklessly pursuing expansionism amid a loose regulatory environment.When the bubble burst, card companies were all irreparably hurt. The government had to intervene to clean up the mess. Some were sold to new owners while others were bailed out by their parent companies. The turmoil rocked the nation’s entire economy. Now, concern about another credit card bubble is growing as credit card firms are stepping up efforts to

Twitter Inc. needs an Arab Spring. In the past 12 months, the micro-blogging social-networking service played a role in changing the world, 140 characters at a time. From Egypt to Libya to Syria and beyond, Twitter helped activists thwart censorship dragnets, connect with the similarly aggrieved and put underperforming leaders on the defensive. Well, that was then. This will be remembered as the year Twitter sold its corporate soul at a time when the world needs genuine transparency and the tool

As Newt Gingrich lashes out at “liberal elites,” Mitt Romney is casting the 2012 campaign as “free enterprise on trial” ― and Romney defines free enterprise as achieving success through “risk-taking.” U.S. Chamber of Commerce President Tom Donahue, defending Romney, explains “this economy is about risk. If you don’t take risk, you can’t have success.”But who do they think is bearing the economic risks? The higher you go in today’s economy, the easier it is to make a pile of money without taking

Last year, student activists managed to make high tuition fees a social and political issue. Their vehement protests led the government to roll out a plan to cut college tuition by 30 percent by 2014. Political parties reacted reflexively, pledging to cut tuition rates in half.This year, student protests are expected to intensify as private universities are announcing cuts that hardly match up to their expectations. Protests are also expected at public universities as Seoul Mayor Park Won-soon’s

As increased globalization forces countries to pretend that they like playing with all the other kids in the playground despite fearing they’ll have their toys stolen, never has there been more blatant self-interest cloaked in the phony pretext of outreach or do-goodery. Nowadays, a country is expected to appear both broke and overtly generous ― otherwise, you’re just a jerk.Take Canada, for example. Canada used to be run by nanny-state leftists more concerned with looking like Boy Scouts to the

Even as two-thirds of Americans now say that there are strong conflicts between rich and poor, another great American division is slowly healing. As National African-American History Month begins tomorrow (Feb. 1), we should celebrate the decline of racial segregation in America for the fourth consecutive decade. While there are far too many children ― of all races ― who are raised in the midst of poverty and desperation, the lessening of segregation reminds us that our nation continues to have

BERKELEY ― Neville Chamberlain is remembered today as the British prime minister who, as an avatar of appeasement of Nazi Germany in the late 1930s, helped to usher Europe into World War II. But, earlier in that fateful decade, relatively soon after the start of the Great Depression, the British economy was rapidly returning to its previous level of output, thanks to Chancellor of the Exchequer Neville Chamberlain’s reliance on fiscal stimulus to restore the price level to its pre-depression tra

A fiery debate has broken out over an issue many thought had long been settled: Japan’s economy is sliding toward irrelevance. The freshest evidence, reported earlier this week, is the first annual trade deficit in 31 years. It means, at the very least, that the huge pool of domestic savings that Japan uses to finance its staggering national debt might instead start going to support a trade deficit, an ominous sign. Not necessarily a problem, says Eamonn Fingleton, a long-time observer who recen

This month another new slate of judges will be appointed to serve in the South Korean courts. One of the most striking aspects of this process is the large number of youthful faces among the new appointees. Many of the new judges will be less than 30 years old as they are appointed to one of the most powerful positions in Korean society. In this position they have the power to free or imprison their fellow citizens, to separate parents and children or to make or break the businesses and liveliho

CAIRO ― Last year’s events in Egypt and Tunisia drew the curtain on a tottering old order and delivered much of the Arab world into a long-awaited new era. But what that new era will look like remains very much an open question, given the many challenges that the region’s countries still face.The old order that has begun to vanish extends beyond the former regimes. The region’s entire value system ― a political culture forged by autocracy ― is being transformed. Arab men and women have shed the

DAVOS, Switzerland ― The organizers of the World Economic Forum were self-critical enough to organize panels this year on such dark topics as “Is Capitalism Failing?” and “Global Risks 2012: The Seeds of Dystopia.” And these were just the latest in a series of annual ruminations here on the troubles of the globalization movement the conference symbolizes. It’s hard to be a convincing Spenglerian amid so much good food and drink, not to mention money. But let’s ponder one aspect of what might be

BERN ― Emerging markets have performed amazingly well over the last seven years. In many cases, they have far outperformed the advanced industrialized countries in terms of economic growth, debt-to-GDP ratios, countercyclical fiscal policy, and assessments by ratings agencies and financial markets.As 2012 begins, however, investors are wondering if emerging markets may be due for a correction, triggered by a new wave of “risk off” behavior. Will China experience a hard landing? Will a decline in

There seem to be as many political solutions to education problems in South Korea as there are people thinking about them. Thus, there is endless controversy about which policies should be implemented. A major reason for the controversy is the biggest difference between political and market-based polices: In politics, a situation that captures public attention is seen a problem or crisis; in the market, such situations are seen as opportunities.Some of the world’s greatest, boldest and most aggr

Singapore’s prime minister, Lee Hsien Loong, isn’t often taken publicly to task. But when you make S$3.1 million ($2.4 million) annually to run a country, people tend to expect results. When they don’t get them, the aggrieved masses turn to that lowest-of-common-denominator gripes: Hey, how much are we paying this guy? Lots compared with, say, Barack Obama, who as U.S. president gets $400,000 a year. Lee’s compensation will fall 36 percent, and that of Singapore’s president will drop 51 percent,