Category : Economy

(FT) US debt burden to top world war two peak in coming years, watchdog says

The US’s federal debt burden is set to surpass the peak it reached in the wake of the second world war in coming years, Congress’s fiscal watchdog has warned, underscoring growing concerns over America’s public finances.

The Congressional Budget Office said on Thursday that the US’s debt-to-GDP ratio would reach 107 per cent during the 2029 fiscal year — exceeding the 1940s era peak — and continue rising to 156 per cent by 2055. The debt-to-GDP ratio is forecast to be 100 per cent for the 2025 fiscal year.

The projections come just days after Moody’s delivered a warning about the sustainability of the US’s fiscal position, with the rating agency saying that President Donald Trump’s trade tariffs could compromise attempts to bring its large federal deficit under control by raising interest rates.

“Mounting debt would slow economic growth, push up interest payments to foreign holders of US debt and pose significant risks to the fiscal and economic outlook; it could also cause lawmakers to feel constrained in their policy choices,” the CBO said on Thursday.

Read it all.

Posted in * Culture-Watch, America/U.S.A., Ethics / Moral Theology, The National Deficit, The U.S. Government

(Economist) The unpredictability of Trump’s tariffs will increase the pain

Donald Trump has already raised the average tariff on America’s imports by about twice as much as he did in his entire first presidency. Just as damaging, though, has been the uncertainty about what comes next.

After April 2nd—“Liberation Day”, Mr Trump calls it—there will be another round of levies. The president promises 25% tariffs on all imported cars and country-by-country “reciprocal” tariffs based on how much his administration objects to a counterparty’s trade and tax policies. Will these plans change? Who knows? Mr Trump’s use of emergency powers means that he can do as he pleases.

This freedom may suit him. It does not, however, suit America’s businesses, which have no idea how bad the trade war will get; nor its consumers, who fear future inflation. The liberation America needs is from the paralysing uncertainty brought about by Mr Trump’s chaotic approach.

Since the president came to office, hefty tariffs on Canada and Mexico have twice been announced only to be mostly postponed. A long-threatened 10% levy on China has doubled in size.

Read it all.

Posted in * Economics, Politics, Corporations/Corporate Life, Economy, Foreign Relations, President Donald Trump

(WSJ) Economic Growth Now Depends on Electricity, Not Oil

Americans have long equated energy security with oil. The country wanted as much as possible because of the havoc an interruption to supply—from wars, disasters and political convulsions—can cause.

In coming years, though, energy security will mean electricity.

Power demand, stagnant for decades, is now growing rapidly, for data centers to run artificial intelligence and other digital services and, in time, transportation and buildings.

An economy dependent on electricity will be different from one dependent on oil. It will require mammoth investment in generation, distribution and transmission. It will challenge regulators and political leaders, as the supply and price of electricity become as politically potent as that of gasoline. The country wanted as much as possible because of the havoc an interruption to supply—from wars, disasters and political convulsions—can cause.

Economic Growth Now Depends on #Electricity, Not #Oil

Americans have long equated energy security with oil. The country wanted as much as possible because of the havoc an interruption to supply—from wars, disasters and political convulsions—can cause. In coming years, though,… pic.twitter.com/npk1LaNfL5

— MrTopStep (@MrTopStep) March 27, 2025 “>Read it all.

Posted in * Economics, Politics, Defense, National Security, Military, Economy, Energy, Natural Resources

(WSJ) Corporate America’s Euphoria Over Trump’s ‘Golden Age’ Is Giving Way to Distress

Rapturous applause and a sea of phones in the air greeted President Trump as he walked on stage and declared, “The golden age of America has officially begun.”

He was barely a month into office when the Saudi-backed investor conference in Miami captured the optimism. “The Nasdaq is up nearly 10% in just a few months,” Trump said, ticking through a list of economic indicators. “The Dow Jones Industrial Average is up 2,200 points.” On the same day, Feb. 19, the S&P 500 hit an all-time high.

But as Trump unleashed an on-one-day, off-the-next tariff fight with America’s largest trading partners, those gains unraveled. In just a few weeks, the S&P lost $4 trillion in value driven by his whipsaw trade policy, receding optimism about an artificial-intelligence boom and souring consumer sentiment caused by threats of higher prices and weaker growth. A measure of consumer sentiment fell in March for the fourth straight month to the lowest level since January 2021, the Conference Board, a business-research group, said Tuesday.

Markets in the past week have recovered some losses, but Trump is preparing his next shock: an April 2 “liberation day” suite of reciprocal tariffs he said will be applied on any trading partner that charges tariffs or imposes other trade barriers on U.S. products.

Read it all.

Posted in * Economics, Politics, Corporations/Corporate Life, Economy, Politics in General, President Donald Trump, Psychology

(Economist) Chinese hacking is becoming bigger, better and stealthier

Over the past decade China’s hacking program has grown rapidly, to the point that in 2023 Christopher Wray, then FBI director, noted it was larger than that of every other major nation combined. China’s growing heft and sophistication has yielded success in three main areas.

The first is political espionage, linked primarily to the Ministry of State Security (mss), China’s foreign-intelligence service. Last year it emerged that one group of Chinese hackers, dubbed Salt Typhoon, had breached at least nine American phone companies, giving them access to the calls and messages of important officials. Ciaran Martin, who led Britain’s cyber-defense agency from 2016 to 2020, compares it to the revelations in 2013 by Edward Snowden, a government contractor, that American spy agencies were conducting cyber-espionage on a huge scale. China was “gaining vast access to the nation’s communications via a strategic spying operation of breathtaking audacity,” he says.

A second is in areas of little espionage value: hacking that lays the groundwork for sabotage in moments of crisis or war. These efforts are led by the People’s Liberation Army (PLA), China’s armed forces. In 2023 it became apparent that a PLA-linked hacking group known as Volt Typhoon had, over several years, burrowed into an extraordinary range of American critical infrastructure, from ports to factories to water-treatment plants, across the continental United States and in strategic American territories such as Guam.

All of that builds on a third type of hacking: the industrial-scale theft of intellectual property. In 2013 Mandiant, a cyber-threat intelligence firm, which is now part of Google, made waves when it exposed “apt1”, the label for a group of hackers linked to the PLA. apt1 was not focused on stealing political secrets or turning off power grids but on stealing blueprints, manufacturing processes and business plans from American firms. A year later, America’s government took the then unprecedented step of indicting five PLA hackers for this activity. Keith Alexander, a former head of the National Security Agency (NSA), America’s signals-intelligence service, described this as “the greatest transfer of wealth in history”.

Read it all.

Posted in America/U.S.A., China, Corporations/Corporate Life, Economy, Foreign Relations, Science & Technology

(FT) Moody’s warns on deteriorating outlook for US public finances

Credit rating group Moody’s has warned on the US fiscal outlook, saying President Donald Trump’s trade tariffs could hamper the country’s ability to cope with a growing debt pile and higher interest rates.

The rating agency said on Tuesday that America’s “fiscal strength is on course for a continued multiyear decline”, having already “deteriorated further” since it assigned a negative outlook to America’s top-notch triple A credit rating in November 2023.

While Moody’s highlighted the “extraordinary” economic resilience of the US and the role of the dollar and the Treasury market as backbones of the global financial system, its analysts also warned on Tuesday that the policies of the second Trump administration — including sweeping tariffs and plans for tax cuts — could do more harm than good for government revenues.

“The potential negative credit impact of sustained high tariffs, unfunded tax cuts and significant tail risks to the economy have diminished prospects that these formidable strengths will continue to offset widening fiscal deficits and declining debt affordability,” Moody’s said.

Read it all.

Posted in * Economics, Politics, America/U.S.A., Budget, Economy, President Donald Trump, The U.S. Government

China’s Government Is Short of Money as Its Leaders Face Trump

Buried in China’s latest government budget were some numbers that add up to an alarming trend. Tax revenue is dropping.

The decline means that China’s national government has less money to address the country’s serious economic challenges, including a housing market crash and the near bankruptcy of hundreds of local governments.

Weak tax revenue also puts China’s leaders in a box as they square off with President Trump, who has imposed 20 percent tariffs on goods from China and threatened more to come. Beijing has less spare cash to help the export industries that are driving economic growth but could be hurt by tariffs.

The drop in tax collections leaves China’s leaders in an unfamiliar position. Until the last several years, China enjoyed robust revenue, which it used to invest in infrastructure, a rapid military buildup and extensive industrial subsidies. Even as economic growth has slowed gradually over the past 12 years, taking a dent out of consumer spending, tax revenue held fairly steady until recently.

Read it all.

Posted in * Economics, Politics, America/U.S.A., China, Economy, Foreign Relations, President Donald Trump, Taxes

(FT) Why China is suddenly flooding the market with powerful AI models

The pace of China’s open-source AI push has been relentless. Since the debut in January of DeepSeek R1 — China’s answer to OpenAI’s o1 series — a wave of increasingly capable models has followed. Alibaba claims its latest AI reasoning model QwQ-32B rivals DeepSeek’s R1 and has performed well in official benchmark tests. Every few weeks, another arrives, pushing the boundaries of what open-source AI can do.

Chinese tech groups are taking a very different approach. By open sourcing AI, they not only sidestep US sanctions but also decentralize development and tap into global talent to refine their models. Even restrictions on Nvidia’s high-end chips become less of an obstacle when the rest of the world can train and improve China’s models on alternative hardware.

AI advances through iteration. Every new release builds upon the last, refining weaknesses, expanding capabilities and improving efficiency. By open-sourcing AI models, Chinese tech groups create an ecosystem where global developers continuously improve their models — without shouldering all the development costs.

The scale of this approach could fundamentally reshape AI’s economic structure. If open-source AI becomes just as powerful as proprietary US models, the ability to monetise AI as an exclusive product collapses. Why pay for closed models if a free, equally capable alternative exists?

Read it all.

Posted in * Economics, Politics, China, Economy, Science & Technology

(Economist) How hospitals inflate America’s giant health-care bill

Who is to blame for America’s enormous health-care costs? The sector accounts for almost a fifth of the country’s GDP, twice the average for wealthy countries, yet outcomes are no better. Americans under 70 are almost twice as likely as their counterparts in similarly affluent nations to die of cardiovascular diseases. Death rates due to other conditions like diabetes and kidney diseases are also much higher.

Most Americans point the finger at drugmakers, insurers or the middlemen between them. Luigi Mangione, whose trial for the alleged murder of the chief executive of UnitedHealthcare, America’s biggest health insurer, began last month, has received donations totalling $740,000. “He did what everyone else is just thinking,” wrote one sympathiser on Mr Mangione’s fundraising page recently.

More often overlooked are America’s hospitals, which took in $1.5trn in fees in 2023, according to the most recent government figures. That is triple the amount spent on medications, and accounts for a third of America’s total health-care spending (see chart 1). Since 2000 hospital prices have soared by over 250%, growing at twice the overall rate for medical care and triple the rate of inflation. What is behind America’s soaring hospital bills?

Read it all.

Posted in * Economics, Politics, Economy, Health & Medicine

A Reflection on Saint Joseph the Worker by Tarcisio Giuseppe Stramare for his Feast Day

ZENIT spoke with Father Tarcisio Giuseppe Stramare of the Congregation of Oblates of Saint Joseph, director of the Josephite Movement, about Tuesday’s feast of St. Joseph the Worker….

ZENIT: What does “Gospel of work” mean?

Father Stramare: “Gospel” is the Good News that refers to Jesus, the Savior of humanity. Well, despite the fact that in general we see Jesus as someone who teaches and does miracles, he was so identified with work that in his time he was regarded as “the son of the carpenter,” namely, an artisan himself. Among many possible activities, the Wisdom of God chose for Jesus manual work, entrusted the education of his Son not to the school of the learned but to a humble artisan, namely, St. Joseph.

Read it all.

Posted in Anthropology, Children, Church History, Labor/Labor Unions/Labor Market, Marriage & Family, Theology, Theology: Scripture

(Economist) Will Trump’s tariffs turbocharge foreign investment in America?

Some firms may even intend to quietly pare back their investment plans. In 2017 Foxconn, a Taiwanese maker of electronics, vowed to spend $10bn on a plant in Wisconsin that would employ 13,000 people. Mr Trump visited the proposed site, proclaiming it the “eighth wonder of the world”. Yet after much watering down of plans, the company said last year that it had spent just $1bn on the project, and created only 1,000 jobs.

Faced with American tariffs, some foreign companies could instead direct their attention elsewhere. That has been the case with Chinese firms, which bore the brunt of the duties imposed during Mr Trump’s first term. The flow of greenfield FDI from China to America slid from $8.2bn in 2016 to $6.5bn last year. According to Morgan Stanley, listed Chinese firms generated around a quarter of their foreign sales in America in 2024, down from roughly a half in 2016. Instead, they have turned to the fast-growing economies of the global south.

If Mr Trump’s objective is to encourage foreign businesses to build in America, there are more effective policies at his disposal than tariffs. On the campaign trail the president also promised to slash red tape. Tortuous planning processes have long held back American manufacturing. For foreign firms, fixing those would be far more motivating. 

Read it all.

Posted in America/U.S.A., Corporations/Corporate Life, Economy, Ethics / Moral Theology, Foreign Relations, President Donald Trump, Taxes

(Washington Post) The Free-living Bureaucrat–Michael Lewis on Heather Stone of the Food and Drug Administration

If they’d been asked to write an autopsy of their marriage, Walter and Amanda Smith might have agreed that the cause of death was their lack of understanding of the institution. By the summer of 2021, they were like two people who had formed their own country before agreeing on the rules of citizenship. Walter was drinking too much and going through the motions; Amanda felt trapped and separated from the identity she’d been handed as a child. “I was raised to be a ray of sunshine inside,” she liked to say. “I’m supposed to be the joy of the room.” To which one day Walter blurted out, “You are not a ray of sunshine. You’re a black cloud.” Since they’d collided 10 years earlier in a Texarkana roadside bar — Amanda was the waitress who didn’t mind that Walter had already had too much to drink — they’d never spent a night apart. Both were easy on the eye and quirky and impulsive and extraordinarily willful. Both were also unhappy. Walter had ballooned to 250 pounds and was going through two six-packs of Budweiser a night. Amanda had decided that marrying Walter Smith after knowing him for only five months was the biggest mistake of her life — which was saying something.

Still, at first glance, they appeared to have built a life together. They’d bought a place with land around it outside De Queen, Arkansas. Walter had taken a good, if all-consuming, job fixing anything that broke inside a massive coal-fired power plant an hour’s drive away. At one stretch, he worked 12-hour shifts for 93 straight days. They’d accumulated a vast number of animals: chickens, goats, rabbits and cats, along with a surprising number of dogs. “I pick up dogs off the side of the road,” explained Amanda. Inside of six years, Amanda had given birth to three children and was pregnant with a fourth. Walter insisted on naming their first, a boy. Hunter, he’d called him, after one of his favorite writers, Hunter S. Thompson. By cobbling together names from Amanda’s side of the family, he’d named their second child, too, a daughter: Alaina. After that, Amanda seized back the naming rights and, for reasons Walter has never learned, called their third child Henry. The fourth time around, Amanda was racked with indecision. “Infant Smith,” read the baby boy’s birth certificate for the first three months after his birth. “I thought, she’s going to come up with some wild shit,” Walter said. “And one day she says it: Johnathan. And I’m like, ‘You got to be sh*&^ing me.’ It took you three months to call him John Smith?”

At a glance, they were a union, but by the summer of 2021, they were engaged in something closer to civil war. “I’m doing all the things I’m supposed to do,” Walter said. “But I wasn’t willing to do the shit that made her happy. I was doing the shit that would shut her up. I would do everything I could to keep her off my ass so she would feel guilty to ask me to quit drinking.” For example, he knew that Amanda wanted to rely less on processed foods and more on what they grew themselves. The soil on their farm was poor — just gravel and red clay that required a pickax to dent. And so before Amanda could think to ask him, Walter hauled in endless sacks of enriched soil and erected four massive garden beds.

As he worked, Alaina, then 5 years old, went out to watch and play. She loved hanging around her father. Making mud pies was her favorite hobby. Walter thought nothing of it until he looked up and saw Alaina enveloped in a dust cloud. “Hey, baby, get out from downwind of that,” he said. For a moment, he worried about the effect on her lungs of the dust. But then Alaina moved, and Walter returned to the job of making his wife unhappy.

And so their small nation was divided when its first external threat presented itself. The moment from Sept. 10, 2021, is still vivid in Amanda’s mind. “Hunter runs in and says, ‘Mom, when I’m talking to Alaina, she’s not talking back to me.’”

Read it all.

Posted in Blogging & the Internet, Children, Health & Medicine, History, Labor/Labor Unions/Labor Market, Marriage & Family, Pastoral Theology, Science & Technology, The U.S. Government

(MTR) The cheapest way to supercharge America’s power grid

US electricity consumption is rising faster than it has in decades, thanks in part to the boom in data center development, the resurgence in manufacturing, and the increasing popularity of electric vehicles. 

Accommodating that growth will require building wind turbines, solar farms, and other power plants faster than we ever have before—and expanding the network of wires needed to connect those facilities to the grid.

But one major problem is that it’s expensive and slow to secure permits for new transmission lines and build them across the country. This challenge has created one of the biggest obstacles to getting more electricity generation online, reducing investment in new power plants and stranding others in years-long “interconnection queues” while they wait to join the grid.

Fortunately, there are some shortcuts that could expand the capacity of the existing system without requiring completely new infrastructure: a suite of hardware and software tools known as advanced transmission technologies (ATTs), which can increase both the capacity and the efficiency of the power sector.

ATTs have the potential to radically reduce timelines for grid upgrades, avoid tricky permitting issues, and yield billions in annual savings for US consumers.

Read it all.

Posted in * Economics, Politics, Corporations/Corporate Life, Economy, Energy, Natural Resources, Science & Technology

(Economist) How Trump provoked a stockmarket sell-off

The sell-off shows no sign of stopping. America’s S&P 500 index dropped by another 3% on March 10th, leaving the world’s most watched stockmarket down by almost 9% since its peak last month. The NASDAQ, dominated by tech firms, has fallen by 13%. It is not quite the bold new era of American growth that President Donald Trump had in mind.

His unpredictable trade policies got things going. Tariffs of 25% on imports from Canada and Mexico—which were instituted on March 4th, before being suspended for a month on March 6th—top investors’ list of concerns. But after years of impressive growth, the future of the American economy is a growing source of anxiety, too, with worries provoked by a steady drip of discouraging data. Such news is beginning to undermine belief in American exceptionalism: after all, investors have seen much better returns in China and Europe this year. And as is often the case when markets fall, each development has revealed fresh things to lose sleep over.

Read it all.

Posted in * Economics, Politics, Economy, President Donald Trump, Stock Market

(Economist) Donald Trump’s economic delusions are already hurting America

In his speech to Congress on March 4th President Donald Trump painted a fantastical picture. The American Dream, he declared, was surging bigger and better than ever before. His tariffs would preserve jobs, make America richer still, and protect its very soul. Unfortunately, in the real world things look different. Investors, consumers and companies show the first signs of souring on the Trumpian vision. With his aggressive and erratic protectionism, Mr Trump is playing with fire.

By imposing 25% tariffs on goods from Canada and Mexico, also on March 4th, Mr Trump is setting light to one of the world’s most integrated supply chains. Although he belatedly delayed duties on cars by one month, plenty of other industries will suffer. He has also raised tariffs on China and has threatened the European Union, Japan and South Korea. Some of these duties may also be deferred; others may never materialise. Yet in economics as in foreign relations, it is becoming clear that policy is being set on the president’s whim. That will cause lasting damage at home and abroad.

When Mr Trump won the election in November, investors and bosses cheered him on. The S&500 rose by nearly 4% in the week after the vote in anticipation of the new president lighting a bonfire of red tape and bringing about generous tax cuts. His protectionist and anti-immigration rhetoric, investors hoped, would come to nothing. A stockmarket correction or a return of inflation would surely curb his worst instincts.

Alas, those hopes are going up in smoke….

Read it all.

Posted in * Economics, Politics, America/U.S.A., Economy, Politics in General, President Donald Trump

(FT) Global government borrowing set to hit record $12.3 Trillion

Global government borrowing is expected to reach a record $12.3tn this year, as a rise in defence and other spending by major economies and higher interest rates combine to push up debt levels.

The 3 per cent rise in sovereign bond issuance across 138 countries would take the total debt stock — which has been pushed higher by the global financial crisis, coronavirus pandemic and now the need for greater European defence spending — to a record $76.9tn, according to estimates by S&P Global Ratings.

Big economies’ focus on fiscal policy to “deal with crisis after crisis continues, and the outcome is you do have a much more indebted sovereign picture”, said Roberto Sifon-Arevalo, global head of sovereigns at S&P. This had been compounded, he added, by a rise in debt-servicing costs, as bond yields have moved substantially higher since the end of central banks’ bond-buying programmes.

Borrowing to fund higher spending “was fine and sustainable while you had the borrowing costs that you had before the pandemic, now it presents a much bigger problem”, Sifon-Arevalo said.

Read it all.

Posted in * Economics, Politics, Credit Markets, Economy, Ethics / Moral Theology, Globalization, History, Politics in General

(Bloomberg) Facebook, Tinder and Airbnb Apps are Used for Sex Trafficking in Colombia

Sandra, a teenage girl who wears her curly brown hair tied back in braids, awaited the instant message on her mobile phone. The instructions were matter of fact: Wear makeup and a short skirt. If possible, don a crop top.

Like other girls in her neighborhood outside Medellín, Colombia, Sandra said she didn’t always have food for dinner, let alone trendy clothes and electronics. But a friend tipped her off to a sure-fire way to make money fast. This amiguita, she said, told her about the plentiful meals she could afford, the iPhone she uses, the motorcycle she’d soon be sitting astride. Sandra could enjoy this life too, her friend said. The cost? Her virginity. To a foreigner.

Sandra agreed. Her friend connected then-14-year-old Sandra and her younger sister Verónica (both of whose names Bloomberg changed to protect the siblings against reprisal), with a woman, who, on social media projected a youthful, fun-loving air. Known as la patrona, the woman posed in one photo in a white bikini, hand on hip, on a poolside lounge chair surrounded by palm trees.

The woman expeditiously gathered up the girls’ identity numbers and nude photos. She offered them an advance of 8.6 million pesos ($1,990) for jobs well done. The interchanges were carried out through Meta Platforms Inc.’s social media apps Facebook and Messenger, according to Sandra.

Recruitment and grooming of children are but the first in a multi-step process…

Read it all.

Posted in --Social Networking, Blogging & the Internet, Colombia, Corporations/Corporate Life, Ethics / Moral Theology, Foreign Relations, Globalization, Law & Legal Issues, Science & Technology, Sexuality, Teens / Youth, Violence, Women

(Economist) Trump’s armed forces won’t look like Biden’s

Donald Trump, seeing “a big, beautiful Ocean” between his country and the world’s problems, wants to curtail America’s responsibilities abroad. His party is also broadly keen on increasing military spending, and the Trump administration, working with Congress, has new priorities for the Pentagon.

In February several media outlets reported that Pete Hegseth, the defence secretary, had ordered a $50bn cut to Pentagon spending. Yet the reported memorandum’s vague language and fuzzy maths belied the reality that Mr Hegseth was seeking cuts merely to offset new spending on “America First” programmes. The Pentagon chief vowed that the changes would make the American “military once again into the most lethal, badass force on the planet”.


Defence spending is poised to rise above levels in the Biden era, when the former president consistently requested after-inflation reductions to outlays. On February 21st the Senate approved $150bn in new defence spending, on top of the department’s existing annual budget that approaches $900bn. The following week a House bill approved $100bn. Some Hill appropriators wonder whether these big numbers will survive the give-and-take of complex spending negotiations, but it is clear that if Mr Trump is pulling back from the world, he isn’t yet pulling back on defence spending. 

Read it all.

Posted in * Economics, Politics, America/U.S.A., Defense, National Security, Military, Economy, Military / Armed Forces, Science & Technology

(WSJ) Humanoid Robots Finally Get Real Jobs

Science fiction has long been full of robots that look, move and even think like we do. In the real world humanoid forms have, until very recently, been a nonstarter. Hard to build, expensive, slow and lumbering, they have never made sense compared with the countless other varieties of purpose-built—and vastly more affordable—robots that have multiplied rapidly in the past decade. 

That’s changing. As global demand for new kinds of robots has shot up, mass manufacturing and falling costs for components are making them cheaper to produce. Just as important, new kinds of AI—some close kin to the kind that has upended the priorities of tech companies and governments since the debut of ChatGPT—are animating robot bodies in ways that simply weren’t possible even a few years ago.

While purpose-built robots continue to proliferate, be they wheeled conveyances or dog-shaped machines carrying guns, the advantages of a body plan like ours are beginning to carve out a niche for humanoid robots. The world, after all, is built for things that look and move like we do. It’s full of stairs, gangways, shelves at shoulder height and sightlines at eye level, so hewing to the humanoid form makes it easier to slot robots into existing roles. Then there are the more subtle advantages of the human form—we can pick up heavy loads by cantilevering them over bent legs. By contrast, a robot with wheels and arms would have to have a much wider and heavier base to keep from tipping over.

More than a dozen startups worldwide are now offering humanoid robots….

Read it all.

Posted in * Economics, Politics, Anthropology, Economy, Labor/Labor Unions/Labor Market, Science & Technology

(NYT)  David Wallace-Wells takes a look back at the Covid19 pandemic after five years

The pandemic response wasn’t perfect. But the pandemic itself was real, and punishing. Above all, it revealed our vulnerability — biological, social and political. And in the aftermath of the emergency, Americans have largely looked away, choosing to see the experience less in terms of death and illness than in terms of social hysteria and even public health overreach. For many, the main lesson was that in the world of humans, as in the world of microbes, it’s dog-eat-dog out there.

But the consequences and aftershocks were also more subtle and diffuse: it isn’t easy to live in isolation and in fear, often largely online and surrounded by exceptional illness and mortality, as we watched aspects of the world and our own lives we’d long taken for granted be withdrawn or torn apart. And it isn’t easy to get over all that, however eager we thought we were to “return to normal.” We lived through as many deaths as some of the worst-case scenarios predicted, and without an initial spasm of inspiring solidarity and miraculous biomedical intervention, it could have been worse. But when we came out the other side — 1.5 million fewer of us — we were, as a country, exhausted, resentful, deluded and distrustful. A huge amount of the world in which we now reside was formed in that crucible. I will write more about that next week.

Read it all.

Posted in America/U.S.A., Anthropology, China, Ethics / Moral Theology, Globalization, Health & Medicine, History, Politics in General, Science & Technology, The U.S. Government, Theology

(WSJ) The U.S. Economy Depends More Than Ever on the Top Two Quintiles of the Economy

Many Americans are pinching pennies, exhausted by high prices and stubborn inflation. The well-off are spending with abandon. 

The top 10% of earners—households making about $250,000 a year or more—are splurging on everything from vacations to designer handbags, buoyed by big gains in stocks, real estate and other assets.

Those consumers now account for 49.7% of all spending, a record in data going back to 1989, according to an analysis by Moody’s Analytics. Three decades ago, they accounted for about 36%.

All this means that economic growth is unusually reliant on rich Americans continuing to shell out. Mark Zandi, chief economist at Moody’s Analytics, estimated that spending by the top 10% alone accounted for almost one-third of gross domestic product. 

Between September 2023 and September 2024, the high earners increased their spending by 12%. Spending by working-class and middle-class households, meanwhile, dropped over the same period. 

Read it all.

Posted in * Economics, Politics, America/U.S.A., Consumer/consumer spending, Economy, Personal Finance

(Washington Post) Weight-loss drugs aren’t just slimming waists. They’re shifting the economy.

[Right now there are]…16 million people — that’s 6 percent ofAmerican adults — taking GLP-1 weight-loss drugs, and their collective purchasing power has the potential to profoundly reshape the economy in the coming years.

There’s evidence that the demographic of people on the drugs overlaps with those who like to spend, a group some analysts have dubbed “over consumers.” Cutting their daily calorie counts in half — or more — is resulting in all sorts of interesting consequences still coming to light.

Ozempic, and its GLP-1 cousins Mounjaro, Wegovy and Zepbound, may not be the lightbulb, jet airplane or internet, but their impact is expected to be so significant that Jan Hatzius, chief economist at Goldman Sachs, predicts that if 60 million people take the medications by 2028, GDP would be boosted by 1 percent — or several trillion dollars. Hatzius’s analysis was based primarily on the idea that healthier people mean a healthier workforce and, in turn, lower health-care costs.

But there’s a lot more to it.

Read it all.

Posted in * Economics, Politics, Economy, Health & Medicine, Science & Technology

(FT) Robin Harding–Who will now stabilise the world economy?

The “relevance to the 2020s” of Kindleberger’s [1973] book is greater and gloomier. We have two competing superpowers, the US and China. Both fancy themselves as hegemons; neither is willing to accept the responsibilities of the role. The US vows vengeance on anybody who threatens the primacy of the dollar even as its own actions put that primacy in doubt. China rails against its lack of status in the current economic system, even as it plays a prime role in destabilising it.

With luck, there will be no crisis on a scale that needs leadership and global co-ordination to resolve — but luck always runs out in the end. It makes sense to bolster the international institutions as much as possible. It makes sense, too, to run sensible domestic policies and not end up dependent on the kindness of strangers, an unhelpful truism, like advice not to let your house catch fire.

“If leadership is thought of as the provision of the public good of responsibility, rather than the exploitation of followers or the private good of prestige, it remains a positive idea,” wrote Kindleberger. The US, for all its failings, provided that kind of leadership. The world awaits, with trepidation, the experience of an economic or financial crisis without it.

Read it all (registration or subscription).

Posted in * Economics, Politics, America/U.S.A., China, Economy, Foreign Relations, Globalization, Politics in General

(RU) Uganda’s Anglican Church Takes Steps To Protect Property From Land Grabbers

The Anglican Church in Uganda has adopted a series of strategic measures to safeguard its vast tracts of land that are under threat from encroachers.

The church’s initiatives involve venturing into coffee farming to transform unused land into productive agricultural spaces, registering mass tracts of untitled church land, issuing spiritual warnings and pursuing legal action against land grabbers.

The church said the initiatives will safeguard property and contribute to economic growth and social stability — ensuring that church land remains a valuable resource for future generations.

For nearly four decades under President Yoweri Museveni’s National Resistance Movement government, land grabbing has remained a significant challenge, not only for the other sections of society but also for the church. This issue has led to the displacement of thousands of impoverished Ugandans and even the demolition of churches. In 2020, a renowned land grabber demolished 40-year-old St. Peters Church in Ndeeba, in Kampala, sparking outrage among Christians.

Read it all.

Posted in Church of Uganda, Ethics / Moral Theology, Housing/Real Estate Market, Religion & Culture, Stewardship, Uganda

(CT) Evan Howard–Living Like a Monk in the Age of Fast Living

While it’s true that traditional monasticism is declining in many historic Christian traditions, new monasticism—the contemporary reappropriation of monastic wisdom—is still very much alive. More than that, the movement is gaining a new and growing following among the next generation and is meeting universal human needs that are felt more now than ever.

In our global digital age, many Christians are rediscovering the importance of community, the value of rhythms and routines amid chaotic circumstances, and the need for deeper commitment to spiritual formation. Over the past five years alone, the pandemic, incidents of racial injustice, and the church abuse crisis have led to a wake-up call. We are realizing that it may be worth sacrificing modern comforts and conveniences to live out our highest ideals and potential as God’s people and that we may need to look back in order to go forward.

Some believers have been sensitive to these needs for a long time—people who consider themselves “new monastics” (like me), who are fascinated by the desert elders’ courage to relocate to abandoned places. We are intrigued by the idea of living in a close community and making serious commitments to fundamental values. We wonder if establishing communal rules for life might tame the wild horse of late modern culture and help us better order our lives around the gospel.

Today, this reappropriation is taking the form of devotional apps like Lectio 365, introductory virtual classes on contemplative prayer, repurposed convents in Europe, and prayer spaces in alleyways and financial districts. It looks like Christian university campus houses establishing their own rules of life or communal discipleship programs, and small “colleges” of Christian students attending larger universities. It is happening through globally dispersed organizations like OMS, which takes prospective members through stages of preparation and vow-taking in a digital initiation process modeled after traditional religious orders.

Read it all.

Posted in * Culture-Watch, Anthropology, Ethics / Moral Theology, Housing/Real Estate Market, Personal Finance & Investing, Theology

(FT) Big Tech lines up over $300bn in AI spending for 2025

Big Tech’s massive spending on artificial intelligence is set to continue unchecked in 2025 after Amazon topped its rivals with a planned $100bn-plus investment in infrastructure this year.

Spending by the four leading US tech companies had already surged 63 per cent to historic levels last year. Now executives are vowing to accelerate their AI investments, dismissing concerns about the vast sums being bet on the nascent technology.

Microsoft, Alphabet, Amazon and Meta have reported combined capital expenditure of $246bn in 2024, up from $151bn in 2023. They forecast spending could exceed $320bn this year as they compete to build data centres and fill them with clusters of specialised chips to remain at the forefront of AI large language model research.

The scale of their spending ambitions — announced alongside their fourth-quarter earnings — has surprised the market and exacerbated a sell-off caused by the release of an innovative and cheap AI model from Chinese start-up DeepSeek in late January.

Read it all.

Posted in Corporations/Corporate Life, Economy, Globalization, Science & Technology

(Economist) The data-centre investment spree shows no signs of stopping 

If investment in data centres is about to slow, nobody told Mark Zuckerberg. On January 29th, during an earnings call, Meta’s boss boasted that the social-media giant had plans to build an artificial-intelligence (AI) data centre “so big that it’ll cover a significant part of Manhattan if it were placed there”.

His timing was conspicuous. Only two days earlier the share prices of firms from Nvidia, a chipmaker, to Dell, a manufacturer of servers used in data centres, had nosedived in response to the release of a new AI model created by DeepSeek, a Chinese firm. Its training costs were a fraction of those for similarly powerful Western models, raising questions over how much computing power—and investment—is needed to develop ai systems.

Although many of those share prices have since recovered, the episode has brought increased scrutiny to the huge sums of money that are being spent on data centres. Meta and America’s three big cloud-service providers—Alphabet, Amazon and Microsoft—forked out a combined $180bn on data-centre infrastructure last year. Add in spending by smaller tech firms, telecoms providers, big enterprises and data-centre operators such as Digital Realty and Equinix, and the figure rises to around $465bn. Land, buildings and peripheral gear such as electrical equipment make up about 30% of that, with chips, server racks, networking kit and the like accounting for the rest. Cashed-up private-equity firms such as Blackstone have been lured in by the spending boom, undertaking a record $70bn-worth of data-centre deals last year.

Read it all.

Posted in * Economics, Politics, Corporations/Corporate Life, Economy, Energy, Natural Resources, Globalization, Science & Technology

(Gallup) Americans Offer Upbeat Outlook for Key Economic Factors

Americans are the most optimistic they have been in the past seven years about several aspects of the U.S. economy, particularly economic growth and the stock market. Majorities of Americans expect both indicators of economic health to go up this year, while 41% are hopeful that interest rates will fall, exceeding the 35% saying interest rates will rise.

The public is divided over whether unemployment will increase (38%) or decrease (38%) — although at a time of relatively low unemployment, the 21% expecting the rate to hold steady could be viewed as positive. A slim majority of Americans, 52%, predict that inflation will rise, but that is down significantly from recent years.

Read it all.

Posted in * Economics, Politics, America/U.S.A., Economy, Psychology, Sociology

A Prayer to begin the day from The Pastor’s Prayerbook

O God, who orderest the common things of the common day, dignify by thy presence and aid the trivial round and routine tasks of thy servant whose hope is in thee, that least duties may be grandly done and all activities marked with the seal of thy righteousness; through Jesus Christ our Lord.

–Robert W. Rodenmayer, ed., The Pastor’s Prayerbook: Selected and arranged for various occasions (New York: Oxford University Press, 1960)

Posted in Labor/Labor Unions/Labor Market, Spirituality/Prayer

(NYT) Inside a New Plan to Bring Electricity to 300 Million in Africa

The leaders of more than half of Africa’s nations gathered this week in Dar es Salaam, Tanzania’s sprawling seaside metropolis, to commit to the biggest burst of spending on electric-power generation in Africa’s history.

The World Bank, African Development Bank and others are pledging at least $35 billion to expand electricity across a continent where more than a half-billion people still don’t have it. About half of the money will go toward solar “minigrids” that serve individual communities. The loans will come at below-market interest rates, a crucial stipulation as global lenders usually charge much higher rates in Africa, citing higher risks.

In an interview, Ajay Banga, the president of the World Bank, cast the initiative in sweeping terms where economic development met societal stability and basic human rights. “Without electricity, we can’t get jobs, health care, skills,” he said. The success of electrification, he said, is “foundational to everything.”

The summit’s promise is to get half of Africa’s 600 million unelectrified people powered up in just six years. That averages out to five million people a month. Mr. Banga said the World Bank, on its own, had not yet even passed the one-million-a-month mark.

Read it all.

Posted in * Economics, Politics, Africa, Economy, History, Science & Technology