The Free Ride of the Creditors
August 10, 2026The global trading system does not penalise surpluses. A country can durably suppress domestic demand — restrained wages, high savings, tight fiscal policy — to maximise manufacturing competitiveness. The surplus costs it nothing: deficit partners absorb the adjustment through debt, deindustrialisation and pressure on employment. Keynes foresaw this at Bretton Woods in 1944: his clearing…
The Fed’s Blueprint for Economic Self-Destruction
June 16, 2025The Federal Reserve (Fed) has launched its quantitative tightening (QT) this June, aiming to reduce its $9 trillion balance sheet at an unprecedented pace of $95 billion per month. Amid the ongoing tariff wars and geopolitical dramas, few are paying attention to the actions of the U.S. central bank – and understandably so. Still, this…