Category Archives: Finance

Analysis: Argentina’s Dysfunctional Economy

The Economist (September 7, 2023) – Rampant inflation, a booming black market for US dollars and crippling debt – welcome to Argentina, one of the world’s most dysfunctional economies. How did it end up like this?

Video timeline: 00:00 – Argentina’s economy is in crisis 01:21 – What is happening now? 04:16 – Why is this happening? 05:52 – Overspending 07:00 – Printing money 08:03 – Borrowing money 08:51 – Trade controls 11:06 – What are the solutions?

Analysis: Meta, PayPal & X Race To Build A ‘Super App’

Wall Street Journal (September 7, 2023) – Meta. PayPal. X. All of these tech companies have made attempts at a “super app” in the U.S., following the success of WeChat in China, but have yet to get one off the ground. Tech leaders have struggled to combine elements like social media, messaging, payment and more into one place.

Video timeline: 0:00 App efficiency 0:37 The appeal 2:18 U.S. issues 4:03 Regulation 4:48 What’s next?

So what’s holding the U.S. back from having a super app available? WSJ explains why, despite challenges, companies still see it as their holy grail product.

#Superapp#WeChat#WSJ

Money: Non-Cash Payment Option In US, India & China

The Economist (August 10, 2023) – Non-cash payments are on the rise all over the world. Our writers explain how digital technology has changed the way consumers shop in three important markets: America, China and India.

Video timeline: 00:00 Cashless transactions are on the rise 00:18 America: account and card 02:01 India: Unified Payment Interface 04:06 China: App payments

Special Report: ‘Digital Finance’ – The Economist

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The Economist – Special Reports (May 20, 2023): The fight over payments systems is hotting up around the world. There may be surprising winners, says Arjun Ramani.

As payments systems go digital, they are changing global finance

The fight over payments systems is hotting up around the world. There may be surprising winners, says Arjun Ramani

Payment is one of the most fundamental economic activities. To buy anything, you need something the seller wants. One option is barter, but that is beset by friction (what are the chances of having something your counterparty wants at any exact moment?). Early forms of money, from cowrie shells to beads to metal coins, offered a solution: they were always in demand to settle transactions.

Finance: Why Do U.S. Banks Keep Going Bankrupt?

CNBC (April 3, 2023) – The collapse of Silicon Valley Bank, Signature Bank and Credit Suisse were a harsh reminder of how quickly a trusted institution could fail, putting billions of dollars at risk.

Over 550 banks have collapsed since 2001, according to the FDIC. So what exactly causes a bank to fail? And what implications does it have on the U.S. economy?

Chapters: 00:00 — Introduction 01:41 — Chapter 1 05:28 — Chapter 2 08:55 — Chapter 3

Preview: The Economist Magazine – Nov 26, 2022

Frozen out

The Economist – November 26, 2022 issue:

Europe faces an enduring crisis of energy and geopolitics

This will weaken it and threaten its global position

Disney brings back a star of the past. But its real problem is the script

Hollywood is suffering from the brutal economics of streaming

Russian “offshore journalists” need help, not hindrance

Europe should let them do their jobs

Qatar 2022 World Cup: Why It Spent $300 Billion

The Economist – Qatar is about to host the most expensive World Cup ever, costing as much as $300bn. Why has this small, gas-rich kingdom chosen to host football’s most prestigious event, and how does it fit into its broader plans for economic transformation?

Video timeline: 00:00 – Why is Qatar hosting the World Cup? 00:57 – World Cups are expensive competitions 01:56 – Qatar’s human rights violations 02:36 – Qatar’s place in the Gulf 04:43 – Qatar distinguishes itself from its neighbours 05:50 – Qatar bids to host the World Cup 07:18 – Qatar’s neighbours issue a blockade 10:12 – What might happen after the World Cup?

Read our defence of Qatar’s hosting of the World Cup: https://econ.st/3XcOC5A

Cover Preview: Barron’s Magazine – Nov 14, 2022

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Inside the November 14, 2022 issue:

A Used-Car Dealer Has Big ESG Backers. Some of Its Low-Income Customers Ran Into Problems.

A Barron’s investigation found pricey cars, registration delays, and other complaints.

The Midterms and the Markets Both Show It’s Time to Get Real

An Inflation Reading Sends Stocks Soaring as if It Were 2020

Tech Companies Won Big in the Midterm Elections. Here’s Why.

Oil Prices Could Jump in December. Energy Stocks Should Get a Jolt.

Inflation Tends to Linger. How Long This Time?

Previews: The Economist Magazine – Nov 12, 2022

The Trump effect

The Economist – Inside the November 12, 2022 issue:

The Trump effect

Despite the former president’s efforts, America and its democracy look stronger after the midterms

Imagining peace in Ukraine

How a stable and successful country could emerge from the trauma of Russia’s invasion

Great powers must talk

Refusing to speak is what children do when they are angry

Cover Preview: Barron’s Magazine – Nov 7, 2022

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Inside Barron’s November 7, 2022 Issue:

A Legacy Is on the Line as Musk Takes Over Twitter

Love him or hate him, the Tesla CEO is about to show whether Twitter can take flight under his ownership. More than his billions are at stake.

Wishful Thinking Won’t Sway Fed on Rate Hikes. But a Recession Might.

A Divided Congress Might Not Be Good for Stocks This Time Around

As the Fed Leans Into Higher Rates, Investors Should Lean Into Fundamentals

Higher Interest Rates Alone Won’t Rein in Inflation. Here’s What Might.

Tech’s Next Problem: Businesses Are Cutting Back Too