Author : Thierry Malleret
Date : March 17, 2014
BlackSummit Financial Group, Inc. proudly introduces The Monthly Barometer.
The Barometer is written by Thierry Malleret, a professional with whom we collaborate with. Thierry brings a uniquely insightful perspective to global economics and geo-politics. We have found his writings to be mind-stimulating, full of wisdom, perception, and characterized by intellectual honesty.
Thierry is a former top executive for the World Economic Forum (WEF) that organizes the Davos Conference. He has also served as Chief Economist and Strategist for Alfa Bank managing a team of experts for capital markets in Russia, Ukraine, and Kazakhstan. Thierry has also served with the European Bank for Reconstruction and Development (EBRD), was a resident fellow with the Institute of East-West Security Studies, and was assigned to the Office of the Prime Minister of France between 1988-’90. Thierry has a doctoral degree in economics from Oxford University.
We will be sharing his publication with you for the next few months free of charge. If you wish to continue receiving The Monthly Barometer after that, we ask that you subscribe directly at the following link:
We hope that you enjoy his publication over the next few months.
Kemal Dervis, “Good governance and economic performance”
(Project Syndicate, March 13, 2014)
The former Turkish minister of economy (now at Brookings) argues that the quality of a country’s governance is critical in determining long-term economic growth. He states that a “lack of reasonably independent regulation and competent public administration – or, worse, one-person dictatorships – lead inexorably to economic waste and inefficiency, and eventually to political turmoil.”
Martin Wolf, “The spectre of Eurozone deflation”
(Financial Times, March 11, 2014 – metered paywall)
The risk of deflation, particularly in Europe, will be an overarching macro theme for the next few years. In this short op-ed, the FT columnist explains why and doesn’t mince his words: he says that the ECB has allowed the Eurozone to fall into a deep and entrenched slump. In his opinion, the Eurozone is just one negative shock away from deflation.
Eric Posner, “Let Crimea go”
(Slate, March 10, 2014)
The famous law professor / polymath shows how it is possible to have it right and wrong at the same time. In Posner’s words, the forthcoming referendum “on joining Russia is underhanded, dishonest, absurd—and completely legitimate”: Crimea’s ties with Russia go back centuries. It was transferred from Russia to Ukraine only in 1954, as a top-down administrative judgment.
Adrienne LaFrance, “Why venture capitalists are suddenly investing in news”
(Quartz, March 12, 2014)
It’s only natural that the Monthly Barometer should be interested in this! All of sudden, and contrary to the prevailing wisdom of the past years, the market for content is opening up to investors. Opinions among them, however, vary. Many see it as a growth business, in which technology plays a very important role. The ability to specialize for fragmented audiences is key.
Eric Schmidt and Jared Cohen, “The future of Internet freedom”
(The New York Times, March 11, 2014 – metered paywall)
The authors of “The New Digital Age” (two among the most senior execs at Google) explain that the groundwork is being laid for providing the tools that will undermine the sensors, filters and throttles utilized by countries that censor some Internet content. As one would expect, Schmidt and Cohen are “techno-optimists”: they believe that in 10 years from now, it will be possible to end repressive Internet censorship.