Dutch Extend COVID Aid for Businesses

The Hague Netherlands
Dutch government offices and parliament buildings in The Hague (iStock/Fotolupa)

The Dutch government has extended support for companies and self-employed workers struggling as a result of COVID-19 until July 2021, although some policies are becoming less generous.

The thinking, reports the national broadcaster NOS, is that firms shouldn’t be subsidized if they aren’t viable long term and workers in sectors with job losses should be coaxed into reskilling.

The measures will cost almost €39 billion this year. The Dutch economy is projected to shrink 6.4 percent. Read more “Dutch Extend COVID Aid for Businesses”

Trump Bans TikTok. Where Is the Party of Free Enterprise?

Donald Trump
American president Donald Trump makes an appearance at the Conservative Political Action Conference in National Harbor, Maryland, February 24, 2017 (Michael Vadon)

As if we needed more proof the Republican Party has surrendered all its principles to Donald Trump, the president is trying to ban a private company by executive fiat and the party of free enterprise is silent.

Trump may have a point on the merits. The Chinese-owned video-sharing app TikTok has a lot of problems, not in the least its vulnerability to state interference.

But I don’t doubt the only reason Trump cares is that teenagers used TikTok to disrupt one of his rallies in June. They organized a campaign via the app to buy tickets to Trump’s event in Tulsa and never showed up, humiliating the president, who faced a half-empty arena. Read more “Trump Bans TikTok. Where Is the Party of Free Enterprise?”

Thanks to Republicans, the Next Economic Crisis Will Be Worse

The skyline of Manhattan, New York, January 24
The skyline of Manhattan, New York, January 24 (ANG/Matt Hecht)

Ten years after the collapse of Lehman Brothers, economists Brunello Rosa and Nouriel Roubini — who famously predicted the Great Recession — warn that the next financial crisis is already in the making.

Of the ten warning signs they see, six are due to the policies of the Republican government in the United States. Read more “Thanks to Republicans, the Next Economic Crisis Will Be Worse”

EU Shields Companies from Trump’s New Sanctions on Iran

Donald Trump Giuseppe Conte
American president Donald Trump and Italian prime minister Giuseppe Conte arrive to a NATO summit in Brussels, July 12 (NATO)

The European Union has announced measures to protect companies that do business with Iran from American sanctions.

The BBC reports that an EU “blocking statute” bans European firms from complying with the sanctions, unless they get approval from the European Commission.

It also enables businesses to recover damages resulting from American sanctions on Iranian cars, gold and other metals. Read more “EU Shields Companies from Trump’s New Sanctions on Iran”

Macron Unveils Small-Business Reforms and Privatizations

Austrian chancellor Christian Kern and French president Emmanuel Macron visit Salzburg, August 23, 2017
Austrian chancellor Christian Kern and French president Emmanuel Macron visit Salzburg, August 23, 2017 (BKA/Andy Wenzel)

French president Emmanuel Macron has unveiled new economic reforms benefiting small and medium-sized businesses:

Dutch Caribbean Caught Up in ConocoPhillips-Venezuela Oil Dispute

A cruise ship moored in Willemstad, Curaçao
A cruise ship moored in Willemstad, Curaçao (Shutterstock/Galina Savina)

The Dutch Caribbean have been caught up in a legal dispute between the American oil company ConocoPhillips and the government of Venezuela.

A judge has allowed Conoco to seize Venezuelan-owned and -operated refineries on the islands in order to collect $2 billion in compensation awarded by the International Chamber of Commerce for the 2007 nationalization of Conoco assets in the socialist-run country.

The seizure poses a “potential crisis” to the economy of Curaçao, Prime Minister Eugene Rhuggenaath has told Reuters. The Isla refinery, which processes 335,000 barrels of oil per day, accounts for a tenth of the island’s economy. Read more “Dutch Caribbean Caught Up in ConocoPhillips-Venezuela Oil Dispute”

Europe Can Stand Up to American Threats on Iran

Presidents Emmanuel Macron of France and Donald Trump of the United States speak in Paris, July 14, 2017
Presidents Emmanuel Macron of France and Donald Trump of the United States speak in Paris, July 14, 2017 (DoD/Dominique Pineiro)

Leonid Bershidsky is optimistic the EU can stand up to American threats and continue doing business with Iran. He writes for Bloomberg that the stakes are higher than President Donald Trump seems to realize:

With its influence on SWIFT, the Brussels-based payment-facilitation system, and its trade power, the EU is capable of blunting US sanctions. If they prove ineffective, and Iranians merely rally around their government as Russians have done in the face of American restrictions, the US may be exposed as less of a fearsome global policeman than Trump would like it to be.

Read more “Europe Can Stand Up to American Threats on Iran”

Renationalizing British Utilities and Rail Would Be a Mistake

British post box
A Royal Mail post box in London, England, July 26, 2011 (Tim Miller)

Rising energy rates and railway fares in the United Kingdom are lending credence to the argument that privatization was a mistake.

YouGov last year found majorities in favor of taking energy, water and railways back into state ownership.

Telecom is the exception. Only 30 percent believe it should be run by the government.

The reason may be that the benefits of telecom privatization have been obvious whereas those of other privatizations are harder to discern.

Compared to the 1970s, however, utilities and railways provide a far better service today. Read more “Renationalizing British Utilities and Rail Would Be a Mistake”

Coal and Steel? Donald Trump Is Living in the Past

Theresa May Donald Trump
British prime minister Theresa May and American president Donald Trump speak in the Oval Office of the White House in Washington DC, January 27 (The Prime Minister’s Office/Jay Allen)

Donald Trump isn’t big on technology.

“I think the computers have complicated lives very greatly,” he said last year. (The computers.)

The whole, you know, age of computer has made it where nobody knows exactly what’s going on.

By “nobody”, he means himself.

On another occasion, the president said, “I’m just not a believer in email.”

By contrast, Trump has spoken at length about American coal and steel and his desire to revive the two industries.

This doesn’t make economic sense. Read more “Coal and Steel? Donald Trump Is Living in the Past”

Britain Starts to Feel Consequences of EU Exit

A woman looks out over the skyline of London, England, May 13, 2014
A woman looks out over the skyline of London, England, May 13, 2014 (Ray Wewerka)

It’s only been a couple of weeks since British voters decided to leave the European Union in a referendum, but they are already starting to feel the consequences.

Away from Westminster — where apparently nobody anticipated nor prepared for the “wrong” outcome — local governments are bracing for years of financial hardship, the Financial Times reports:

Many fear that the billions of euros from EU development funds channeled into some of the most deprived areas of the country will not be replaced by Westminster, just as the slowing British economy is set to hit council budgets that are already stretched.

The newspaper cites estimates of £8.6 billion in regional development funds being lost between now and 2020. Read more “Britain Starts to Feel Consequences of EU Exit”