Spain's Social Democrats asking Cuba to push on with 'structural reform' as if: 1. we dont know how that went in Europe 2. it's not the very pro-market reforms that are fomenting inequality and social tensions against background of tighter US blockade
Under Diaz-Canel, Cuba has implemented gradual but substantive Washington Consensus:
weakened social safety net (la libreta, comedores en empresas), pushed price liberalisation, unified currencies, allowed more private sector activity, prioritised foreign currency shops
some of these measures make sense if you're living under the mother of all balance of payment constraints.
but we know from Eastern Europe that such measures exacerbate inequality dramatically.
pretending otherwise is silly, especially from 'progressive' politicians
Obama's Cuba policy was quite effective, in my view, in triggering an orderly transition towards market economy - whatever your views on that.
But Trump's crazy blockade, crazy because it tightened BoP constraint during pandemic times, is threatening a disorderly collapse
that the Biden Administration condemns Diaz Canel's handling of protests, but wont take any steps towards easing blockade for humanitarian reasons is quite shocking, but not surprising (Haiti et al)
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Larry Fink complaining that IMF/WB havent embraced derisking as development/Wall Street Consensus sufficiently - and not anywhere, but at the G20 meeting.
cannot decide whether @ecb 2% tinkering is a distraction or a massive Trojan Horse for normalising targeting spreads and other innovative crisis policies
10 minutes into this press conference, and all we're debating is what happens around 2%
it's shocking that @ecb Strategy Review says nothing about fiscal-monetary interactions, when ECB has bought basically all sovvies issued by Euroarea countries since the pandemic
yes @Lagarde mentions macrofinancial linkages, but there is nothing in the text that points to the critical role that sovereign yields play in those linkages
so @ecb new climate strategy is out, and it's letting down those of us who expected an ambitious approach.
in my view, far less ambitious than Bank of England's.
1. ECB chose a 'risk framework' that emphasises risks that climate crisis poses to private finance, not the ways in which dirty lending accelerates climate crisis
ECB wastes chance to support Commission in its double materiality efforts.
private finance will be happy
2. ECB conceives transition risks - those risks to private finance from policies to address climate crisis - as entirely fiscal policy related (carbon prices)
but what about transition risks stemming from ECB decisions to decarbonise collateral & corporate bond purchases?