Sandy Huffaker
Maybe China could pave America's highways
Economist Michael Pettis (with an assist by Naked Capitalism) has an interesting proposal to end the currency stalemate between Washington and Beijing - have China pay for massive upgrades to U.S. infrastructure. While even the author admits it would be politically unpalatable on both sides of the ocean, once you read his argument the idea is not as crazy as it sounds.
...But, if Washington has to pay
The Economic Policy Institute says an annual investment of $27.3-billion over six years into U.S. public transit capital would support 2.5 million jobs.
How do you fit a 'B' into PIIGS?
It's been flying under the radar, but Euro Intelligence warns that Belgium could become the next European country to face a sovereign debt crisis.
QE2, currency roundup
A look at what's being written about the currency battle and the Fed's latest plan to stimulate a flagging U.S. economy:
Nobel lauret Myron Scholes offers six scenarios on the possible effects of the next round of easing;
If you missed it on Thursday, The Globe's Brian Milner says the U.S. has joined the ranks of global currency manipulators;
Nouriel Roubini says the most likely outcome of the currency battles will be trade wars;
The Wall Street Journal asks economists to place their bets on the size of the Fed's quantitative easing;
And, Worthwhile Canadian Initiative has a nice background explainer on global financial imbalances and 'forced dissaving.'