Economics and International Affairs Blog

Friday, February 20, 2026

China’s Private Sector Pivot
https://www.foreignaffairs.com/china/chinas-private-sector-pivot
How Beijing Is Encouraging Entrepreneurs Without Giving Up Control.

Energy Dominance with Chinese Characteristics
https://www.foreignaffairs.com/united-states/energy-dominance-chinese-characteristics
Why Beijing Holds the Power in the Century Ahead.

Can Germany Reclaim Its Destiny Despite Its Demography?
https://www.wsj.com/opinion/can-germany-reclaim-its-destiny-despite-its-demography-8e0f44c8
A rapidly aging population puts the country—and therefore Europe—on a path toward a growth cliff.

The Embarrassing Truth About Tariffs
https://www.wsj.com/opinion/kevin-hassett-tariffs-study-federal-reserve-bank-of-new-york-donald-trump-b485dbb7
Why is Trump so upset about Federal Reserve economic research into his trade policies?

In 2025, Trade Deficit in Goods Reached Record High
https://www.nytimes.com/2026/02/19/business/economy/imports-tariffs-trade-deficit.html
The trade deficit remained historically large last year, new data showed, as President Trump’s steep tariffs scrambled trade but did not halt it.

America Imported a Record Amount Last Year Despite Seismic Trade Policy Changes
https://www.wsj.com/economy/trade/u-s-trade-deficit-grew-in-december-da4afda5

How Trump’s Tariffs Changed the Year in Trade
https://www.wsj.com/economy/trade/tariffs-commerce-department-trade-data-5a0fa077
America still bought a lot more than it sold in 2025, despite shifting tariff policies.

Millions of Visitors Short: America’s Continuing Tourism Slump
https://www.nytimes.com/2026/02/20/travel/us-tourism-declines-eu-canada.html
Last year, the U.S. was the only major destination to see a decline in international travelers. With unpredictable policies, the new year isn’t looking better.

Over 65? Congratulations, You Own the Economy
https://www.wsj.com/economy/over-65-congratulations-you-own-the-economy-5acea4c4
The elderly are physically and financially healthier than ever. So why do their needs keep taking priority over younger generations?

How China’s Xi Purged His ‘Big Brother’ to Achieve Absolute Power
https://www.wsj.com/world/china/xi-purge-general-big-brother-4fc7a13d
The Beijing leader consolidated one-man rule last month in rapid-fire actions against the military’s senior commanders.

In Xi’s Purge of the Military, a Search for Absolute Loyalty
https://www.nytimes.com/2026/02/16/world/asia/xi-military-zhang-youxia-mao.html
By reaching back to Maoist tactics of “rectification,” the Chinese leader is signaling that control over the gun requires a state of perpetual cleansing.

How the World’s Most Boring Market Became a ‘Battlefield’
https://www.nytimes.com/2026/02/18/business/jgb-trade-excitement.html
Trading of Japanese government bonds, long considered moribund, is roaring back to life as fears of the country’s debt have sent yields surging.

Bonds swept up in leap of faith on AI productivity
https://www.reuters.com/technology/artificial-intelligence/bonds-swept-up-leap-faith-ai-productivity-2026-02-18/

Billionaires’ Low Taxes Are Becoming a Problem for the Economy
https://www.wsj.com/finance/billionaires-low-taxes-are-becoming-a-problem-for-the-economy-27a560ca
Tax avoidance by the superwealthy is an economic issue as well as a political one.