UK - Eurozone Crisis Live

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its interesting to see that out of total GBP 2,352 million remittance outflows from Britain, around GBP 1.16bil goes to just two countries, Pakistan and Bangladesh. while Britain itself is the 14th largest receiver of remittances from the world right now and Pakistan and Bangladesh on 7th and 11th place?

World Bank data suggest that the UK is a net remittance-receiver

The UK is a receiver as well as a sender of remittances. As shown in Figure 1, the World Bank estimates suggest that since the mid-1990s the UK has been a net-remittance receiver. The main countries from which remittances are sent to the UK include Australia, the United States and Canada (World Bank 2010). Real remittance inflows (inflation adjusted) for the UK have increased by an annual average of 6% since 1989, reaching close to GBP 4,647 million in 2009. However, these inflows represent a small share of the UK GDP (about 0.3% in 2009). The UK occupies the fourteenth place in the world in value of remittances received and the sixth place in Europe.

From 1989 to 2009, remittance outflows from the UK increased by an annual average of about 4% in real terms, reaching close to GBP 2,352 million in 2009.

The UK accounted for around 7% of annual remittances to Bangladesh in 2010 (about GBP 533 million) and about 10% of annual remittances to Pakistan during that year (about GBP 627 million)

Bangladesh and Pakistan occupy the seventh and eleventh positions respectively in terms of the global inflow of remittances

Migrant Remittances to and from the UK | The Migration Observatory

 

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Families will be £7,000 out of pocket by 2015 as economic crisis creates 'ferocious squeeze' on incomes
By Kirsty Walker

Families in the UK will have an average of £7,000 less to spend by 2015, as lower wages and high unemployment hits incomes, according to new figures.

The economic crisis will continue to create a 'ferocious squeeze' on families, with rising energy, food and fuel costs also crippling families, the House of Commons analysis revealed.

Last year, the average UK family was £800 out of pocket compared with 2010. But by 2015, this is set to more than double to £1,700 per year.

Over the lifetime of this Parliament, the average family will have a total of £7,100 less to spend between 2011 and 2015.

The figures came as Bank of England governor Mervyn King warned that Britain is not even half way through the economic crisis and should brace itself for five more years of turmoil.

Mr King admitted that he was 'pessimist' about the state of the economy given the ongoing turmoil in the eurozone.

The figures, which are based on Office for Budget Responsibility forecasts, will make worrying reading for Chancellor George Osborne as they show that the financial pain for families will worsen ahead of the next General Election.

The OBR revised down its forecasts for real household disposable income since the Government's 2010 spending review.

Rachel Reeves, Shadow Chief Secretary to the Treasury, said the hit on families was a direct result of the weakening economy.

She said the OBR's initial forecasts had already taken into account the direct impact on household finances of tax rises and spending cuts such as last year's VAT rise and this year's reduction in tax credits.

In a speech today, Miss Reeves will warn that ordinary families have paid a 'heavy price' for the lack of economic growth and blame the Government for 'choking off recovery'.

She will tell the Resolution Foundation: 'The failure of David Cameron and George Osborne's economic plan will cost families dearly. Not only are they hitting family finances hard with big tax rises and deep cuts to tax credits, but by choking off the recovery and pushing Britain into a double-dip recession families are earning less as well.

'Even if the economy eventually recovers as the government hopes, by the time of the next election families will now be £1,700 worse off than if the recovery had been sustained. This is a permanent loss of income.

'These shocking figures show the heavy price Britain will pay for years to come for George Osborne's economic failure and years of lost growth.'

The analysis, based on official Government figures, highlights the nightmare facing families. The Bank of England has warned that households are facing a 'ferocious' squeeze on take-home pay.

Families will be £7,000 out of pocket by 2015 as economic crisis creates 'ferocious squeeze' on incomes | This is Money

UK trade deficit at 15-year high
9 August 2012

The UK's trade gap widened sharply in June, to its worst level since comparable records began in 1997.

BBC News - UK trade deficit at 15-year high

 

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India suffer heavy Trade Deficit with EU but its still not helping EU's economies..........

Free Economy Photos, Images, Market Infographics, Stocks Picture Gallery - Financial Express

India's exports to European countries increased by about 16 per cent to USD 57.7 billion in 2011-12, while imports rose by about 29 per cent year-on-year to USD 91.5 billion.

Exports to Europe up 16%; imports 29%

 

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Nationwide Spanish protests turn violent

Nationwide Spanish protests turn violent (PHOTOS, VIDEO) — RT

Spanish police have clashed with protesters who marched against the latest batch of austerity measures. Over a million public employees, trade union members and fed-up citizens have taken to the streets in over 80 Spanish cities.

*Violence erupted in Madrid around midnight. Police used rubber bullets and tear gas to disperse the crowd as it tried to reach the congress building. In some more urban areas, activists set garbage containers on fire and tried to block police vehicle access. No injuries or arrests have been reported.

In Barcelona, similar scenes were reported. About a dozen protesters were arrested there, outside the local parliament building.

*Demonstrators carried flags and banners decorated with scissors, symbolizing the country's harsh spending cuts. The streets of Madrid were paralyzed by the boundless crowds of people.

The protests were organized by unions, who have been outraged by the government's new measures – which include an elimination of Christmas bonuses for civil servants.

Earlier Thursday, Spanish Parliament approved a new package of spending cuts and tax hikes aiming to save $80 billion in a bid to take a bite out of the budget deficit. Since the measure was announced last week, Spain has witnessed a series of daily demonstrations, some of which have erupted into violence.

Europe's fourth-largest economy also has the EU's highest unemployment rate. About a quarter of working-age Spaniards are unable to find work.

Meanwhile, Germany's lower house approved a $122 billion rescue package for Spanish banks in a bid to help the country cope with "excessive" market fears and prevent the eurozone's debt crisis from spreading further.

Spain, Madrid: Riot policemen remain on a street of Madrid during a protest against the Spanish government's latest austerity measures, on July 19, 2012.

Protesters march during a demonstration against government austerity measures, in central Valencia

Demonstrators fill Madrid's Puerta del Sol square during a protest against government austerity measures. (REUTERS / Sergio Perez)

Firefighters pose naked in front of a banner during a demonstration against government cuts inside their fire station in Mieres (REUTERS / Eloy Alonso

Civil servants shout slogans during a protest against government austerity measures in Madrid (REUTERS / Sergio Perez

Firemen participate in a protest against government austerity measures in Barcelona.(REUTERS / Albert Gea)

Spain, Madrid : Spanish actors Javier Bardem his brother Carlos Bardem and their mother Pilar Bardem demonstrate against the Spanish government's latest austerity measures in Madrid on July 19, 2012.

Nationwide Spanish protests turn violent (PHOTOS, VIDEO) — RT

Police protection or citizen censorship? Spain to ban photos and videos of cops
19 October, 2012

Protesters clash with riot policemen during a demonstration in Madrid.

Spain's government is drafting a law that bans the photographing and filming of members of the police. The Interior Ministry assures they are not cracking down on freedom of expression, but protecting the lives of law enforcement officers.

**The draft legislation follows waves of protests throughout the country against uncompromising austerity cuts to public healthcare and education.

The new Citizen Safety Law will prohibit "the capture, reproduction and editing of images, sounds or information of members of the security or armed forces in the line of duty," said the director general of the police, Ignacio Cosido. He added that this new bill seeks to "find a balance between the protection of citizens' rights and those of security forces."

The dissemination of images and videos over social networks like Facebook will also be punishable under the legislation.

Despite the fact that the new law will cover all images that could pose a risk to the physical safety officers or impede them from executing their duty, the Interior Ministry maintains it will not encroach on freedom of expression.

"We are trying to avoid images of police being uploaded onto social networks with threats to them and their families," underlined Cosido.

Violation of freedom of expression?

Spain's United Police Syndicate said it considers the implementation of the new legislation "very complicated" because it does not establish any guidelines over what kinds of images violate the rights of a police officer. The syndicate warned that the ministry will run into "legal problems" if it does not specify the ins and outs of the law.

However, the director of the police argued that the measures were necessary given the "elevated levels of violence against officers" in the economic downturn that is "undermining the basis of a democratic society."

The anti-austerity protests that have swept Spain over the past year have been punctuated by reports and footage of police brutality. The footage showed that large numbers of Spanish officers did not wear their identification badges during the protests, although the law requires it.

Spain's beleaguered economy is in danger of following in the footsteps of Greece.

The government has made sweeping cuts to the public sector, provoking the ire of a Spanish public already disillusioned at rising unemployment that tops 50 per cent among adolescents.

The Spanish government has not yet called on the European Central bank for a bailout, but rising economic woes and an unchecked public deficit may force it to do so in the near future.

Police protection or citizen censorship? Spain to ban photos and videos of cops — RT

 

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Gexit Is Better Than Grexit

There would be no domino effect if Germany leaves. Remaining in the euro entails Germany's paying indefinitely for debts made by others.

Any reasonable person would assume it highly unlikely that Europe's leaders would have adopted the euro as their common currency if they had known 10 years ago what a mess they would be in today. The euro project, however, was not a project of reason but of political correctness. Ten years ago many economists warned that adopting a common currency for countries with such divergent economies as divergent as Germany and Spain (not to mention Finland and Greece) could not work. In spite of this, Europe's unelected political class pushed through the euro.

Today it is clear as well that the euro in its present form cannot survive without bankrupting all the economies of Europe. Yet the Europe Union's political class still persists in its vain and costly attempts to save the common European currency -- simply because giving up on the euro would mean admitting they were wrong from the start. What's more, the EU ideology that Europe is to develop into a genuine federal state does not allow its leaders to admit that Europe is a cluster of distinctly different nation states with different interests, cultures, languages and traditions.

The people of Europe were cheated from the start. They outspokenly did not want their nations to be submerged into a "United States of Europe." That is why, when the euro was instituted, the political class promised that no country would ever have to foot the bill of another country. However, in 2009, when Greece needed its first bailout to avoid bankruptcy, Europe's leaders at once violated the EU rules which forbid the member states to bail out other members. If the EU had played by its own book – as it should have done – Greece would have gone bankrupt and left the euro two years ago.

Sticking to the rules, however, was out of the question: neither France nor Germany was prepared to drop Greece. France sees itself as the leader and patron of the bloc of southern EU countries; Germany fears that if it insisted on pushing a country out of the eurozone it would be accused of immoral selfishness and all the goodwill it had acquired since the Second World War would be lost. As the two major EU countries were prepared to bail out Greece, the smaller member states all went along, assuming that only one bailout (and just for Greece) would be needed.

Meanwhile, the EU has been forced to bail out Ireland and Portugal, as well, and Greece for a second time, while Greece is now clamoring for a third bailout and Spain also needs to be bailed out.

The EU's fatal decision to bail out Greece in early 2010 indicates that in an ideologically driven political environment such as the EU, it is easier for the political class to break the formal rules and ignore objective facts than to depart from the unwritten ideological imperative.

Today, despite the worsened situation, it seems to be ever more difficult for the EU's political class to change course. Doing so would imply that all the money spent on bailouts so far is lost – squandered on the fatal conceit of an ideological dream which is slowly turning out to be a nightmare.

One day soon, however, Europe will have to face reality. Either the EU is turned into a fiscal and political union, a genuine superstate where national debts are shared. Or the euro and possibly the EU disintegrate. :meeting: The former option is what the political class wants, but what the European people loathe. Hence, the growing rift between the people and their political leaders everywhere in Europe, but especially in Germany which is acting as the paymaster for the whole EU. This course is the more dangerous as it will lead to enormous political resentment in Germany. Eighty years ago, we saw what that can lead to.

The alternative is a disintegration of the eurozone. Here there are several scenarios. Greece may be forced to leave the euro, followed by Portugal, Ireland, Cyprus and Spain. According to last week's Economist, this will be a costly process. A Greek exit (Grexit) might cost €323 billion; an exit of Greece plus the four above mentioned countries might cost a staggering €1,155 billion.

A more likely scenario is for Germany to leave. A recent poll indicated that 51 percent of Germans think it is time to resurrect the Deutschmark. British journalist and economist Anatole Kaletsky thinks that a German exit from the euro could be relatively easy. According to Kaletsky, German departure would be less disruptive than Grexit for three reasons.

First, a Greek exit would lead to a domino effect with capital fleeing the next weakest country in the eurozone. There would be no domino effect if Germany leaves. Second, the eurozone would become more coherent without Germany and the remaining countries could use quantitative easing to bring down interest rates, issue jointly guaranteed Eurobonds and form a genuine fiscal union, with a public deficit of 5.3 percent of GDP and a gross debt of 90.4 percent of GDP – all comparing favorably to the deficit and debt levels in Britain, the U.S. and Japan. Third, a break-up caused by Germany withdrawing would be far less chaotic from a legal standpoint than a break-down in which the euro disintegrates as weak countries are pushed out. The euro without Germany would remain a legal currency, governed by the same treaties as before. Obviously, there would be costs for German companies, German banks and the Bundesbank, but these would all constitute local difficulties for Germany.

The benefits of a German exit (Gexit) are clear for Germany as well. It would incur costs, but these are one-time costs, while remaining in the euro entails Germany's paying indefinitely for debts made by others. Better a miserable end than endless misery.

A German exit would also be better for the American economy than the current situation, in which pressure is increasing on a country such as Spain. An economic collapse of Spain would inflict a severe blow to the U.S. stock exchanges. Rather than exerting pressure on German Chancellor Angela Merkel to accept a European fiscal union, which would mean political suicide for her, the United States might try to persuade her to leave the eurozone.

Gexit Is Better Than Grexit :: Gatestone Institute

Big guns rally around euro as Germans call for return to Mark
Mon 30 Jul 2012

Leaders of Germany, France and Italy say they will do everything to save euro, but German public has other ideas

Big guns rally around euro as Germans call for return to Mark | euro debt crisis News | The Week UK

Bring back the mark, say Germans

Cookies must be enabled. | The Australian

 

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Brits Hit By 'Never-Ending Recession' Fears
Friday 14 September 2012

Two new surveys suggest recession fears continue to spread, with even the most affluent now forced to tighten their belts.

Five years after the collapse of Northern Rock, a survey shows that many Britons believe the economic gloom will never end.

The poll found that 14% of Brits believe their finances will never be the same again, while 47% doubt recovery will happen any time soon.

A further 18% of the country believes that the gloomy economic outlook will go on forever.

The survey by MoneySupermarket.com showed how with the Bank of England base rate sitting at an historic low, saving and credit rates show little parity.

The website said that while the average saving rate has dropped by 3.28% since 2007, savers still benefit from a rate six times that of the 0.5% base rate.

Although mortgage borrowers enjoy reduced rates, first time buyers continue to struggle.

Similarly, credit card rates have increased by 2.03%, despite the low base rate.

Recessionary fears adversely affect an economy when belt-tightening spreads across society - known by economists as the paradox of thrift.

Meanwhile, according to insurance giant Axa, austerity has now impacted Britain's rich.

The firm's big money index showed that austerity is now firmly gripping more affluent consumers as a third of higher earners switched supermarkets and dipped into savings to make ends meet.

It also showed that almost one in seven Brits across all groups cannot see a time when their income will cover their outgoings, rising to 20% among the most 'stretched' consumers.

Axa said the relentless squeeze on household finances was seemingly too much to face for some, and 6% of 'under-funded seniors' did not know how much debt they had on cards and loans.

It said 15% of young professionals and 11% of 'the stretched' actively avoided opening bank statements.

Axa UK marketing director Cheryl Toner said: "A pattern of relentless economising has set in since our big money index surveys began in early 2011, and it's showing no signs of easing.

"It's alarming to see that even those deemed 'untouchable', the more comfortable sectors, are now feeling the pinch.

"Severe cutbacks are evident almost regardless of affluence levels."

Brits Hit By 'Never-Ending Recession' Fears

 

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UK recession "now bites high earners"
14 September 2012

A third of higher earners have switched to cheaper supermarkets and dipped into savings to make ends meet, according to a report.

Almost one in seven across all groups cannot see a time when their income will cover their outgoings, rising to one in five among the most "stretched", found the bi-annual Axa Big Money Index.

Consumers have remained pessimistic about their situation in the six months to June and just 16% believe their financial situation will improve in the long term.

The "widespread pessimism" sees 28% cutting back on food spending and almost one in four forced to spend less on gas, oil and electricity. Even wealthier groups of people continue to switch to using cheaper supermarkets for basic food shopping.

This applies to a third (32%) of people in their 50s and 60s who are mortgage-free and have a high disposable income, described as the "exclusive lifestyles" group, and 25% of those in their 40s and 50s who have an above-average income, named the "successful security" group.

Almost a third (31%) of the exclusive lifestyles group have had to use savings to make ends meet, with 13% not opening bills until the final demand arrives. One in five people (20%) have stopped putting money into savings.

The YouGov survey also shows that around two-fifths (38%) believe that financial education should be part of the national curriculum.
Axa UK marketing director Cheryl Toner said: "A pattern of relentless economising has set in since our Big Money Index surveys began in early 2011, and it's showing no signs of easing.

"It's alarming to see that even those deemed untouchable, the more comfortable sectors, are now feeling the pinch. Severe cutbacks are evident almost regardless of affluence levels.

"However, it is encouraging to note that the younger population feels quietly confident, and that there is growing sentiment that better financial education and more personal responsibility is needed to take control of financial concerns."

Recession 'now biting high earners' - UK, Local & National - Belfasttelegraph.co.uk

 

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European Debt Crisis Driving Workers East
01 June 2012

Moscow has become a magnet for foreigners from struggling European economics who are seeking jobs.

A yearlong job search in Russia has yet to yield results for Daniel Campbell, a resident of Northern Ireland looking for new opportunities outside his home country.

Like many of their European peers, Britain and Ireland are struggling economically.

"Employment in Ireland is very competitive. Northern Ireland has the highest unemployment rate within the United Kingdom," said Campbell, a 23-year-old human resources specialist. "Most of my friends have immigrated or plan to immigrate to Australia, America, Canada or elsewhere," he said.

Despite its exorbitant prices and eternal traffic jams, Moscow has become a magnet for foreigners seeking jobs, as unemployment in Europe is hitting record highs amid the debt crisis.

"We've been particularly busy bringing foreigners over the last six months," said Gethin Jones, director of Troika Relocations, which helps foreigners move to Russia and settle in.

Both Jones and Moscow-based headhunters said the stable growth of Russia's economy has encouraged foreign specialists to look for new opportunities here.

The number of new resumes submitted by foreigners seeking employment in Russia increased 11 percent last year. That is a rebound from a 60 percent decline in 2010, according to online recruiting company HeadHunter.

This is not the first time strained economic conditions in their home countries have led foreigners to turn to Russia in search of employment.

The number of new resumes posted by foreigners on the hh.ru website run by HeadHunter rose 116 percent and 22 percent in 2008 and 2009, respectively, the company said.

But unlike in the crisis of 2008-2009, when Russia was hit as severely as the rest of the world, the local labor market now provides more opportunities for expats.

"It's a different situation: Europe is in recession, and the Russian economy looks more stable against this background," said Yekaterina Gorokhova, chief executive of Kelly Services CIS. "The labor market in Russia has resources today to attract foreign managers, which results in an increasing number of offers from foreign specialists."

During the previous crisis, foreigners' chances of being employed in Russia were close to zero because companies were cutting costs and had no money to cover relocation expenses, said Yury Dorfman, head of HR practice at Cornerstone, which focuses on executive searches.

Recruiters said that expats applying for a job in Russia today can count on generous social benefits, with companies covering housing and transportation costs and providing visa support, while salaries are almost equal to those received by local specialists.

Dorfman said that along with new resumes, his company now gets requests from former clients willing to come back after leaving the country between 2008 and 2009.

"I believe this is because of the strained economic situation in Europe. ... So non-demanded specialists are trying to find jobs outside the region," he said.

Russia's official unemployment rate reached 6.6 percent in 2011, down from 7.5 percent a year earlier, according to the State Statistics Service.

Unemployment in the 17-country eurozone stood at 11.4 percent in December 2011, according to the European Union's statistics service, Eurostat.

Having posted 4.3 percent growth in gross domestic product last year, Russia is becoming an attractive market for multinational corporations to develop business and bring employees, Jones said.

"That's not a huge growth, but compared to what's going on in Europe and North America, it's very significant," he said.

The eurozone saw modest economic growth of 1.5 percent in 2011, while the U.S. economy expanded by 1.7 percent.

Campbell, who plans to move to Moscow along with his Russian girlfriend, said he hopes that the pace of Russia's economic development will afford him "opportunities within an English-speaking organization based in Moscow or elsewhere" in the country.

Most foreigners are attracted to Russia by career promotion opportunities and a chance to be employed in positions that would require much more time to attain in their home countries.

"There's every chance to build a good career quickly in Russia and come back to the home country in a different status," Dorfman said. "For example, a Western financial controller could easily apply for a chief financial officer position in Russia."

Among the industries in which expats are traditionally in high demand are banking and finance, oil and gas, financial management and consulting, he said, adding that local companies usually invite foreigners to oversee new projects, which require skills and expertise that local managers often don't have.

An expat is also better received by the international business community and could raise financing for a company faster than a local colleague, he said.

But getting a job in Russia might be a challenge because expats are facing increasing competition from local specialists, headhunters said. Foreign specialists applying for a job will have to prove their skills are superior, however.

"Russia has raised a generation of qualified and responsible local managers," Gorokhova said.

This results in decreasing demand for foreign senior executives, although more companies are considering hiring mid-level managers from abroad, said Gleb Lebedev, head of research at HeadHunter.

The new trend leaves hope for Campbell, who said after months of fruitless searching that an English-language teaching position is the most realistic option for him.

European Debt Crisis Driving Workers East | Business | The Moscow Times

 

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UK invaded: Russians buy up British land

Already regular real-estate buyers on the London market, rich Russians are now spreading further into the country, conquering new lands.

London is once again attracting real-estate buyers from around the world. They see the city as "safe haven," having already driven the prices of London's top-end residential properties up 3 per cent so far this year.

Rich Russians have long been leading London's top and real estate market. Over 10 per cent of Thames riverside property is currently owned by them, and in 2011 Russian customers bought about 40 per cent of all property sold in the UK capital.

This year, however, the fashion has changed – Russians are now shifting from the city's hustle and bustle to the countryside views.

"Recently we've seen many Russians moving out of London and buying more in the country," Grainne Gilmore, head of UK residential research Knight Frank, told RT. "About 40 per cent of Russian purchases were in the country, compared to 20 per cent last year. Prices there remained fairly stable. Probably, the buyers are now looking for weekend homes or simply more rest."

UK invaded: Well-off Russians buy up British land — RT

 

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Russia's economic fortunes rise as West sinks

Russia's economic fortunes rise as West sinks - Telegraph

Despair, which is judged on the 'despair index' as inflation + unemployment + poverty, in the West is now higher than in Russia, says Ben Aris.

The traditional way of measuring pain in times of crisis is to look at the misery index: inflation + unemployment. But to really capture the pain people are feeling, you need to look at the despair index: inflation + unemployment + poverty.

The shocking fact is that despair in the West is now higher than in Russia.

In October, the US Census Bureau announced that one in seven Americans is living in poverty — the highest number since record-keeping began 53 years ago.

Two weeks later, the UK announced that the number of people out of work has reached its highest level in 17 years, and youth unemployment has hit a historic high at well over 20pc, according to the Office for National Statistics. Spain capped the round of bad news by announcing that unemployment there is 23pc — its highest figure ever and the highest in the EU. Even with the West's low inflation, the misery index is already very high.


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But unemployment coupled with inflation alone doesn't really tell the whole story. What does it matter if the cost of an iPod rises by 10pc a year if you can't even put food on the table or heat your home?

The despair index allows a direct comparison between the West and emerging markets. The surprise is that central and eastern European states are doing better than the developed economies of the West.

And thanks to record low poverty and unemployment numbers in November, Russia's despair index score of 25.5 is now lower than that of the United States, which has a despair level of 28.1.

Russia's score highlights the transformation the country has been through since the collapse of the Soviet Union in 1991. Life for Russians at the start of the Nineties was truly horrible. Russia's misery and despair indices were into the thousands thanks to hyperinflation, but as the decade wore on, the despair index fell steadily from around 90 in 2000 to the current level.

It is easy to blame the rising despair on the current crisis, but the US Census says poverty levels in the US have been rising since well before the current crisis began. Economists say that most American families were worse off in 2000 than they were in 1990.

There are some problems with comparing poverty across countries. With a poverty line of $11,139 (£7,160) per annum, America's poor are a lot better off than most Russians, who earn an average of $9,600. However, the US Census Bureau says half of those living in poverty live in "deep poverty" with incomes half of the official poverty rate, which would make them poor even by Russian standards.

The existence of poverty in the "rich" world only underscores the fact that western democracy is flawed and emphasises the increasingly desperate need for deep structural reform. There has been a lot of talk of emerging markets overtaking the West, but for the majority of people, the Brics have already caught up. If you are rich, then you are better off living in America, but if you are poor, then the chances of your life improving are now brighter in Russia.

Russia's economic fortunes rise as West sinks - Telegraph

List of countries by public debt, 2011 est

Russia 8.7

United Kingdom 85.7
United States 105.0
Ireland 108.4
Italy 120.9
Greece 165.3

List of countries by public debt - Wikipedia, the free encyclopedia

 

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Euro zone faces deepest downturn since early 2009
Thu Nov 22, 2012

(Reuters) - The euro zone economy is on course for its weakest quarter since the dark days of early 2009, according to business surveys that showed companies toiling against shrinking order books in November.

Service sector firms like banks and hotels that comprise the bulk of the economy fared particularly badly this month, and laid off staff at a faster pace.

While the monthly rate of decline that manufacturers reported eased far more than economists anticipated, Markit's latest Purchasing Managers' Indexes (PMIs) pointed to little change overall for a recession-hit euro zone this month.

The flash service sector PMI fell to 45.7 this month, its lowest reading since July 2009, the survey showed on Thursday, failing to meet the expectations of economists who thought it would hold at October's 46.0.

It has been rooted below the 50 mark that divides growth and contraction for 10 months now, and survey compiler Markit said it was too soon to say if this marked the nadir.

With more austerity on the way, and a reminder of the festering sovereign debt crisis in this week's failure of lenders to agree more aid for Greece, prospects for next year look ominous.

"The concern about the outlook is getting worse as we move towards the end of the year," said Chris Williamson, chief economist from Markit.

He added that German companies especially have become more pessimistic about the year ahead.

"If the domestic economy of Germany, the largest euro zone nation, is weakening, then that bodes ill for the rest of the region, especially as there's little trade picking up outside the region."

Overall, the PMIs were consistent with the economy shrinking around 0.5 percent in this quarter, Markit said.

That would be the sharpest contraction since the first quarter of 2009.

While they also suggested the economy shrank by a similar amount in the third quarter, instead of 0.1 percent shown in last week's official data, Williamson said it was very likely the fourth quarter would see a larger downturn.

"The factors that were helping to prop up the official data in the third quarter won't be apparent in the final quarter of the year. So you are going to see a deterioration in those official numbers."

Economists pointed to stronger industrial production data early in July and August as a reason why the euro zone economy did not contract as badly as many feared in the third quarter.

PESSIMISM PREVAILS

There was little conviction among businesses that things will get better soon.

Service sector companies are now more pessimistic about the year ahead than at any time since March 2009, when the expectations index last plumbed 48.6 and the region was in the midst of its worst post-war recession.

The manufacturing PMI edged up to 46.2, its best showing since March, from 45.4 in October. That was better than even the most optimistic forecast for 46.0, from 40 economists polled by Reuters.

Similarly, the factory output and new orders indexes crept higher, but still signalled steep rates of decline.

The composite PMI, which groups together the services and manufacturing survey, pointed to an almost unchanged rate of decline for the economy in November, rising to 45.8 from 45.7 in October.

It also showed inflation pressures are easing quickly for companies, as both output and input prices indexes dropped.

Economists polled by Reuters remain divided over whether the European Central Bank will cut its main refinancing rate from 0.75 percent to a new record low 0.5 percent.

"I think the ECB consider their policy to be suitably accommodative at the moment and will continue to put the ball in the court of national governments to work on structural issues," said Williamson.

Detailed PMI data are only available under license from Markit and customers need to apply to Markit for a license. To subscribe to the full data, click on the link below: DDoS Protection, DDoS Mitigation, DDoS Attack Protected Dedicated Server Hosting - Staminus Communications - SecurePort - The Leader in Distributed Denial of Service Attack Security For further information, please phone Markit on +44 20 7260 2454 or email [email protected]

(Editing by Hugh Lawson)

Euro zone faces deepest downturn since early 2009 | Reuters

 

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also, low carbon emission means low fuel consumption which then translate to low industrial output with slow down of economy, especially in case when it is reduced by 7% in just one year?????

here, the way UK is losing its industries, we find them going down in this list very fast, to join the African countries very soon....

List of countries by carbon dioxide emissions per capita - Wikipedia, the free encyclopedia

British greenhouse gas emissions fell 7% in 2011
Reuters

LONDON - Britain's greenhouse gas emissions fell 7 percent in 2011, putting one of the European Union's biggest emitters further ahead of its internationally binding target under the Kyoto Protocol, provisional government data showed on Thursday.

While the country is ahead of the Kyoto timetable, the figures do not mean Britain has much scope to ease up its drive towards a low carbon economy as it also has ambitious, legally-binding domestic targets.

In 2011, the UK emitted 549.3 million tonnes of carbon dioxide equivalent, a 7 percent drop from 2010 levels and down 28 percent from emissions in 1990, according to data from the Department of Energy and Climate Change (DECC).

DECC attributed the year-on-year decline in 2011 mainly to a decrease in residential gas use, combined with a reduction in electricity demand and greater use of renewable energy, such as wind and solar, and nuclear power generation.

"The government can take credit for some of the emissions reductions - particularly through the 35 percent increase in renewable electricity generation over 2010 - but not all," said David Symons, director at global environmental consultancy WSP Environment and Energy.

Symons said other factors were beyond the government's control, such as the warmer weather and global energy prices which could have impacted energy consumption over the past year.

"Another cold winter or a drop in fuel prices could well see emissions rise again," he said, adding the government still has its work cut out to encourage the growth of renewables and to help homeowners and businesses become more energy efficient.

Under the Kyoto Protocol, the world's only binding pact to help curb global warming, Britain has to cut emissions by 12.5 percent below 1990 levels over the period 2008-2012.

The country's national emission budgets are set over five-year periods towards a 2050 goal of cutting emissions at least 80 percent below 1990 levels.

The Committee on Climate Change last year said the UK was on track to keep within its 2008-2012 emission budget of a 22 percent reduction on 1990 levels, largely due to the effects of the economic downturn curbing industrial output.

Carbon dioxide (CO2), a main greenhouse gas, accounted for more than 80 percent of UK's total emissions last year. Year-on-year, UK CO2 emissions fell 8 percent to 456.3 million tonnes, according to DECC's provisional data.

In 2011, the energy supply sector accounted for an estimated 40 percent of CO2 emissions, followed by transport at 26 percent and 15 percent from each of the business and residential sectors.

Since 1990, the UK's CO2 emissions have fallen 23 percent, thanks to more efficient electricity generation and switching from coal to less carbon intensive fuels such as gas, DECC said.

Emissions from other sectors, such as business, residential, and agriculture have also declined since 1990, apart from transport, which has remained relatively flat.

Tags:carbon emissions, Environment, United Kingdom

British greenhouse gas emissions fell 7% in 2011 | Climate Spectator

 

[hello_10]

Russia's economic fortunes rise as West sinks

Russia's economic fortunes rise as West sinks - Telegraph

Despair, which is judged on the 'despair index' as inflation + unemployment + poverty, in the West is now higher than in Russia, says Ben Aris.

The traditional way of measuring pain in times of crisis is to look at the misery index: inflation + unemployment. But to really capture the pain people are feeling, you need to look at the despair index: inflation + unemployment + poverty.

The shocking fact is that despair in the West is now higher than in Russia.

In October, the US Census Bureau announced that one in seven Americans is living in poverty — the highest number since record-keeping began 53 years ago.

Two weeks later, the UK announced that the number of people out of work has reached its highest level in 17 years, and youth unemployment has hit a historic high at well over 20pc, according to the Office for National Statistics. Spain capped the round of bad news by announcing that unemployment there is 23pc — its highest figure ever and the highest in the EU. Even with the West's low inflation, the misery index is already very high.


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But unemployment coupled with inflation alone doesn't really tell the whole story. What does it matter if the cost of an iPod rises by 10pc a year if you can't even put food on the table or heat your home?

The despair index allows a direct comparison between the West and emerging markets. The surprise is that central and eastern European states are doing better than the developed economies of the West.

And thanks to record low poverty and unemployment numbers in November, Russia's despair index score of 25.5 is now lower than that of the United States, which has a despair level of 28.1.

Russia's score highlights the transformation the country has been through since the collapse of the Soviet Union in 1991. Life for Russians at the start of the Nineties was truly horrible. Russia's misery and despair indices were into the thousands thanks to hyperinflation, but as the decade wore on, the despair index fell steadily from around 90 in 2000 to the current level.

It is easy to blame the rising despair on the current crisis, but the US Census says poverty levels in the US have been rising since well before the current crisis began. Economists say that most American families were worse off in 2000 than they were in 1990.

There are some problems with comparing poverty across countries. With a poverty line of $11,139 (£7,160) per annum, America's poor are a lot better off than most Russians, who earn an average of $9,600. However, the US Census Bureau says half of those living in poverty live in "deep poverty" with incomes half of the official poverty rate, which would make them poor even by Russian standards.

The existence of poverty in the "rich" world only underscores the fact that western democracy is flawed and emphasises the increasingly desperate need for deep structural reform. There has been a lot of talk of emerging markets overtaking the West, but for the majority of people, the Brics have already caught up. If you are rich, then you are better off living in America, but if you are poor, then the chances of your life improving are now brighter in Russia.

Russia's economic fortunes rise as West sinks - Telegraph

Eurozone unemployment rate hits new high in October
30 November 2012

The eurozone's unemployment rate hit a new record high in October, while consumer price rises slowed sharply.

The jobless rate in the recessionary euro area rose to 11.7%. Inflation fell from 2.5% to 2.2% in November.

The data came as European Central Bank president Mario Draghi warned the euro would not emerge from its crisis until the second half of next year.

Government spending cuts would continue to hurt growth in the short-term, Mr Draghi said.

'Two-speed Europe'

The unemployment rate continued its steady rise, reaching 11.7% in October, up from 11.6% the month before and 10.4% a year ago.

A further 173,000 were out of work across the single currency area, bringing the total to 18.7 million.

The respective fortunes of northern and southern Europe diverged further. In Spain, the jobless rate rose to 26.2% from 25.8% the previous month, and in Italy it rose to 11.1% from 10.8%.

In contrast, unemployment in Germany held steady at 5.4% of the labour force, while in Austria it fell from 4.4% to just 4.3%.

"The real problem is that we have a two-speed Europe," economist Alberto Gallo of Royal Bank of Scotland told the BBC. "The biggest increase in unemployment is being driven by Italy and Spain.

"It is the same as you are seeing in financial markets," he explained. "The periphery [Spain and Italy] is the area where the banks are the least capitalised and need the most help, and the loan rates are the highest."

Eurozone unemployment rates

Country - October 2012 - October 2011

Spain - 26.2% - 22.7%

Greece* - 25.4% - 18.4%

Portugal - 16.3% - 13.7%

Ireland - 14.7% - 15.0%

Eurozone - 11.7% - 10.4%

Italy - 11.1% - 8.8%

France - 10.7% - 9.7%

Netherlands - 5.5% - 4.8%

Germany - 5.4% - 5.7%

Austria - 4.3% - 4.3%

Spending hit

Data earlier this month showed that the eurozone had returned to a shallow recession in the three months to September, shrinking 0.1% during the quarter, following a 0.2% contraction the previous quarter.

The less competitive southern European economies, such as Spain and Italy - where governments have had to push through hefty spending cuts to get their borrowing under control, and crisis-struck banks have been cutting back their lending - have been in recession for over a year.

But the economies of Germany and France have also begun to weaken. Growth in the eurozone's two biggest economies came in at a disappointing 0.2%.

And more recent data suggests that both core eurozone economies have continued to skirt recession during the autumn.

Retail sales in Germany shrank 2.8% in October versus the previous month, down 0.8% from a year earlier, according to data released on Friday. Analysts had expected the country to record unchanged or moderately growing sales.

Meanwhile, separate data showed consumer spending in France shrank 0.2% in October versus the previous month, with spending on cars and other durable goods hardest hit.

Calmer markets

The sharp slowdown in the eurozone's consumer price index, to 2.2% in November, is also symptomatic of the weakness of spending.

However, the inflation data may also open the door to further measures by the ECB to boost the economy, as the index fell much closer to the central bank's 2% target rate.

"We have not yet emerged from the crisis," said Mr Draghi, speaking on pan-European radio. "The recovery of the eurozone will certainly begin in the second half of 2013.

"It's true that the budgetary consolidation entails a short-term contraction of economic activity, but this budgetary consolidation is inevitable."

Despite Mr Draghi's warning, and the generally poor state of the eurozone economy, markets have begun to take a far more sanguine view of the single currency's future.

Italy's implicit cost of borrowing in the financial markets has fallen to its lowest level in two years, dropping to an implied interest rate of about 4.5% for 10-year debt.

Spain is able to borrow from markets at a 10-year rate of about 5.5% - far below the 7%-8% rate being demanded over the summer.

Mr Draghi conceded that the announcement of the ECB's willingness to buy up potentially unlimited amounts of government debt had boosted market confidence, even though no eurozone government had actually taken up the ECB's offer yet.

Banking union

However, borrowing costs in southern Europe still remain elevated compared with France and especially Germany. Berlin is currently able to borrow for 10 years at 1.37%, close to an all-time low.

"For now, what the ECB has done is to stop the bleeding," said Mr Gallo at RBS. "The central bank needs to close the gap in loan borrowing costs between the periphery and the core."

However, Mr Gallo said in his view the only way to do this was for the eurozone to move ahead with its "banking union" - which includes putting all eurozone banks under a common regulator, and creating a pan-eurozone scheme for guaranteeing bank accounts.

He was echoing the view of Christine Lagarde, head of the International Monetary Fund, who on Friday said that creating a single deposit guarantee system should be Europe's top priority, more important than getting government budgets under control.

Fears over a possible government default or exit from the eurozone have made it much harder for Spanish and Italian banks to borrow, and put them at risk of a sudden exodus of depositors. This in turn has undermined the banks' role in supporting their respective national economies.

BBC News - Eurozone unemployment rate hits new high in October

 

[hello_10]

European Debt Crisis Driving Workers East
01 June 2012

Moscow has become a magnet for foreigners from struggling European economics who are seeking jobs.

A yearlong job search in Russia has yet to yield results for Daniel Campbell, a resident of Northern Ireland looking for new opportunities outside his home country.

Like many of their European peers, Britain and Ireland are struggling economically.

"Employment in Ireland is very competitive. Northern Ireland has the highest unemployment rate within the United Kingdom," said Campbell, a 23-year-old human resources specialist. "Most of my friends have immigrated or plan to immigrate to Australia, America, Canada or elsewhere," he said.

Despite its exorbitant prices and eternal traffic jams, Moscow has become a magnet for foreigners seeking jobs, as unemployment in Europe is hitting record highs amid the debt crisis.

"We've been particularly busy bringing foreigners over the last six months," said Gethin Jones, director of Troika Relocations, which helps foreigners move to Russia and settle in.

Both Jones and Moscow-based headhunters said the stable growth of Russia's economy has encouraged foreign specialists to look for new opportunities here.

The number of new resumes submitted by foreigners seeking employment in Russia increased 11 percent last year. That is a rebound from a 60 percent decline in 2010, according to online recruiting company HeadHunter.

This is not the first time strained economic conditions in their home countries have led foreigners to turn to Russia in search of employment.

The number of new resumes posted by foreigners on the hh.ru website run by HeadHunter rose 116 percent and 22 percent in 2008 and 2009, respectively, the company said.

But unlike in the crisis of 2008-2009, when Russia was hit as severely as the rest of the world, the local labor market now provides more opportunities for expats.

"It's a different situation: Europe is in recession, and the Russian economy looks more stable against this background," said Yekaterina Gorokhova, chief executive of Kelly Services CIS. "The labor market in Russia has resources today to attract foreign managers, which results in an increasing number of offers from foreign specialists."

During the previous crisis, foreigners' chances of being employed in Russia were close to zero because companies were cutting costs and had no money to cover relocation expenses, said Yury Dorfman, head of HR practice at Cornerstone, which focuses on executive searches.

Recruiters said that expats applying for a job in Russia today can count on generous social benefits, with companies covering housing and transportation costs and providing visa support, while salaries are almost equal to those received by local specialists.

Dorfman said that along with new resumes, his company now gets requests from former clients willing to come back after leaving the country between 2008 and 2009.

"I believe this is because of the strained economic situation in Europe. ... So non-demanded specialists are trying to find jobs outside the region," he said.

Russia's official unemployment rate reached 6.6 percent in 2011, down from 7.5 percent a year earlier, according to the State Statistics Service.

Unemployment in the 17-country eurozone stood at 11.4 percent in December 2011, according to the European Union's statistics service, Eurostat.

Having posted 4.3 percent growth in gross domestic product last year, Russia is becoming an attractive market for multinational corporations to develop business and bring employees, Jones said.

"That's not a huge growth, but compared to what's going on in Europe and North America, it's very significant," he said.

The eurozone saw modest economic growth of 1.5 percent in 2011, while the U.S. economy expanded by 1.7 percent.

Campbell, who plans to move to Moscow along with his Russian girlfriend, said he hopes that the pace of Russia's economic development will afford him "opportunities within an English-speaking organization based in Moscow or elsewhere" in the country.

Most foreigners are attracted to Russia by career promotion opportunities and a chance to be employed in positions that would require much more time to attain in their home countries.

"There's every chance to build a good career quickly in Russia and come back to the home country in a different status," Dorfman said. "For example, a Western financial controller could easily apply for a chief financial officer position in Russia."

Among the industries in which expats are traditionally in high demand are banking and finance, oil and gas, financial management and consulting, he said, adding that local companies usually invite foreigners to oversee new projects, which require skills and expertise that local managers often don't have.

An expat is also better received by the international business community and could raise financing for a company faster than a local colleague, he said.

But getting a job in Russia might be a challenge because expats are facing increasing competition from local specialists, headhunters said. Foreign specialists applying for a job will have to prove their skills are superior, however.

"Russia has raised a generation of qualified and responsible local managers," Gorokhova said.

This results in decreasing demand for foreign senior executives, although more companies are considering hiring mid-level managers from abroad, said Gleb Lebedev, head of research at HeadHunter.

The new trend leaves hope for Campbell, who said after months of fruitless searching that an English-language teaching position is the most realistic option for him.

European Debt Crisis Driving Workers East | Business | The Moscow Times

EU, Russia Eye Visa-free Travel for Sochi Olympics

A European parliament member said on Tuesday the Sochi Olympics in 2014 could be a good time to cancel the visa regime between Russia and the EU completely or at least for the duration of the games.

A European parliament member said on Tuesday the Sochi Olympics in 2014 could be a good time to cancel the visa regime between Russia and the EU completely or at least for the duration of the games.

Hannes Swoboda, an European parliament rapporteur on Russia, told a news conference in Moscow that the EU and Russia would decide on liberalizing the visa regime by the end of this year or by the end of 2013, if both sides are truly willing.

Russia handed over a draft agreement on a visa-free regime for short-term trips at the Russia-EU summit in Rostov-on-Don in 2010 and then the sides discussed the issue closer at the Russia-EU summit in Brussels last December.

At the moment, holders of diplomatic passports have the right to visa-free travel to the Schengen zone countries for 90 days. Russia and the EU are considering extending this right to crews of civilian ships and aircraft. Russia is also seeking visa-free travel for holders of business passports.

EU, Russia Eye Visa-free Travel for Sochi Olympics | World | RIA Novosti

Russia hopes to shift to visa-free travel with EU before Sochi Games
Nov. 27, 2012

Russia hopes to shift to visa-free travel with EU before Sochi Games

 

[hello_10]

Argentina opens doors to migrants, but settling elsewhere is harder

As growing numbers of Europeans leave the continent and its economic woes, how easy is it to go and live in a new country?

Ipanema beach in Rio de Janeiro. Some European immigrants work in Brazil illegally by repeatedly renewing 90-day tourist visas.

Argentina opens doors to migrants, but settling elsewhere is harder | World news | guardian.co.uk

 

[hello_10]

we find per capita income of Russia, Argentina and Brazil as below. its clear, why EU wants free Visa scheme with Russia this way..... going to a country like Brazil for working 'illegally', by air fare etc, while now Europeans may enter in Russia by train this way

Brazil GDP per capita PPP

Argentina GDP per capita PPP

Russia GDP per capita PPP

with that, we do know the fact that even this year, russian economy is growing by at least 4.5% while that of South American economies like Brazil, Argentina would grow by hardly close to or less than 1.0% this year, and so in future also :ranger:

 

[hello_10]

Switzerland arming in preparation for European meltdown
12 October, 2012

The Swiss Army is preparing contingency plans for violent unrest across Europe. A nation mostly famous for its banks, watches and chocolate fears it may face a massive influx of European refugees in the near future.

One of the world's richest nations openly expressed concerns over the possible outcome of Europe's continuing financial troubles, and is currently conducting army exercises against the possibility of riots along its borders.

In September, the Swiss military conducted exercises dubbed 'Stabilo Due,' with scenarios involving violent instability across the EU.

Switzerland has maintained an avowedly neutral stance for decades, and refused to join the eurozone when presented with the opportunity.

Bern's biggest fear is likely the disorganization of neighboring nations' armies that would follow general instability; the eurozone crisis and the severe austerity measures in the EU are forcing member-states to significantly slash their military budgets. If protest continues to spread across Europe, police and armed forces may find themselves ill-equipped to manage the unrest.

"I will not rule out that we will need the army in the coming years," Swiss Defense Minister Ueli Maurer said last Sunday.

The Swiss Defense Ministry has pressed ahead to modernize the country's army despite political opposition. With its multibillion-Franc military budget and an army of around 200,000 soldiers, the country also plans to purchase new 'Saab Gripen' jet fighters.

Switzerland arming in preparation for European meltdown? — RT

Poverty returns to Europe by leaps and bounds

The news about the economic situation in the EU reminds frontline reports. Head of Unilever in Western Europe, Ian Zeyderveld, from the pages of the Financial Times Deutschland said that poverty is returning to Europe. The main reason for the increasingly lower income of the residents of the Old World is a full-blown crisis in the euro area that is still far from complete.

Ian Zeyderveld has proposed a new strategy to remedy the rapidly declining profits of Unilever in Western Europe. He believes that product packaging should be made smaller to reduce its price. It works both in Asia and now in Europe. The Unilever is not alone in changing its marketing strategy in the crisis-stricken European countries.

Head of the Department on International Financial Issues at the Centre for European Economic Research, Professor Michael Schroeder said that the European crisis affects export-oriented producers more than others. As a result, market conditions weaken, unemployment rises, and living standards lower. According to the expert, this situation may last for three to four years. Numerous examples of the fall of the level of European citizens clearly illustrate his words.

In its study, the British Guardian newspaper found that 83 percent of teachers in the UK every day see hungry students. Over half of teachers say that in the last couple of years the number of hungry school children has increased, as many British families are suffering from reduced benefits, unemployment and recession. Almost half of the teachers admitted to feeding starving scholars, one in five even gives them money for lunch. Why is this happening?

The Center of the Modern Family in the UK conducted a study that demonstrated the effects of the fall of wages and cost of living for the Britons, and increased cost of goods and services related to child care. The crisis also hurts young Britons of 18-32 years old – according to the survey, one in five cannot pay their utility bills, and one in eight young resident of England skips lunch for the opportunity to feed their family.

But Britain is not the poorest country in Western Europe. The situation in not so wealthy economies of the region is much worse. The unemployment rate for people aged 16 to 24 years old in Italy is 28 percent, in Greece – 43 percent, and in Spain – 51 percent.

The Greek economy in the past year fell by 6 percent, the recession in the country has been ongoing for five years, and it is projected that this year the economy will fall by another 5 percent. About 20 percent of retail stores were shut down. The number of suicides in Greece over the last 12 months has increased by 40 percent, and the amount of debt of the Greek government, according to the IMF, is 160 percent of GDP.

In June of this year, the public debt of Italy, according to the local central bank, has reached a record $2 trillion euros, which is 123 percent of its GDP. Italian Prime Minister Mario Monti said that Italy does not need financial help from the EU, but only moral support, which is hard to believe.

The second largest economy in Europe after Germany, France, has also suffered from the crisis. According to the Statistics Bureau of France Insee, this is the third stagnant quarter in a row. Stagnation is, of course, not a recession, but the country's government has a lot to think about.

Perhaps one of a few countries that are more or less stable during the financial storms is Germany. According to the National Bureau of Statistics, the growth of the economy of Germany for the year 2012 was 0.5 percent. It had a positive impact on the growth of domestic consumption and export.

The opinion of the Europeans about the situation is worthy of note. In July of 2012, the results of the survey "Eurobarometer" that tracks the level of anxiety and concern among residents of the Old World were published. It turned out that 71 percent of the EU citizens consider the economic situation in the country poor.

30 percent of the residents of the EU assess their position in the labor market as unsatisfactory. 100 percent of Greek believes that the economy is in trouble. The same opinion on the state of the national economies was expressed by 99 percent of the population of Spain, 96 percent of Irish, 93 percent of Hungarians and 92 percent of Italians.

However, according to the same survey, there are optimistic countries, whose people consider the situation in their countries more than acceptable. Among them are 83 percent of Swedes, 77 percent of Germans, 66 percent of Austrians and 55 percent of Danes.

According to head of the Scientific Research of Mises Center Yaroslav Romanchuk, now there is a situation where we have two Europes – a happy one (mainly Germany and Scandinavia), and the rest – about 20 countries, and the difference between the two Europes is turning into an abyss. The consequence of this situation is growing nationalism, resentment, and envy.

The crisis also affected most affluent segments of the population of Europe. According to a research by Capgemini and Royal Bank of Canada, the wealth of millionaires not only in the EU, but in the entire world in recent years has declined. The exceptions are, perhaps, only the fat cats in the Middle East. Last year, the total wealth of the world's millionaires fell by 1.7 percent – the first such decline since 2008.

The number of the super-rich decreased by 2.5 percent. The report's authors say this is due to the fact that wealthy people abroad often invest their money in low liquidity and high risk assets – such as real estate

However, statistics shows an increase in the number of millionaires in Europe at 1.1 percent due to the fact that the wealthy people of the continent now prefer to invest in foreign assets. The largest number of wealthy people now lives in the Asia-Pacific region.

Chinese business advisor Andy Xie believes that the measures taken by the European leaders to improve the economic situation in the region cannot put an end to the crisis and are not radical and convincing enough. The expert sees the main cause of the crisis in their irresponsibility. The EU countries have broken the rules of their own game in terms of the budget deficits and mired in debt. Endless loans that were handed out in the past, sooner or later, would lead to a crisis.

The European leaders have asked the international community to support their nation, saying that otherwise the global economy will get worse. According to Xie, since Europe is the main trading partner of China, export-oriented Chinese firms are ruined. It is not just China – Europe is the main source of technological and industrial maintenance for Africa, and the crisis in Europe affects the situation in the most negative way.

Germany proposes to introduce austerity measures to cut all kinds of benefits and wages in the troubled areas of Europe, mainly in its south. However, these measures are becoming increasingly more ineffective and unpopular – unemployment is rising, the standard of living is falling, and the positive trend is not visible.

Andy Xie said that the inefficiency of today's economy of Europe is due to its lavish social costs, ineffective trade unions, as well as confusing laws that prevent the development of competition. If the countries of Europe eliminate these obstacles to their development, the situation may markedly improve.

The administration of the U.S. President has sent to Europe the U.S. Treasury representative Lyle Brainard to encourage the governments of several countries in the anti-crisis measures. In particular, it is expected that the Eurozone stabilization funds will be used – about 700 billion euros – to recapitalize banks and provide financial assistance directly to financial companies, not the countries.

Poverty returns to Europe by leaps and bounds « Set You Free News

 

[hello_10]

at the same time, see how this pig beg in India in behalf of his Voters..........

David Cameron delivers address at Infosys Bangalore: Full Text
July 28, 2010

The Tata Group is now the largest manufacturing employer in Britain. And more than 180 Indian companies have invested in our IT sector. :thumb:

Indian companies employ 90,000 people in the UK. Many more jobs in Britain exist thanks to the activities of British companies in India :thumb:. Now I want to see thousands more jobs created in Britain , and of course in India through trade in the months and years ahead. That is the core purpose of my visit. "

David Cameron delivers address at Infosys Bangalore: Full Text | NDTV.com

 

[hello_10]

population growth rate of US is around 0.9% per year and hence there might be around 4% more people in US by mid 2012, as compare to early 2008. and even if its economy is now around 2% higher than its peak of mid 2008, per capita income on real term would be around 2% less than its peak of early 2008, on PPP term adjusting inflation. but US is still better than UK whose per capita income is around 7.5% less than its peak of early 2008..........

but the worse thing about both of these two economy is, Public Debt level of US was around 70% in early 2008 but now its 105% and that of UK was around 44% in early 2008 while now its 86% at the end of 2011. hence, these two economies are only borrowing to pay for the expanses/bail-outs but still they are on a slow pace of decline....

while even if GDP growth rate of India was the slowest last year, than for last over 10 years, it was still on 6.5% .........

List of countries by public debt - Wikipedia, the free encyclopedia

here we have Per Capita Estimate of UK by June 2012. its was 6,085 Ponds by Q4 2007, as per the prices since 1948, and it then reduced to 5,652 Ponds by June 2012, around 7.11% less than its of Q4 2007. (under the last column "Per Capita Chained volume measures: Seasonally adjusted") as below:

https://docs.google.com/spreadsheet/ccc?key=0AonYZs4MzlZbcGhOdG0zTG1EWkVPX1k1VWR6LTd1U3c#gid=10

its because of the fact that population growth rate of Britain is around 0.6% per year, hence having around 2.7% more population by Q2 2012, as compare to Q4 2007 :meeting:

this table also show 1% jump in UK's GDP by Q3 2012, which is because of increased spending due to Olympics. so its more wise to check this table after Q4 2012 result :ranger:

 

[hello_10]

Poverty returns to Europe by leaps and bounds

The news about the economic situation in the EU reminds frontline reports. Head of Unilever in Western Europe, Ian Zeyderveld, from the pages of the Financial Times Deutschland said that poverty is returning to Europe. The main reason for the increasingly lower income of the residents of the Old World is a full-blown crisis in the euro area that is still far from complete.

Ian Zeyderveld has proposed a new strategy to remedy the rapidly declining profits of Unilever in Western Europe. He believes that product packaging should be made smaller to reduce its price. It works both in Asia and now in Europe. The Unilever is not alone in changing its marketing strategy in the crisis-stricken European countries.

Head of the Department on International Financial Issues at the Centre for European Economic Research, Professor Michael Schroeder said that the European crisis affects export-oriented producers more than others. As a result, market conditions weaken, unemployment rises, and living standards lower. According to the expert, this situation may last for three to four years. Numerous examples of the fall of the level of European citizens clearly illustrate his words.

In its study, the British Guardian newspaper found that 83 percent of teachers in the UK every day see hungry students. Over half of teachers say that in the last couple of years the number of hungry school children has increased, as many British families are suffering from reduced benefits, unemployment and recession. Almost half of the teachers admitted to feeding starving scholars, one in five even gives them money for lunch. Why is this happening?

The Center of the Modern Family in the UK conducted a study that demonstrated the effects of the fall of wages and cost of living for the Britons, and increased cost of goods and services related to child care. The crisis also hurts young Britons of 18-32 years old – according to the survey, one in five cannot pay their utility bills, and one in eight young resident of England skips lunch for the opportunity to feed their family.

But Britain is not the poorest country in Western Europe. The situation in not so wealthy economies of the region is much worse. The unemployment rate for people aged 16 to 24 years old in Italy is 28 percent, in Greece – 43 percent, and in Spain – 51 percent.

Poverty returns to Europe by leaps and bounds � Set You Free News

First British Indian PM will be a Tory, says Camer

The Hindu : News / National : First British Indian PM will be a Tory, says Cameron

Britain has the type of economic problems that if someone may take them out of their mess, British may offer him even Catherine also, I do have an experience . right now they are looking on India for a help and ready for anything Indians may negotiate from them

also, as prostitution is illegal in India but the Western born British/American people like Sunny Leone may come to India now. so I think, British would now start sending their women to india, (who usually change with many like Catherine who already had many in past), in the same way as Sunny Leone. the british women, who may first earn little bit like Sunny Leone to help the falling British economy. and at the same time, when one of their prostitute type women get pregnant, then British would make that kid, the future British Prime Minister :thumb:


=> (what I told to those British Origin politicians, "you want someone who may help you get your work done, to maintain food supply for your coming generation. but to get this done, you do need someone who is really 'needy enough' otherwise, why would someone give his hands for criminal activities in other countries, which also requires bomb-blasts on time to time???? the criminals you keep in your pocket can't really be used against that society as they simply can't win trust of indian rulers...... and even if you come to me, you again knock a wrong door as Im also not a criminal like the men of Dawood Abrahim who were sent close to me in Sydney.... . those you have in your pocket can be of criminals uses only and if you come to a person like me also, its again a wrong step as im not one of them.....".)