The German chancellor, who has also been Greece's most important champion, is facing a domestic political challenge.
It happened. Standard & Poor's downgraded Greece's long-term rating Monday to "Selective Default." And, well, the markets seem to be fine. Greece seems to be fine. The one who's really in trouble, though, is German Chancellor Angela Merkel.
The German leader has had one heck of a bad week-and-a-half, and the hits keep coming. The Greek bailout vote and the S&P downgrade are part of it. But the rotten political run began last Sunday with a confrontation that, on the surface, had absolutely nothing to do with Greece. Instead, it had to do with appointing a new German president.
The president of Germany is, in theory, elected: the members of the German parliament--the Bundestag--together with various delegates from the German states form the Federal Convention, who choose the president by secret ballot. But such is the power of coalition politics that the president, in practice, is more or less appointed, following a flurry of activity behind the scenes among whichever parties jointly hold a majority.
The old president of Germany, Christian Wulff, resigned February 17 over corruption allegations involving a loan, after having said for months that no resignation would be necessary. Merkel's reigning coalition, made up of her own Christian Democratic Union, its sister the Christian Social Union, and the Free Democratic Party, then had to come up with a successor.
It turns out, though, that FDP chairman and German vice chancellor Philipp Rösler came to his 5pm Sunday meeting with Merkel looking for a fight. Anonymous sources told Der Spiegel that Rösler came to the meeting having already gotten a unanimous vote from FDP leadership for Joachim Gauck as a candidate--the very Joachim Gauck whom Merkel had rejected for the presidency in 2010 and whom both she and her party were against this time around as well. Though Merkel and the FDP have tussled quite a bit in the past few months--Der Spiegel's team phrases it as "Merkel has humiliated the FDP repeatedly," while "the FDP has done nothing to defend itself"--the opposition took Merkel by surprise. Rösler apparently left the chancellor no choice: if the CDU/CSU voted for their candidate, Christian Töpfer, the FDP would vote with the Social Democratic Party and the Greens, effectively ending the coalition through which Merkel has governed.
So that was Sunday, February 12. The following Tuesday, European leaders finally settled the terms of a second bailout for Greece. It was greeted in Germany, as I explained last week, with very little enthusiasm. That is to say: half a dozen op-eds suggested it's a losing battle, a few wanted to drop the project entirely, and another half dozen pleaded for patience while Greece gets its stuff together. Given that European solidarity is Merkel's signature issue, the waning public enthusiasm wasn't a good sign.
A poll quantified that waning enthusiasm: Sunday, February 26 weekly newspaper edition Bild am Sonntag reported an Emnid Institute poll showing 62 percent of Germans opposed the bailout--up from 53 percent in September.
But that wasn't the only blow Merkel was to receive over the weekend. Evidently unknown to her, her interior minister Hans-Peter Friedrich, had also given an interview to Der Spiegel in which he came out in favor of Greece exiting the euro. When the interview was published on Monday, Merkel was then had to rebuke her own minister by announcing that she "[didn't] share this view," while Friedrich, presumably after some awkward behind-scenes shuffling, tried in Der Spiegel's words "to distance himself from his own statements." Happy Monday.
Then came vote time: the Bundestag had to approve the bailout package. Though the package passed, it did so without an absolute majority, and with 17 of Merkel's own coalition members defecting. That was enough for opposition leader Frank-Walter Steinmeier, a member of Merkel's previous coalition with his SPD party, to declare Tuesday that "the collapse of the [current] coalition is in full swing." In remarks made to Der Tagesspiegel, he announced: "this is the twilight of the chancellor."
And now S&P has downgraded the Greek debt, not just despite the bailout package, but because of it. Greek default may always have been on the horizon, but the immediate "Selective Default" rating on the long-term debt seems unlikely to play well in public opinion.
Let's not be too hasty to accept the words of a man who is, for now at least, Merkel's adversary. Merkel has proved a canny operator on more than one occasion, and Steinmeier has every incentive to declare her coalition done-for as soon as possible. That said, this is not looking good. Athens and the markets may be weathering the downgrade all right for now, but their champion is taking some hits. And Merkel is the Greek champion right now, much though rioting Athenians despise her for the austerity measures they've been forced to accept: for over a year now Merkel's been the keystone in the European effort to break Greece's staggering financial fall.
So take the markets' nonchalance about S&P's downgrade with a grain of salt. Greece was probably always headed towards default, and it may even already be set to leave the euro. But how hard the country hits the ground makes a big difference, and Merkel is a big factor in how hard Greece hits the ground. Right now, she's looking a little shaky.
Many point to unromantic 20-somethings and women’s entry into the workforce, but an overlooked factor is the trouble young men have in finding steady, well-paid jobs.
TOKYO—Japan’s population is shrinking. For the first time since the government started keeping track more than a century ago, there were fewer than 1 million births last year, as the country’s population fell by more than 300,000 people. The blame has long been put on Japan’s young people, who are accused of not having enough sex, and on women, who, the narrative goes, put their careers before thoughts of getting married and having a family.
But there’s another, simpler explanation for the country’s low birth rate, one that has implications for the U.S.: Japan’s birth rate may be falling because there are fewer good opportunities for young people, and especially men, in the country’s economy. In a country where men are still widely expected to be breadwinners and support families, a lack of good jobs may be creating a class of men who don’t marry and have children because they—and their potential partners—know they can’t afford to.
The transcript of the president’s conversation with The New York Times throws his shortcomings into greater relief than ever before.
“Now Donald Trump has finally done it” is a sentence many people have said or written, but which has never yet proven true. As Trump gained momentum during the campaign season, errors that on their own would have stopped or badly damaged previous candidates bounced right off.
These ranged from mocking John McCain as a loser (because “I like people who weren’t captured”), to being stumped by the term “nuclear triad” (the weapons of mass destruction that he as U.S. president now controls), to “when you’re a star ... you can grab ‘em by the pussy” (my onetime employer Jimmy Carter had to spend days in the 1976 campaign explaining away his admission to Playboy that he had sometimes felt “lust in the heart”), to being labelled by an in-party opponent a “pathological liar,” “utterly amoral,” and “a narcissist at a level I don't think this country's ever seen” (the words of his now-supporter Ted Cruz). I kept my list of 152 such moments in the Time Capsule series as the campaign went on.
The Linkin Park singer, dead at 41, may have been the purest voice of angst on the radio this millennium.
Chester Bennington started as a rock star by saying that he was finished. “I cannot take this anymore / saying everything I’ve said before” went the opening lines to Linkin Park’s first smash, “One Step Closer,” which is among the many, many songs that take on an awful resonance after the news that Bennington has died, in what’s being investigated as suicide, at age 41.
Linkin Park became one of the most popular and most divisive bands of the new millennium because of their genre blending and pop polish, but to listen to that debut single is to remember that they were also differentiated by a core of raw, convincing pain. It almost entirely came from Bennington. He was arguably the purest font of angst—and inarguably one of the most powerful male voices—in mainstream music since 2000.
The president’s lawyers are looking at multiple ways to undermine or curtail the Russia inquiry, including his issuing pardons.
President Trump is exploring steps to curtail Special Counsel Robert Mueller’s criminal investigation into the president’s campaign and business dealings, inching the country closer to uncharted constitutional waters.
The New York Times reported Thursday that Trump’s private legal team is scouring the backgrounds of Mueller and his prosecutors for potential conflicts of interest and damaging information to be used against them. According to the Times, that research is part of a broader effort by Trump to curtail and discredit the former FBI director’s probe into whether the Trump campaign colluded with the Russian government to influence the 2016 election.
The Times’s account depicted a president who is increasingly angered by the sprawling Russia investigation that has become a central feature of his young presidency. Trump displayed flashes of that anger during a lengthy interview Wednesday with the Times, in which he flitted between channeling his ire towards Mueller, Attorney General Jeff Sessions, Deputy Attorney General Rod Rosenstein, and Deputy FBI Director Andrew McCabe, as well as James Comey, the former director of the FBI ousted by Trump in May.
“Look, Sessions gets the job. Right after he gets the job, he recuses himself,” Trump said. “So Jeff Sessions takes the job, gets into the job, recuses himself. I then have—which, frankly, I think is very unfair to the president. How do you take a job and then recuse yourself? If he would have recused himself before the job, I would have said, ‘Thanks, Jeff, but I can’t, you know, I’m not going to take you.’ It’s extremely unfair, and that’s a mild word, to the president.”
A new study explores why the latter are far more likely to opt for an elite college where they'd struggle than a so-so one where they'd excel.
There’s a saying in China that it’s better to be the head of a chicken than the tail of a phoenix. The premise of the aphorism—it’s better to be over-qualified than under-qualified relative to one’s surroundings—is so widely accepted that similar versions of it exist across cultures. In Japan, they tend to say that it’s better to be the head of a sardine than the tail of a whale. Americans and Brits often declare that it’s better to be a big frog (or fish) in a small pond than a little frog in a big pond.
Extensive research supports these axioms, particularly in the realm of education. Longitudinal studies have consistently shown that high-performing students at less-selective schools feel more competent, have higher GPAs, and have more ambitious career aspirations than low-performing students at more-selective schools.
The group has adapted to battlefield setbacks. But that doesn't mean it factored territorial losses into its master plan.
As Mosul is finally freed in its entirety from the Islamic State (ISIS) and the offensive in Raqqa continues, the predictable question becomes: What’s next for the group? Without control of territory, its complex state administration project cannot function. This project was probably ISIS’s biggest selling point in relation to its rivals in the global jihadist movement.
The end of ISIS as a functioning state project on the ground clearly does not herald the end of ISIS as an entity. In many areas long since cleared of ISIS control, the organization has continued to function as an effective insurgency with both small and large-scale attacks. Around the world, ISIS will remain a terrorist threat, as illustrated by events from Europe to the Philippines. The ISIS footprint on the internet is large and unlikely ever to be removed in its entirety. The group’s ideals will still appeal to some segments of society, whether out of disillusionment with the established order and a search for meaning in one’s life, or on account of identity crises, or all of these factors combined.
No matter what the subject, the president finds someone to compare himself to. And in every comparison, he comes out the winner.
The transcript of Donald Trump’s interview yesterday with the New York Times runs over 7,000 words. But you can boil down its essence to two words: I’m better. No matter what the subject, Trump finds someone to compare himself to. And in every comparison, he comes out the winner.
The Times reporters start the interview by asking Trump about health care, where the Senate—by refusing to even vote on a bill to repeal and replace Obamacare—has handed him a major defeat. Trump doesn’t admit any mistakes. He barely mentions the substance of the bill. Instead, he immediately compares himself to Hillary Clinton and Barack Obama. In the fourth sentence of the interview, he declares that, “Hillary Clinton worked eight years in the White House with her husband as president and having majorities and couldn’t get it done.”
Most of Scandinavia determines fines based on income. Could such a system work in the U.S.?
Reima Kuisla, a Finnish businessman, was recently caught going 65 miles per hour in a 50 zone in his home country—an offense that would typically come with a fine of a couple hundred dollars, at most, in the U.S. But after Finnish police pulled Kuisla over, they pinged a federal taxpayer database to determine his income, consulted their handbook, and arrived at the amount that he was required to pay: €54,000.
The fine was so extreme because in Finland, some traffic fines, as well as fines for shoplifting and violating securities-exchange laws, are assessed based on earnings—and Kuisla's declared income was €6.5 million per year. Exorbitant fines like this are infrequent, but not unheard of: In 2002, a Nokia executive was fined the equivalent of $103,000 for going 45 in a 30 zone on his motorcycle, and the NHL player Teemu Selanne incurred a $39,000 fine two years earlier.
Most of the country understands that when it comes to government, you pay for what you get.
When I was a young kid growing up in Montreal, our annual family trips to my grandparents’ Florida condo in the 1970s and ‘80s offered glimpses of a better life. Not just Bubbie and Zadie’s miniature, sun-bronzed world of Del Boca Vista, but the whole sprawling infrastructural colossus of Cold War America itself, with its famed interstate highway system and suburban sprawl. Many Canadians then saw themselves as America’s poor cousins, and our inferiority complex asserted itself the moment we got off the plane.
Decades later, the United States presents visitors from the north with a different impression. There hasn’t been a new major airport constructed in the United States since 1995. And the existing stock of terminals is badly in need of upgrades. Much of the surrounding road and rail infrastructure is in even worse shape (the trip from LaGuardia Airport to midtown Manhattan being particularly appalling). Washington, D.C.’s semi-functional subway system feels like a World’s Fair exhibit that someone forgot to close down. Detroit’s 90-year-old Ambassador Bridge—which carries close to $200 billion worth of goods across the Canada-U.S. border annually—has been operating beyond its engineering capacity for years. In 2015, the Canadian government announced it would be paying virtually the entire bill for a new bridge (including, amazingly, the U.S. customs plaza on the Detroit side), after Michigan’s government pled poverty. “We are unable to build bridges, we're unable to build airports, our inner city school kids are not graduating,” is how JPMorgan Chase CEO Jamie Dimon summarized the state of things during an earnings conference call last week. “It’s almost embarrassing being an American citizen.”