Regions

Other Report

Spillovers From Falling Oil Prices: Risks to Mexico and the United States

Authors: Michael A. Levi, Alexandra Mahler-Haug, and Shannon K. O'Neil

U.S. policymakers who worry about the impact of energy developments on geopolitics typically think of high oil prices as bad news and low prices as an unalloyed good. But a sustained drop in oil prices can be dangerous as well. This paper investigates Mexican vulnerability to falling oil prices—and spillovers to the United States—to show how troublesome such a development might be.

See more in Mexico; Oil; Budget, Debt, and Deficits

Op-Ed

Delhi, Dhaka and a New Moment

Author: Alyssa Ayres
Indian Express

At a public meeting in Assam a few days ago, Prime Minister Narendra Modi stated his government’s intention to pursue the Land Boundary Agreement (LBA) with Bangladesh. While resolving the border with Bangladesh may seem like a quiet regional development compared with the turmoil in Afghanistan or competition with China, it will in effect deliver a political hat-trick of historic proportion.

See more in India; Pakistan; Territorial Disputes

Op-Ed

Malala’s Message

Author: Gayle Tzemach Lemmon
Medium

Following Malala Yousafzai’s acceptance of the 2014 Nobel Peace Prize, Gayle Tzemach Lemmon writes about why governments, international organizations, and nonprofits should act now to extend girls’ access to education globally.

See more in Global; Women; Education

Op-Ed

Europe’s Dodgy Bank Stress Tests

Authors: Benn Steil and Dinah Walker
Wall Street Journal

Benn Steil and Dinah Walker analyze the market reaction to the publication of the European Central Bank's long-awaited bank stress test results. The ECB's coddling of stress-tested banks — through the use of inflated inflation estimates and generous treatment of tax offsets against future profits which may never arise — precipitated a sell-off of bank stocks in a period when broad European indexes were up significantly. Unlike with the successful 2009 U.S. stress tests, there is no credible backstop of public funds available for Eurozone bank recapitalization, which would account for the ECB's reluctance to draw attention to the sector's undercapitalization.

 

See more in Europe; Banks and Banking