The Monopoly of Global Capital Flows: Who needs structural adjustment now? Terry McKinley

The fact that the U.S. economy is monopolizing global net savings from rich and poor countries alike, results in global imbalances which are neither sustainable nor equitable since capital should be recycled to poorer countries, so that they are allowed to pursue more expansionary, growth-oriented economic policies. The rich countries need a major restructuring their expenditures while the U.S. must contain private consumption, especially real estate spending, in favor of productive private investment, and boost exports relative to imports. global_capital_flows (Download the full text in PDF format)

Free Trade between Mercosur and India: New bonds, new boundaries Ranja Sengupta

A framework trade agreement was signed between India and the Mercosur trade block of Latin America on the 17th of June in Asuncion, Paraguay. This sets in motion the process that will ultimately establish a 'Free Trade Area' between the Indian market and Mercosur - the Southern Core Common Market in Latin America. "The signing of the framework agreement will pave the way to enter into Preferential Trade Agreement as the first step and ultimately to negotiate a Free Trade Agreement in long-term interest," the official spokesman for the Indian Ministry of Commerce said in New Delhi, prior to the…