Society

Review: The ultimate truth about blockchain

6 Apr 2018

The technology behind bitcoin has applications that extend far beyond the crypto-currency hype. But is it the panacea for humanity’s problems? “The Truth Machine” takes a positive view of decentralised digital ledgers, but underplays fundamental questions of safety and trust.

Telegram sends warning to Wall St and Sand Hill Rd

3 Apr 2018

Russian entrepreneur Pavel Durov’s messaging service raised $1.7 bln from private sales of its crypto-currency this year, besting all but three IPOs. Booming coin offerings face more oversight and many ring hollow. But Durov’s tech chops should give bankers and VC firms pause.

Holding: #MeToo is putting corporate law on trial

29 Mar 2018

Claims of sexual misconduct at the likes of Fox and Wynn Resorts have led to suits over board duties and disclosure. They’re long shots, largely because business governance is an awkward tool for social change. Yet investors and victims are giving it a new and useful purpose.

Hadas: Populist economics can be sensible

28 Mar 2018

U.S. President Donald Trump, Italy’s 5-Star Movement and other modern populists are floundering with outdated or bad economic plans. They would do more to help those left behind by globalisation if they used higher taxes to create better jobs and strengthen welfare security nets.

UK gender pay gap requires “just do it” approach

28 Mar 2018

Disclosures have revealed discrepancies, especially in finance, which will not close on their own. The state can help. Fining employers which fail to make progress over several years would align the interests of women and investors. CEOs would have to match words with actions.

Bumble may regret swiping left too soon on Match

21 Mar 2018

The women-friendly dating app dissed its $13 bln rival in an ad after Match sued over patent infringement. “We’ll never be yours” is a strong rejection considering the paucity of suitors in the hookup trade. Then again, playing hard to get is a time-honored negotiating tactic.

Hadas: Taking on the Chinese new world order

21 Mar 2018

The People’s Republic lacks the political and cultural appeal to supplant the U.S. as all-round hegemon. Even so, it could soon set many global economic standards. The right response is cognitive empathy and careful choice of battles. Western countries too often choose wrong.

UK’s best Russian riposte is hiding in plain sight

14 Mar 2018

Prime Minister Theresa May is expelling diplomats after Moscow ignored her ultimatum to explain its role in a nerve-agent attack in England. That is a fairly ineffective punishment. Better to use existing UK anti-corruption laws to target high-profile Russians with Kremlin links.

Hadas: Businesses need to cut back on half-truths

14 Mar 2018

In the age of digital activism, propaganda’s dire power corrupts politics and divides society. Companies too often join in, pushing agendas with scant regard for the full truth. That’s bad for the world. And if politicians respond by attacking corporations, earnings will suffer.

ING pay fiasco confirms banking’s utility status

13 Mar 2018

The Dutch lender has withdrawn a 50 percent salary hike for its CEO following a public outcry. Political opprobrium stems from past state support for banks. The inevitable consequence is that bosses become glorified civil servants. Directors and shareholders take a back seat.

Oil can do better than “shale, stale and male”

9 Mar 2018

The energy industry has an abysmal record of hiring women – and the CERAWeek energy confab in Houston reflected rather than addressed the problem. But as oil companies move jobs from the well to the lab, hiring women is logical as well as right.

UK directors group offers lesson in bad management

9 Mar 2018

The chair of the Institute of Directors is temporarily stepping down after a draft report that contained conduct allegations against her was leaked before she had a chance to defend herself. That will harm the credibility of a group which lobbies for better corporate governance.

Hadas: Doughnut economics needs a new flavour

7 Mar 2018

Author Kate Raworth’s image refers to both the hole of deprivation and ecological disaster beyond the outer rim, both of which are to be avoided. But her recipe is contaminated with eco-left prejudice. A more wholesome blend would start by recognising the current system’s gains.

Election leaves Italy with only radical options

5 Mar 2018

An anti-establishment surge has crushed the chances of another moderate government. The maverick 5-Star Movement or the hard-right League are best placed to lead a coalition. The winners share some goals. But personal rivalry will make it hard for them to work together.

Euro zone reform faces green and red lights

5 Mar 2018

Germany’s new ruling coalition has cleared the way for reforms to strengthen the single currency area. Yet proposals to backstop banks and governments remain contentious. Italy’s new government adds uncertainty. With the ECB’s firepower waning, delay may prove costly.

Protest vote is big winner in Italy’s election

5 Mar 2018

The anti-establishment 5-Star Movement is set to win a third of votes in a poll that delivered a hung parliament. The radical League also surged. Together, they may have the seats to govern. But whatever coalition emerges, voters have clearly rejected traditional, pro-EU parties.

Cox: How to rid your portfolio of assault weapons

1 Mar 2018

Since Breakingviews first highlighted the role of BlackRock, Vanguard and other fund managers in financing manufacturers of AR-15 rifles after the Parkland school shooting, readers have asked how they can be sure they're not complicit. Here's a handy tear sheet to guide them.

Hadas: Billy Graham’s great missed economic chance

26 Feb 2018

The evangelist, who died last week, lived through a global debate over the Christian responsibility to help society. He put preaching before activism. If he had spoken out – as many European Catholics did – America might have a stronger welfare system now, and less populism.

Hadas: Put stock markets in their modest place

21 Feb 2018

Share price movements garner headlines and excite politicians, but not for good reasons. Equity markets play a minor and easily replaceable role in funding investment, and the effect of current values on wealth is almost entirely psychological. They deserve less attention.

Congress holds its nose over U.S. fiscal restraint

8 Feb 2018

The legislature passed a deal early on Friday to raise spending by several hundred billion dollars, just two months after a $1.5 trln tax cut. The strain on government coffers during a roaring economy will leave politicians with far less ammo when the next downturn arrives.