A salmon would find it a hardscrabble life in the waterways of the Middle East and North Africa (MENA). Not because of dried riverbeds, overfishing or pollution, but because the region has more dams per cubic metre of water than any other place on earth.
State building is governance writ large. Seen from without, the accomplishments of a nascent state stand in harsh juxtaposition to the fine-tuning of politically and economically stable governments. One is a stone mason and the other a builder, confident the foundations will support his project.
By sector-
International trade has declined steeply during the crisis, though how has the fall been reflected in different sectors and countries? Take the US, Germany and Japan, the three largest OECD traders-OECD countries account for roughly 60% of world trade. As shown in the top graph for total trade (which is the sum of imports and exports, rather than the difference, which is the trade balance as shown on page 5), machinery and transport equipment have broadly speaking been the main culprits, falling by over 11% in the US, 14% in Germany and 15% in Japan, comparing the second quarter 2009 with a year earlier. Lower energy prices have also contributed to fewer imports. Trade in fuel and lubricants fell by nearly 10% in the US and Japan, though exports by just over 3% in Germany. A closer look shows that fuel and lubricant imports in the US and Japan plummeted, by 13.6% and 18.1% respectively. Trade in manufactures and chemicals were not affected quite as badly, though it fell particularly steeply in Germany, by 6% and 3.6% respectively, year-on-year.
Your article on Islamic banking ("Islamic banking: an asset of promise?" No 272 April 2009) suggests that financial temperance is still possible. The ratio of assets leveraged against capital cited in the article, 20 to 1 in US banks, 30 to 1 in Europe, yet only 10 to 1 in Islamic banks reveals just how much the financial system has made greed systemic.
