World Politics News   Articles for World Politics Course

The Great Recession precipitated by the financial crisis of 2007-08 has many immediate causes, but the most important underlying cause is the income inequality that has been increasing since the 1970s.  Declining relative incomes forced many to increase their indebtedness, and the low cost of money forced the moneylenders (banks) to find riskier investments to maintain their profit levels.  We are just beginning to comprehend how serious this underlying problem is, and solutions are not obvious.  But as governments continue to increase their austerity programs, the underlying problem of income inequality is only going to get worse.

The UN monitors in Syria have themselves come under attack.  The fighting seems to have abated somewhat, but many suspect that the opposition to Assad is running out of weaponry.  That situation will not persist as there are many states who are willing to give them weapons (as Assad is not short of suppliers such as Iran and Russia).  The UN will have to figure out to respond to this attack or risk losing legitimacy in the eyes of many.

China has started drilling near the Paracel Islands in the South China Sea.  This territory is highly disputed and the move is sure to elicit a response by Vietnam and Taiwan.  There have been limited naval battles in the region before, but the actual act of drilling is a clear claim to territory.  If that claim is not disputed, then China will be the owner of that territory.