Growth in Germany contracted 0.2 percent in the second quarter, the first fall in over a year, stoking worries Europe's biggest economy is slowing down, as the Ukraine crisis and weaker trade drag down what was once a glowing model for the rest of Europe. The seasonally-adjusted gross domestic product (GDP) from April to June was confirmed Monday by Germany's Federal Statistics Office to have d [...]

Russian President Vladimir Putin and Chinese Vice Premier Zhang Gaoli have launched the construction of the first part of Gazprom’s Power of Siberia pipeline - which will deliver 4 trillion cubic meters of gas to China over 30 years. “The new gas branch will significantly strengthen the economic cooperation with countries in the Asia-Pacific region and above all - our key partner China,� [...]

Around 110 million Americans are now receiving welfare benefits, including food stamps, Medicaid and subsidized housing. This has prompted calls to raise the minimum wage to $10.10 an hour. A third of Americans are now on welfare benefits, prompting calls to raise the minimum wage and encourage more people to stay in work. [...]

The International Monetary Fund has given a green light for Ukraine to receive the second tranche of financial assistance totalling $1.39 billion, meaning more austerity measures for the already struggling economy. “The Executive Board of the International Monetary Fund (IMF) today completed the first review of Ukraine’s performance under an economic program supported by a Stand-By Arrangem [...]

A New Jersey woman who worked four jobs, who sometimes "wouldn't sleep for five days," according to a co-worker, died Monday while napping between shifts in her car on the side of the road. Maria Fernandes died in her 2001 Kia Sportage after inhaling carbon monoxide and fumes from an overturned gas container she kept in the car, according to the New York Daily News. [...]

In an interview discussing Ukraine's plans to cut off gas transit from Russia, an RT news anchor asks whether or not the August 12 vote in Kiev on sanctions against Russia will go through.From the interview:"I think, given the bellicose nature of the Prime Minister Yatsenyuk thus far and the reckless manner in which he is governing, I would certainly expect them to. Really, what Ukraine is doin [...]

"Stunningly destructive" and "dismal failure" is how Nobel laureates describe growth in the European Union after destructive austerity policies and the euro crisis. Economists are casting doubt on the effectiveness of monetary policy in the 18-member eurozone, which is yet to fully shake off recession and produce sustained growth. [...]

The Fitch ratings agency has downgraded Ukraine one step closer to default grade, as the Ukrainian currency the hryvnia hits a record low, and the economy balances on the brink of a collapse. Fitch cut the long-term local currency Issuer Default Rating (IDR) of Ukraine from B-,signifying a default risk, to CCC, where default is a real possibility, and affirmed its long-term foreign currency IDR [...]

The French government has resigned despite being formed just 4 months ago. They quit after ministers slammed President Francois Hollande's plans for taxation and cuts, while also being critical of Germany's austerity program. The statement published on Monday said the new office would be formed on Tuesday and would be in the "direction he (the president) has defined for our country." [...]

Whether buying bread, filling a pharmacy prescription, getting a haircut or going to the doctor, some residents of Montreuil, France, are rejecting the euro in favor of "La Peche", a local community currency. In France, local currencies are growing in popularity as trust in state institutions erodes. An elaborate coupon system lets locals pay for services and goods with special local banknotes, [...]

Sooner or later EU denial must give way to gut-wrenching reform. The longer the delay, the greater the pain for the Lost Generation. The precipice of relative poverty never looks very threatening. Thus, despite mass eurozone youth unemployment and a 12 percent rate overall, Europe retains a facade of relative prosperity. However, the UK and US economies are growing with gusto, surpassing pre-re [...]

A couple of weeks ago the German newspaper Süddeutsche Zeitung claimed that Germany was refusing to sign off the Comprehensive and Economic Trade Agreement (CETA). The simple reason being the Investor-State Dispute Settlement (ISDS) regulation which I have written about here. [...]

The European Commission said it will provide up to €125 million from Monday till the end of November to compensate food producers coping with Moscow’s food ban. “The exceptional measures announced today will include market withdrawals especially for free distribution, compensation for non-harvesting and green harvesting. [...]

As Moscow banned food imports from the West, Turkey voiced its readiness to increase its exports of agricultural products to Russia, Turkish economy minister has said. “Turkey is a major supplier of food and agricultural produce to Russia. It is ready to increase its food exports to Russia if necessary,” Turkish Economy Minister Nihat Zeybekci said in an interview with Itar-Tass. [...]

Washington has refused to allow the UN International Court of Justice (IJC) to hear Argentina's claims that US court decisions on the country's debt have violated Argentina's sovereignty. “We do not view the ICJ as an appropriate venue for addressing Argentina’s debt issues, and we continue to urge Argentina to engage with its creditors to resolve remaining issues with bondholders,” the U [...]

Inequality between the richest and poorest metropolitan areas in the US is at its highest since 1969, and could hamper the recovery of the housing market that was at the heart of the 2008 financial crisis. A report by the US Commerce and Labor Department shows that when analyzing the largest 100 metropolitan areas in the country, the disparity between the 10th most affluent region and the 90th [...]

Economists fear eurozone recovery may be derailed after German ZEW indicator plunges to 20-month low. Europe's standoff with Russia has affected the region's largest economy after economic confidence in Germany nosedived unexpectedly, fuelling fears the eurozone's weak recovery will be snuffed out. [...]

Ecuador doesn't need anybody's permission to export agricultural products to Russia, which now has a big gap that needs to be filled after it banned supplies from a number of western countries, said President Rafael Correa. “I want to immediately say that we don’t need to get anybody’s permission to sell products to friendly countries: as far as we know Latin America isn’t a part of the [...]

In view of the events in Ukraine, the government and many media have switched from level-headed to agitated. The politics of escalation does not have a realistic goal - and harms German interests. We interrupt our own train of thought: “History is not repeating itself!” But can we be so sure about that these days? [...]

There is growing dissent in the EU over policies that led to a de fact trade war with Russia. Meanwhile the countries not toeing the line are reaping the benefits, irritating those who jumped on the sanctions bandwagon. Greek members of the European Parliament demanded Sunday that the EU cancel sanctions against Russia. [...]

The Bulgarian government is under enormous pressure from the US to cancel the South Stream project, and so Bulgaria is the place to watch now, Daniel McAdams, executive director of the Ron Paul Institute for Peace and Prosperity think tank, told RT. On August 8, Ukrainian Prime Minister Yatsenyuk announced that Kiev had prepared a list of 172 Russian citizens and 65 companies, predominantly Rus [...]

Here's the curious rub about food sanctions, it rather throws down the gauntlet for Russia to close up a legacy of Communism. For all those who believe in big government, food provision is a good place to start disabusing the quaint (and horribly flawed) notion that the public sector can be more efficient. [...]