Saturday, July 1, 2017

5 maps that explain the new Middle East

5 maps that explain the new Middle East

Nation-states are the defining feature of the modern political era. They give people a collective identity and a pride of place… even when their borders are artificially drawn, as they were in the Middle East.
However, transnational issues like religion and ethnicity often get in the way of the notion of nationalism. Those can’t be contained by a country’s borders.
Arab nation-states are now failing in the Middle East. Their failure is mainly due to their inability to create viable political economies. Transnational issues—especially the competition between the Sunni and Shiite sects of Islam—however, amplify the process.
Shiite population Middle EastMauldin Economics

The Failure of Pan-Arabism

Transnational issues have long plagued the modern Middle East. Major Arab states like Egypt, Syria, and Iraq began to flirt with pan-Arabism. It’s a secular, left-leaning ideology that sought political unity of the Arab world. It promoted a kind of nationalism that defied the logic of the nation-state.
Pan-Arabism failed because it couldn’t replace traditional nationalism with something that had never existed in history. But the countries that rejected it never really developed into viable political entities.  
The coercion of state security forces was what hold them together, not the ideology.
Since the 1970s, these countries have been challenged by another transnational idea, Islamism (or political Islam). It has proven to be far more effective than pan-Arabism. The movement has spread throughout the Middle East.
It has taken root not only among Sunni Arabs, but also among Shiites. In fact, the Shiites were the first to create an Islamist government when they toppled the monarchy in the 1979 Iranian Revolution.
Sunni Islamists would not hold traditional political power until after the so-called 2011 Arab Spring. But their power was short-lived.

The Origins of the Islamic State

The anarchy of the Arab Spring was fertile ground for jihadists, especially for the Islamic State. It became the most powerful Sunni Islamist force in the region. What underlay its success was the group’s ability to exploit sectarian differences in the region.
The Baathist regime in Iraq was replaced by a Shiite-dominated government that Sunnis had tried to keep from power.
Likewise, the Islamic State, Saudi Arabia, and Turkey strived to take over the Sunni rebellion in Syria, which had been led by a minority Shiite government. The Islamic State was the best positioned to exploit the situation. They created a singular battlespace that linked eastern Syria with western Iraq.
Iraq-SyriaMauldin Economics
In doing so, it has destroyed what we have come to know as the sovereign states of Iraq and Syria.
Iraqi and Syrian nationalism can’t really exist if there is no nation. The Islamic State has lost some territory recently. But its losses appear to benefit the sectarian and ethnic groups that happen to be there, not the nations that owned the land.
In Syria, Sunni Arab forces are not all that interested in fighting the Islamic State. The only two groups that are willing are the Syrian Democratic Forces, which are dominated by Kurds who are trying to carve out their own territory, and Syrian government forces, who want to retake the areas that IS seized after the rebellion broke out.

Nationalism Replaced by Sectarianism

Sectarianism now stands in place of nationalism in the modern Middle East. On one side are the Sunnis, led nominally by Saudi Arabia. On the other are the Shiites, led nominally by Iran.
The Sunni bloc is in disrepair; the Shiite bloc is on the rise. The fact that Iran is Persian has in the past dissuaded Arab Shiites from siding with Tehran, but Saudi efforts to prevent the Shiite revival (not to mention the rise of the Islamic State) have left them feeling vulnerable.
They are willing to set aside their differences for sectarian solidarity.
Sectarian Balance of PowerMauldin Economics
There’s historical precedent for what’s happening in the Middle East. In the 10th century, the Shiite Buyid and Fatimid dynasties came to power because the Sunni Abbasid caliphate began to lose its power.
Shiite dynasties ultimately could not survive in a majority Sunni environment, especially not after it came back on top from around 1200 to around 1600. The Shiites rebounded in the 16th century in the form of the Safavid Empire in Persia, which embraced Shiite Islam as state religion.
Power changes hands cyclically, about every 500 years.
Shiite DynastiesMauldin Economics
And now, with Sunni Arab unity on the decline and with jihadists challenging Sunni power, the Shiites are in the position to expand once again. They are a minority, so it’s unclear just how far their influence can actually spread.
But what is clear is that modern nationalism is being replaced by medieval sectarianism.
Middle EastMauldin Economics

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Read the original article on Mauldin Economics. Copyright 2017.

Japan proved printing money can be a great idea. Here's why

Japan proved printing money can be a great idea. Here's why

A Japanese flag flutters atop the Bank of Japan building in Tokyo, Japan, September 21, 2016.  REUTERS/Toru Hanai - RTSOPF5
“Abenomics.” That's the shorthand for Prime Minister Shinzo Abe's three-pronged plan.
Image: REUTERS/Toru Hanai
“Everybody knows” that you can't get rich from just printing money, except for the part where sometimes you can.
Take Japan. Its unemployment rate has fallen to a 22-year low of 2.8 percent — yes, you read that right — due in large part to all the yen it has created the past four years. Money might not grow on trees, but it can get spit out of a central bank's computer.
Let's back up a minute. How did Japan get to the point where it needed to give itself the economic equivalent of a defibrillator? Well, back in the early 1990s, it was the first country to go through the boom, bust and stagnation cycle that the United States, Europe and most of the rest of the world have gotten to know and hate so well.
Japan managed to avoid a full-fledged depression thanks to all of its infrastructure spending, but it couldn't escape a “lost decade" — a fancy way of saying that while it did grow, it didn't grow much. As economist Brad DeLongpoints out, Japan didn't just stop catching up with the United States for a few years, but for the last 25. This is both better and worse than it sounds. Better, because once you adjust for the fact that Japan's working-age population has been shrinking, it has grown at least as fast as we have in per-capita terms over the past 15 years. But worse because even then it never made up any of the ground it lost. It had become permanently poorer.
This wasn't supposed to happen anymore. Economists, as Nobel Prize-winner Robert Lucas put it in 2003, thought that the “central problem of depression prevention” had been “solved.” They had supposedly learned enough from the 1930s to keep the economy from entering another doom loop of debt, deflation, and default. Until, that is, Japan showed that they hadn't. It had a problem that had not existed for 60 years: It couldn't keep its prices from falling even with zero interest rates.
Now, I know this sounds like the kind of thing only an economist could believe — how could lower prices be a bad thing? — but think about it like this: Falling prices would mean falling wages, but not falling debts, so they would become harder to pay back. In the best case, the economy would get stuck in a cycle of low consumer spending leading to low business investment leading to low hiring, and then even lower consumer spending. And in the worst, everyone would go bankrupt. That's why Japan has put so much emphasis on getting its inflation rate back above zero. It wants to get into the opposite cycle of higher prices leading to higher wages leading to lower debt burdens leading to more consumer spending and then more business investment. In other words, a self-sustaining recovery.
That has been the whole point of “Abenomics.” That's the shorthand for Prime Minister Shinzo Abe's three-pronged plan — fiscal stimulus, monetary stimulus, and structural reforms like getting more women into the workforce — to get Japan's economy back to where it should be. And while there have been stops and starts, and debates and doubts, the reality is that it is working, emphasis on those last three letters.
Which is to say that while Japan might not be where it wants to, it is getting there. Maybe the best way to tell isn't its super-low unemployment rate, but rather its super-high employment rate. That, as you can see below, has shot up since the start of Abenomics to an all-time high of 83.5 percent, making our own 78.3 percent rate look downright measly in comparison. And it means that Japan's unemployment rate hasn't fallen for the bad reason that people have given up looking for work, but for the good one that almost everyone who isn't drawing a pension has found one. It's what unfinished progress looks like.
Image: Statistics Bureau of Japan
What's behind this boom? It can't be the fiscal or structural parts of Abenomics, because they've barely been tried. Indeed, Tokyo's budgets have actually had more austerity than stimulus the past few years, and its attempts to shake up the country's sclerotic norms and institutions, while making a little headway, have run into quite a bit of resistance from entrenched interests. No, it's the monetary part — Japan's promise to print money for as long as it takes prices to start rising again — that has done the most.
But it's still not everything they wanted. Inflation, after all, has only recently crept above zero and is still well below their 2 percent target. The oil crash and an ill-timed sales tax increase kept it in negative territory for a long time. More important than that, though, is the fact that this hasn't made Japan's central bank give up. It has before. Up until Abenomics, you see, Japan would do just enough to avert the worst, and nothing more. It was one half-measure after another, none of which added up to a whole.
What they needed, a then-Princeton professor named Ben Bernanke told them, was the “Rooseveltian resolve” to keep trying things until one of them worked. And now they're listening. All their money-printing seems to have given businesses the confidence — and the cheaper currency — they needed to expand a little more. That's because what had been holding companies back, until a few years ago, was that the government had been doing less than everything it could to support the economy. So now Tokyo is saying it will do whatever it takes, and unemployment has finally fallen so far that businesses should have to start fighting over people by offering bigger raises — potentially giving the economy the push it needed to get into a virtuous circle.
And all it would have taken was printing a few trillion yen, which actually isn't that high a price to pay.
   

10 things you can learn in 10 minutes that will change your life

10 things you can learn in 10 minutes that will change your life

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You're probably short on time reading this, and I don't blame you. Life moves fast. It seems impossible to keep up with hundreds of tasks being thrown your way every day, especially at the office.
In fact, more than two-thirds of employees reported being overloaded at work, according to Cornerstone's 2014 State of Workplace Productivity Report. And 84% think the overload won't be letting up anytime soon — it's increasing.
In light of this reality, you're probably searching for the best productivity hacks the internet has to offer, but you don't have a lot of time to apply them.
So here's a solution: Learn one of these 10 things in the next 10 minutes, and you'll be more productive for the rest of your life.
The Young Entrepreneur Council (YEC) is an invite-only organization comprised of the world's most promising young entrepreneurs. In partnership with Citi, YEC recently launched BusinessCollective, a free virtual mentorship program that helps millions of entrepreneurs start and grow businesses.

View As: One Page Slides


1. The Pomodoro Technique

Time management is huge for productivity. I've found the Pomodoro technique to be one of the most effective ones. It requires you to design your daily tasks in 25-minute intervals, forcing you to be extremely focused. — Syed BalkhiOptinMonster
Thomson Reuters

2. How to improve your average

Take five minutes to look up Dr. Stan Beecham's philosophy on elite minds, and then take the remaining five minutes to commit to improving your average. We tend to focus all our time on improving our peak performance while improving our average performance can have a much more dramatic impact on overall progress. — Douglas HutchingsPicasolar

3. How to plan ahead

I learned this recently from the Stagen Leadership Academy. Weekly planning and setting appointments with myself for the following week (and then keeping those appointments) ensures I give my priorities the appropriate amount of attention. It's so easy to get distracted by what everybody else needs. This methodology ensures I stay on target with my own projects. — Corey BlakeRound Table Companies
Adrees Latif/Reuters

4. How to meditate

In 10 short minutes you could easily learn a meditation practice that you can take with you the rest of your life. Meditation helps calm your mind, ease stress, and bring clarity to your everyday life. My productivity increases whenever I meditate consistently and noticeably declines when I fall out of my routine. Watch a YouTube video or read a quick blog post on how to meditate. It's easy. — Andrew ThomasSkyBell Video Doorbell

5. Memorization techniques

If you think of your brain as a set of computer folders, then you can see that forgetting is not really possible. If you forget something, it's either it wasn't saved to begin with or you put it somewhere hard to retrieve. Concentration and recall are what makes memories. Focus in order to concentrate, and test yourself in order to recall. "Backspace" new info by using a pencil and eraser. — Cody McLainSupportNinja

6. How to triple your reading speed

I read at least one book per week while driving, and I have a really short commute. How? Audiobook apps (like Audible's) often have a feature where you can listen to a book at three times the normal speed. It only takes about 10 minutes for your brain to adjust, and then you're good. — Jesse LearV.I.P. Waste Services, LLC
Carsten Koall/Stringer/Getty Images

7. How to take responsibility

Too often people try to come up with reasons why they can't get something done, why a project is over budget, how an accident happened, etc. Learning to take responsibility for your actions will make doing business much smoother. It's easier to solve a problem when you aren't spending a ton of time getting to the root of it. Take responsibility and move forward. — Drew GurleyRedbird Advisors
Shutterstock

8. How to organize critical versus important tasks

Piling things on your to-do lists feels productive. Eventually, though, the list gets too massive and all the tasks suffer, since you don't have enough time and energy to allocate to each. While you can delegate, it's easier to divide the mix of critical tasks (tasks that you need to do now to improve the business) and important tasks (tasks that you can do whenever to improve the business.) — Kenny NguyenBig Fish Presentations

9. Shoulder, wrist, and arm stretches

Putting in long hours typing at your desk is bound to lead to health problems if you don't learn easy, quick stretches to counteract the strain. Simple exercises to prevent carpal-tunnel syndrome and back pain take less than 10 minutes to learn, but save you hundreds of hours you might have lost otherwise. Just five to 10 minutes a day is a good start to protecting your health and productivity. — Dave NevogtHubstaff.com

10. How to delegate time blocks

It is so easy to fall into the daily distractions, forcing you to play catch-up the next day. Time blocking is such a huge part of my day that keeps me on track. I schedule a time frame where I am responding to emails, and then I block the next hour for meetings. I would recommend everyone break time into segments. — Jayna CookeEVENTup
Read the original article on Inc. Copyright 2015. Follow Inc. on Twitter.
Read the original article on Inc.. Copyright 2016. Follow Inc. on Twitter.

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