There’s a consistent theme in President Joe Biden’s first budget proposal, released Friday morning: The federal government can help solve big problems. But to do that, the country needs to reinvest in areas it’s neglected for decades.
The $1.5 trillion discretionary funding request is only a proposal — and not even a complete budget proposal, with a more comprehensive version including mandatory spending and tax changes coming this spring. But it’s an important window into the new administration’s priorities, calling for a boost in domestic spending on issues ranging from education in poor communities to the opioid epidemic to climate change to pandemic preparedness.
This paper outlines the findings of a simulation analysis that assesses the extent of the potential rise in bank NPLs, taking into consideration assumptions under extensive monetary and fiscal support versus a scenario without continued support measures in keeping with conditions that prevailed in the 2008-2009 Global Financial Crisis. The paper also investigates the subsequent implications for bank capital and discusses whether policy responses may be needed to clean balance sheets.
Artificial intelligence (AI) technologies hold big promise for the financial services industry, but they also bring risks that must be addressed with the right governance approaches, according to a white paper by a group of academics and executives from the financial services and technology industries, published by Wharton AI for Business.
Wharton is the academic partner of the group, which calls itself Artificial Intelligence/Machine Learning Risk & Security, or AIRS. Based in New York City, the AIRS working group was formed in 2019, and includes about 40 academics and industry practitioners.
The white paper details the opportunities and challenges of implementing AI strategies by financial firms and how they could identify, categorize, and mitigate potential risks by designing appropriate governance frameworks.
Retailers must create “wow” shopping experiences if they want to satisfy customers and keep them coming back, according to a recent study from Wharton’s Baker Retailing Center and The Verde Group, a global customer experience consultancy.
The survey-based study found that retailers can increase shopper repurchase intent by nearly 60% by consistently delivering a great experience, whether in-store or online. What defines a “wow” depends on the shopper and type of store, but hassle-free customer support is at the top of the list.
Older Americans are accumulating more debt as they near retirement, according to recent research that reveals a troubling trend in personal finance among people in their 50s and early 60s.
Just when they should be reaching the peak of their retirement savings, this group is still paying off mortgages and grappling with credit card debt, medical bills, and student loans. The burden is leaving them stressed, harassed by bill collectors, and worried about their financial future as the clock ticks down on their income-earning years.
The American Jobs Plan (AJP) proposed by President Biden on March 31 would spend $2.7 trillion and raise $2.1 trillion dollars over the 10-year budget window of 2022–2031, according to the Penn Wharton Budget Model (PWBM), a nonpartisan initiative that analyzes the economic impact of public policy proposals.
The AJP’s tax and spending provisions would increase government debt by 1.7% and reduce GDP by a quarter percentage point by 2031, the study projected. By 2050, however, government debt would fall by 6.4% and GDP would decrease by 0.8%, according to its estimates.
Back in August of 2014, Tsakhiagiin Elbegdorj had Xi Jinping over for lunch.
Mongolia’s then president had been coached by Chinese officials about the pomp expected when entertaining their head of state—but it was a tall order. “In Mongolia, we don’t have many rooms for dancing,” Elbegdorj laughs.
He decided instead on a more low-key approach. Elbegdorj, Xi and their wives enjoyed a meal of Mongolian staples—grilled meat, cheese, dumplings—at the president’s residence in a southern part of the capital Ulaanbaatar. In these quiet surroundings, Elbegdorj says the two leaders broached several sensitive issues. They discussed the potential for ethnic Mongolians to freely travel between Mongolia and the Chinese territory of Inner Mongolia. They also spoke of nationalist Chinese calls for Mongolia to be absorbed into the People’s Republic, and even discussed Tibet’s spiritual leader the Dalai Lama, who is venerated by Mongolian Buddhists yet reviled by Beijing as a dangerous seditionary.
Telecoms giant Huawei is keen to work alongside European companies to help the bloc achieve ambitious new benchmarks for semiconductors by 2030, as the firm continues to face challenges resulting from US trade restrictions.
Since being put on a US export blacklist by the Trump administration in 2019, China’s Huawei has faced obstacles in sourcing components required in the development of its own chips.
Speaking at Huawei’s global analyst summit on Monday (12 April), rotating Chairman Eric Xu warned of the damage that the continuation of these restrictions could do to global semiconductor supply chains, and said that ongoing sanctions on Huawei’s business with American firms could raise costs within the industry across the globe.
“These chips, these wafers … batteries, broadband — it’s all infrastructure. We need to build the infrastructure of today and not repair the one of yesterday,” Biden said Monday during the CEO Summit on Semiconductor and Supply Chain Resilience. “The plan I propose will protect our supply chain and revitalize American manufacturing.”
An independent company that will be formed once IBM (NYSE: IBM) spins off its managed infrastructure services business by the end of 2021 will operate under the name Kyndryl and will be based in New York City.
“Kyndryl evokes the spirit of true partnership and growth,” Kyndryl CEO Martin Schroeter said in a statement published Monday.
In January, Schroeter was named CEO to oversee the new company that will focus on delivering information technology infrastructure modernization and management support to its global base of 4,600 clients.