Behind the Headlines

China's Military Race With the U.S.

Stephen Leeb
Thursday, August 13, 2015

Much attention is being paid to the economic race between China and America. But far less has been given to a military race, probably because America’s seeming military dominance has led to widespread complacency here.

That’s a dangerous mistake. Just as the economic gap between China and the U.S. is narrowing – and according to some measures, such as purchasing power parity (PPP), already has swung in China’s favor—the military gap is rapidly narrowing as well. In fact, when it comes to China, there are no areas where we can afford to be complacent. The implications for investors... Read more about China's Military Race With the U.S.

The Impact of Going Digital

Stephen Leeb
Thursday, July 16, 2015

In the 1960s Canadian philosopher Marshall McLuhan issued his famous dictum “the medium is the message”, arguing that television’s rising ascendancy over radio would change the nature of, and the way people respond to, news and entertainment—what today we call “content.”  

Today we’re in the midst of a rise in another new medium, digital platforms such as streaming over the Internet that are supplementing our decades-long love affair with television. But we’d contend that, especially when it comes to entertainment, the message has remained surprisingly unaltered. It seems the... Read more about The Impact of Going Digital

How Far West is East

Stephen Leeb
Friday, July 3, 2015

The deteriorating situation in Greece raises major questions not just about its future but also about the make-up of the entire world. To us, the biggest question is: how far west is east? Throughout the entire crisis we believed that somehow Greece and the European troika would devise some sort of solution that would—while not eliminating the fateful day in which Greece says goodbye to the euro—at least postpone it until other alternatives were available, and in particular the BRICS bank, was on stronger footing. We’d still make that same bet; in other words, we’re betting that the Greeks... Read more about How Far West is East

China's Threat to America's World Hegemony

Stephen Leeb
Friday, June 19, 2015

Ironies abound. In the early 1970’s Richard Nixon, arguably the most anti-communist U.S. President ever, opened up relations with China to the West. Rarely has any public official of meaningful rank acted so much against type. Although arguments against the Nixon presidency have been recited in hundreds of books and in virtually any forum one can name, he always earns credit for bringing China into the world’s economy. And indeed China has added a great deal to world growth. The country, by a wide margin, has provided the most important factor to 21st century world economic growth. For the... Read more about China's Threat to America's World Hegemony

The Infrastructure Imperative

Stephen Leeb
Friday, June 12, 2015

In his 1961 farewell address, President Eisenhower warned the nation to be alert to the potential threat to our freedoms from what he memorably termed the military-industrial complex.   

We’d argue, however, that in the years since then, neither the military-industrial partnership nor other examples of government/private industry collaboration have jeopardized our liberties. Rather, these public/private partnerships have been critical in establishing the U.S. as a leader in many vital areas. The transistor, the laser, and the Internet are all the fruit of cooperation between the... Read more about The Infrastructure Imperative