"Unlike the frigid European economy, the Chinese economy continues to steam ahead. But in the area of macro economic policy, China seems to be lagging. We think the time has come for a meaningful policy adjustment: China should raise interest rates.
"No one doubts that Chinese policymakers can get some things done. The government flexed its muscles recently by taking steps to control a property bubble and reduce excess liquidity. [more]
Also on the slate: Americans (sans government) are still worried about inflation, income tax tallies continue to tell bad news, and more hurdles on the path towards increasing transit in the US.