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Economist

2026-05-11

America is experiencing a productivity miracle

After the 2007-09 financial crisis, rich-world productivity growth stagnated for a decade, threatening long-term economic prosperity. The Congressional Budget Office repeatedly overestimated productivity gains during the 2010s and remained pessimistic in the current decade. Early data suggesting improved productivity were largely dismissed as unreliable. Since productivity growth drives economic prosperity, the prolonged slowdown raised concerns about permanent economic stagnation.

2026-05-11

A prolonged Iran crisis could irreversibly damage Gulf states

A ceasefire between America and Iran, announced on April 8th, has now lasted nearly as long as the preceding conflict. Gulf nations hoped it would quickly end the war and resolve economic disruption, but instead face uncertainty. While major fighting has paused despite minor skirmishes in the Strait of Hormuz and Iranian attacks on the UAE, no lasting peace has emerged, leaving shipping traffic through the strait severely reduced.

2026-05-11

By one measure, America’s allies now outspend it on defence

NATO Secretary-General Mark Rutte promised President Trump that European defense budgets would increase significantly, positioning it as a presidential victory. American allies are now delivering on this commitment, either to appease Trump or prepare for potential abandonment. Annual military budget comparisons reveal the largest shift in allied spending since 2000, with European nations substantially increasing their defense expenditures.

2026-05-11

China is hoping for more robots but not fewer workers

Qingdao has rapidly become a global leader in autonomous vehicles within a year. Neolix alone has deployed approximately 1,200 unmanned delivery vans with plans to expand to 4,000 by year's end. Multiple autonomous taxi and food-delivery projects are simultaneously underway, demonstrating AI's swift transformation of China. However, this expansion has created tensions between unmanned vehicles and traditional drivers.

2026-05-11

Lessons for Democrats from a candidate who sings and shoots

Bobby Pulido, the Democratic congressional nominee for Texas's 15th district, received an enthusiastic reception at Beethoven Elementary School. Students cheered and held his picture while teachers, janitors, and lunch ladies lined the auditorium and sought selfies afterward. This unusual response from school staff suggests genuine grassroots support rather than partisan enthusiasm alone.

2026-05-11

India’s pricey private universities want to take on the Ivy League

Ahmedabad University in Gujarat features ninety tree species in its arboretum and emphasizes innovation through its "Always be in Beta" motto. The private non-profit institution serves approximately 4,000 students in superior facilities compared to typical Indian universities. Undergraduate education costs around 500,000 rupees ($5,300) annually, significantly exceeding the average Indian's yearly income, reflecting its exclusive nature.

2026-05-11

China knows that governing new tech can be harder than inventing it

A drone training centre in Hebei province is capitalizing on Beijing's recent ban on drone sales due to security concerns. Located just across the border where regulations are less stringent, the Shenghang centre offers facilities for pilot training, including open fields, obstacle courses, and programming computers. Its director notes that drone activity is increasingly relocating to the region as a result of Beijing's restrictions.

2026-05-11

Keir hunters: will Britain’s PM go?

Britain's Prime Minister Sir Keir Starmer faces political pressure following poor local election results. Rising jet-fuel prices are impacting airlines globally, though effects vary by carrier. The episode also explores whether San Andrés, a Colombian tourist island, could pursue independence. The podcast covers global politics, business, science, and technology.

2026-05-11

The US in Brief: a petrol-tax suspension floated

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2026-05-11

America’s commitments in Asia are a bulwark against catastrophe

Taiwan faces existential security challenges due to its proximity to China, just one hundred miles away. Military infrastructure is visible throughout Taipei as a constant reminder of potential threats. A Chinese invasion would cause immediate global economic collapse and massive loss of life, making Taiwan's security situation consequential for the entire world.

2026-05-11

The War Room newsletter: Drones are rewiring warfare. Literally

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2026-05-11

The Trump-Xi summit of suspicion

Donald Trump's anticipated visit to China has significant implications for US-China relations. The discussion focuses on critical areas including artificial intelligence development, global supply chains, and the sensitive Taiwan issue. This diplomatic engagement could substantially influence bilateral policies and international economic dynamics in these key sectors moving forward.

Foreign Policy

2026-05-12

Is Russia the Main Beneficiary of Trump’s Iran Mistake?

The U.S.-Iran conflict benefits Russia economically through higher oil prices and temporarily lifted sanctions, generating billions in additional revenue. Russia shares drone technology and targeting data with Iran while receiving Shahed drones for use in Ukraine. However, Russia faces mounting security threats from Ukrainian long-range attacks on military and energy infrastructure, as evidenced by a scaled-back Victory Day parade. Despite Russia's numerical advantages and territorial gains in Ukraine, it remains far from achieving strategic objectives, while Ukraine adapts through Western support and technological innovation.

2026-05-12

EU Takes Aim at Russia’s Abductions of Ukrainian Children

The European Union sanctioned 16 individuals for assisting Russia in kidnapping approximately 20,500 Ukrainian children since 2022. These children face forced assimilation, identity erasure, and military indoctrination. The ICC issued an arrest warrant for Putin over the abductions. Meanwhile, U.S.-Iran cease-fire negotiations stalled after Tehran rejected American proposals. France announced billions in African investments to strengthen continental autonomy. Philippine lawmakers impeached Vice President Sara Duterte on financial misconduct charges, though conviction remains unlikely given Senate composition.

2026-05-12

Iran War Chokes ‘Major Driver’ of Global Economy

U.S. diesel prices have surged 60 percent over the past year due to Trump's war in Iran, disrupting oil fields and refineries. Since diesel fuels transportation and agriculture globally, the shortage threatens trucking, farming, and consumer prices. Independent truckers face significant profit cuts, while farmers struggle with rising fertilizer and fuel costs. The supply chain disruption could persist for months, prompting protests and government interventions worldwide. Economic experts warn of potential global recession risks.

2026-05-12

Europe Shrugs Off Trump’s Latest Threats

Trump's return to office prompted familiar tensions with Europe over defense spending and trade. While Vice President Vance criticized European policies, European leaders initially responded with panic. However, their reaction to Trump's recent threats—including troop withdrawals and tariffs—has become notably muted. Europe has grown accustomed to Trump's rhetoric and is simultaneously strengthening its own military capabilities through increased defense spending and NATO cooperation. Though still dependent on American strategic support, Europe now employs a strategy of acknowledging threats while demonstrating concrete defensive improvements rather than expressing alarm.

2026-05-12

Who Wants Hezbollah to Stay Armed?

Lebanon and Israel are negotiating directly for the first time since 1993, with Hezbollah's disarmament as a central issue. While only 18 percent of Lebanese support Hezbollah politically, 45 percent oppose its disarmament. Research reveals that opposition stems primarily from deep moral grievances against the Lebanese government—including corruption, lack of accountability, and unfair resource allocation—rather than sectarianism or economic dependence. Citizens who distrust the state are 29 percentage points more likely to resist disarmament. External pressure through sanctions or military force cannot address this fundamental legitimacy crisis.

2026-05-12

China’s Malacca Dilemma, After Hormuz

Following Iran's February blockade of the Strait of Hormuz, China realized a critical vulnerability: Western insurance markets, not naval forces, control oil access. War-risk premiums soared, making transit commercially impossible. China depends on seaborne oil imports through the Strait of Malacca and other routes it doesn't control. The Lloyd's Market Association, dominated by Western underwriters, can designate areas high-risk, effectively blocking oil shipments. In a Taiwan conflict, the U.S. could similarly price Chinese oil imports out of viability without firing shots, through insurance restrictions and sanctions on Chinese ports and financial institutions.

2026-05-12

Iran Does Not Have a Right to Enrich Uranium

President Trump is demanding Iran permanently abandon uranium enrichment in ongoing nuclear negotiations, a position critics argue will undermine diplomacy. However, the author argues Iran has no legitimate "right to enrich" under international law. Uranium enrichment is a dual-use technology enabling both nuclear power and weapons development. The U.S. has consistently opposed enrichment capabilities globally, offering fuel-cycle services instead. The 2015 JCPOA deal, which permitted limited Iranian enrichment, was flawed and set dangerous precedent. Trump's demand for permanent cessation is justified, though even his 12-15 year timeline may be insufficiently stringent for resolving the Iranian nuclear challenge.

2026-05-12

Rethinking Transitional Justice in Bosnia

Following the devastating 1992-95 Bosnian War, the international community focused reconciliation efforts on constitutional reform and war crimes accountability. However, Bosnia's most meaningful progress occurs through cross-entity economic integration—shared supply chains, joint businesses, and interethnic employment. Survey data shows 87 percent of Bosnians interact with other ethnic groups, with 47 percent trusting cross-group contacts versus 22 percent without such interaction. While political crises persist, economic interdependence provides stability and makes renewed violence materially harder. Western policymakers should revise their metrics to recognize and support cross-community economic cooperation as essential to sustained peace.

2026-05-12

Governments Can’t Agree on What AI Actually Is

Countries worldwide call for international AI coordination, yet concrete action remains elusive. A key obstacle is epistemological disagreement: nations fundamentally differ on AI's speed and scale of transformation, ranging from gradual sectoral change to rapid civilization-altering superintelligence. These divergent perceptions, combined with varying assessments of domestic AI self-sufficiency, create incompatible policy incentives. Self-sufficient powers like the U.S. and China lack motivation to cede control, while dependent nations cannot effectively enforce multilateral agreements, making global coordination unlikely until these epistemic differences converge.

2026-05-12

There’s No Such Thing as Climate Policy

The Trump administration has dismantled U.S. federal climate policy by eliminating regulations, incentives, and key agencies while withdrawing from international climate agreements. The article argues that traditional "climate policy"—a centralized, top-down approach—has become outdated and vulnerable to political reversal. Instead, the author proposes decentralizing climate action across federal agencies, allowing experts to integrate emissions reductions into their regular operations. This distributed approach would be more durable, less visible to future rollbacks, and better aligned with agency expertise and public priorities beyond climate alone.

2026-05-12

The Response to Political Violence in 1968 Was Very Different From Today

A gunman attempted to breach security at the White House Correspondents' Dinner, prompting Trump to promote his ballroom project rather than address gun violence. The article contrasts this response with President Johnson's 1968 reaction to assassinations of King and Kennedy, when he successfully pushed Congress to pass the Gun Control Act—the first significant firearms legislation in decades. Despite opposition from the NRA, public support exceeded 85 percent. Today, political responses to gun violence remain limited, relying on rhetoric rather than substantive legislative action to address underlying conditions enabling such violence.

Politico

2026-05-12

Merz flubs his comeback tour

Friedrich Merz's tour to boost his popularity as German chancellor is backfiring. His approval ratings have plummeted to record lows, with only 24 percent believing he can improve the economy. At a public event in Salzwedel, Merz's dismissive response to a woman with cancer drew criticism for appearing out of touch. Voters remain frustrated by rising costs and unmet promises of economic improvement. The far-right AfD party has surged ahead in polls, offering populist solutions that resonate more easily than Merz's calls for patience and gradual reform.

2026-05-12

Trump-style war on windmills spreads across Europe

Coordinated social media campaigns spreading false claims about wind power—such as causing cancer and poisoning water—are surging across Europe, particularly in Nordic countries, slowing renewable energy projects crucial for EU energy security. An ecosystem of activists, politicians, and online communities spread tens of thousands of anti-wind posts across social media platforms over two years. These narratives, sometimes echoing American political messaging, are functioning as obstacles to project approvals, with documented cases of canceled projects worth billions. Researchers warn artificial intelligence systems are increasingly amplifying anti-wind misinformation.

2026-05-12

Keir Starmer is in crisis. Here’s how he can be dislodged.

British Prime Minister Keir Starmer faces mounting pressure to resign following Labour's poor performance in recent elections, with over 70 MPs publicly calling for his departure. Cabinet members, including Home Secretary Shabana Mahmood, have reportedly suggested he consider his position. A leadership challenge led by backbencher Catherine West seeks to pressure Starmer into setting a departure date for September. Potential successors include Health Secretary Wes Streeting, Deputy Leader Angela Rayner, and Manchester Mayor Andy Burnham, though each faces significant obstacles to candidacy.

2026-05-12

Norway’s pro-EU voices sense their moment

Iceland's August referendum on EU accession negotiations offers Norway an opportunity to revive its dormant membership debate. Pro-EU activists argue that Iceland joining would leave Norway isolated in its current European Economic Area arrangement, where it adopts over 90 percent of EU laws without political influence. Anti-EU voices across Norway's political spectrum oppose membership, citing sovereignty concerns, agricultural protection, and skepticism about EU governance. However, geopolitical tensions and changing security dynamics have renewed interest among some Norwegian politicians. The Labor Party remains cautious about reopening the contentious debate that divided the nation in previous referendums.

2026-05-12

Why Estonia is gambling on AI in schools

Estonia is pioneering an approach to integrate artificial intelligence into education rather than restrict it. Education Minister Kristina Kallas argues that training students to use generative AI productively is essential, as they will use it anyway. Estonia is partnering with OpenAI to deploy a customized AI platform across upper secondary schools, with roughly half of 20,000 students already participating. Unlike other European countries focusing on detecting AI cheating, Estonia emphasizes developing critical thinking and digital literacy. The initiative also serves as a research project studying how AI affects learning, with student data remaining under Estonian control.

2026-05-12

EUCOmaxxing: Influencers to be invited to EU summits

The EU Council is piloting a scheme to invite social media influencers to cover ministerial meetings and summits in Brussels, allowing them access to restricted areas previously reserved for accredited journalists. However, influencers would be prohibited from asking questions and would be accompanied by Council staff. The initiative aims to engage younger audiences, though reaction from EU diplomats was lukewarm. The European Commission and Parliament have similarly embraced influencer partnerships. Traditional media representatives criticized the proposal, arguing influencers lack journalistic accountability and ethical obligations regarding undisclosed payments.

2026-05-12

Zelenskyy’s former chief of staff charged with corruption

Ukrainian anti-corruption authorities have formally charged Andriy Yermak, former head of President Zelenskyy's office, with corruption and money laundering. The charges relate to an €85 million scandal at Ukraine's state energy company involving laundering €8.9 million through luxury real estate near Kyiv. Zelenskyy fired Yermak last November as the investigation widened to include other associates. Yermak denies wrongdoing, claiming he owns only a flat and car. Zelenskyy has remained silent on the allegations.

2026-05-12

EU formally green-lights sanctions against Israeli settlers

EU foreign ministers approved sanctions against Israeli settlers for attacks on Palestinians in the West Bank after Hungary dropped its months-long opposition following a government change. The sanctions target individuals linked to violence and also apply to Hamas leaders. Several member states, including France and Sweden, are pushing for additional measures like trade restrictions with settlements. Israel's Foreign Minister condemned the decision as arbitrary and political. This marks the first unanimous EU action against Israel since the Gaza crisis began.

2026-05-12

Finland’s Stubb tells Europe to ‘calm down’ over US troop pullback

Finnish President Alexander Stubb reassured Europe that the U.S. won't abandon NATO despite withdrawing 5,000 troops from Germany. He urged calm over fears of American military retreat, arguing Europe is strengthening defenses adequately. Stubb emphasized Finland's ability to defend itself against Russia, suggesting NATO could do likewise. He advocated for renewed dialogue with Russia and distanced himself from using a former German chancellor as a Russian intermediary in Ukraine peace talks.

2026-05-12

Latvian defense minister resigns amid leadership turnover on NATO’s eastern flank

Latvian Defense Minister Andris Sprūds resigned after Ukrainian drones struck an oil storage facility on Latvian soil, with Prime Minister Evika Siliņa stating he failed to ensure safe skies. Colonel Raivis Melnis will replace him. The incident prompted Latvia and Lithuania to request NATO strengthen regional air defenses. This marks the fifth eastern NATO country to change defense ministers recently, following leadership changes in Romania, Lithuania, Hungary, and Bulgaria. Latvia currently leads a drone coalition supporting Ukraine.

2026-05-12

Ukraine asks Europe to broker ‘airport ceasefire’ with Putin

Ukraine's foreign minister proposed a mutual halt to airport attacks as a limited first step toward peace negotiations with Russia. The proposal would give European leaders a direct diplomatic role while complementing U.S.-led talks that have stalled. Ukrainian President Zelenskyy hopes Putin might engage with such a deal, as Russian airports face increasing vulnerability to Ukrainian strikes. EU officials responded cautiously, requesting clarity on Europe's broader objectives before engaging Moscow directly.

2026-05-12

3 Eurovision boycotters won’t air song contest over Israel’s participation

Slovenia, Ireland, and Spain's national broadcasters are boycotting the Eurovision Song Contest over Israel's participation, citing the Gaza conflict and humanitarian crisis. The Slovenian broadcaster's president emphasized the boycott targets Netanyahu's government policies, not Jewish people. Five countries refused to participate if Israel competed. The boycott reduces participating countries to a two-decade low, creating an existential crisis for the contest. Some boycotting nations will air alternative programming instead.

2026-05-12

Starmer’s survival speech: What he said … and what he meant

British Prime Minister Keir Starmer delivered a forceful speech defending his leadership after Labour suffered significant losses in local elections, losing nearly 1,500 councillors and losing control of Welsh and Scottish assemblies. Despite his efforts, the address failed to quell internal party dissent, with several Labour MPs calling for his departure. Starmer warned against switching leaders, arguing the public wouldn't reward such instability, while emphasizing major policy changes ahead and stronger EU relations to rally support among restless backbenchers.

2026-05-12

OpenAI offers EU access to new AI hacking model

OpenAI has offered European Commission authorities access to an advanced AI model capable of identifying software vulnerabilities, addressing weeks of frustration over inability to assess cybersecurity risks from novel AI systems. The move, announced by OpenAI executive George Osborne, contrasts with rival Anthropic's refusal to grant EU access to its cybersecurity-focused model Mythos. EU officials view OpenAI's transparency favorably, as it enables monitoring of AI deployment and security concerns. The initiative aims to strengthen Europe's defenses against anticipated AI-enhanced cyberattacks.

2026-05-12

France opposes fast-tracking EU budget deal by year-end

France's Europe Minister Benjamin Haddad rejected calls to finalize EU budget negotiations by end-2026, opposing artificial deadlines. He emphasized quality over speed, stating France wants a good budget protecting European interests. The pressure stems from concerns that France's far-right National Rally could win April 2027 elections and disrupt talks by reducing EU contributions and Ukraine aid. Other EU countries also face 2027 elections, potentially complicating negotiations. The Commission proposes €1.8 trillion spending for 2028-2034, with a final deadline of December 31, 2027.

2026-05-11

France enforces strict measures after citizen tests positive for hantavirus

France has implemented strict isolation measures after a French national tested positive for hantavirus following evacuation from an infected cruise ship. The passenger, one of five repatriated French nationals, became ill during the repatriation flight. Those exposed face up to 42 days' isolation. A U.S. citizen also tested positive, with another showing symptoms. The Andes subtype of hantavirus, spread between humans, has killed three people aboard the ship. Health authorities continue testing passengers and contacts as the WHO emphasizes this does not constitute an epidemic.

2026-05-12

Keir Starmer leaves door open to ditching his Brexit red lines

British Prime Minister Keir Starmer, facing a leadership challenge after poor local election results, signaled openness to reconsidering his Brexit red lines at an upcoming EU summit. In a defiant speech, he pledged to rebuild Britain's relationship with Europe, moving closer on trade, economy, and defense. When asked if he might abandon campaign promises against EU single market and customs union membership, Starmer suggested these could be reconsidered going forward, marking a significant shift from his previous firm stance on the issue.

2026-05-12

Inside the digital hunt for Ukraine’s missing children

Europol investigators from 18 countries conducted a digital "hackathon" in The Hague to investigate Russia's alleged abduction of Ukrainian children. Using photographs, social media, and metadata analysis, teams found new leads in 45 of approximately 100 cases provided by Kyiv, uncovering possible transport routes and facilities. The International Criminal Court has issued arrest warrants for Putin and Russia's children's rights commissioner over the alleged unlawful deportation of Ukrainian children. Officials suspect the actual number of abducted children significantly exceeds the documented 19,500, with some allegedly subjected to re-education or military conscription.

2026-05-11

Labour officials ‘backing away’ from blocking return of Andy Burnham

Labour Party officials may now allow Andy Burnham, Greater Manchester's mayor and potential leadership challenger to Keir Starmer, to return to parliament. The NEC previously voted 8-1 in January to block him from a by-election candidacy. However, following Labour's poor election results last week, including loss of Welsh parliament control and 1,496 council seats, some NEC officers are reassessing their positions. Party members believe public opinion favors Burnham's return and that blocking him contradicts voter preferences.

2026-05-11

Keir Starmer critic backs off immediate leadership challenge

Catherine West, a Labour MP, initially threatened to trigger a leadership contest against Prime Minister Keir Starmer but backed away from that threat. Instead, she now seeks MP support to force Starmer to hold a leadership election by September. West said this approach is "less threatening" and gives potential challengers like Andy Burnham and Angela Rayner time to prepare. Though Starmer's position remains precarious, West's U-turn reduces the immediate threat to his leadership.

2026-05-11

Starmer critic sets Tuesday deadline for leadership challenge

Labour MP Catherine West is threatening to challenge Prime Minister Keir Starmer unless his Monday speech signals significant policy changes. She plans to request nominations from colleagues by Tuesday morning, needing 80 MPs' support to trigger a leadership contest. West is responding to Labour's poor local election results. She would abandon her bid if Starmer demonstrates renewed commitment to party direction. Other potential candidates include Health Secretary Wes Streeting and Angela Rayner.

2026-05-11

EU to approve sanctions on Israeli settlers, says Kallas

Hungary's new Prime Minister Péter Magyar has signaled he will not block EU sanctions against violent Israeli settlers, clearing the way for approval after Viktor Orbán repeatedly blocked the measure. EU foreign ministers meeting in Brussels expect to reach political agreement on the long-stalled sanctions. However, broader measures against Israel, including a French-Swedish proposal targeting West Bank settlement trade, lack sufficient support among member states. Several EU ministers expressed frustration at the bloc's inability to move faster on Israel-related measures.

2026-05-11

EU’s Kallas rejects Gerhard Schröder as Russia-Ukraine negotiator

EU chief diplomat Kaja Kallas rejected Vladimir Putin's suggestion that former German Chancellor Gerhard Schröder represent Europe in Russia-Ukraine peace negotiations. Kallas argued that allowing Russia to appoint a negotiator on Europe's behalf would be unwise and noted Schröder's previous roles with Russian state-owned energy companies create a conflict of interest. She emphasized Russia must make concessions, including withdrawing troops from Moldova, before Europe participates in direct talks with Putin.

2026-05-11

Von der Leyen, Hillary Clinton back new push to childproof AI

A new Youth AI Safety Institute, backed by prominent leaders including Ursula von der Leyen and Hillary Clinton, will evaluate AI products for child safety and establish standards for age-appropriate use. Run by Common Sense Media, the institute will test applications to identify severe harms like self-harm and eating disorders, informing parents and policymakers. The initiative involves partnerships with research labs and universities, with funding from philanthropists and tech companies including OpenAI and Anthropic, though organizers emphasize funders have no influence on evaluations.

LRT

2026-05-12

Buyers decry ‘hunger games’ in search for affordable homes in Lithuania

Lithuania's property market is experiencing intense buyer competition, with purchasers describing the experience as "hunger games." Strong demand has driven apartment sales up 50% year-over-year in Vilnius, with prices rising 11.5%. Brokers attribute the surge to relaxed lending rules reducing down payments from 15% to 10% and anticipated access to second-pillar pension savings. Multiple buyers competing for single properties has created auction-like conditions, eliminating price negotiation room. Economists view this as a moderate market recovery rather than overheating, though reduced down payment requirements could significantly increase first-time buyer demand.

2026-05-11

Buses dump fuel as Lithuania imposes border crossing limits

Lithuania has implemented a 200-litre fuel limit for vehicles entering from Russia and Belarus. Since the ban began on May 8, nearly 30 vehicles have been denied entry at border checkpoints. Drivers report difficulty calculating exact fuel amounts due to weather conditions affecting consumption. A coach operated by Toks was turned back despite having documentation proving fuel was purchased in Lithuania. Customs officials estimate approximately 5 percent of daily arriving vehicles are refused entry. The restriction has raised concerns among transport companies about managing fuel consumption with seasonal changes.

2026-05-11

Lithuania’s State Defence Council approves sending troops to Hormuz mission

Lithuania's State Defence Council approved deploying up to 40 military and civilian personnel to an international maritime security mission in the Strait of Hormuz. The decision requires parliamentary approval. Lithuania also offered logistical support and use of military infrastructure, responding to US requests to form a coalition protecting commercial shipping through this strategically vital oil transit route.

2026-05-11

Ukraine ready for serious talks with Russia – Budanov in Vilnius

Kyrylo Budanov, head of Ukraine's presidential administration, stated that a direct call between Presidents Zelensky and Putin would require prior arrangement through official channels, not occur spontaneously. He indicated Ukraine would engage in serious peace negotiations if Russia demonstrated genuine willingness. Budanov described the battlefield situation as stable and reiterated Ukraine's official position supporting ending hostilities and achieving peace, emphasizing that pursuing peace reflects common sense rather than weakness.

2026-05-11

National stadium costs will not increase, Vilnius mayor assures

Vilnius Mayor Valdas Benkunskas denied reports that the government or municipality would reduce funding for the long-delayed national stadium project, valued at over 150 million euros. He stated that public financial commitments remain unchanged despite global economic uncertainty, with construction proceeding on schedule toward a February 2028 completion deadline. Project concessionaire Hanner's head confirmed costs won't increase for the state, though the company seeks sponsorship to fund a planned arena capacity expansion from 5,000 to 7,000 seats.

2026-05-11

Lithuania says moving US troops closer to Russia border would strengthen deterrence

Lithuanian Foreign Minister Kęstutis Budrys supports relocating US troops from Germany to NATO's eastern border countries, arguing this strengthens deterrence against Russia and Belarus. The Pentagon plans to withdraw 5,000 troops from Germany within six to 12 months. Budrys stated Lithuania is prepared to host additional allied forces, emphasizing that frontline deployment maximizes effectiveness. Currently, over 1,000 US troops are stationed in Lithuania, with approximately 68,000 American troops deployed across Europe.

2026-05-11

Lithuania reports no airspace violations after Latvian drone alert

Lithuania reported no airspace violations overnight after Latvia issued an air alert regarding possible drone activity near their shared border with Belarus. NATO fighter jets from Lithuania's Šiauliai Air Base were scrambled for patrol missions. Defence Minister Robertas Kaunas emphasized that NATO's eastern flank faces daily aerial threats due to Russia's Ukraine war, necessitating strengthened regional defence. Lithuania is expanding air defence capabilities, including NASAMS systems and anti-drone concepts, with defence spending at 4.8 billion euros, or 5.38% of GDP.

2026-05-11

Ukraine intelligence chief Budanov visits Lithuania for security meetings

Kyrylo Budanov, head of Ukraine's military intelligence and recently appointed to lead the presidential administration, is visiting Lithuania to meet with government and security officials. Budanov has been a prominent Ukrainian security figure since Russia's full-scale invasion, overseeing major operations including the 2022 Crimean Bridge explosion. Lithuania, a strong NATO and EU ally, has consistently supported Ukraine with military, financial, and humanitarian assistance since 2022.

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Krugman

2026-05-11

Remember Tariffs?

In April 2025, Trump imposed massive tariffs on most trading partners using the International Economic Emergency Power Act, which courts ruled illegal. After the Supreme Court struck them down, the administration invoked Section 122, allowing 10% tariffs on balance-of-payments grounds, which courts also ruled illegal. When tariffs are imposed, importers pass costs to consumers through higher prices. However, when ruled illegal and refunds are issued, companies don't reduce prices since refunds aren't marginal costs. This creates a system where consumers lose money when tariffs are imposed and corporations gain when tariffs are voided. Trump's tariffs, representing roughly 1% of GDP, have failed to achieve stated goals of rebuilding manufacturing or reducing trade deficits.

2026-05-11

Will our Hyper-Gilded Age Usher in Genuine Populism?

America's wealth concentration now exceeds even the Gilded Age peak, with today's tech billionaires controlling unprecedented wealth while contributing minimally to philanthropy. Unlike historical robber barons, modern plutocrats wield extraordinary political power through campaign financing and government influence, exemplified by figures like Elon Musk and Peter Thiel. An overwhelming majority of Americans view wealth inequality as a major problem, creating political opportunity for leaders willing to challenge oligarchic power despite fierce opposition from the ultrawealthy.

Buliaus anatomija