World Perspectives

German Broken Window Theory; Mixed Ethanol Policies; Future of Food

German Broken Window Theory At this past weekend’s Munich Security Conference, German Defense Minister Boris Pistorius said U.S. defense contractors and the American economy would benefit from spending more money helping Ukraine defend itself against Russia. Biden economic adviser Lael Brainard made a similar pitch about “how important [Ukraine] funding is for employment and production around the country.” This is just as transactional a viewpoint as those carried by Donald Trump. It also ignores the opportunity cost of government spending.  The U.S. spends 3.5 percent of GDP on defense, Germany allocates just 1.39 percent of GDP on defense. Instead, Brussels continues to spend nearly 40 percent of the EU’s bu...

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Summary of Futures

Mar 26 Corn closed at $4.47/bushel, up $0.0325 from yesterday's close.  Mar 26 Wheat closed at $5.155/bushel, up $0.0575 from yesterday's close.  Jan 26 Soybeans closed at $10.5325/bushel, up $0.04 from yesterday's close.  Mar 26 Soymeal closed at $301.9/short ton, up $0.8 from y...

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From WPI Consulting

Weighing in on strategic realignment

WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.

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