detroit

♦ Zhou Yongkang, a former security chief and member of the Chinese Communist party’s Standing Committee of the politburo, looks set to pay the price for defending Bo Xilai as China cracks down on corruption.
♦ Although Ireland has been lauded for its austerity programme and is about to leave the EU and IMF bailout, concerns persist that its recovery will run out of steam.
♦ Michael Goldfarb at the New York Times thinks the London property market “is no longer about people making a long-term investment in owning their shelter, but a place for the world’s richest people to park their money at an annualised rate of return of around 10 percent.
♦ Take a look at these photos: the Mark Twain branch of Detroit public library is another casualty of the city’s bankruptcy.
♦ Yassin Al Haj Saleh, who was jailed for 16 years under the Assad regime and whose family was jailed by Islamist rebels, says a poignant goodbye to Syria. Read more >>

♦ Michael Pettis, a finance professor at Peking University, argues that a slowdown in China’s economy will not lead to social unrest, provided median household income continues to grow at 6-7 per cent.
♦ The killings in Egypt over the weekend have highlighted the resurgence of the country’s shadowy ministry of interior.
♦A private group in Mumbai is hiring teachers with rather unusual backgrounds, but its engaging teaching methods are helping students to succeed.
♦ Paul Krugman thinks urban sprawl might be preventing social mobility in US cities.
♦ The BBC gives the lay of the land in Zimbabwe ahead of the elections. Read more >>

John Aglionby

Detroit filing for chapter 9 bankruptcy might have come as a shock to outsiders and anyone glancing at the city’s slick official website, but people who know the home of Motown well say there has been a certain inevitability to its demise.

Doron Levin, who first reported from the city in 1984, in a blogpost for Fortune, blames generation after generation of elected officials who were blind to the long-term implications of their policies:

“[They] dithered and dissembled and argued, instead of undertaking tough measures to close fiscal gaps. In truth, the city’s financial liabilities were created by the very people who should have been resolving them: one administration after another promised wages, job guarantees and pensions to city workers that were simply unsustainable.”

 Read more >>

♦ Detroit became the largest US city to file for bankruptcy. Time magazine looks at the decay of the city. The Washington Post’s Ezra Klein points out Detroit is not alone.
♦ Sunday’s election for the upper house of Japan’s parliament is expected to give Prime Minister Shinzo Abe a stronger platform from which to shoot the “arrows” of his radical economic reforms, but some fear he may also strike a more nationalistic tone.
♦ Russian opposition leader Alexei Navalny was freed on bail Friday after being sentenced to five years in prison on embezzlement charges the day before. Our Charles Clover examines how his jailing tells you a lot about how political repression has evolved in Russia over the years. Masha Lipman looks at how the Putin government chose to eliminate their political opposition the hard way.
♦ The Guardian’s Patrick Kingsley examines the shooting of Muslim Brotherhood supporters outside the Republican Guards’ club in Cairo and finds that it was a coordinated assault on largely peaceful civilians.
♦ Marc Lynch at Foreign Policy argues that Washington should make a “much broader, more vigorous effort to engage publicly and privately across all Egyptian political groups and segments of the population” – but now is not the moment, with so much anti-American rhetoric swirling around.
♦ They were the irreplaceable loot from the art heist of the century. But to Olga Dogaru, a resident of a tiny Romanian village, burning them was the only way to save her son from prosecution. The problem is that he is the man charged with orchestrating the brazen theft last October of works worth hundreds of millions of dollars from the Kunsthal museum in Rotterdam. And the works were masterpieces by the likes of Picasso, Monet and Gauguin. Read more >>

An Egyptian doctor observes the pro-Morsi protests outside the Republican Guard barracks in Cairo and the subsequent military intervention that wounded hundreds and killed 51 people, mostly protesters. Egyptian authorities have cracked down on Muslim Brotherhood businesses — reportedly shutting some down. The FT writes on the debate between Islamists and the military over who is to blame for the violence. The FT’s Geoff Dyer questions whether the United States still has influence in the country — with the military or the Islamists.

For German chancellor Angela Merkel, the allegations of collaboration between US and German intelligence services may be an election problem, since data protection is a sensitive issue for Germans. She has sent a team of intelligence and interior ministry officials to Washington for an explanation of US activities. The New Yorker analyses Mr Obama’s motives for spying and whether it is justified.

With a debt burden of $18bn and city infrastructure plunging in quality, Detroit may have to file bankruptcy — an extremely rare act for so populous a city — and may even sell the collections of the Detroit Institute of Arts.

♦ Eliot Spitzer resigned in 2008 after a call-girl scandal. However, the former governor of New York, is running for comptroller — the city’s third-highest elected office. But he is met by resistance from Wall Street executives — since he advocated reigning in their salaries — and by others who question his moral integrity. In a satire, the New Yorker reported yesterday that the former Italian Prime Minister Silvio Berlusconi is considering running for office in New York City because New Yorkers are much more forgiving of political mistakes than Italians. Read more >>