For months, Ms. Yellen cajoled Ireland’s finance minister, Paschal Donohoe, to back the agreement, which would require Ireland to raise its 12.5 percent corporate tax rate — the centerpiece of its economic model to attract foreign investment. Ultimately, through a mix of pressure and pep talks, Ireland relented, removing a final obstacle that could have prevented the European Union from ratifying the agreement.

Some progressives in the United States say that Mr. Biden’s ability to follow through on his end of the bargain was a crucial piece of the framework spending bill.

“The international corporate reforms are the most important,” said Seth Hanlon, a senior fellow at the liberal Center for American Progress, who specializes in tax policy, “because they are linked to the broader multilateral effort to stop the corporate race to the bottom. It’s so important for Congress to act this year to give that effort momentum.”

Jim Tankersley reported from Rome, and Alan Rappeport from Washington.

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Japan Faces Big Problems. Its Next Leader Offers Few Bold Solutions.

TOKYO — With the world’s oldest population, rapidly declining births, gargantuan public debt and increasingly damaging natural disasters fueled by climate change, Japan faces deep-rooted challenges that the longstanding governing party has failed to tackle.

Yet in choosing a new prime minister on Wednesday, the Liberal Democratic Party elected the candidate least likely to offer bold solutions.

The party’s elite power brokers chose Fumio Kishida, 64, a stalwart moderate, in a runoff election for the leadership, seeming to disregard the public’s preference for a maverick challenger. In doing so, they anointed a politician with little to distinguish him from the unpopular departing leader, Yoshihide Suga, or his predecessor, Shinzo Abe, Japan’s longest-serving prime minister.

Elders in the party, which has had a near monopoly on power in the decades since World War II, made their choice confident that, with a weak political opposition and low voter turnout, they would face little chance of losing a general election later this year. So, largely insulated from voter pressure, they opted for a predictable former foreign minister who has learned to control any impulse to stray from the mainstream party platform.

slowly emerges from six months of pandemic restrictions that have battered the economy.

Taro Kono, an outspoken nonconformist whose common touch has made him popular with the public and with rank-and-file party members. Mr. Kishida prevailed in the second round of voting, in which ballots cast by members of Parliament held greater weight than ballots cast by other party members.

He will become prime minister when Parliament holds a special session next week, and will then lead the party into the general election, which must be held by November.

In his victory speech on Wednesday, Mr. Kishida acknowledged the challenges he faces. “We have mountains of important issues that lie ahead in Japan’s future,” he said.

They loom both at home and abroad. Mr. Kishida faces mounting tensions in the region as China has grown increasingly aggressive and North Korea has started testing ballistic missiles again. Taiwan is seeking membership in a multilateral trade pact that Japan helped negotiate, and Mr. Kishida may have to help finesse a decision on how to accept the self-governed island into the group without angering China.

As a former foreign minister, Mr. Kishida may have an easier time managing his international portfolio. Most analysts expect that he will maintain a strong relationship with the United States and continue to build on alliances with Australia and India to create a bulwark against China.

But on the domestic front, he is mostly offering a continuation of Mr. Abe’s economic policies, which have failed to cure the country’s stagnation. Income inequality is rising as fewer workers benefit from Japan’s vaunted system of lifetime employment — a reality reflected in Mr. Kishida’s campaign promise of a “new capitalism” that encourages companies to share more profits with middle-class workers.

close to 60 percent of the public is now inoculated. But Mr. Kishida has offered few concrete policies to address other issues like aging, population decline or climate change.

In a magazine questionnaire, he said that he needed “scientific verification” that human activities were causing global warming, saying, “I think that’s the case to some extent.”

Given the enduring power of the right flank of the Liberal Democratic Party, despite its minority standing in the party, Mr. Kishida closed what daylight he had with these power brokers during the campaign.

He had previously gained a reputation as being more dovish than the influential right wing led by Mr. Abe, but during the leadership race, he expressed a hawkish stance toward China. As a parliamentary representative from Hiroshima, Mr. Kishida has opposed nuclear weapons, but he has made clear his support for restarting Japan’s nuclear power plants, which have been idled since the triple meltdown in Fukushima 10 years ago.

And he toned down his support for overhauling a law requiring married couples to share a surname for legal purposes and declared that he would not endorse same-sex marriage, going against public sentiment but hewing to the views of the party’s conservative elite.

“I think Kishida knows how he won, and it was not by appealing to the general public, it was not by running as a liberal, but courting support to his right,” said Tobias Harris, a senior fellow at the Center for American Progress in Washington. “So what that’s going to mean for the composition of his cabinet and his priorities, and what his party’s platform ends up looking like, means he could end up being pulled in a few different directions.”

resigned last fall because of ill health. He had led the party for eight consecutive years, a remarkable stint given Japan’s history of revolving-door prime ministers. When he stepped down, the party chose Mr. Suga, who had served as Mr. Abe’s chief cabinet secretary, to extend his boss’s legacy.

Sanae Takaichi — a hard-line conservative who was seeking to become Japan’s first female prime minister — to revitalize his base in the party’s far right, analysts and other lawmakers said he helped steer support to Mr. Kishida in the runoff.

As a result, Mr. Kishida may end up beholden to his predecessor.

“Kishida cannot go against what Abe wants,” said Shigeru Ishiba, a former defense minister who challenged Mr. Abe for the party leadership twice and withdrew from running in the leadership election this month to support Mr. Kono.

“I am not sure I would use the word ‘puppet,’ but maybe he is a puppet?” Mr. Ishiba added. “What is clear is he depends on Abe’s influence.”

During the campaign for the party leadership, Mr. Kishida appeared to acknowledge some dissatisfaction with the Abe era with his talk of a “new capitalism.” In doing so, he followed a familiar template within the Liberal Democratic Party, which has been adept at adopting policies first introduced by the opposition in order to keep voters assuaged.

“That’s one of the reasons why they have maintained such longevity as a party,” said Saori N. Katada, a professor of international relations at the University of Southern California. “Kishida is definitely taking that card and running with it.”

Makiko Inoue, Hikari Hida and Hisako Ueno contributed reporting.

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Top U.S. Officials Consulted With BlackRock as Markets Melted Down

As Federal Reserve Chair Jerome H. Powell and Treasury Secretary Steven Mnuchin scrambled to save faltering markets at the start of the pandemic last year, America’s top economic officials were in near-constant contact with a Wall Street executive whose firm stood to benefit financially from the rescue.

Laurence D. Fink, the chief executive of BlackRock, the world’s largest asset manager, was in frequent touch with Mr. Mnuchin and Mr. Powell in the days before and after many of the Fed’s emergency rescue programs were announced in late March. Emails obtained by The New York Times through a records request, along with public releases, underscore the extent to which Mr. Fink planned alongside the government for parts of a financial rescue that his firm referred to in one message as “the project” that he and the Fed were “working on together.”

While some conversations were previously disclosed, the newly released emails, together with public calendar records, show the extent to which economic policymakers worked with a private company as they were drawing up a response to the financial meltdown and how intertwined BlackRock has become with the federal government.

60 recorded calls over the frantic Saturday and Sunday leading up to the Fed’s unveiling on Monday, March 23, of a policy package that included its first-ever program to buy corporate bonds, which were becoming nearly impossible to sell as investors sprinted to convert their holdings to cash. Mr. Mnuchin spoke to Mr. Fink five times that weekend, more than anyone other than the Fed chair, whom he spoke with nine times. Mr. Fink joined Mr. Mnuchin, Mr. Powell and Larry Kudlow, who was the White House National Economic Council director, for a brief call at 7:25 the evening before the Fed’s big announcement, based on Mr. Mnuchin’s calendars.

book on funds.

On March 24, 2020, the New York Fed announced that it had again hired BlackRock’s advisory arm, which operates separately from the company’s asset-management business but which Mr. Fink oversees, this time to carry out the Fed’s purchases of commercial mortgage-backed securities and corporate bonds.

BlackRock’s ability to directly profit from its regular contact with the government during rescue planning was limited. The firm signed a nondisclosure agreement with the New York Fed on March 22, restricting involved officials from sharing information about the coming programs.

were contracting and its business outlook hinged on what happened in certain markets.

While the Fed and Treasury consulted with many financial firms as they drew up their response — and practically all of Wall Street and much of Main Street benefited — no other company was as front and center.

Simply being in touch throughout the government’s planning was good for BlackRock, potentially burnishing its image over the longer run, Mr. Birdthistle said. BlackRock would have benefited through “tons of information, tons of secondary financial benefits,” he said.

Mr. Mnuchin could not be reached for comment. Asked whether top Fed officials discussed program details with Mr. Fink before his firm had signed the nondisclosure agreement, the Fed said Mr. Powell and Randal K. Quarles, a Fed vice chair who also appears in the emails, “have no recollection of discussing the terms of either facility with Mr. Fink.”

“Nor did they have any reason to do so because the Federal Reserve Bank of New York handled the process with great care and transparency,” the central bank added in its statement.

Brian Beades, a spokesman for BlackRock, highlighted that the firm had “stringent information barriers in place that ensure separation between BlackRock Financial Markets Advisory and the firm’s investment business.” He said it was “proud to have been in a position to assist the Federal Reserve in addressing the severe downturn in financial markets during the depths of the crisis.”

The disclosed emails between Fed and BlackRock officials — 11 in all across March and early April — do not make clear whether the company knew about any of the Fed and Treasury programs’ designs or whether they were simply providing market information.

Fed chair’s official schedule from that March. Those calendars generally track scheduled events, and may have missed meetings in early 2020 when staff members were frantically working on the market rescue and the Fed was shifting to work from home, a central bank spokesman said.

Mr. Powell’s calendars did show that he talked to Mr. Fink in March, April and May, and he has previously answered questions about those discussions.

“I can’t recall exactly what those conversations were, but they would have been about what he is seeing in the markets and things like that, to generally exchanging information,” Mr. Powell said at a July news conference, adding that it wasn’t “very many” conversations. “He’s typically trying to make sure that we are getting good service from the company that he founded and leads.”

BlackRock’s connections to Washington are not new. It was a critical player in the 2008 crisis response, when the New York Fed retained the firm’s advisory arm to manage the mortgage assets of the insurance giant American International Group and Bear Stearns.

Several former BlackRock employees have been named to top roles in President Biden’s administration, including Brian Deese, who heads the White House National Economic Council, and Wally Adeyemo, who was Mr. Fink’s chief of staff and is now the No. 2 official at the Treasury.

in early 2009 to $7.4 trillion in 2019. By the end of last year, they were $8.7 trillion.

As it expanded, it has stepped up its lobbying. In 2004, BlackRock Inc. registered two lobbyists and spent less than $200,000 on its efforts. By 2019 it had 20 lobbyists and spent nearly $2.5 million, though that declined slightly last year, based on OpenSecrets data. Campaign contributions tied to the firm also jumped, touching $1.7 million in 2020 (80 percent to Democrats, 20 percent to Republicans) from next to nothing as recently as 2004.

short-term debt markets that came under intense stress as people and companies rushed to move all of their holdings into cash. And problems were brewing in the corporate debt market, including in exchange-traded funds, which track bundles of corporate debt and other assets but trade like stocks. Corporate bonds were difficult to trade and near impossible to issue in mid-March 2020. Prices on some high-grade corporate debt E.T.F.s, including one of BlackRock’s, were out of whack relative to the values of the underlying assets, which is unusual.

People could still pull their money from E.T.F.s, which both the industry and several outside academics have heralded as a sign of their resiliency. But investors would have had to take a financial hit to do so, relative to the quoted value of the underlying bonds. That could have bruised the product’s reputation in the eyes of some retail savers.

fund recovery was nearly instant.

When the New York Fed retained BlackRock’s advisory arm to make the purchases, it rapidly disclosed details of those contracts to the public. The firm did the program cheaply for the government, waiving fees for exchange-traded fund buying and rebating fees from its own iShares E.T.F.s back to the New York Fed.

The Fed has explained the decision to hire the advisory side of the house in terms of practicality.

“We hired BlackRock for their expertise in these markets,” Mr. Powell has since said in defense of the rapid move. “It was done very quickly due to the urgency and need for their expertise.”

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Gary Gensler, Wall Street’s New Watchdog, Has a Full Plate

Mr. Gelzinis said Mr. Gensler would probably draw on his familiarity with the subject matter — he taught classes on blockchain technology at the Massachusetts Institute of Technology — to approach regulation around digital currencies more strategically. That would be a departure from his predecessor Jay Clayton, who favored enforcement actions against initial coin offerings without providing much regulatory guidance, he added.

Paul Grewal, chief counsel of Coinbase, the cryptocurrency exchange that went public last week, said the industry was “hopeful” about Mr. Gensler, noting that he is fluent in its language. Mr. Grewal said the industry wanted Mr. Gensler to provide clarity on how securities regulators decide when a digital asset is considered a security and subject to S.E.C. review, as opposed to a currency that is largely free from S.E.C. oversight.

The question grew in importance after the S.E.C. sued the San Francisco company Ripple Labs in December over the sale of its popular digital tokens to the public. The S.E.C. said the company was selling unregistered securities, while Ripple and others said the tokens should be classified as a digital currency. The enforcement action was one of the last brought before Mr. Clayton stepped down as chairman in the waning days of the Trump administration.

More recently, a brokerage affiliated with Sustainable Holdings, a financial technology company, asked the S.E.C. to weigh in on whether nonfungible tokens, which are being used to create digital art, are securities that require registration. The company, in its letter, asked the S.E.C. “to engage in a meaningful discussion of how to regulate fintech companies and individuals that are creating NFTs that may be deemed digital asset securities.”

Mr. Gensler, while teaching at M.I.T., acknowledged that regulators had struggled with how to treat digital assets. In a 2018 interview, he said digital assets could at times appear to be both a commodity and a security. At his Senate confirmation hearing, Mr. Gensler spoke strongly for heightened requirements for companies to disclose climate risks and diversity efforts.

“Diversity in boards and senior leadership benefits decision-making,” he said.

Mr. Gensler declined to be interviewed.

One thing the past three months have shown is that the stock and bond markets have a way of quickly writing the agenda for anyone who leads the S.E.C. That means SPACs will almost certainly be scrutinized. In particular, Mr. Gensler will have to determine whether these blank-check companies are a good market innovation for taking fledgling companies public or an investment vehicle that has the potential to harm retail investors, Mr. Hawke of Arnold & Porter said.

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