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How the West Got China Wrong COLLECTION Fi Y Fathoms Don’t panic over plastic Hollywood after Weinstein Povera Italia: a dismal choice A special report on autonomous vehicles MARCH 3RD–9TH 2018 How the West got China wrong COLLECTION Fi y Fathoms RAISE AWARENESS, TRANSMIT OUR PASSION, HELP PROTECT THE OCEAN BEIJING · CANNES · DUBAI · GENEVA · HONG KONG · LAS VEGAS · LONDON · MACAU · MADRID ©Photograph: Laurent Ballesta/Gombessa Project ©Photograph: Laurent www.blancpain-ocean-commitment.com MANAMA · MOSCOW · MUNICH · NEW YORK · PARIS · SEOUL · SHANGHAI · SINGAPORE · TAIPEI · TOKYO · ZURICH Contents The Economist March 3rd 2018 3 6 The world this week 31 Managing spies Spooks for hire 32 The Velvet Hammer Leaders Michael Madigan 9 Chinese power 33 Lexington What the West got wrong Lost Boy found 10 Italy’s alarming election Povera Italia The Americas 11 Pollution Plastic surgery 34 Canada’s economy What’s next 11 The Indian economy Italy’s election The world’s No mere formality 35 Language in Brazil Dialects under threat eighth-largest economy faces 12 Sexism in Hollywood a woeful set of electoral #MeToo, part two 36 Bello Venezuela and values choices: leader, page 10. Italy On the cover 14 Autonomous vehicles risks political confusion when The West bet that China Who is behind the wheel? it votes on March 4th, page 41. would head towards Middle East and Africa The dangers of leaders who democracy and the market hold power without office: Letters 37 Zimbabwe economy. The gamble has A rocky start Charlemagne, page 45 failed: leader, page 9. How 16 On the Democratic Republic of Congo, Costa 38 Emmerson Mnangagwa the West got China wrong, A chat with the president page 18. Xi Jinping decides Rica, 5G, Italy, Vietnam, to abolish presidential term Brexit 38 Safer sex in Senegal limits. This will have big Beating back HIV 39 Arms deals in the Gulf implications for Chinese Briefing politics, page 25. Are China’s How much for a pilot? 18 China and the West state giants reformable? 39 Churches in Jerusalem Not the partner you were Schumpeter, page 60 Holy, profitable land looking for 40 Development in Morocco Idle and angry The Economist online Asia 21 Security in Pakistan Daily analysis and opinion to Special report: Mopping up Brexit Jeremy Corbyn shakes supplement the print edition, plus Autonomous vehicles up the debate, page 46. How a audio and video, and a daily chart 22 Old drivers in Japan Reinventing wheels customs union with Europe Economist.com End of the road After page 40 unexpectedly became a E-mail: newsletters and 22 Politics in Afghanistan burning issue, page 47. It is mobile edition Power-shedding not clear that Theresa May will Economist.com/email 23 Myanmar’s economy Europe be able to get a hard Brexit Print edition: available online by The 238-point plan 41 Italy’s election through Parliament: Bagehot, 7pm London time each Thursday 24 Taiwan’s toilet-paper The right road is wholly page 48 Economist.com/printedition shortage lost and gone Audio edition: available online Wiped out 42 Germany to download each Friday Succession planning Economist.com/audioedition 43 Turkey China Muzzling the fourth estate 25 The reign of Xi Jinping 44 Military service in France For ever and ever? Aux armes, citoyens! 44 Spain United States Volume 426 Number 9081 A fit of intolerance 27 Schools 45 Charlemagne Published since September 1843 Portfolio theory Europe’s back-seat drivers to take part in "a severe contest between intelligence, which presses forward, and 28 Veterans’ affairs an unworthy, timid ignorance obstructing V strange Plastics They are not the our progress." Britain world’s worst environmental 30 The Supreme Court Editorial offices in London and also: 46 Labour’s strategy problem, nor one that is all Beijing, Berlin, Brussels, Cairo, Chicago, Madrid, Labour’s lost Mexico City, Moscow, Mumbai, Nairobi, New Delhi, Master of (almost) all he that hard to solve, page 49. New York, Paris, San Francisco, São Paulo, Seoul, 31 The JROTC surveys To tackle the polymer problem, Shanghai, Singapore, Tokyo, Washington DC School soldiering 47 Brexit and trade look east: leader, page 11 The customs of the country 48 Bagehot Parliament’s silent majority 1 Contents continues overleaf 4 Contents The Economist March 3rd 2018 International Science and technology 49 Plastic pollution 67 Robot laboratories Too much of a good thing Gene machines 68 Agricultural chemicals Business For better or worse 53 German cars 68 The limits of biology Last lap of luxury Waiting for rain 55 Business and the NRA 69 Psychology Outgunned? Authoritarianism 56 Royal Dutch Shell and Eni India’s shadow economy Hollywood after Weinstein Drillers in the dock Books and arts Narendra Modi’s battle to The scandal is changing formalise the economy 57 McKinsey’s new boss 70 Hollywood and Weinstein film-making for the better in provides lessons in what to Firm direction After the fall more ways than one: leader, emulate—and what to avoid: 57 Comcast 72 A requiem for the factory page 12. It has implications leader, page 11. How India is Excuse me while I bid for Sky When giants ruled the world not only for the personnel but nudging businesses, and 58 Private-jet terminals 72 The reality of war the stories that make it to the citizens, to abandon Time for an upgrade Fragments and ruins screen, page 70 informality, page 61 60 Schumpeter 73 Johnson Are China’s state giants For whom, the bell tolls Subscription service reformable? For our full range of subscription offers, including digital only or print and digital 76 Economic and financial combined visit Finance and economics indicators Economist.com/offers You can subscribe or renew your subscription 61 India’s economy Statistics on 42 economies, by mail, telephone or fax at the details below: Emerging from the shadows plus a closer look at metal Telephone: +65 6534 5166 prices Facsimile: +65 6534 5066 62 Buttonwood Web: Economist.com/offers Interest rates E-mail: [email protected] Obituary Post: The Economist 63 The rise and fall of Anbang Subscription Centre, Out with a whimper 78 Billy Graham Tanjong Pagar Post Office 63 Emerging markets The hour of decision PO Box 671 Singapore 910817 Driverless cars Self-driving Putin’s fiscal fortress Subscription for 1 year (51 issues)Print only vehicles offer great potential 64 Asia’s stockmarkets Australia A$465 benefits—but could also be a China CNY 2,300 Duelling exchanges Hong Kong & Macau HK$2,300 powerful tool of social control: India 10,000 64 Tax and the dollar leader, page 14. They will Japan Yen 44,300 Green-backs back Korea KRW 375,000 change the world, just as cars Malaysia RM 780 65 Trade and the dollar New Zealand NZ$530 did before them. See our Singapore & Brunei S$425 special report after page 40. Push me pull you Taiwan NT$9,000 Thailand US$300 German luxury cars have the 66 Free exchange Other countries Contact us as above most to lose from all the Driving productivity dramatic changes facing the auto industry, page 53 Principal commercial offices: The Adelphi Building, 1-11John Adam Street, London WC2N 6HT Tel: +44 (0) 20 7830 7000 Rue de l’Athénée 32 1206 Geneva, Switzerland Tel: +4122 566 2470 750 3rd Avenue, 5th Floor, New York, NY 10017 Tel: +1212 5410500 1301Cityplaza Four, 12 Taikoo Wan Road, Taikoo Shing, Hong Kong Tel: +852 2585 3888 Other commercial offices: Chicago, Dubai, Frankfurt, Los Angeles, Paris, San Francisco and Singapore Robotic DNA The design of PEFC certified synthetic lifeforms could This copy of The Economist become a new industry, page 67 is printed on paper sourced from sustainably managed forests, recycled and controlled sources certified by PEFC PEFC/01-31-162 www.pefc.org © 2018 The Economist Newspaper Limited. All rights reserved. Neither this publication nor any part of it may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of The Economist Newspaper Limited. Published every week, except for a year-end double issue, by The Economist Newspaper Limited. The Economist is a registered trademark of The Economist Newspaper Limited. Publisher: The Economist. Printed by Times Printers (in Singapore). M.C.I. (P) No.057/09/2017 PPS 677/11/2012(022861) 6 The world this week The Economist March 3rd 2018 Baffled and bewildered boycotting the election and That it’s come to this Politics In what appeared to be an has booted him out fordecid- Campaigning ended in Italy’s about-turn from his recent ing to participate. general election, which takes comments, Donald Trump place on March 4th. The polls called forstrong gun-control Police in Honduras arrested show that a hung parliament is measures, such as increasing Rosa Elena Bonilla de Lobo, likely, which could mean a background checks on buyers. the wife ofPorfirio Lobo, a protracted period without a One Republican senator said formerpresident, on charges government. Silvio Berlusconi, Mr Trump’sremarks were ofembezzlement. Prosecutors an 81-year-old formerprime “surreal”. The Democrats were from an anti-corruption unit minister, may well emerge as a unsure what to make ofthem. backed by the Organisation of kingmaker. American States allege that Ms Hope Hicks announced that Bonilla withdrew $510,000 Jan Kuciak, an investigative she is resigning as the White from public funds and deposit- journalist in Slovakia, was House’s communications ed the money in her personal murdered along with his China’s Communist Party director. A confidante ofMr bankaccount just before her partner. He had been probing proposed the abolition ofterm Trump, she was one ofthe few husband stepped down as the Mafia’s involvement in limits for the posts ofpresident people left standing in the president in 2014.
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