Anti-Semitism in Europe Why Marx was right Angola’s new start Financial inclusion: a special report MAY 5TH–11TH 2018 Disarmageddon North Korea, Iran and the real nuclear threat Are you taking care of your organization’s most important asset to deliver your strategy? Leadership Strategy design ccountabili age oѴѴ-0ou-ঞom Winning Customer Insight Strategy delivery The Brightline™ Initiative is a non-commercial coalition of leadingggglobal orgganizations dedicated to helpingg executives bridge the expensive and unproductive gap between strategy design and delivery. To learn more, www.brightline.org/people Successfully Bridging the Gap Between Strategy Design and Delivery SEE MORE WITH THE AIRLINE THAT FLIES TO MORE COUNTRIES THAN ANY OTHER VIETNAM Contents The Economist May 5th 2018 5 7 The world this week 33 France’s students The shadow of ’68 34 Greenland Leaders The Danish yoke 11 Arms control 34 Georgian anti-fashion Disarmageddon Reaping what it sews 12 T-Mobile and Sprint 36 Charlemagne Block the call The EU’s budget 12 Britain’s Windrush scandal Identity crisis United States Britain’s Windrush fiasco 13 French universities 37 Striking teachers The mistreatment of Non-selective nonsense Pedagogic protest Caribbean Britons shows the 14 Governance in Africa 38 Policing Serve and predict need for a better way of On the cover Augean Angola checking identity: leader, 38 Steve Komarow Even as America tries to page12. A mess over migrants A tribute strike a deal with North Letters might mean less fuss about ID Korea, arms control elsewhere 39 Child development cards, page 23. Promiscuous? 16 On Donald Trump, Poland, is unravelling: leader, page11. Mother’s money Divorced? Eccentric-looking? Singapore, funerals Old deals to limit nuclear 40 Trucking You may be denied a passport, weapons are fraying. Both Sikhs in semis page 24. Britain’s new home politics and technological Briefing 41 Lexington secretary confronts a change make their renewal or 19 Global security The sage grouse formidable list of challenges: replacement unlikely, page19. A farewell to arms control Bagehot, page 30 The Korean honeymoon is more likely to end in tears The Americas than in celebrations, page 49. Britain 42 Mexico A new history of a terrifyingly 23 Identity cards The politics of homicide close shave with nuclear Big bother 43 Mexico’s mayors Armageddon, page 81 24 Citizenship applications A dangerous job No sex, please, we’re the 44 Bello Home Office The Economist Argentine gradualism online 24 Sainsbury’s and Asda Daily analysis and opinion to In the money supplement the print edition, plus Special report: 26 The Bank of England Financial inclusion audio and video, and a daily chart Wait and see, MPC Economist.com Exclusive access 26 NHS “frequent flyers” After page 44 Anti-Semitism in Europe E-mail: newsletters and Charting a new course Today’s prejudice is linked to mobile edition angry identity politics on the Economist.com/email 28 Robin Hood Energy Power to the people Middle East and Africa right and left, page 31 Print edition: available online by 28 The space industry 45 Angola 7pm London time each Thursday How far will Lourenço go? Economist.com/printedition Brexit’s final frontier 29 Sharing data with the EU 46 Mozambique Audio edition: available online Still in a hole to download each Friday Does not compute Economist.com/audioedition 30 Bagehot 46 Eritrea and Ethiopia Sajid Javid’s in-tray Could they make peace? 47 Lebanon’s election A snap-happy campaign Europe 47 Palestinians in Syria 31 Anti-Semitism in Europe Refugees again Haters gonna hate Volume 427 Number 9090 48 Democracy in Tunisia 32 Armenia Uncertain promise Published since September1843 A velvet revolution so far Angola Sacking the old to take part in "a severe contest between president’s children was a intelligence, which presses forward, and 33 Romania an unworthy, timid ignorance obstructing Trying the president good start. But João Lourenço our progress." must do more to clean up Editorial offices in London and also: Angola: leader, page 14. Beijing, Berlin, Brussels, Cairo, Chicago, Madrid, Mexico City, Moscow, Mumbai, Nairobi, New Delhi, Hopes for a corruption-weary New York, Paris, San Francisco, São Paulo, Seoul, country as a new president Shanghai, Singapore, Tokyo, Washington DC consolidates power, page 45 1 Contents continues overleaf 6 Contents The Economist May 5th 2018 Asia 70 Credit-default swaps Blackstone’s wizard wheeze 49 The Korean peninsula Give peace a chance, redux 70 Tax havens The Salisbury effect 50 Malaysia’s election The old man’s last test 71 Banks in Japan Overstaffed and 51 Indonesia overbranded The hard-hat president 72 Buttonwood 52 Indian politics The next crisis The battle in Karnataka 74 Free exchange 52 Masala for the media The worth of nations T-Mobile and Sprint Gaffe-prone leaders in India Financial inclusion Nearly Regulators should squash a quarter of the world’s plans for a big telecoms merger Science and technology population remains unbanked. China in America: leader, page12. 75 Genomes and privacy But thanks to mobile phones, The two firms will find it hard 53 Internal migrants No hiding place financial inclusion is making to persuade regulators that The bitter generation great strides. See our special 76 Language their merger will add jobs and report after page 44 56 Banyan Manners of speaking reduce prices, page 59. The Sino-American tech war government’s case against 76 But is it art? AT&T and Time Warner has Neanderthal creativity Subscription service gone badly, page 60 International 76 Chemistry For our full range of subscription offers, 57 Demography Desalination development including digital only or print and digital combined visit Small isn’t beautiful 77 Working mothers Economist.com/offers You can also subscribe by mail or telephone at Express delivery the details provided below: Business 78 Policing modern slavery Telephone: +44 (0) 845 120 0983 59 American telecoms Traffic jammers Web: Economist.com/offers The art of the deal Post: The Economist Subscription Centre, 60 AT&T and Time Warner Books and arts P.O. Box 471, Vintage legal drama Haywards Heath, 79 Karl Marx at 200 RH16 3GY 60 Glencore in the DRC Second time, farce UK Rumble in the jungle 81 A nuclear near-miss Subscription for 1 year (51 issues) 61 Startups in France Cockroaches and scorpions Print only UK – £145 The next crisis Corporate Seeking the big time 81 America and the 62 Trade and American Chinese civil war debt could be the culprit: Principal commercial offices: Buttonwood, page 72 business Feet of clay The Adelphi Building, 1-11John Adam Street, Chain reaction 82 The Rockefeller auction London WC2N 6HT 63 Sidewalk Labs Manet, Monet, money Tel: +44 (0) 20 7830 7000 Streets ahead Rue de l’Athénée 32 82 Maximalist fiction 1206 Geneva, Switzerland 64 Schumpeter Tick, tock Tel: +4122 566 2470 American sanctions 750 3rd Avenue, 5th Floor, New York, NY 10017 84 Economic and financial Tel: +1212 5410500 Finance and economics indicators 1301Cityplaza Four, 12 Taikoo Wan Road, Taikoo Shing, Hong Kong 67 Bank of America Statistics on 42 economies, Tel: +852 2585 3888 plus a closer look at Greece Making dollars and sense Other commercial offices: 68 Reshaping Deutsche Bank Chicago, Dubai, Frankfurt, Los Angeles, Shrink to fit Obituary Paris, San Francisco and Singapore Marx at 200 Two centuries 68 Trade and innovation 86 Michael Martin after his birth Karl Marx remains Is there a China chill? Order and disorder surprisingly relevant, page 79 69 Returns to education Smart investment PEFC certified This copy of The Economist is printed on paper sourced from sustainably managed forests certified by PEFC PEFC/16-33-582 www.pefc.org Registered as a newspaper. © 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. Printed by Wyndeham Peterborough Limited. The world this week The Economist May 5th 2018 7 “balance” in the region, and with aides to Donald Trump, constitution and allow Presi- Politics said it was important to and said that the Department dent Pierre Nkurunziza to stay preserve “rule-based ofJustice “is not going to be in power foranother16 years. development” there. extorted” by threats from A formerrebel leader, Mr congressional Republicans. Nkurunziza has been in charge Let us in Agitated congressmen have since 2005 and believes that Around 150 people in a cara- drafted articles ofimpeach- God wants him to keep ruling. van ofmigrants from Central ment against Mr Rosenstein, America that has been mak- who a year ago appointed Mr Cleaning up a Ruddy mess ing its way through Mexico Mueller as the special counsel arrived at the border with the leading the inquiry. United States and attempted to claim asylum. Immigration Relations between the White agents initially claimed the House and the Mueller in- checkpoint was at full capacity vestigation could be about to but later started slowly get tetchier, with news that Ty South Korea said that Ameri- processing their applications. Cobb is to be replaced as the can troops would remain in Donald Trump accused the head ofMr Trump’s legal team the country even ifit does migrants of“openly defying by Emmet Flood, who repre- reach a deal with North Korea our border”. sented Bill Clinton during his to end the Korean war formal- impeachment hearings. ly. The statement came a few Tens ofthousands ofpeople days after a much-trumpeted continued to throng Nicara- Bibi’s big show Amber Rudd resigned as meeting between Moon Jae-in, gua’s streets in peaceful de- Binyamin Netanyahu, Israel’s Britain’s home secretary, as the South’s president, and Kim monstrations forand against prime minister, produced the Windrush scandal unfold- Jong Un, the North’s dictator, the authoritarian socialist documents suggesting that ed.