FT News Briefing cover image

FT News Briefing

Israel plans for ‘indefinite’ grip over Gaza

Nov 8, 2023
09:27
Snipd AI
Implications of rising wages in Eastern Europe; Israel's actions in Gaza and improvement in China-Australia trade relations; China's trade tactics, pork problem, concerns over deflation, and consumer price index data.
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Podcast summary created with Snipd AI

Quick takeaways

  • Rising wages in Eastern Europe are outpacing productivity growth, making the region less attractive to Western European companies.
  • Israel intends to maintain overall security responsibility for Gaza indefinitely, with no clear political horizon for resolving the situation and establishing a Palestinian state.

Deep dives

Soaring wages in Eastern Europe could hurt the region's attractiveness

The International Monetary Fund warns that rising wages in Eastern Europe have outpaced productivity growth, making the region less attractive to Western European companies. The IMF also predicts that this wage increase is unlikely to help these countries tackle inflation, which is higher than the EU average. However, some countries, like Poland, are expected to further increase wages in response to labor union pressure.

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