Political strife and inequality go hand in hand. But the growing gulf between the very rich and the rest - which in the United States is approaching levels last seen in the 1920s - could also be a menace to economic growth and financial stability, recent International Monetary Fund research shows. If so, it&rsquo;s not just the 99 percent that have an interest in narrowing the wealth gap.

Growth, interrupted

Business Standard

Money supply is rising fast, so where is the inflation? US consumer prices rose 0.4 per cent in February, but that was mostly gasoline. Year-on-year, inflation is above the Fed&rsquo;s two per cent target but not by much. Yet, money supply is going through the roof. Either inflation is on the way, or Milton Friedman should lose his Nobel prize.

Money, money, everywhere

Barack Obama&rsquo;s pick to head the World Bank comes out of the blue - or, rather, Dartmouth green. Bypassing the usual array of bankers and ambassadors, the president has opted for Jim Yong Kim, a disease-fighting medic who heads the Ivy League college. Kim&rsquo;s Korean birth and physician&rsquo;s pedigree may mollify critics of America&rsquo;s monopoly on the top job. But without the customary grounding in diplomacy or finance, he&rsquo;s got his work cut out for him.

Thinking outside the Bank

The cheapest natural gas price for a decade is a boon for American homeowners. At less than $2 per million British thermal units, though, it looks toxic for its already troubled rival, the solar energy sector. But gas isn&rsquo;t close to chocking the life out of it just yet.

Surviving a gas attack

The International Monetary Fund gathering now under way in Washington is all about rattling the donation tin. Managing Director Christine Lagarde is aiming for $400 billion in extra firepower to handle any European bailout - down from a hoped-for $600 billion. The refusal of US lawmakers to contribute has crimped the IMF's ambition.

Empty-handed

Goldman Sachs is making a dash to invest in renewable energy projects. It says it will invest $40 billion of its own and clients&rsquo; money over a decade. The Wall Street firm isn&rsquo;t above self-serving spin, but it&rsquo;s also never far from the money. With solar and wind power nearing cost levels that are competitive with fossil fuels, clean energy could burnish Goldman&rsquo;s bottom line, as well as its green credentials.

Greenman Sachs

The United States now boasts the world&rsquo;s fastest-rising oil production outside the Organization of the Petroleum Exporting Countries (Opec). That leaves Brazil&rsquo;s growth trailing, while output in Mexico is falling. With big banks in particular in the political doghouse, America&rsquo;s oil prowess is a reminder that private enterprises seize opportunities better than governments.

Best of oil

Opec will be seeking harmony in Vienna next week. It won&rsquo;t be easy. Some of the oil cartel&rsquo;s worst infighting in its 50-year history looms. That could make it tougher to cope with the euro crisis, which shows no signs of easing and augurs poorly for the price of crude. The evidence suggests the Organization of the Petroleum Exporting Countries will not be able to do much about it.

Opec springs eternal

The International Monetary Fund has a new long-term worry: decades of higher interest rates. Don&rsquo;t get too comfortable with low borrowing costs, is the downbeat message from the normally overoptimistic fund&rsquo;s flagship World Economic Outlook. Slightly feebler growth of 3.3 per cent for 2012 is the short-term concern. But past fiscal excesses and an ageing population could push up interest rates for a generation.

Rate clouds ahead

Twelve nations belong to Opec but only Saudi Arabia has mattered of late. At the latest meeting in Vienna, the kingdom again batted away Venezuela, Iran and others who wanted to cut output. The deepening divide in the Organization of the Petroleum Exporting Countries could face a more serious test if prices keep sliding.

Fraction of the whole

Venezuela and Iran are looking desperate. Barely three weeks after the most recent OPEC meeting, the two countries are clamouring for an emergency gathering. They&rsquo;re claiming that overproduction is depressing prices and want to institute a price band to halt the drop. But crude is hovering just below $100 a barrel, near its highest level in decades.

Oil sharks

Ford Motors seems reluctant to let go of Chief Executive Alan Mulally. Understandably so: he steered the automaker clear from going bust like Ford&rsquo;s two Detroit rivals. Rather than just sending the 67-year-old boss on his way, the board is mulling plans to make him co-chairman, Reuters reports. That would make for quirky governance and suggests the board doesn&rsquo;t yet have full confidence in his successor. But keeping Mulally&rsquo;s magic touch trumps these downsides.

Ford's long goodbye

The United Nations has chosen the wrong time to try to tame America&rsquo;s corn monster. The global body wants Uncle Sam to prevent the nation&rsquo;s drought from turning into a food crisis by suspending remaining support for corn-based fuel. Letting ethanol fend for itself makes sense and would stop diverting crops from hungry mouths. But the UN plea comes too late to affect the current crisis.

Christopher Swann