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Who is really gaining from the corporate tax cuts ushered in by Donald Trump’s administration? In this week’s column, Rana Foroohar writes that US workers are feeling few positive effects, while companies increasingly investing in intangibles have benefited from what has turned into a capital expenditure boom.

“What business is investing in has changed quite a lot in recent history — and that alters everything,” she writes, explaining that the current investments in things like intellectual property and technology do not tend to improve the general prosperity of the population at large. “New factories and machinery tend to create jobs. Investments in data processing equipment or software upgrades, which make up a big chunk of this year’s tech related spending, tend to be job killing, at least in the short term.”

Her solution? Put a value on data, tax it, and prevent companies from shifting revenue offshore to avoid it.

This Brexit deal is the best available, and leaves several options open, writes Wolfgang Munchau

Vera Songwe, UN under-secretary general, argues that African countries should demand that loans are made in local currencies

Gavyn Davies writes that although bear markets and recessions are close relations, they are not twins

Zhang Jun, China’s G20 sherpa and assistant foreign minister, believes our common prosperity demand co-operation on trade

What you’ve been saying

In response to “The BBC is having the wrong conversation about future funding”, Christopher Joubert says:

I agree that the BBC should not have given into George Osborne’s bullying but, as a 74-year-old, I have no objection to continuing paying the licence fee, should I live to do so. The BBC should simply abolish the concession and throw the blame back on the government.

‘Manufacturing’ is counter-intuitive: letter from Wilfried Lütkenhorst, Vienna, Austria

In her column “ The real meaning of Big Data”, Gillian Tett provides intriguing examples of technical terms betraying their origins. My own favourite example has always been “manufacturing”. Isn’t it weird that this word (referring to manus, the Latin word for hand) came into widespread use when artisanal production started to get replaced by machines? But mind you, the term robot itself goes back to a Czech word meaning forced labour.

In response to “Why good forecasters become better people”, Pieceofthejigsaw says:

A history teacher of mine at school used to make us hold fortnightly debates in which we were required to argue the opposite position to the one we held — it taught me a valuable lesson that only by articulating the opposite viewpoint do you become aware of how poorly you understand it.

Today’s opinion

Recessions and bear markets: close relations but not twins
Equities have come under pressure even though a recession seems unlikely

Inside Business: Danske and the incentive problem with money laundering
Once bosses realise what is afoot they know they risk being tarred themselves

This Brexit deal is the best available
It leaves several options open, including the Norway model, that would otherwise shut

African countries should demand loans are made in local currencies
Foreign-denominated debt has a pernicious effect because of rising interest rates

US capital expenditure boom fails to live up to promises
Tax cut boosts tech companies but workers see fewer benefits

Lex: Insider share purchases: money where their mouth is
Executives buying up company stock can be an effective way to rally support

Please do not bring your ‘whole self’ to work
It is fatuous to encourage people to behave in the office just as they do at home

FT View

The FT View: UK’s gambling industry is dicing with young lives
Online betting is growing fast; it should be treated like tobacco

The FT View: Algeria can ill-afford more stagnation and drift
A fifth term for President Abdelaziz Bouteflika would be a mark of contempt for the public

The Big Read

The Big Read: Mexico: Amlo’s ‘people power’ rattles the markets
Are the president-elect’s promises to stage referendums on everything from infrastructure to the police a cover to consolidate power?

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