WSJ Economy

Ireland's troubled banking system became the latest flash point in Europe's continuing economic crisis, as the government said it would split up the weakest of its major banks to stave off a run by depositors.

Germany's resurgent economy is giving workers something they haven't had since the country slid into recession two years ago: bargaining power.

The economic recovery is advancing unevenly across the U.S., as regions reliant on such industries as manufacturing and farming show progress while those more dependent on housing continue to struggle.

For American business, it's a two track economy, with global players getting big boosts from fast-growing foreign markets, while companies focused on the U.S. are hemmed in by recession-scarred consumers.

The Bank of Korea kept its benchmark interest rate unchanged at 2.25%, pausing in its tightening cycle for a second straight month.

Japan's finance minister made it clear the government will intervene to tame the yen's rises if deemed necessary, but investors ignored the warning and pushed the yen to a 15-year high.

Greece's second-quarter gross domestic product was revised down to show a 1.8% fall from the first three months of the year compared with the initial estimate of a 1.5% decline.

Mortgage lender Halifax said U.K. house prices rose for the second straight month in August, although at a slower pace.

Despite a big depreciation in the pound over the past two years that should have made British-manufactured goods cheaper for foreign buyers, its exports haven't risen rapidly.

EU finance ministers remained divided after a debate on a bloc-wide bank levy and a fresh tax on financial transactions, indicating that neither measure is likely to materialize in the coming months.

Obama will propose that companies be allowed to write off 100% of their new investment in plants and equipment through 2011, a plan that White House economists say would cut business taxes by nearly $200 billion.

Obama unveiled a new $50 billion proposal to improve the nation's highways, airports and railways – the latest attempt by the administration to jump-start the sputtering economy.

A belief that Americans will average seven careers over their lifetimes has gained traction despite little evidence, say researchers.

The Bank for International Settlements said sustained debt reduction need not be a cause of weaker growth in the aftermath of a crisis, as long as policy makers fix the problems that caused the turmoil in the first place.

Jean-Claude Trichet has raised his forecast for growth in the EU area for the rest of this year from 1.0% to 1.6%. But Europeans shouldn't uncork the champagne just yet.

Gold prices are edging up toward a high, at $1,249.20 an ounce, triggering multibillion-dollar deals by miners doubling down on the staying power of bullion's nearly decadelong rally.