Connect with us

Economics

Harvey Weinstein’s rape conviction is overturned. Now what?

Published

on

HARVEY WEINSTEIN, a former Hollywood mogul and public enemy number one of the #MeToo movement, is a free man again—at least as far as New York’s top court is concerned. On April 25th Manhattan’s Court of Appeals ruled that Mr Weinstein did not receive a fair trial when he was convicted in 2020 of felony sex-crime charges and sentenced to 23 years in prison. He may face a retrial and also has a 16-year jail sentence to serve in California for rape, so will remain behind bars. But the symbolism of the decision—the biggest setback for #MeToo yet—is significant.

Although the ruling came as a shock to the general public, to many in the legal profession it did not. In 2023 a YouGov poll found that 83% of Americans believed that Mr Weinstein was guilty of charges including rape and sexual assault, and only 5% thought him not guilty, “regardless of the verdict”. But while the court of public opinion has little doubt about the guilt of Mr Weinstein—who has been accused by over 100 women of acts ranging from harassment to rape—his criminal conviction in New York was always on shakier ground. As The Economist wrote at the time, the judge’s controversial decision to allow three witnesses, who were not part of the charges, to testify about previous “bad acts” opened the door to an appeal. By allowing these extra accusers, argued Mr Weinstein’s lawyers in their appeal against his conviction, the judge had overwhelmed the trial with “excessive, random and highly dubious prior bad-act evidence”.

Four out of seven appeals-court judges agreed, deciding in their 77-page ruling that the trial court “erroneously admitted testimony of uncharged, alleged prior sexual acts”. Those errors were compounded when the judge ruled that Mr Weinstein could be cross-examined about those and other allegations that portrayed him in “a highly prejudicial light”. The justices emphasised that under New York’s system the accused has a right to be held to account only for the crime charged. “Even the most unpopular criminal defendants deserve a fair trial,” says Daniel Hochheiser, a criminal-defence lawyer. The additional witnesses, he says, “served no other purpose than to poison the minds of the jury against Weinstein”.

The prosecution’s strategy was understandable, if risky. Prosecutors in domestic-violence and sex-crime cases routinely argue to be allowed to call accusers from beyond the case being tried. In the Weinstein trial they argued that the “casting couch” culture, in which women performed sexual favours in exchange for roles, constituted a pattern and that the additional witnesses were necessary to establish that pattern for the jury. According to Deborah Tuerkheimer, author of “Credible: Why We Doubt Accusers and Protect Abusers”, the case exposed a fundamental tension between the legal system’s requirement that any evidence not closely related to the charges be kept out of the courtroom, and society’s requirement for “dozens of accusers” to come forward before a victim is believed. So long as victim credibility is discounted the “gravitational pull” will be towards calling extra witnesses, she says.

#WhereNow?

In their ruling, the New York judges concluded: “The remedy for these egregious errors is a new trial.” The office of Manhattan’s district attorney confirmed it would seek one. In the meantime, all eyes now turn to Mr Weinstein’s appeal in Los Angeles, which he is due to file on May 20th. (Mr Weinstein, who is serving time in upstate New York, will be taken to Los Angeles to start serving his sentence there.) One of his lawyers has argued that because, here too, Mr Weinstein was “subjected to a firehose of uncharged” allegations, this conviction should be similarly overturned. That seems unlikely. As opposed to New York, California (like many other states and indeed federal courts) is more relaxed about allowing “other acts” witnesses to take the stand in sexual-assault cases.

It will be tempting to frame the overturning of Mr Weinstein’s conviction as a backlash against #MeToo. In a spiky dissent, one of the appeal judges, Madeline Singas, wrote: “Men who serially sexually exploit their power over women—especially the most vulnerable groups in society—will reap the benefit of today’s decision.” However, the various cases against Mr Weinstein have not been for nothing. Improvements to the justice system in several states, such as the abolition of non-disclosure agreements that stopped victims from speaking out, and the lengthening of statutes of limitations, can be directly attributed to the #MeToo/Weinstein legacy. Elizabeth Geddes, a former federal prosecutor who convicted R Kelly, a singer, of racketeering and sex crimes in New York in 2021-22, says one challenge that Mr Weinstein’s original verdict helped to overcome was “how to convince potential victims that this time law enforcement is going to take you seriously”.

If it came to a retrial, prosecutors in New York would have a decent shot at convicting Mr Weinstein again. Central to the decision to retry him will be whether his accusers can be persuaded to once again take the stand. That is a battle that one has already said she is willing to fight again.

Economics

Why the president must not be lexicographer-in-chief

Published

on

Who decides what legal terms mean? If it is Donald Trump, God help America

Continue Reading

Economics

Inflation rate slipped to 2.1% in April, lower than expected, Fed’s preferred gauge shows

Published

on

Inflation rate slipped to 2.1% in April, lower than expected, Fed’s preferred gauge shows

Inflation barely budged in April as tariffs President Donald Trump implemented in the early part of the month had yet to show up in consumer prices, the Commerce Department reported Friday.

The personal consumption expenditures price index, the Federal Reserve’s key inflation measure, increased just 0.1% for the month, putting the annual inflation rate at 2.1%. The monthly reading was in line with the Dow Jones consensus forecast while the annual level was 0.1 percentage point lower.

Excluding food and energy, the core reading that tends to get even greater focus from Fed policymakers showed readings of 0.1% and 2.5%, against respective estimates of 0.1% and 2.6%.

Consumer spending, though, slowed sharply for the month, posting just a 0.2% increase, in line with the consensus but slower than the 0.7% rate in March. A more cautious consumer mood also was reflected in the personal savings rate, which jumped to 4.9%, up from 0.6 percentage point in March to the highest level in nearly a year.

Personal income surged 0.8%, a slight increase from the prior month but well ahead of the forecast for 0.3%.

Markets showed little reaction to the news, with stock futures continuing to point lower and Treasury yields mixed.

People shop at a grocery store in Brooklyn on May 13, 2025 in New York City.

Spencer Platt | Getty Images

Trump has been pushing the Fed to lower its key interest rate as inflation has continued to gravitate back to the central bank’s 2% target. However, policymakers have been hesitant to move as they await the longer-term impacts of the president’s trade policy.

On Thursday, Trump and Fed Chair Jerome Powell held their first face-to-face meeting since the president started his second term. However, a Fed statement indicated the future path of monetary policy was not discussed and stressed that decisions would be made free of political considerations.

Trump slapped across-the-board 10% duties on all U.S. imports, part of an effort to even out a trading landscape in which the U.S. ran a record $140.5 billion deficit in March. In addition to the general tariffs, Trump launched selective reciprocal tariffs much higher than the 10% general charge.

Since then, though, Trump has backed off the more severe tariffs in favor of a 90-day negotiating period with the affected countries. Earlier this week, an international court struck down the tariffs, saying Trump exceeded his authority and didn’t prove that national security was threatened by the trade issues.

Then in the latest installment of the drama, an appeals court allowed a White House effort for a temporary stay of the order from the U.S. Court of International Trade.

Economists worry that tariffs could spark another round of inflation, though the historical record shows that their impact is often minimal.

At their policy meeting earlier this month, Fed officials also expressed worry about potential tariff inflation, particularly at a time when concerns are rising about the labor market. Higher prices and slower economic growth can yield stagflation, a phenomenon the U.S. hasn’t seen since the early 1980s.

Continue Reading

Economics

German inflation May 2025

Published

on

19 May 2025, Berlin: Apricots are sold at a greengrocer for 7.98 euros per kilogram. Grapes and papaya are also on offer.

Photo by Jens Kalaene/picture alliance via Getty Images

Germany’s annual inflation hit 2.1% in May approaching the European Central Bank’s 2% target but coming in slightly hotter than analyst estimates, preliminary data from statistics office Destatis showed Friday.

The print compares with a 2.2% reading in April and with a Reuters projection of 2%.

The print is harmonized across the euro zone for comparability.

So-called core inflation, which strips out more volatile food and energy prices, dipped slightly from April’s 2.8% to 2.9% in May. The closely watched services print meanwhile eased sharply, coming in at 3.4% compared to 3.9% in the previous month.

Energy prices fell markedly for the second month in a row, tumbling by 4.6% in May.

Germany’s consumer price index has been closing in on the European Central Bank’s 2% target over recent months, in a positive signal amid ongoing uncertainty about the economic outlook for Europe’s largest economy.

Domestic and global issues have mired expectations for Germany’s financial future.

One the one hand, U.S. President Donald Trump’s tariffs could damage economic growth, given Germany’s status as an export-reliant country, though the potential impact of such duties on inflation remains unclear. But frequent policy shifts and developments have been muddying the picture.

On the other hand, Germany’s newly minted government is starting to get to work and has made the economy a top priority. Questions linger about when and to what extent the new Berlin administration’s policy plans might be realized.

The ECB is set to make its next interest rate decision on June 5, with traders last pricing in an over 96% chance of a quarter point interest rate reduction, according to LSEG data. Back in April, the central bank had cut its deposit facility rate by 25 basis points to 2.25%.

This is a breaking news story, please check back for updates.

Continue Reading

Trending