Norman Lamont

Shrugging off criticism from the United States and the European Community, Germany's Bundesbank lifted a key interest rate Thursday to its highest level in the country's post-World War II history. The increase in the discount rate from 8% to 8.75% is expected to complicate attempts to regenerate global economic growth, at least in the short term. It will put pressure on Germany's trading partners to raise their cost of borrowing. The central bank's action also could curb U.S.

John Major replaced Margaret Thatcher as Britain's prime minister Wednesday and promised to preside over a Conservative government that would create "a society of opportunity--an open society." At the end of his first day in office, the new prime minister announced a broad restructuring of the Cabinet designed to lead a strong, united government into the next election against the Labor Party.

Britain's Conservative Party anointed 39-year-old David Cameron as its leader Tuesday, hoping that the polished, clean-cut "old Etonian" has the magic to lead the Tories out of the political wilderness after three election defeats. Virtually unknown to the country at large six months ago, Cameron outpolled rival David Davis by better than 2 to 1, taking 134,446 votes to Davis' 64,398.

In tense, marathon talks held amid an international economic crisis, Germany on Saturday rebuffed calls from the United States and other leading industrialized nations to restore order to Europe's chaotic financial system by cutting its sky-high interest rates.

Prime Minister John Major, at the Tories' annual, weeklong conference, has painstakingly sought to bind up the wounds of his Conservative Party. To a party accused of drift, incompetence and even sleaze--and under pressure from its right wing--Major called for "patience and realism . . . in a world of bewildering change." "The party must stand for continuity and stability," he said in a low-key, reassuring speech at the seaside resort of Bournemouth.

If's there's one thing the British people can't complain about now that the outcome of the May 6 general election has finally been decided, it's that they didn't get a good deal. After all, they demanded a new prime minister, and got exactly what they wanted — plus another one thrown in for free! You half expect the speaker of the House of Commons to begin the next session of Parliament by declaring, "But wait … !" before announcing that the electorate has also qualified for a bonus "Cam 'n' Clegg" flashlight keychain (just pay shipping and handling )

Playing its first game in 16 days due to an exam break, a rusty No. 11 Princeton got 16 points from Brian Earl in a 59-50 victory over Division III College of New Jersey on Monday night at Princeton. Princeton (14-1) annually schedules a lower division opponent as a warmup after its annual exam break. It was the first time the Tigers played nearby College of New Jersey (14-2), which is ranked No. 5 in the Division III coaches' poll.

* Bond yields skidded as weak economic data fostered expectations of another interest rate cut by the Federal Reserve. * Stock prices dipped as investor gloom over the economy outweighed the expected positive benefits of lower rates. The Dow industrials fell 17.29 points to 3,254.37. * The dollar fell against the Japanese yen but rose against major European currencies as European political figures continued to squabble over the Continent's currency crisis.

Amid the shambles of European currency markets this week, one conclusion has stood out with crystal clarity: Many European countries are nowhere near ready to scrap their national currencies in favor of a common European one. But despite the chaos this week, many European nations--including Germany, whose high interest rates helped precipitate the currency crisis--still want a common currency.

British political dinner parties are noted for wicked tongues and barbed depictions of those in public life--but the juicy, cutting remarks tend to circulate privately and rarely get into contemporary print. And the memoirs of government officials often lack sting. But these days, the British political world is braced for a full-frontal assault by former Conservative government minister Alan Clark, whose diaries covering his days of service in the Thatcher government are about to be published.