The Mismeasure of Wealth
Dasgupta, Partha, Duraiappah, Anantha. Despite many successes in creating a more integrated and stable global economy, a new report by the United Nations Secretary-General’s High-Level Panel on Global Sustainability – Resilient People, Resilient Planet: A Future Worth Choosing – recognizes the current global order’s failure, even inability, to implement the drastic changes needed for true “sustainability.” […]
Has austerity gone too far?
Corsetti, Giancarlo. Is austerity self-defeating? Is it keeping Europeans underemployed for years and destroying the very growth needed to pay off the debt? Or is it steering nations clear of Greek-like tragedies? So starts a new debate on Vox on austerity, introduced in this column. Πηγή: Voxeu πλήρες κείμενο
The problems of European monetary union – asymmetric shocks or asymmetric behaviour?
Boltho, Andrea, Carlin, Wendy. Divergent behaviour from Eurozone countries that have very different economic, social, and political structures is threatening the existence of the single currency. This column argues that the Eurozone is a fragile bureaucratic creation that has hardly ever raised much popular enthusiasm anywhere. If behaviour across the area remains as asymmetric as […]
Aspirations, wellbeing, risk-aversion, and loss-aversion
Campbell, Rachel, Koedijk, Kees & Statman, Meir. Does more money always make you happy? This column argues that financial wellbeing is distinct from income. People with low income can enjoy financial wellbeing as high as people with high incomes as long as their aspirations do not exceed their incomes. Πηγή: Voxeu πλήρες κείμενο
Fiscal Policy in a Depressed Economy
DeLong, Bradford, Summers, Lawrence. This paper examines logic and evidence bearing on the efficacy of fiscal policy in everely depressed economies. In normal times central banks offset the effects of fiscal policy. This keeps the policy-relevant multiplier near zero. It leaves no space for expansionary fiscal policy as a stabilization policy tool. But when inter-est […]
Καπιταλισμός σε προνεωτερικές δομές
Την δεκαετία του 1970 μια αμερικανική εταιρεία υφαντουργίας, δελεασμένη από το εξαιρετικά χαμηλό μισθολογικό κόστος της Αϊτής, αποφάσισε να μεταφέρει την παραγωγή της εκεί. Οι αμερικανοί διευθυντές της εταιρείας – μετά την αποπεράτωση του εργοστασιακού συγκροτήματος – αποφάσισαν να μεταβούν στο νησί και να προσφέρουν έναν οριακά υψηλότερο του μέσου μισθού, ούτως ώστε να προσελκύσουν […]
Economics in Europe
Lindbeck, Assar. As the result of evil political forces in the 1930s and 1940s, research and qualified academic education in economics nearly disappeared from the European continent. To a considerable extent, this loss of competence took the form of a brain drain to the United States. The damage to academic research and teaching was particularly […]
The Limits Of Monetary Policy In A Liquidity Trap
DeLong, Brad. One question advocates of expansionary fiscal policy in situations like the global economy’s current configuration must face is Mankiw and Weinzerl’s [1] question: why not just use monetary policy instead? Πηγή: seekingalpha.com πλήρες κείμενο
Financial Repression Has Come Back to Stay
Reinhart, Carmen. As they have before in the aftermath of financial crises or wars, governments and central banks are increasingly resorting to a form of “taxation” that helps liquidate the huge overhang of public and private debt and eases the burden of servicing that debt. Such policies, known as financial repression, usually involve a strong […]
The Inequality Trap
Derviş, Kemal. As evidence mounts that income inequality is increasing in many parts of the world, the problem has received growing attention from academics and policymakers. In the United States, for example, the income share of the top 1% of the population has more than doubled since the late 1970’s, from about 8% of annual […]