Inequality: The Structural Aspects
Despite the unprecedented attention that income and wealth inequality has received in this year’s presidential campaign in the United States and in several recent elections
Economy
Analysis and debate on the European economy: growth and investment, fiscal and monetary policy, trade, industry and inequality.
The Italian Bad Bank: A Better Alternative
The severe financial crisis of recent years hit Eurozone industrial production; in a bank-centric currency area this resulted in tremendous growth of NPLs (non-performing loans),
Economics In The Age Of Abundance
Until very recently, one of the biggest challenges facing mankind was making sure there was enough to eat. From the dawn of agriculture until well
Migration’s Economic Positives And Negatives
I have always been a strong believer that geography determines one’s worldview (I think it is de Gaulle who is credited for saying that “history
How Much Debt Is Too Much?
Is there a “safe” debt/income ratio for households or debt/GDP ratio for governments? In both cases, the answer is yes. And in both cases, it
Break The Vicious Circle Of Falling Prices And Wages
The IMF has recently released its latest World Economic Outlook (WEO) Update pointing to persistently weak growth and another downward revision of its projected growth
How The Oil Price Crash Is Wrecking Mario Draghi’s QE Effect
2015 will go down as the year when the oil price crash did not result in a swift decline in oil output. At a first
The New Geo-Economics
Last year was a memorable one for the global economy. Not only was overall performance disappointing, but profound changes – both for better and for
Greece’s Two Currencies
Imagine a depositor in the US state of Arizona being permitted to withdraw only small amounts of cash weekly and facing restrictions on how much
Why The Great Malaise Of The World Economy Continues In 2016
The year 2015 was a hard one all around. Brazil fell into recession. China’s economy experienced its first serious bumps after almost four decades of
The Incurable Japanese Syndrome And Europe
For the fifth time in seven years Japan is back in recession, with GDP shrinking by a further 0.2% in the third quarter. Meanwhile, inflation
How Inequality Kills
This week, Angus Deaton will receive the Nobel Memorial Prize in Economics “for his analysis of consumption, poverty, and welfare.” Deservedly so. Indeed, soon after
Is It Meaningful To Talk About The Ownership Of Companies?
Shareholders own the corporation, and the duty of the directors to maximise shareholder value follows from that. I have lost count of the number of
Quantitative Easing (QE) And Public Investment
Since the start of this year the ECB has been applying “quantitative easing” (QE), i.e. a program injecting large amounts of money into the economy.
Liquidity Helps Financial Market Participants, Not Businesses And Households
Nothing illustrates more starkly the difference between the preoccupations of financial market participants and the needs of businesses and households than the subject of liquidity.
Managing The Economy Politically: Chinese Pitfalls
After eight months of continued contraction, the Chinese manufacturing juggernaut is officially stranded. The rollercoaster ride of the summer of 2015 with its market crashes