“The French economist Thomas Piketty discussed his new book, Capital in the Twenty-First Century at the Graduate Center. In this landmark work, Piketty argues that the main driver of inequality—the tendency of returns on capital to exceed the rate of economic growth—threatens to generate extreme inequalities that stir discontent [...]
Often, the problem with many policy actions employed to influence the economy is their unintended consequences. In the case of economic sanctions, it is not always easy to tell whether half a success is any better than a failure. On March 21, 2014, under the new sanctions regime, both Visa and MasterCard froze up the [...]
I’ve seen some pretty bizarre claims about MMTers. They are “tea partiers”, “barely left of center”, who “are not interested in policy”, who “ignore inequality”, who “are only interested in reducing taxes”. “MMTers ignore the fraud of the banksters.” They are at best “one issue” advocates for a particular view on money, taxes, and employment. [...]
Crisis in Crimea
The conflict between Russia and Ukraine escalates, evoking fond memories of the Cold War.
Must ReadGlobal Macro
NEW YORK – The world’s economic, financial, and geopolitical risks are shifting. Some risks now have a lower probability – even if they are not fully extinguished. Others are becoming more likely and important. A year or two ago, six main risks stood at center stage: · A eurozone breakup (including a Greek exit and [...]
At this point, why is the Fed reducing policy accommodation in the first place? ... In short, there seems to be a disconnect between the Fed’s rhetoric and the general policy direction.