Blogs&Reviews

  • Finance, the state, and innovation

    Diane Coyle, 25 June 2018

    In a revised edition of "Doing Capitalism in the Innovation Economy", William Janeway argues that our economic system – where complicated interactions between government, providers of finance, and capitalists drive technological innovation and economic growth – is inherently fragile. In this post, Diane Coyle welcomes the update as timely. Since the book’s original publication in 2012, the world has seen sluggish growth, flatlining productivity, and extraordinary changes in the economy and society brought about by technology.

  • In this follow up to his post on ergodicity, Roger Farmer discusses chaos theory, 'spin glasses', and what it means to have rational expectations.

  • How the broadcast media created mediamacro

    Simon Wren-Lewis, 20 June 2018

    The Brexit debate was not the first time that the broadcast media in the UK reinforced rather than countered the claims of the right-wing press – the same happened with austerity. In this post, Simon Wren-Lewis asks why the BBC and other broadcasters largely ignored standard textbook macroeconomics, and instead promoted ‘mediamacro’.

  • Trump, China, and tariffs: From soybeans to semiconductors

    Chad Bown, Euijin Jung, Zhiyao (Lucy) Lu, 19 June 2018

    On 15 June, the Trump administration produced the list of specific Chinese products on which it soon plans to impose tariffs. In this post, Chad Bown, Euijin Jung and Zhiyao Lu examine this list and China's proposed retaliation, and argue that even companies that are not suffering yet from China’s mistreatment will soon be hurting because of tariff-induced higher costs.

Other Recent Blogs&Reviews:

  • Karl Whelan, 14 June 2018

    The past week has been the most fraught yet in the Brexit negotiations, with the ‘Irish backstop’ a key issue. In this post, Karl Whelan argues that rather than being threatened economically, Northern Ireland would gain from the implementation of the EU’s backstop.

  • Ashoka Mody, 14 June 2018

    Italian financial tremors are again rumbling dangerously. In this post, Ashoka Mody describes how tremors from the Italian fault line are set to spread in cascading earthquakes through euro area and global financial systems.

  • Roger Farmer, 13 June 2018

    In the New Keynesian model, the connection between the unemployment rate and the inflation rate is driven by the Phillips curve. In this post, Roger Farmer proposes replacing the Phillips curve with a belief function, an alternative theory of the connection between unemployment and inflation that better explains the facts.

  • Livio Stracca, 13 June 2018

    Knowledge of central banks is limited among households, who are also often found to have beliefs that are inconsistent with the foundations of the models underpinning modern monetary policy, such as the fact that higher interest rates lead to lower inflation. In this post, Livio Stracca describes the implications of this fact and summarises a new book that tries to popularise modern central banking for a wider audience.

  • Jeffrey Frankel, 12 June 2018

    Not long after having said that the China trade war was “on hold”, the Trump administration flipped the switch back to “on”. In this post, Jeffrey Frankel analyses Trump’s actions and asks whether his approach to trade can be explained.

Pages

CEPR Policy Research