Richard Olsen, 06 March 2010

Why should high-frequency finance be of any interest to policymakers interested in long-term economic issues? This column argues that the discipline can revolutionise economics and finance by turning accepted assumptions on their head and offering novel solutions to today’s issues.

Eduardo Cavallo, 24 February 2010

Recent evidence suggests that Latin American counties have been shifting their public debt from foreign to domestically issued liabilities. This column argues that the change in debt composition does not guarantee less exposure to external shocks. Without a stable domestic investor base, Latin America will remain vulnerable to swings in global financial markets.

Giuseppe Bertola, Anna Lo Prete, 03 December 2008

Globalisation seemingly erodes governments’ ability to redistribute wealth. This column presents new evidence of the tradeoff between integration and redistribution, showing that financial development has filled in where government has receded. The current crisis may pose political challenges to both financial development and economic integration.

John Muellbauer, 27 November 2008

This column explains the logic behind a radically new form of monetary policy – a new central-bank tool for stabilising the credit cycle. By buying bank stocks and credit instruments at the bottom of the cycle and selling at the top, the new policy could moderate the boom-and-bust credit cycle independently of interest rate policy. The Fed action on 25 November is a good step in this direction.

Salvatore Rossi, 20 November 2008

Finance, the market and globalisation are at risk of being jointly demonised by the crisis. This column argues that the these three elements are neither good nor bad; they are just opportunities for individuals, for societies and for economies that must be understood and regulated.

Erik Berglöf, 17 October 2008

Erik Berglof, chief economist at the European Bank for Reconstruction and Development (EBRD), talks to Romesh Vaitilingam about the interlinkages between food markets, financial markets and development, particularly in the countries in which the EBRD operates, from central Europe to central Asia. The interview was recorded at the EBRD headquarters in London in October 2008 following a public discussion meeting on ‘Rising food prices: causes, consequences and remedies’.

Mare Sarr, Erwin Bulte , Christopher Meissner, Timothy Swanson, 27 September 2008

It is well known that resource wealth may be a “curse” for some countries, as resource booms are translated into lingering ill effects. This column blames unstructured financial investments.

Fabrizio Coricelli, 18 July 2008

Financial development is key to an economy’s long-run growth. This column argues that it is asymmetrically important – while not key to economic expansion, financial development is a critical shock absorber that helps prevent sharp economic contractions. Moreover, avoiding such drops improves long-run growth prospects.

Vincenzo Galasso, Roberta Gatti, Paola Profeta, 12 May 2008

In traditional societies, old age support was guaranteed by intergenerational transfers within the family from young to old, but the weakening of family ties in modern societies has justified the introduction of social security systems, thus reducing the incentive to have children. The authors of CEPR DP6825 argue that pension generosity and development of capital markets are crucial to understand fertility decisions, as the role of children as a form of retirement saving for their parents is particularly strong in economies with limited or non-existent access to financial markets.

Avinash Persaud, 01 May 2008

Financial regulation never works the way it should. Here one of the world’s most experienced analysts of the global financial system presents some remarkably clear thinking on why we should not just do more of the same. An alternative model for policy action is proposed.

Marco Onado, 19 August 2007

The market participants who profited from creating the faltering debt instruments are not the ones who will pay most of the cost of the crisis; the losses will fall on the shoulders of final investors. Three things need fixing: credit ratings, evaluations of asset marketability, and transparency in the retail market for financial assets.

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