www.tipnews.info
September 21, 2014
Avner Offer
Chichele Professor of Economic History and Emeritus Fellow at All Souls College, University of Oxford
World War I was a mistake. Its consequences were not part of anybody’s expectations (excepting Stead and Bloch 1899) – certainly not of those who set it off, although there was an undertone of fatalism in their decisions (Offer 1995). If one side had possessed an unassailable superiority, then there would have been no call for war. The war’s duration indicates that the sides we...
Andy Atkeson
Stanley M Zimmerman Professor of Finance and Economics and Director of the Business Economics Program, UCLA
Andrea Eisfeldt
Professor of Finance at the Anderson School of Management, UCLA
Pierre-Olivier Weill
Associate Professor of Economics, UCLA; Research Affiliate, CEPR
Several observations regarding entry and trading patterns in over-the-counter (OTC) markets for interest rate and credit derivatives have recently received considerable attention from policymakers and the public alike. OTC derivatives markets are large. For example, the total gross notional of derivatives contracts on US bank balance sheets is over 17 times the size...
Jaime De Melo
Senior Fellow, FERDI; Professor, University of Geneva; CEPR Research Fellow
At the concluding days of the Doha negotiations in November 2001, WTO members signed a waiver extending the Cotonou Partnership Agreement to allow the Cotonou trade regime to be extended provided that it became WTO-compatible, that is through reciprocal Free Trade Areas.  Negotiations were to be concluded by December 2007 else the non-Least Developed Countries (non-LDCs) among ...
Alan Moreira
Assistant Professor of Finance in the School of Management, Yale University
Alexi Savov
Assistant Professor of Finance at the Stern School of Business, New York University
Shadow banking, what is it good for? At the epicentre of the global financial crisis, shadow banking has become the focus of intense regulatory scrutiny. All reform proposals implicitly take a stance on its economic value. According to the prevailing regulatory arbitrage and neglected risks views, it doesn’t have any – shadow banking is about evading capital requirements, ex...
James Boughton
Senior Fellow, CIGI
No one would argue seriously any longer that the international financial system is working just fine. When the politicians and central bankers who govern the International Monetary Fund and the World Bank gather in Washington this October, much of the talk will be about the refusal of the US Congress to pass legislation that would reform the IMF. Without that reform, almost eve...
FactCheck.org
A Project of the Annenberg Public Policy Center of the University of Pennsylvania.
President Obama enjoys his sports analogies, so let’s just say that he fumbled when he was asked whether he made a “misjudgment” eight months ago in dismissing the Islamic State in Iraq and Syria as the equivalent of “a jayvee team.” Obama said he “wasn’t specifically referring” to ISIS when he made the junior varsity reference during an interview with The New Yorker
Ramon Xifré
Associate Professor of Economics at ESCI – Universitat Pompeu Fabra; Policy Research Fellow in the Public-Private Sector Research Center, IESE Business School
The most acute phase of the Global Crisis appears to be over in the Eurozone. Prospects for growth are still moderate but no recession is foreseen in the short-run and sovereign debt markets seem to be getting out of the turbulences. The prevailing view is that the countries that have been under the Economic Adjustment Programmes (EAP) have drastically improved their conditions...
Wyplosz Charles
Professor of International Economics at the Graduate Institute, Geneva; Director of the International Centre for Money and Banking Studies.
The 4 September announcement by Chairman Mario Draghi has been greeted with enthusiasm by the markets and the media. It has been long awaited, and many believe that the ECB has finally delivered. This is not sure. The ECB intends to buy large amounts of securities backed by bank lending to households (mortgages) and to firms. Traditional quantitative easing (QE) is ...
Alex Edmans
Professor of Finance at London Business School (on leave from The Wharton School, University of Pennsylvania); Faculty Research Fellow, NBER; and CEPR Research Fellow
Executive pay is a high-profile topic on which almost everyone has an opinion.  Many shareholders, workers, and politicians believe that the system is broken and requires a substantial overhaul.  Despite being well-intentioned, their suggested reforms may not target the elements of pay that are most critical for shareholder value and for society. Level 1 thinking: The leve...
Jeffrey Frankel
Professor of Economics, Harvard Kennedy School
In few policy areas does good economics conflict so dramatically with good politics as in the practice of subsidies to food and energy. Economics textbooks explain that these subsidies are lose-lose policies. In the political world, that can sound like an ivory tower abstraction. But the issue of unaffordable subsidies happens to be front and centre politically this summer, in ...
Ashoka Mody
Visiting Professor in International Economic Policy at the Woodrow Wilson School, Princeton University
Earlier this year, the German Constitutional Court issued a strongly-worded opinion stating that the European Central Bank’s Outright Monetary Transactions (OMT) programme is inconsistent with the Treaty on the Functioning of the European Union (TFEU). The European Court of Justice (the ECJ) is to review this opinion. The reaction to the German Court’s forceful stand has tak...
Matthias Helble
Research Fellow in the Research Department, Asian Development Bank Institute
Boon-Loong Ngiang
Business Intelligence Analyst, Criteo
Over the past decades, East Asia has been the most successful region in the world in building up cross-border supply chains and has subsequently become described as “Factory Asia” (Baldwin 2008). In a form of “triangle trade”, advanced countries in East Asia exported sophisticated parts and components to less developed countries in the region, where these are assembled into fin...
FactCheck.org
A Project of the Annenberg Public Policy Center of the University of Pennsylvania.
A Crossroads GPS ad exaggerates a few personal anecdotes to claim that “many Coloradans pay roughly 100 percent more for health insurance since Obamacare.” The ad, attacking Democratic Sen. Mark Udall, also tries to pin a shortage of doctors in rural areas on the health care law. But there’s no evidence the law caused a change in the ratio of residents to primary care physic...
Mateusz Szczurek
Minister of Finance, Republic of Poland
Europe is at risk We are meeting here at the time when Europe is facing a great threat. It is not the danger of sovereign debt crisis or of the collapse of the euro area. We have managed to decisively avert those risks through a coordinated effort at the European level. Unfortunately, neither is it the threat of the so-called “lost decade” because the “lost decade” is...
Yuriy Gorodnichenko
Assistant Professor in the Dept. of Economics, University of California, Berkeley
Gérard Roland
E. Morris Cox Professor of Economics and Professor of Political Science, University of California, Berkeley; and CEPR Research Fellow
There is plenty of evidence that Russian troops are fighting the Ukrainian army on Ukrainian soil. This Russian invasion is a further escalation of the war between Ukraine and Russian-sponsored separatists and terrorists in the east of Ukraine. As soon as the Ukrainian forces were about to take over cities in eastern Ukraine, Mr Putin raised the stakes and sent Russian military...
Assaf Razin
Barbara and Steven Friedman Professor of International Economics, Cornell University; Bernard Schwartz Professor (Emeritus), Tel Aviv University
Efraim Sadka
Henry Kaufman Professor of International Capital Markets, Tel-Aviv University
European welfare and migration policies are strikingly different from states within the US. Over the last half century, Europe ended up with 85% of all unskilled migrants to developed countries, whereas the US retains its innovative edge by attracting 55% of the world-educated migrants. Migration facts Overall, the European migration exhibits significant bias toward ...
Stephen L. Ross
Professor in the Department of Economics, University of Connecticut
The foreclosure crisis and the growth of subprime lending that preceded the crisis have disproportionately affected low-income and minority neighborhoods,1 having dire consequences for minority homeownership (Geradi and Willen 2009). Some have suggested that subprime lending played a substantial and general role in the foreclosure crisis (Mian and Sufi 2009); others ...
Margaret McMillan
Associate Professor of Economics, Tufts University
Some argue that growth across Africa is fundamentally a result of rising commodity prices and that if these prices were to collapse, so too would Africa’s growth rates (Lipton 2012). Others lament the so-called de-industrialisation of Africa. They worry that without a vibrant manufacturing sector, unemployment will remain high and the economies of Africa will not catch up to th...
FactCheck.org
A Project of the Annenberg Public Policy Center of the University of Pennsylvania.
A Democratic Congressional Campaign Committee TV ad relies on innuendo and omission to accuse Georgia Republican Rick Allen of making “insider deals” to get government contracts at taxpayer expense: The DCCC doesn’t provide evidence of “insider deals.” Instead, it assumes corruption because Allen’s company once received a contract when it wasn’t the lowest bidder. I...
Dirk Schoenmaker
Dean of the Duisenberg School of Finance and Professor of Finance, Banking and Insurance at the VU University Amsterdam
The key point of this column is that the strength of a banking system ultimately depends on the strength of the sovereign behind it. This point was reinforced during the Global Crisis and the subsequent Euro Sovereign Debt Crisis. Well-known examples of weak sovereigns that could not back up their troubled banking systems are Iceland, Ireland, Portugal, and Cyprus. Governments ...
Reinhilde Veugelers
Professor of Managerial Economics, Strategy and Innovation at the Katholieke Universiteit Leuven and CEPR Research Fellow
Trends in public R&I budgets in EU countries during the crisis The dangerous cocktail in many European countries of high debt and subdued growth calls for smart fiscal consolidation. Cost-cutting programmes should minimise the potentially negative short-term effect on economic activity, while establishing a foundation for long-term growth, with growth-enh...
Masayuki Morikawa
Vice President, Research Institute of Economy, Trade and Industry (RIETI)
The role of headquarters Headquarters – the core service sector inside companies – conduct a wide range of highly strategic activities, including: The choice of business areas, The decision to introduce new products and services, The adoption of investment projects, Human resources management, and Financial management.
Nicholas Crafts
Professor of Economics and Economic History at the University of Warwick and CEPR
World War I was not over by Christmas of 1914. It was a prolonged, brutal, and expensive conflict.  Britain incurred 715,000 military deaths (with more than twice that number wounded), the destruction of 3.6% of its human capital, 10% of its domestic and 24% of its overseas assets, and spent well over 25% of its GDP on the war effort between 1915 and 1918 (Broadberry and Harris...
Yoshiyuki Arata
PhD Candidate in Economics, University of Tokyo
How a firm grows is one of the important themes in the industrial organisation literature and has been discussed extensively. An influential paper is the seminal work by Gibrat (1931), which continues to receive much attention in the theoretical and empirical literature (for a review, see Sutton 1997). If the growth rate of a firm is defined as the difference in the logarithm o...
FactCheck.org
A Project of the Annenberg Public Policy Center of the University of Pennsylvania.
A super PAC formed by the father of Rep. Ted Yoho’s primary challenger claims Yoho is “first in line” at “feeding at the special interest trough,” but offers up two misleading examples: The ad accuses Yoho of taking “a nearly $20,000 junket paid for by a special interest group.” But the ad doesn’t mention that the “junket” was a trip to Israel or that Yoho is a memb...
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