An equilibrium model of the African HIV/AIDS epidemic
How can we accurately model the African HIV/AIDS epidemic? This column presents new research that uses computational general equilibrium models to map the spread of HIV/AIDS. Emphasising the importance of understanding behavioural adjustments and equilibrium effects, this new way of modelling the epidemic may well prove a useful tool for further research.
The case for 4% inflation
Since the double-digit inflation of the 1970s, central banks have sought to reduce inflation and keep it low. This column argues that recent history teaches us that inflation has fallen too low. Raising inflation targets to 4% would have little cost, and it would make it easier for central banks to end future recessions.
The banking crisis as a giant carry trade gone wrong
A pernicious aspect of the Eurozone crisis is the ‘doom loop’ linking European banks and governments. This column argues that poor European policy choices in the wake of the 2008 Global Crisis worsened the problem. Rather than being forcefully recapitalised as in the US and UK, many Eurozone banks were left undercapitalised and free to gamble for redemption. In what may be the greatest carry trade ever, they borrowed cheap, first in short-term debt markets and then from the ECB, to invest in high-yield but risky sovereign debt. Substantial bank recapitalisations against sovereign-bond losses is the way forward.
Service-sector reforms enhance manufacturing productivity: Evidence from Indonesia
The ‘manufacturing matters’ movement has gained prominence on the policy agenda even as the nature of manufacturing continues to morph. This column discusses new research showing that opening service sectors to competition and foreign direct investment can be a powerful conduit for productivity gains in manufacturing. The gains depend on both the types of reforms and the specific services sectors in which these are implemented.
Iceland’s post-Crisis economy: A myth or a miracle?
Icelandic voters recently ejected its post-Crisis government – a government that successfully avoided economic collapse when the odds were stacked against it. The new government comprises the same parties that were originally responsible for the Crisis. What’s going on? This column argues that this switch is, in fact, logical given the outgoing government’s mishandling of the economy and their deference towards foreign creditors.
Other Recent Articles:
- Helicopter money as a policy option
- Fiscal prioritisation: Lessons from three wars
- Unleashing growth: The decline of innovation-blocking institutions
- Cuddly or not, the design of worker insurance is critically important
- Views among economists: Are economists really so divided?
- Why reforms fail: Political-economy forces and agriculture in Africa
- Do patent rights impede follow-on innovation?
- Can FTAs support ‘Factory Asia’?
- Firms and credit constraints along the global value chain: Processing trade in China
- Communication by the European Central Bank: Inconsistent, yet effective?
- Escaping liquidity traps: Lessons from the UK’s 1930s escape
- European bank deleveraging and global credit conditions
- A pro-growth economic plan
- The TPP’s effect on Japanese growth
- France’s weak economic performance: Sick of taxation?
- Banking crises and political survival over the long run
- The cat in the tree and further observations: Rethinking macroeconomic policy
- Rethinking macroeconomic policy
- Preventing the next catastrophe: Where do we stand?
- The lessons of the North Atlantic crisis for economic theory and policy
Most Read
- Fiscal consolidation: At what speed?Blanchard, Leigh
- Escaping liquidity traps: Lessons from the UK’s 1930s escapeCrafts
- The lessons of the North Atlantic crisis for economic theory and policyStiglitz
- Helicopter money as a policy optionReichlin, Turner, Woodford
- Rethinking macroeconomic policyBlanchard
- A tale of two depressions: What do the new data tell us? February 2010 updateEichengreen, O’Rourke
- Educated in America: College graduates and high school dropoutsHeckman, LaFontaine
- Eurozone breakup would trigger the mother of all financial crisesEichengreen
- Debt, deleveraging, and the liquidity trap: A new modelKrugman
- Panic-driven austerity in the Eurozone and its implicationsDe Grauwe, Ji
Vox Talks
Vox eBooks
Don't Miss
Helicopter money as a policy option
Reichlin, Turner, Woodford
CEPR Policy Research
- The "Greatest" Carry Trade Ever? Understanding Eurozone Bank RisksAcharya, Steffen
- Political Credit Cycles: The Case of the Euro ZoneFernández-Villaverde, Garicano, Santos
- Winning by Losing: Incentive Incompatibility in Multiple QualifiersDagaev, Sonin
- Income and schoolingBrückner, Gradstein
- Monetary Policy and Rational Asset Price BubblesGalí
- How the EZ crisis is permanently changing EU institutionsMicossi
- WTO 2.0: Global governance of supply-chain tradeBaldwin
- Is US economic growth over? Faltering innovation confronts the six headwindsGordon
- The economic crisis: How to stimulate economies without increasing public debtWood
- Austerity: Too Much of a Good Thing?Corsetti
Events
- Global Spillovers and Economic Cycles30 - 31 May 2013 / Paris / Banque de France
- Understanding banks in emerging markets5 - 6 September 2013 / EBRD, London / European Bank for Reconstruction and Development (EBRD) and Tilburg University
