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UK Budget 2013: the analysis
Similar to what I did last year, this year I will once again analyze the new UK budget announced yesterday by the (downgraded) Chancellor George Osborne. The initial reaction is actually better than...
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Graph(s) of the week: best from the 2013 Budget
Even though the focal point of attention this week was Cyprus, in Britain the central issue was the 2013 Budget, for which I found some policies encouraging but some of them deeply disappointing...
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Mexico's new heights
There are a lot of promising trends happening in Mexico in the last couple of years. I have stumbled upon more positive texts on the changes in Mexico than in any other country. Thomas Friedman wrote...
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Tracking the recovery (3) - USA
"Tracking the recovery" section continues in its third edition from the start of the blog. The first version was done in February last year (featuring final data for January or December), while the...
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North Korea is at their technological peak
...or technological breakthrough. I don't see any other conclusion coming from this picture.Do you?Now the only question is, does this make their recent war threats credible enough?(yes, I am being...
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Graph of the week: Eurozone bailouts
After the latest Cyprus deal has gone through, it's time to compare it with all other Eurozone bailouts done in the previous two years:Source: The EconomistGreece is still leading the pack with a...
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Tracking the recovery (3): Europe
After twobrief intermissions which I simply had to comment on, the Tracking the recovery series continues in its third edition featuring Eurozone and the UK. This analysis, unlike the US one, will...
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Tracking the recovery (3): Business and Consumer Confidence
Continuing with the Recovery Tracking series in its third edition, we look at business and consumer confidence in the US, UK and Eurozone, comparing them to the situation from 6 months ago. The OECD...
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The Lady that brought the Great back to Britain
Margaret Thatcher, one of the greatest political leaders in the 20th century, has passed away earlier today at the age of 87. In the words of UK PM David Cameron, "today we lost a great leader, a great...
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Graph of the week: Thatcher's economic legacy
Following the death of Margaret Thatcher, her legacy still remains a controversial issue for some. However, the data on the economic recovery of the British economy during her tenure are relentless -...
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Reevaluating Reinhart and Rogoff
This week one of the most cited papers and research findings in the past few years has been questioned. Reinhart and Rogoff's findings that GDP growth slows down after government debt levels reach 90%...
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Clash of ideas: Sumner vs Kling
Scott Sumner has produced a post providing a neat introduction to the theory of money and monetary shocks. He did so in 9 short, concise and very interesting lessons (which he attempts to update...
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Graph of the week: British austerity, three years on
How effective has British austerity been so far? This graph from Ryan Avent during the budget debates (taken away from the Spectator) might shed some more light on the story (I was meaning to comment...
View ArticleCPS: "Re-evaluating Reinhart and Rogoff" (part 2)
Yesterday the Centre for Policy Studies published a joint article by Ryan Bourne and myself on the criticism of Reinhart and Rogoff's findings on the link between high debt and slow growth. Here are...
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Richard Koo's "balance sheet recession"
On Thursday last week I participated at the ZSEM and Bloomberg Investment Conference, entitled "Redesigning Global and Regional Finance". In addition to a series of interesting speakers, the keynote...
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The divinity of Daron Acemolgu
A bit of fun "facts" on tumblr regarding today's top economist, Daron Acemoglu:Who is to say that any of these statements aren't true?
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Graph of the week: Money really can buy happiness
If in doubt, check it out: Source: The Economist; Stevenson, Wolfers (2013): "Subjective well being and income:Is there any evidence of satiation"This is coming from an NBER working paper by Betsey...
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The reverse savings glut
The personal savings rate in the US has experienced a steady decline in the past 30 years, up until the recent crisis:Source: FREDFrom the Economist:"The drop began in the 1980s, perhaps because the...
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Inclusiveness vs extractiveness, not democracy vs autocracy
One of the quintessential questions in political economy is which is better for growth: democracy or dictatorship (with the proper preassumptions of course)?Here's a graph from the Free Exchange blog...
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Why do people in societies with low levels of trust advocate higher regulation?
An insightful working paper by Aghion, Algan, Cahuc and Shleifer can give us a possible answer to this question:Source: Aghion, Algan, Cahuc & Shleifer (2009): "Regulation and Distrust"NBER Working...
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