The Political Economy of the Nobel Prize, 45th edition

This morning, when I woke up a few hours before the Nobel announcement, I felt seriously dissatisfied. I had meant to write a post on Thomson Reuters's prediction that Card, Angrist and Krueger may win the Nobel for their work on empirical microeconomics. I thought that such prediction would come true, sooner or later, because of the irresistible development of empirical economics in the past 50 years, one illustrated by the list of John Bates Clark medalists. Such expansion, fostered by the increasing availability of data and computing resources, could itself be recast as part of an even larger move toward making economics an applied science. Read more

What is Economic Success?

By Jeff Althouse, Frederick Heussner, and Nils Rochowicz

“You are now leaving the world as you know it.” Read more

IEA 2014 World Congress Calls for Submissions

The International Economic Assocation has sent out a call for submissions for its 17th World Congress. The event will take take place on June 6-10, 2014, and is supported by the Centre for International Governance Innovation (CIGI) and the Institute for New Economic Thinking. The text of the call for submissions is quoted below. You can also download it as a PDF at the bottom of the page.  Read more

Guy Numa "The Financial Crisis Five Years Later: The Role of Banking"

Present day puzzlements shed their complexity when Guy Numa in this essay draws on some age old distinctions borrowed from Jean-Baptiste Say. Numa is a INET Research Fellow who specializes in the History of Economic Thought and Industrial Organization.

Five years ago Lehman Brothers filed for bankruptcy marking the unofficial start of the latest financial crisis. Several commentators argued that the key to understanding the root cause of the crisis lies in the partial repeal of the Glass–Steagall provisions that occurred in the late 1990s. The provisions restricted commercial banks from participating in the investment banking business and therefore institutionalized a de facto separation of the two types of institutions. Read more

Pay-For-Success Social Impact Finance: Theory and Practice

ReadyNation and the Institute for New Economic Thinking's Human Capital and Economic Opportunity (HCEO) initiative invite you to a conference call on October 7 on pay-for-success (PFS) social impact finance theory and econometrics. Read more

Trade Deals Must Allow for Regulating Finance

World leaders who are gathering for the APEC summit next week had hoped to be signing the Trans-Pacific Partnership Agreement (TPP). The pact would bring together key Pacific-rim countries into a trading bloc that the United States hopes could counter China’s growing influence in the region.

But talks remain stalled. Among other sticking points,  the U.S. is insisting that its TPP trading partners dismantle regulations for cross-border finance. Many TPP nations will have none of it, and for good reason. The U.S. stands on the wrong side of experience, economic theory, and guidelines issued by the International Monetary Fund. Read more

The Jobs Crisis - Sign Up Now For Conference in Berlin, October 24-26

The global financial and economic crisis has given rise to a renewed interest in the theoretical foundations of the economics discipline. Old certainties are being questioned, new avenues explored, and new institutions – not least of which the Institute for New Economic Thinking – founded. Read more

On the 'Coase theorem' and the economics of Coase

Originally appeared on VoxEU

Ronald Coase, who passed away recently at the age of 102, left an indelible mark on both economics and law. In 1991 he was awarded the Nobel Memorial Prize in Economic Sciences in recognition of his work on transaction costs and property rights. Best known for the ‘theorem’ that bears his name, the depth and breadth of Coase’s contributions are decidedly under-appreciated by the economics community – in no small part because his methodological approach and the subjects to which it led him differed from those that dominated the profession after WWII. Read more

HCEO’s Angela Duckworth and Susan Murphy Awarded MacArthur “Genius” Grants

The MacArthur Foundation yesterday announced that Angela Duckworth and Susan Murphy, both members of the Institute for New Economic Thinking’s Human Capital and Economic Opportunity (HCEO) initiative, were each awarded one of 24 MacArthur “genius” grants handed out for 2013. Duckworth received the award for her work as a psychologist on how intellectual strengths and personality traits influence educational achievement. Read more

Crash Week Wrap-Up

Crash Week at the Institute for New Economic Thinking has come to a close. Thank you to all of our authors who wrote such great pieces and to our community who participated in the vibrant discussion on social media.

Below is a list of all our Crash Week features in case you missed one! Read more