Economic Policy

The Institute for New Economic Thinking takes a broad view of economic research and supports it in many ways: through its main grant program, through working groups it organizes, and via conferences, panels, and other smaller gatherings of scholars across the globe.

Institute scholars normally publish their work in journals and books. While many – but far from all – of this work appears in working papers sponsored by the Institute and other leading research forums, the Institute also attempts to make its research results accessible to a wider public on its website. Below is a sampling of interviews featuring Institute scholars explaining the significance of their research in non-technical terms.

The Big Pharma Racket - Giovanni Dosi

In part 4 of INET's interview with Giovanni Dosi, he says that the pharmaceutical industry systematically takes advantage of the public by taking the fruits of government-sponsored research and then substantially marking up its product


When Schumpeter Meets Keynes - Giovanni Dosi

In part 1 of INET's interview with Giovanni Dosi, he discusses how a healthy economy requires a synergy between more out-of-control Schumpeterian Innovation and Keynesian elements such as demand management

In the Crosshairs

Sense about Social Security

“The financial health of Medicare and Social Security is deteriorating faster than expected,” so says the Financial Times, my own favorite paper of record, reporting on the newly issued annual Trustees Repor Read more

Challenge of Europe

Session at Bretton Woods Conference
Sunday, April 10, 2011

Optimal Currency Areas and Governance: The Challenge of Europe Read more

Giovanni Dosi: Combining Schumpeter and Keynes to Boost Innovation

What Schumpeter and Keynes Knew but Standard Macroeconomics Has Forgotten

Many people would not think of putting Joseph Schumpeter and John Maynard Keynes in the same economic framework, but Giovanni Dosi believes the insights of both are needed to fully understand how to boost innovation in an economy. Dosi, director of the Laboratory of Economics and Management (ELM) in Italy, makes the case in this INET Interview that Schumpeterian innovation must be combined with Keynesian demand management to sustain economic growth over time.

Dosi, who also is a professor at the Sant'Anna School of Advanced Studies in Italy, is fascinated in general by the problems of coordination in systems characterized by endogenous innovation, or innovation from within the system itself. He also thinks that the biggest challenge for the economics profession is to develop microfoundations for macroeconomics. In both these overarching pursuits, both Schumpeter and Keynes provide key insights.

Read more

Political Economy of Structural Adjustment

Session at Bretton Woods Conference
Saturday, April 9, 2011

The Political Economy of Structural Adjustment: Understanding the Obstacles to Cooperation

Richard McGregor, Deputy News Editor at the Financial Times, introduced the panelists and moderated the ensuing discussion.

Marcello De Cecco - Professor of Monetary and Financial History, Scuola Normale Superiore di Pisa

Download paper



  Read more

Global Markets and Nation States

Session at Bretton Woods Conference
Saturday, April 9, 2011

Sovereignty and Institutional Design in the Global Age: The Global Market and the Nation States Read more

Raghuram Rajan - Delineating the Role of Government

In INET's full interview with Raghuram Rajan, he discusses his book "Fault Lines: How Hidden Fractures Sill Threaten the World Economy;" as well as the intersection of government and the economy and China's upcoming challenges.


China's Challenge: Opening the Economy - Raghuram Rajan

In part 5 of INET's interview with Raghuram Rajan he discusses the convertibility of the RMB, and how vested interests of China's state-owned enterprises prevent the economy from shifting towards domestic consumption.


The Need for Economist "GPs" - Raghuram Rajan

In part 4 of INET's interview with Raghuram Rajan he criticizes the narrow focus of most economists: "Just like in medicine: you have to have experts in each area, but you also need general practitioners - to integrate. I think we devalued the general practitioner."