History

Ten years after the crisis, financial regulation leaves taxpayers holding the bag for banks’ safety net.

This paper concerns itself with the joint effect of implicit subsidies that are built into the US housing-finance system and financial safety net.

Steve Keen: “What an education in economics does is make you into a zealot

“You never want a serious crisis to go to waste. …This crisis provides the opportunity for us to do things that you could not before.” This YSI Webinar and Reading Group aims to contribute to the historicization of the Global Financial Crisis of 2008 and its repercussions.

After Sweden’s elections, a look at how immigration and economics explain a political puzzle

In 2008 a global financial meltdown was just barely contained. But Adam Tooze says that the crisis of confidence has had long aftershocks

Expanding, rather than cutting, Social Security is the solution

The Economics of Innovation Working group and the Economic History Working Group together with the Département d’histoire, économie et société at the University of Geneva, are launching the event Political Economy of Capitalism to be held in Geneva, Switzerland, on 27-28-29 August 2018.

Using datasets on transactions within business groups and social sentiment in China, I show that state-owned enterprises (SOEs) use internal funds to address social unrest, complying with the government’s political goals.

Young Scholars based in Africa are invited to convene in Harare, Zimbabwe. The event serves to strengthen the African network of new economic thinkers pursuing a new economic paradigm. Attendees will be able to attend the annual conference of the Zimbabwe Historical Association in the same trip.

A new report examines the path to global social progress. Unfortunately, there are no easy answers

To understand the rise of the League and 5 Star Movement, look at economic indicators

How corporate raiders coopted “shareholder democracy” for their own ends

This paper explains how hedge-fund activists are exerting power over corporate resourceallocation far in excess of the actual voting power of their shareholdings.

Places hit hardest by austerity cuts were more likely to vote for UKIP and Leave

The YSI Economic History Working Group invites scholars to submit their research on alternative perspectives and different approaches to the study of economic history. The workshop will take place on 29 July, 2018, in Boston, Massachusetts, preceding the World Economic History Congress (29 July  - 3 August).

Journal rankings are a rigged game. The blacklist of history of economic thought journals isn’t a fluke nor a conspiracy—it exposes how citation rankings really work

James Galbraith says academic economics is in need of radical reform

Alissa Quart’s new book chronicles the pain of a disgruntled class that could change the country’s political landscape.

Clear rules and sound principles for debt restructuring would level the playing field between developing countries and creditors

The Latin America Working Group and the Keynesian Economic Working Group of the Young Scholars Initiative (YSI) of the Institute of New Economic Thinking (INET) are hosting the workshop “Technology, Globalization and the Environment: Latin American Development in the XXI Century” to be held at the headquarters of the United Nations Economic Commission for Latin America and the Caribbean (UN-ECLAC) in Santiago de Chile on the 23-24 July 2018.

Young Scholars based in Latin America are invited to convene in Buenos Aires. The event serves to strengthen the Latin American network of new economic thinkers pursuing a new economic paradigm. Attendees will be able to enjoy several partner events during the same week.

Journalist Steven Brill discusses how the U.S. lost sight of the common good

This small interdisciplinary workshop, is organized by the Azim Premji University, Institute for Policy Dialogue and the Institute for New Economic Thinking. The goal of the workshop is to bring together graduate students studying development studies at a sufficiently advanced stage of their dissertation work to be able to discuss and receive feedback on their research.

The YSI Economic Development Working Group will host a series of panels at the annual conference of the Association for Heterodox Economics, with the goal of developing an innovative research program on productive structures, institutions, distribution, and economic development. 

YSI is hosting sessions at the 2018 STOREP conference.

From 28-30 June the Italian Association for the History of Political Economy will be gathering in Genova to ask the question “Whatever has happened to political economy?”.  Before the start of the conference, Rethinking Economics and the YSI Philosophy of Economics Working Group will host a workshop to discuss a related question: “Whatever happened to economics?”. Professor Geoffrey Hodgson will participate in our discussion.

When politics is defined in terms of “populism” vs. “the mainstream,” the possibility for real economic reform is diminished.

Edoardo Nesi’s new book tracks the destructive march of globalization and neoliberal capitalism through his own life and the places, like Italy, that lie broken in its wake.

70 years ago today, Edward A. Tenenbaum helped pull off an astounding feat—successfully reforming Germany’s currency after World War II

By evading regulation of credit default swaps, the major U.S. banks put taxpayers—and the entire economy—at risk

Converting an Obscure Agency Footnote into an “At Will” Nullification of Dodd-Frank’s Regulation of the Multi-Trillion Dollar Financial Swaps Market

The election of Italy’s right-wing, populist government exposes the economic and democratic shortcomings of the European project and its nationalist rivals

The symposium focuses on the various paradigms of economic and social policy at work in the Scandinavian countries, in light of the most recent macroeconomic developments given by increased inequality, population ageing and automation.

In a complex world, we’ll experience more “black swans”, and the things that standard economic models assumed away will matter much more.

A change in macroeconomic policies will not be sufficient to set Argentina on a path of inclusive and sustained economic development. But, as last month’s currency scare showed, abandoning the approach adopted by President Mauricio Macri’s administration at the end of 2015 is a necessary step.

The World Bank and IMF say developing economies can’t afford to have strong labor laws. Actually, they can’t afford not to.

The removal of term limits for Xi Jinping may be a better indicator of economic health—or crisis—than official statistics

In “celebration” of the late Pete Peterson’s 92nd birthday (see guest list), an excerpt from 19th Century historian Lord Macaulay’s History of England, on hundreds of years of unwarranted panic about government debt.

The economist had to learn moral philosophy before anything else—an underpinning that’s still helpful for today’s students

Labor market regulation is a controversial area of public policy in both developed and developing countries.

The Institute of New Economic Thinking Young Scholars Initiative (INET YSI) Working Group on the History of Economic Thought is organizing a YSI Workshop on Institutions and Communities in the History of Economic Thought on 6 June in Madrid, Spain, ahead of the Annual ESHET Conference

As in previous years, young scholars will come together in Trento during the annual Festival dell’Economia. This gathering will serve as the YSI Europe Convening for 2018. Attendees will have the opportunity to share their work with YSI members from across Europe, while also partaking in the Festival dell’Economia. 

Nobel laureate James Buchanan is the intellectual linchpin of the Koch-funded attack on democratic institutions, argues Duke historian Nancy MacLean

A presentation from the panel “Research Evaluation in Economic Theory and Policy Making” at the 2018 G20 Global Solutions Summit in Berlin

Alberto Baccini’s presentation for INET’s panel on research evaluation at the G20 Global Solutions Summit in Berlin, May 2018.

In a memo for the G20, INET calls for changes to the evaluation of economic research to ensure that economic theory—and policy—is more rigorous, innovative, and in service to society. 

Introducing INET’s body of work on dysfunctions in research evaluation, Rob Johnson shows how breaking academic conformity is vital for the economics profession—and the economy itself.

Has the global financial crisis of 2007 had a visible impact on the economics profession?

200 years after Marx’s birth, many elites have taken unabashed pride in capitalism, a term that originally had negative connotations. To make our economy more just, we must reclaim Marx’s understanding of capitalism’s contradictions.

200 years after Marx’s birth, a look at how two economists sought to reconcile his idea of common ownership with market mechanisms

Global public goods, from health to peace to security, crisscross national and social boundaries. We need a new economic theory to understand their pivotal role in the global economy.

It’s time to connect political violence with economic violence.

For the BRICS countries to not just grow their economies but also raise the standard of living of their people, inclusive growth that prioritizes poverty reduction is a must

But the five countries must still support greater investment in other emerging and developing economies

Newspapers consistently underplay wide public support for higher taxes on businesses and the wealthy

Over the last four decades, Americans have consistently told pollsters that they favor higher taxes on business and the wealthy, even as tax policy has moved sharply in the other direction.

The BRICS countries—Brazil, Russia, India, China, and South Africa—play a crucial and growing role in the world economy. Sanjay Reddy kicks off our series exploring shifting social and economic dynamics within these countries, and what they mean for the global economy.    

The twin threats of right-wing populism and unencumbered financial capitalism pose a crisis for democracy across the world, argues Robert Kuttner in his new book, Can Democracy Survive Global Capitalism?

Training first-world children for a third-world life

The vision of Dr. Martin Luther King Jr. 50 years later, and the relevance of his economic ideas today

The renowned linguist, cognitive scientist, and historian on where we stand as an economy, as a country, and as human beings

The renowned economist reflects on the rise of neoclassical economics, the post-2008 surge of interest in non-mainstream, heterodox thought, and how young economists can remain independent in the face of biased evaluation systems

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What 200 Years of Government Interventions in Financial Markets Can Tell Us

Reflections on the Radical Vision of Martin Luther King Jr.’s Last Major Speech

Economist Olugbenga Ajilore shows the high cost of the American government’s arming of local police with military weapons, which has exacerbated lethal use of force against black communities

In the face of  laissez-faire capitalism at home and resurgent nationalism across the globe, INET offers an innovative look at the causes of—and solutions for—the problems that ail a fissuring world economy.

France, like many Western European countries, has strong campaign finance laws and a vibrant multiparty system. Yet even there, money has had a corrosive effect on democracy, as private donations have an outsized impact on electoral outcomes.

Money in politics is not a strictly American phenomenon. In France, despite strong campaign finance laws, campaign donations have a direct influence on legislative and municipal election results.

Nina Banks assesses the legacy of the first African-American economist in the United States

The African Development Bank has laid out a plan for economic prosperity in the continent. But to get there, African countries must first confront jobless growth and underfunded infrastructure projects.

There’s no turning back from humanity’s move to high-density living, says Ed Glaeser. The task of the century will be making cities more liveable.

The shocking—but illustrative—example of how an Italian government agency concocted statistics to evaluate scholarship, hid them from the public, and masqueraded them as science. It’s a growing phenomenon

Behind towering figures like Rosa Parks and Martin Luther King, Jr. were the taxi dispatchers, pharmacists, grocers, and other small business owners who were instrumental in making civil rights a reality.

A large literature has detailed the seminal roles played in the Civil Rights Movement by activists, new political organizations, churches, and philanthropies. But black-owned businesses also provided a behind-the-scenes foundation for the movement’s success.

How did globalization create such discontent in developed and developing countries alike? Nobel laureate and INET grantee Joseph Stiglitz explains in this 150th episode of our “New Economic Thinking” video series.

It wasn’t Comey or the Russians. Trump prevailed because his campaign carefully targeted key states with late infusions of big money from private equity, casinos, and other far right contributors, a remarkable wave of donations from small donors, and substantial infusions from the candidate himself.

The U.S. presidential election of 2016 featured frontal challenges to the political establishments of both parties and perhaps the most shocking election upset in American history.

The renowned feminist economist discusses the importance of heterodoxy, radicalism, and social justice to the discipline

Inequality isn’t driven by taxes—it’s driven by the power of capital in relation to workers

The concern that an economy could experience persistent, and in some sense unusual, weakness goes back to Keynes’s General Theory and led Alvin Hansen to coin the term “secular stagnation.”

Distinguished Scholars Including Larry Summers and Adair Turner Present Evidence of the Trend and Policy Solutions

The World Economic Roundtable seeks to help the business, investment, and policy communities understand ongoing changes in the world economy and to promote a discussion of ideas that can advance the goal of a widely shared global prosperity.

Organized by the National Institute of Public Finance and Policy (NIPFP) in collaboration with the Institute for New Economic Thinking (INET), New York, the aim of LEPC 2017 is to bring together legal, economic and public policy thinkers to consider a variety of real world issues in India in a holistic manner.

Are regulatory interventions delayed reactions to market failures or can regulators proactively pre-empt corporate misbehavior?

The History of Economic Thought and the Philosophy of Economics working groups are organising a Young Scholars Workshop on the methods and approaches to the history of economics that have consolidated during the last two decades.  

The Implications of Xi’s Belt and Road Initiative for China and the World Economy

From the Rust Belt to Rural America, Economic and Social Distress Helped Shape the 2016 US Presidential Election Outcome

The 2008 financial crisis was a shock to faith in entirely free financial markets. But the neoliberal assumptions underlying the previously dominant “Washington Consensus” continue to inform much Western commentary on China’s economy.

The Young Scholars Initiative will be hosting a group of young scholars to attend the meetings and discussions in and around UNCTAD International Debt Management Conference of 2017.

The 21 FMM conference of the The Macroeconomic Policy Institute (IMK) will take place in Berlin on 9-11 November 2017.

How Germany, the EU and the economics field itself suffer from myopia—and what we can do about it

Examining the past is essential to understanding the present

The US federal lobbying industry, based in Washington DC, is major focal point for political money and the exercise of influence, with expenditures peaking at approximately $2.5 billion per annum during the first Obama administration. 

Not just an American dilemma: is political money in dual economies the biggest problem of all?

The Death of the Seventy-year American Empire  

As dual economies transform countries, how does world politics adjust?

Coping with the dysfunction of advanced economies, and developing strategies for economic development.

This paper examines the value of connections between German industry and the Nazi movement in early 1933. Drawing on previously unused contemporary sources about management and supervisory board composition and stock returns, we find that one out of seven firms, and a large proportion of the biggest companies, had substantive links with the National Socialist German Workers’ Party. Firms supporting the Nazi movement experienced unusually high returns, outperforming unconnected ones by 5% to 8% between January and March 1933. These results are not driven by sectoral composition and are robust to alternative estimators and definitions of affiliation.