As the world economy tumbles off the edge of a precipice, critics of the economics profession are raising questions about its complicity in the current crisis. Rightly so: economists have plenty to answer for.
CAMBRIDGE – As the world economy tumbles off the edge of a precipice, critics of the economics profession are raising questions about its complicity in the current crisis. Rightly so: economists have plenty to answer for.
It was economists who legitimized and popularized the view that unfettered finance was a boon to society. They spoke with near unanimity when it came to the “dangers of government over-regulation.” Their technical expertise – or what seemed like it at the time –gave them a privileged position as opinion makers, as well as access to the corridors of power.
Very few among them (notable exceptions including Nouriel Roubini and Robert Shiller) raised alarm bells about the crisis to come. Perhaps worse still, the profession has failed to provide helpful guidance in steering the world economy out of its current mess. On Keynesian fiscal stimulus, economists’ views range from “absolutely essential” to “ineffective and harmful.”
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With a likely rematch between Joe Biden and Donald Trump in the 2024 US presidential election, America and the rest of the world were heading into a perilous period even before the latest conflagration in the Middle East. Turmoil in the region will cloud the broader economic outlook – and could dim Biden’s chances.
worries global economic and political developments will put Donald Trump back in the White House.
Around the world, foreign-policy strategists are grappling with new international dynamics, from the Sino-American rivalry and ongoing hot wars to the broader breakdown in multilateral global governance. However, there is much debate about whether global power and alignments are truly shifting, and in what ways.
consider whether the world will become more multipolar or “non-aligned” in the new year.
It is hard to see anything good coming from the current spasm of violence between Israel and Hamas. But this tragedy, which has forced both Israelis and Palestinians to stare into the abyss, might prove to be a turning point that will clear the path for a lasting peace.
considers how the current conflagration might pave the way for a solution to the Israeli-Palestinian conflict.
CAMBRIDGE – As the world economy tumbles off the edge of a precipice, critics of the economics profession are raising questions about its complicity in the current crisis. Rightly so: economists have plenty to answer for.
It was economists who legitimized and popularized the view that unfettered finance was a boon to society. They spoke with near unanimity when it came to the “dangers of government over-regulation.” Their technical expertise – or what seemed like it at the time –gave them a privileged position as opinion makers, as well as access to the corridors of power.
Very few among them (notable exceptions including Nouriel Roubini and Robert Shiller) raised alarm bells about the crisis to come. Perhaps worse still, the profession has failed to provide helpful guidance in steering the world economy out of its current mess. On Keynesian fiscal stimulus, economists’ views range from “absolutely essential” to “ineffective and harmful.”
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