Clark Center Forum

About the Clark Center Forum

The Forum for the Kent A. Clark Center for Global Markets is home to the European, Finance, and US Economic Experts Panels as well as a repository of thoughtful, current, and reliable information regarding topics of the day.
US

Frozen Assets

Question A:

Western countries have used interest earned on frozen Russian state assets to finance around $50 billion in loans to the government of Ukraine. There have also been calls to seize the assets in full, currently estimated at around $300 billion.

Seizing frozen Russian state assets and using them to support Ukraine’s defense, economy and reconstruction would substantially accelerate the ending of the war.

Question B:

Seizing frozen Russian state assets and using them to support Ukraine’s defense, economy and reconstruction would, by reducing the burden on Western taxpayers, substantially increase Western voters’ political approval for supporting Ukraine.

Question C:

Seizing frozen Russian state assets and using them to support Ukraine’s defense, economy and reconstruction would substantially reduce investment in assets denominated in Western currencies and/or increase the likelihood of another country seizing Western sovereign assets in a future conflict.

 
On Global Markets

Stablecoins

Bipartisanship has been in short supply in Congress so far this year, but a notable exception, it seems, has been made for stablecoins. The GENIUS Act, or to give it its full name, the Guiding and Establishing National Innovation for US Stablecoins Act, passed the House by 308 to 122 votes. The new law sets […] 
Europe

Digital Harm

This European survey examines (a) The risks of harm from use of social media services - such as harm to mental health, exploitation of children, and more - are sufficient to justify regulations setting safety standards and creating a process of compensation for harm by digital platforms; b) To date, EU efforts to address harm from use of social media services - primarily the Digital Services Act - have been largely ineffective at protecting consumers 
Finance

Stablecoin Adoption

This Finance survey examines (a) The markets for consumer and business payment services would be substantially more efficient if payments by stablecoins (privately issued digital tokens pegged to a fiat currency) became an accepted alternative to traditional payments; b) Ten years from now, stablecoins will account for a substantial share of payment flows and deposits in the global banking system 
On Global Markets

Sound as a Dollar?

Whilst economic policy uncertainty, as previously discussed by On Global Markets, has notable macroeconomic downsides, it can, at least, provide useful event studies for empirically minded economists. This week saw just such an episode. On Wednesday morning, reports emerged that, at a meeting with Congressional representatives at the White House the day before, President Trump […] 
US

Inflation Target and Expectations

This US survey examines (a) If the Fed changed its inflation target from 2% to 3%, the long-run costs of inflation for households would be essentially unchanged; (b) The Fed’s revised strategy announced in 2020 - focusing on employment shortfalls and with a more flexible interpretation of the inflation target - has made little practical difference to monetary policy outcomes in the past five years 
FT-Booth US Macroeconomists Survey

FTxBooth: Trump’s Effects on US Fiscal Policy

This installment of the FTxBooth US Macroeconomists Survey discusses economists’ concern over President Trump’s economic policies, specifically vis-à-vis dollar dominance and the Federal Reserve. The summary results are below and you can read the Financial Times article here, subscription required. View the results of this survey>> For social media: Please use the hashtag #FTxBooth when […] 
Finance

US Steel Deal

This Finance survey examines: The nature of the Trump administration's 'golden share' agreement with Nippon Steel over the acquisition of US Steel has been summarized on X by the US secretary of commerce: https://x.com/howardlutnick/status/1933924525265043774 (a) The approval of Nippon Steel's acquisition of US Steel will be substantially positive for jobs and investment in the US steel industry; (b) Government power over an acquired company's operational and governance matters, as in the US government's golden share in US Steel, is a substantial constraint on effective management of the company; (c) The precedent of the golden share arrangement in the US Steel deal will be a substantial deterrent to foreign investors in American companies