Clark Center Forum

Improving education remains one of the clearest ways that governments can make a lasting positive economic impact. A well-functioning education system is the most effective way to help equip people with the knowledge and skills they need to boost incomes and compete in a globalized economy. The key to such a system is embracing the […] 

by Anil Kashyap and Takeo Hoshi Freakonomics Blog; March 22nd, 2011 On March 11, an earthquake of magnitude 9.0 hit the Pacific coast side of the Tohoku area in Japan. Subsequent aftershocks, tsunamis and breached safety mechanisms at nuclear plants in Fukushima have proven even more devastating than the earthquake itself. At this point, it […] 

by Takeo Hoshi and Anil Kashyap Wall Street Journal; March 9th, 2011 The Wall Street Journal asked eight prominent economists who follow Japan to critique the Bank of Japan’s monetary policy record, after BOJ Governor Masaaki Shirakawa gave an interview defending the central bank’s performance. Among the eight were the IGM’s Anil Kashyap and his […] 

Raghuram Rajan discusses the global financial crisis and his new book — Fault Lines: How Hidden Fractures Still Threaten the World Economy — on the Bloomberg on the Economy program. Listen now Part 1 and Part 2 

Was “fiscal stimulus” the central idea that saved us from a second great depression, with our only regret that is was not bigger? Or is this an old fallacy, tried and failed, and ready finally for the ash-heap of history? Read more> 

The Fed’s September 21 FOMC statement makes great tea-leaf reading.  The Fed is worried about deflation. Reading between the lines, the Fed might be powerless to stop it.  We’re not there yet, but it could happen.  Eventually inflation – stagflation – may well be the problem, and the Fed might be just as powerless. Traditional […] 

Might there be a role for government policies—other than monetary policy—to systematically affect the unemployment rate?  Robert Shimer, our colleague in the University of Chicago’s economics department, says that the research of this year’s Nobel Laureates in economics filled an important gap by shedding light on this crucial, and now especially timely, question. We asked […] 

September 16, 2010 Paul Krugman and Robin Wells caricature my recent book Fault Lines article in the New York Review of Books. The article, and their criticism, however, do have a lot to say about Krugman’s policy views (for simplicity, I will say “Krugman” and “he” instead of “Krugman and Wells” and “they”) which I […] 

Proponents of fiscal stimulus argue that targeted subsidies can spur consumers to shift purchases from well into the future to today, and thereby help jumpstart the economy. Opponents contend that while subsidies may induce purchases today, the effect is almost completely reversed when consumers subsequently purchase fewer goods tomorrow. We inform this debate by examining […] 

FT.com; June 2, 2010 Bankers must be heaving a sigh of relief as the shenanigans of the offshore drilling industry have pushed them to the edge of the radar screen of those targeting corporate greed. But it is unlikely their respite will be for long. Inquiries under way are bound to unearth more instances of ethically, and […]