US Economic Experts Panel

 

 

This week’s IGM Economic Experts Panel statement:

Taking into account the revenues, consumer surplus, purchasing patterns by income, and possible consumer biases, state-run lotteries (such as Powerball and scratch-off games) increase social welfare. 

This week’s IGM Economic Experts Panel statements:

A) Randomized control trials are a valuable tool for answering some long unsettled questions in development economics research.

B) Randomized control trials are a valuable tool for making significant progress in poverty reduction. 

This week’s IGM Economic Experts Panel statements:

A) Rising inequality is straining the health of liberal democracy.

B) Enacting more redistributive expenditures and policies would be likely to limit the rise of populism.

C) Governments should allocate more resources to policies that would be likely to limit the rise of populism, even if it means higher public debt or lower public spending in other areas. 

This week’s IGM Economic Experts Panel statements:

A) Having companies run to maximize shareholder value creates significant negative externalities for workers and communities.

B) Appropriately managed corporations could create significantly greater value than they currently do for a range of stakeholders – including workers, suppliers, customers and community members – with negligible impacts on shareholder value.

C) Effective mechanisms for boards of directors to ensure that CEOs act in ways that balance the interests of all stakeholders would be straightforward to introduce. 

This week’s IGM Economic Experts Panel statement:

A substantial source of the value of decentralized private cryptocurrencies, such as Bitcoin, arises from their convenience for use in illegal activities. 

The recent World Cup success of the US women’s national soccer team was swiftly followed by calls for equal pay, and a reminder of the gender discrimination lawsuit that has been filed by the players against the sport’s national governing body, US Soccer. We invited our US panel to express their views on the economics behind this controversy.

 

In May, the US Treasury published a report to Congress on the macroeconomic and foreign exchange policies of major trading partners of the United States. As Stanford economist and former Chicago Booth professor John Cochrane noted on his blog, this made clear reference to the possibility of currency manipulation:

 

How should economics be introduced to undergraduate students? Since the crisis and the Great Recession began more then a decade ago, many young people have complained that what is taught in intro courses seems to bear no relation to the pressing issues that they hoped the subject would help them to understand – poverty, inequality, globalization, environmental sustainability, financial instability, robots and the digital economy.