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on Post Keynesian Economics |
| By: | Oğuz Esen; Ayla Oğuş Binatlı |
| Abstract: | � The recent global financial crisis has underlined the need to go beyond the microprudential perspective to financial instability and move in a macroprudential direction. There is a growing consensus among policymakers and academics that macroprudential policy should be adopted. Through these changes, policymakers appear to be moving in a direction broadly consistent with Minsky’s view. The theoretical framework of macroprudential policy can be found in Minsky’s financial instability theory. Emerging economies, including Turkey, have adopted macroprudential tools to prevent and mitigate system wide risks. This paper offers a Minsky perspective on macroprudential policy and evaluates macroprudential tools through an examination of the Turkish experience as a case study. � |
| Keywords: | Macroprudential policy, Minsky |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:uma:periwp:wp308&r=pke |
| By: | John S L McCombie (Cambridge Centre for Economic and Public Policy, Department of Land Economy, University of Cambridge); Marta Spreafico (DISCE, Università Cattolica) |
| Abstract: | Despite the considerable interest in the concept of human development, there has been little research on the political determinants of its dimensions. This paper investigates the role played by the type of political systems on the non-income components of human development. In particular it tests the hypothesis that it is not only democratic countries that enhance spending on health and education, but this might be true of autocratic regimes. The hypothesis is tested for the former Soviet Republics. It is found that expenditure on the social provision of health and education increases with both the degree of democracy and autocracy. |
| Keywords: | governing authority, human development, political regimes, public expenditure on health and education, panel analysis |
| JEL: | I10 I20 H51 H52 C33 |
| Date: | 2013–04 |
| URL: | http://d.repec.org/n?u=RePEc:ctc:serie5:ispe0066&r=pke |
| By: | David Rosnick; |
| Abstract: | Recent estimates of the U.S. economic gains that would result from the proposed Trans-Pacific Partnership (TPP) are very small — only 0.13 percent of GDP by 2025. Taking into account the un-equalizing effect of trade on wages, this paper finds the median wage earner will probably lose as a result of any such agreement. In fact, most workers are likely to lose — the exceptions being some of the bottom quarter or so whose earnings are determined by the minimum wage; and those with the highest wages who are more protected from international competition. Rather, many top incomes will rise as a result of TPP expansion of the terms and enforcement of copyrights and patents. The long-term losses, going forward over the same period (to 2025), from the failure to restore full employment to the United States have been some 25 times greater than the potential gains of the TPP, and more than five times as large as the possible gains resulting from a much broader trade agenda. |
| Keywords: | trade, trans-pacific partnership, TPP, jobs, GDP growth, wages, workers |
| JEL: | E E2 E24 F F1 F13 F16 J J3 J31 |
| Date: | 2013–09 |
| URL: | http://d.repec.org/n?u=RePEc:epo:papers:2013-14&r=pke |
| By: | Harrison, Mark (University of Warwick) |
| Abstract: | This chapter introduces the author’s selected papers on the economics of coercion and conflict. It defines coercion and conflict and relates them. In conflict, adversaries make costly investments in the means of coercion. The application of coercion does not remove choice but limits it to options that leave the victim worse off than before. Coercion and conflict are always political, but a number of key concepts from economics can help us understand them. These include rational choice, strategic interaction, increasing and diminishing returns, scale and state capacity, surplus extraction, and Type I errors. The chapter concludes that the economist’s toolkit, although not complete, is useful. |
| Keywords: | Coercion, Conflict, Games, Errors, Increasing Returns, Rational Choice, Scale, Surplus, Violence. |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:cge:warwcg:150&r=pke |
| By: | Fatás, Antonio; Mihov, Ilian |
| Abstract: | The recovery from the last recession has been slower than any other recovery in the post-WWII period both in the US and in many other advanced economies. There is an ongoing debate around the causes of such a slow recovery. Are there any structural factors that are constraining the speed of recovery? Is it simply that recoveries from financial crises are slower than others? How should monetary and fiscal policy act in these circumstances? In this debate, there is a constant reference to a recovery phase in the business cycle, but such a phase is absent in the most-accepted methodology to characterize business cycles: that of the NBER business cycle dating committee. This paper explores data from the US to characterize and date a recovery phase in the business cycle. Rather than interpreting fluctuations as a two-phase cycle, we describe it as a succession of three distinct phases: expansions, recessions and recoveries. We discuss alternative methods to identify recoveries and provide a discussion of the potential benefits from using a proper definition of the recovery phase. |
| Keywords: | Business Cycles; NBER Business Cycles Dating Committee; Recessions; Recoveries |
| JEL: | E32 E50 E60 |
| Date: | 2013–07 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:9551&r=pke |
| By: | Ezcurra, Roberto; Rodríguez-Pose, Andrés |
| Abstract: | This paper investigates the relationship between economic globalization and regional inequality in a panel of 47 countries over the period 1990-2007, using a measure of globalization that distinguishes the different dimensions of economic integration. The results show that there is a positive and statistically significant association between economic globalization and the magnitude of regional disparities. Countries with a greater degree of economic integration with the rest of the world tend to register higher levels of regional inequality. This finding is robust to the inclusion of additional explanatory variables and to the choice of the specific measure used to quantify the relevance of spatial inequality within the sample countries. Our analysis also reveals that the spatial impact of economic globalization is greater in low- and middle-income countries, whose levels of regional disparities are on average significantly higher than in high-income countries. |
| Keywords: | Economic globalization; Regional inequality |
| JEL: | F15 R11 R12 |
| Date: | 2013–07 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:9557&r=pke |