Differentiating the deeper causes of income inequality from those that are more accidental is difficult. When we examine our own particular environments, it is natural that we should focus on our immediate surroundings: our colleagues, neighbors and fellow citizens. We don’t often think about how those on the other side of the world are faring. […]
On Principles and Taboos
Major financial crises have always left huge amounts of debt in their wake, followed by incidents of nonpayment. Occasionally the reduction of debt has been concealed, as in the case of Germany, which, thanks to an annual inflation that averaged 17% from 1913 to 1950, reduced the value of its domestic debt to almost zero. […]
The Future of Spain Economic Growth: the Elasticity of Employment
Nobody really knows what will happen in terms of Spain’s future growth. Obviously, whatever awaits will depend on many factors, both domestic and foreign. First and foremost, Spanish growth will depend on any and all future reforms and policy measures that the current and future Spanish governments may take. Unfortunately, the reform plans of the […]
Squaring the Circle: Growth, Employment and Inequality
I need to confess to the reader that I have problems, but not solutions. Specifically, there are three problems. First, the rate of growth is decreasing in several countries: certainly in Europe, but also in Japan (my generation can still recall the years of the Japanese “miracle”), in the U.S. (what today is considered growth […]
Are We Heading for Permanent Stagnation?
The global downturn that followed the collapse of Lehman Brothers in 2008 has now lasted for more than five years and the world as a whole is far from normal employment or economic activity. Even the United States, which has seen a healthier recovery than much of Europe, is still struggling with high unemployment and […]
