How Eurocrises work
Reading much of the commentary on global government bond markets reveals that the Eurozone is still misunderstood. We have been here before. And, sadly, nothing has really changed. This post from 12 June 2022 i...
Cryptocurrencies, the most important paper in economics, and an ad hoc bond market
Perhaps the most important economics research paper in several decades was recently published in the Journal of Economic Perspectives, and it has largely gone unnoticed. It reveals that the Japanese governmen...
Highs & lows of economics: Kilkenny, crypto, and inflation
Economics keeps letting me down. The decade or so following the financial crisis spawned thousands of papers researching the financial system. I had a sinking feeling that none of it would help. Policy-making ...
Euro crisis II
Euro crisis II has started. The good news is that we have been here before, so we have learnt some lessons, the bad news is the that the underlying challenge is far greater: Italy - the likely epicentre of th...
QE is debt reduction
QE is not a liability transformation - it is debt reduction
The remuneration of bank reserves has been a source of significant analytical confusion among economists. This arcane technicality matters far more t...
Policy needs to pivot post-lockdown
Post-lockdown the economy will need a different kind of stimulus
The role of monetary and fiscal policy during lockdown was to sustain household and corporate cashflows in the face of an intentional freezing o...
Helicopter money as Covid response
Here are my slides from the Rebuilding Macro workshop on helicopter money....
Macro policy proposals – immediacy is the metric
Policy response (updated)
Tax rebates for corporates & households, zero interest rates on mortgage and corporate loan refinancing, no debt capital repayment, targeted lending & QE, dual rates, yield cappin...
Policy response
Policy response
Tax rebates for corporates & households, targeted lending & QE, dual rates, yield capping in the Eurozone - there is lots that both monetary and fiscal authorities can and should do.
Th...
How long secular stability?
Economics is a curious field of study. For a subject that focuses so much on rational behaviour it is distinctly human. The tribalism borders on parody - post-keynesians, new keynesians, liberal, conservative, ...