The short clip gives a basic introduction to the concept of the market equilibrium and its graphical representation: taking the example of a market for apples, it presents supply and demand curves as well as scenarios how prices and quantities adapt, leading to an equilibrium.
An essay of the writing workshop on contemporary issues in the field of Nigerian economics: Labour and all the dynamics, such as laws, mobility, gender participation, regulation etc., that are associated with it cements the need for this paper which seeks to objectively review, analyse, and if deemed necessary, give plausible recommendations.
Shadow banking became one of the main features of modern market based financial capitalism and financial globalisation. Daniel Gabor locates this development in a Super-Cycle framework and sketches out opportunities to launch a new cycle that is green and just through financial regulation and publicly organised sustainable finance.
The plumbing of the financial system is coming under strain like never before. On this week’s podcast, we speak with two legendary experts on how the money system works: Zoltan Pozsar of Credit Suisse and Perry Mehrling of the Frederick S. Pardee School of Global Studies. They explain the extreme level of stress we’re seeing, what the Fed has done to alleviate, what more needs to be done, and what the post-crisis future may look like.
Right-wing populism and market-fundamentalism: Two mutually reinforcing threats to democracy in the 21st century
The article compares market fundamentalism and right-wing populism on the basis of its core patterns of thinking and reasoning. Based on an analysis of important texts in both fields we find many similarities of these two concepts in their "inner images". Thus, we develop a scheme of the similar dual social worlds of right-wing-populism and market fundamentalism and offer some recent examples of market fundamentalism and right-wing populism mutually reinforcing each other or serving as a gateway for each other. We then apply our scheme for the analysis of the recent political developments and its ideological roots in the US under Donald Trump.
Maria Nikolaidi on how Minsky’s theory has been modelled over past decades and how one can use these models in order to analyse contemporary issues such as financial fragility and financial instability caused by climate change.
In this clear and accessible book, an eminent political scientist offers a jargon-free introduction to the market system for all readers, with or without a background in economics
In this short talk, Nicole Pepperell discusses Albert Hirschman's book "Rival Views of Market Society and Other Recent Essays". Among others, he discusses different conceptions of the characteristics and dynamics of capitalist societies.
"Stabilise, liberalise and privatise" has, since the debt crisis of the early 1980s, been the mantra chanted at developing countries by international financial institutions, donor countries and newspaper columnists with quasi-religious conviction.
Reflecting his own concerns about the contribution economics could make to the betterment of society, Eli Ginzberg published this study of Smith's humanitarian views on commerce, industrialism, and labor. Written for his doctoral degree at Columbia University, and originally published as The House of Adam Smith, the book is divided into two parts.
This short video by the Khan Academy presents a classic introduction to economic teaching. Starting with the quote by Adam Smith in "The Wealth of Nations" on the invisible hand, it shows how economics deals with the question of the allocation of scarce resources and shortly presents different questions addressed by microeconomics and macroeconomics. It further makes reference to questions of simplification in mathematical models.
This paper presents an overview of different models which explain financial crises, with the aim of understanding economic developments during and possibly after the Great Recession. In the first part approaches based on efficient markets and rational expectations hypotheses are analyzed, which however do not give any explanation for the occurrence of financial crises and thus cannot suggest any remedies for the present situation. A broad range of theoretical approaches analyzing financial crises from a medium term perspective is then discussed. Within this group we focused on the insights of Marx, Schumpeter, Wicksell, Hayek, Fisher, Keynes, Minsky, and Kindleberger. Subsequently the contributions of the Regulation School, the approach of Social Structures of Accumulation and Post-Keynesian approach, which focus on long-term developments and regime shifts in capitalist development, are presented. International approaches to finance and financial crises are integrated into the analyses. We address the issue of relevance of all these theories for the present crisis and draw some policy implications. The paper has the aim to find out to which extent the different approaches are able to explain the Great Recession, what visions they develop about future development of capitalism and to which extent these different approaches can be synthesized.
The models of portfolio selection and asset price dynamics in this volume seek to explain the market dynamics of asset prices. Presenting a range of analytical, empirical, and numerical techniques as well as several different modeling approaches, the authors depict the state of debate on the market selection hypothesis.
This course attempts to explain the role and the importance of the financial system in the global economy. Rather than separating off the financial world from the rest of the economy, financial equilibrium is studied as an extension of economic equilibrium. The course also gives a picture of the kind of thinking and analysis done by hedge funds.
Since 2007, central banks of industrialized countries have counteracted financial instability, recession, and deflationary risks with unprecedented monetary policy operations. While generally regarded as successful, these measures also led to an exceptional increase in the size of central bank balance sheets. The book first introduces the subject by explaining monetary policy operations in normal times, including the key instruments (open market operations, standing facilities, reserve requirements, and the collateral framework).
The book deals with the financial instability hypothesis of Hyman P. Minsky and its application to current developments. The first part of the work summarizes the hypothesis and mentions works elaborating the hypothesis. The second part applies the hypothesis to the financial crisis 0f 2008/09.
Focusing on Kenya’s path-breaking mobile money project M-Pesa, this book examines and critiques the narratives and institutions of digital financial inclusion as a development strategy for gender equality, arguing for a politics of redistribution to guide future digital financial inclusion projects.
This report presents the results of the “Financial Mechanisms for Innovative Social and Solidarity Economy Ecosystems” project, designed to foster a better understanding of the different ways in which financial resources can be made available and accessed to support the growth of social and solidarity economy (SSE) organizations and their ecosystems. The project is supported by the Ministry of Labour, Employment and Social and Solidarity Economy of the Government of the Grand Duchy of Luxembourg.
Professor Jennifer Clapp explains the dynamics of financialization of land and agricultural commodities in Subsaharan Africa. She points to the historical roots of accelerated land speculation and their connection to financial institutions, both generating and reinforcing the process of financialization of African land. Besides talking about roots and dynamics of speculation with land on financial markets, she puts the perspective of scholarly investigation onto the investor's side in discussing guidelines of responsible investment and regulation in the front instead of focussing on the receiving countries.
Some economic events are so major and unsettling that they “change everything.” Such is the case with the financial crisis that started in the summer of 2007 and is still a drag on the world economy. Yet enough time has now elapsed for economists to consider questions that run deeper than the usual focus on the immediate causes and consequences of the crisis.
This panel was part of the conference "Next Generation Gentral Banking - Climate Change, Inequality, Financial Instability" 03. - 05.02.2021.
How exactly are persisting social inequalities and the operations of modern finance connected? Adam Tooze provides a detailed answer to a still relevant problem by focusing on the Great Financial Crisis and the role of the finance industry in the USA.
This multimedia dossier is part of the series „Understanding Finance“ by Finance Watch and presents a description and critical review of financial markets and their functions. It furthermore discusses recent developments, as high frequency trading.
For some days, global financial markets are in turmoil. Central banks and governments are dealing with the unfolding crisis on a daily basis with seemingly u...
Renowned scholars elaborate a critique on neoclassical economics and how it was unable to predict and even favoured the financial crisis. They refer to DSGE models, equilibrium theory and rational agents – a brief insight in the critique on neoclassic economics.
Whether a black swan or a scapegoat, Covid-19 is an extraordinary event. Declared by the WHO as a pandemic, Covid-19 has given birth to the concept of the economic “sudden stop.” We need extraordinary measures to contain it.
This course is an introduction to the economic theories of financial crises It focuses on amplification mechanisms that exacerbate crises such as leverage fire sales bank runs interconnections and complexity It also analyzes the different perspectives on the origins of crises such as mistaken beliefs and moral hazard and discusses …
In this book, Carlota Perez develops her Neo-Schumpeterian concept of "techno-economic paradigms" which captures the patterns underlying the role of technological revolutions in economic development since the Industrial revolution.
The world is still feeling reverberations from the financial crisis of 2008 foreseen by neither politicians nor economists The history of capitalism has been punctuated by major crises exposing the fragility of our entire economic system How has capitalism despite these ruptures managed to each time resurface more resilient and …
Latin America and Europe can both learn from their respective experiences on crisis response and the distributive and democratic implications at national and regional level Democratic and distributive aspects of crisis response monetary financial economic policies and institutional reforms are key but have not been adequately addressed in the literature …
There was a time when the world still seemed a good and above all simple place for monetary authorities Every few weeks they had to decide whether in view of the latest price developments it would be better to raise the key interest rates by a quarter point or not …
The U.S. economy today is confronted with the prospect of extended stagnation. This book explores why. Thomas I. Palley argues that the Great Recession and destruction of shared prosperity is due to flawed economic policy over the past thirty years.