Archive for the Financial Crisis Category

Don’t believe the myths: Capitalism has performed well since the financial crisis

Don’t believe the myths: Capitalism has performed well since the financial crisis

Ten years ago, the financial crisis began to grip the Western economies.  During the course of 2007, GDP growth slowed markedly everywhere. By the end of 2008, output was in free fall. A key theme in economic commentary is the sluggishness of the subsequent recovery of the

Read more

Forward guidance is just another delusion foisted on us by mainstream macro

Forward guidance is just another delusion foisted on us by mainstream macro

The governor of the Bank of England, Mark Carney, was on good form last week when he appeared at the Treasury Committee of the House of Commons. Asked what “forward guidance” meant, he answered smoothly: “The thing about forward guidance is that it is guidance that is forward. Which

Read more

Brexit was the final straw: it’s time to scrap the IMF

Brexit was the final straw: it's time to scrap the IMF

Sports fans will all be familiar with the commentator who almost always gets things wrong. “Arsenal are very much on top here” he – it is invariably a “he” – will pronounce, or “Root is looking very settled”, only for the opposition to score a goal immediately

Read more

Why the economic picture tends to be rosier than initial estimates suggest

Why the economic picture tends to be rosier than initial estimates suggest

One of the surprises of last week was the Office for National Statistics (ONS) estimate of economic growth in the second quarter of 2016, the period from April to the end of June. In the run up to Brexit, the economy expanded by 0.6 per cent on

Read more

Why austerity must be the order of the day for May’s chancellor

Why austerity must be the order of the day for May's chancellor

On the face of it, the Brexiteers have a bit of explaining to do. A week before the vote, Boris Johnson dismissed fears about the value of sterling, and accused the governor of the Bank of England of “talking the economy down”. Yet the economy does seem

Read more

The poor state of macro justifies scepticism with Brexit disaster forecasts

The poor state of macro justifies scepticism with Brexit disaster forecasts

David Cameron has tried to frame the Brexit debate into one based on economics.  Standing with him is the overwhelming consensus of economists themselves, from academics to the International Monetary Fund (IMF).  Their pronouncements are not having that much impact on the electorate if the polls are

Read more

The coming explosion in natural debt is a serious risk to the economy

The coming explosion in natural debt is a serious risk to the economy

Martin Feldstein of Harvard is an economist who should always be taken seriously. Writing in 1997 about the forthcoming introduction of the euro, for example, he argued that “the adverse economic effects of a single currency on unemployment would outweigh any potential gains from trade flows”. He

Read more

Is Britain on the edge of recession? History is an unreliable guide

Concerns are growing about a marked slowdown in the UK economy. The Lloyds Bank purchasing managers’ index, for example, fell to 52.1 in April, its lowest point since 2013. The initial estimate for GDP, total output, in the first quarter of this year shows an increase of just 0.4

Read more

The IMF is in trouble – and not just due to its poor forecasts

The IMF is in trouble - and not just due to its poor forecasts

The International Monetary Fund (IMF) has played a prominent role in world financial affairs in the post-Second World War period. In the 1950s and 1960s, its main purpose was to support the system of fixed exchange rates. Since then its activities have evolved to embrace developing economies

Read more

Are the markets telling the truth?

The opening month of 2016 has been marked by sharp falls in asset prices, not just in financial markets but in commodities such as oil.  The conventional wisdom is that the markets form a rational assessment of future prospects for the economy, and set prices accordingly.  So

Read more
Page 1 of 612345...Last »

Contact Us

56-58 Putney High Street, London, SW15 1SF
Phone: 0208 878 6333
Email

Subscribe to our newsletter

Visit Us On TwitterVisit Us On Linkedin