Our Blog

Mind the gap: Economics is catching up to the fact that we’re not always rational

Mind the gap: Economics is catching up to the fact that we’re not always rational

Do Tube strikes make Londoners better off? At first sight, the question is simply absurd. The answer is surely “no”. But a paper in the Quarterly Journal of Economics comes to the opposite conclusion. Cambridge economist Shaun Larcom and his colleagues analysed the two-day strike of February

Read more

There’s a difference between priceless and worthless, but economics can’t measure it

There’s a difference between priceless and worthless, but economics can’t measure it

The so-called “productivity puzzle” just does not go away. The October, employment figures released by the Office for National Statistics (ONS) brings it into focus. The number of people in work rose to a new record high of 32.1m, with an increase of around one per cent

Read more

Catalonia tries to avoid repeating history, but Spain has economic reality on its side

Catalonia tries to avoid repeating history, but Spain has economic reality on its side

Karl Marx famously wrote: “History repeats itself, first as tragedy, second as farce”. The phrase might well have been coined with Catalonia in mind. Generalissimo Franco began a military coup against the elected Spanish government in the Canary Islands in 1936. The battle spread across Spain, and

Read more

It’s time to question the macroeconomic orthodoxy on interest rates and inflation

It’s time to question the macroeconomic orthodoxy on interest rates and inflation

Mark Carney, governor of the Bank of England, is getting his retaliation in early. Faced yet again with the Bank failing to deliver its designated target of a two per cent inflation rate, in a speech last week he suggested that his remit was broader. “We face

Read more

Comparison sites are forcing businesses and economists to rethink price theories

Comparison sites are forcing businesses and economists to rethink price theories

The competition and Markets Authority (CMA) published a report about Price comparison sites at the end of last month. They seem simple enough, but these straightforward sites raise interesting issues for economics. Overall, the CMA was pretty positive about the DCTs – digital comparison tools, to give

Read more

Behavioural economics has had its Nobel moment, but take it with a pinch of salt

Behavioural economics has had its Nobel moment, but take it with a pinch of salt

Behavioural economics has received the ultimate accolade. Richard Thaler of the University of Chicago Business School has been awarded the Nobel Prize in economics for his work in this area. Economics over the past 20 to 30 years has become far more empirical. Leading academic journals do

Read more

From Korea to Germany, experiments with socialism show markets always win

From Korea to Germany, experiments with socialism show markets always win

A red-hot topic in economics is randomised controlled trials (RCT). Esther Duflo, the MIT academic who has really driven this idea, has surely put herself in pole position for a Nobel Prize at some point. The idea of RCTs has been imported from medicine. One group of

Read more

The demise of Germany’s Social Democrats reflects the challenge for all liberal parties

The demise of Germany’s Social Democrats reflects the challenge for all liberal parties

The German elections on Sunday went pretty much according to the polls. Another victory for Chancellor Merkel. Much of the commentary has focussed on the success of the far-right Alternative fur Deutschland (AfD) party. One of its leading candidates eulogised the German armed forces during the Second

Read more

Full employment in Britain has lowered productivity instead of increasing wages

Full employment in Britain has lowered productivity instead of increasing wages

The UK jobs market is booming, as the latest ONS figures show. Unemployment is at its lowest for over 40 years. A record 32.1 million people are in employment, a rise of over 3 million since the financial crisis. Apart from in a few scattered pockets, Britain

Read more

Why can’t we confront climate change? Behavioural economics explains

Why can't we confront climate change? Behavioural economics explains

The devastating storms in America have kept the issue of climate change firmly in the public mind. But so far, it has proved very difficult for politicians to persuade electorates to change consumption patterns in ways which many scientists would like to see. More expensive air travel,

Read more
Page 1 of 3112345...102030...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