Donato Masciandaro, Davide Romelli
This column reports on recent work presented at the first edition of the CEPR conference series on the Political Economy of Finance, which focused on the politics of regulation and central banking. The conference, held on 12 February 2021 and co-sponsored by three Dutch universities (Erasmus University Rotterdam, Tilburg University, University of Amsterdam), kickstarted the PolEconFin initiative (www.PolEconFin.org). The PolEconFin initiative comprises a conference series and an online platform, which allows researchers to share their work with a community interested in research on the political economy of finance.
Exploring political economy topics in finance research is still relatively new. The political economy of finance looks at how the design of political institutions and the distribution of political power in society affect the development and functioning of financial systems, and vice versa (see Pagano and Volpin 2001, Perotti 2014, Lambe
Ruud de Mooij, Michael Keen, Victoria Perry
Leaders of the advanced economies of the G7 recently made what they described as a “historic commitment” on taxation of multinational corporations (G7 2021).
The IGM Forum at Chicago Booth, which, for nearly a decade, has been regularly polling some of the world’s top economic experts in the US and Europe for their views on topical issues of public policy, invited its European and US panels to express their views on some of the issues surrounding the global deal on corporate taxes: the impact of a global minimum rate on investment, profit-shifting and low-tax jurisdictions (Acciari et al. 2021); whether a stable international tax system that includes a global minimum rate can be achieved (Laffitte et al. 2021); and a potential move from levying taxes based on where firms’ headquarters and production are located to where they make their sales.
Book Review: Brian Domitrovic Reveals the Monetary Genius of Arthur Laffer realclearmarkets.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from realclearmarkets.com Daily Mail and Mail on Sunday newspapers.
John Muellbauer
During the Covid-19 pandemic, central banks have pushed to the extreme the tools they had created after the Global Crisis: targeted lending, large asset purchases, and negative interest rates (Hartmann and Schepens 2021). This is especially true in the euro area. The balance sheet of the ECB amounts to 60% of GDP, it holds around 25% of public debt of the euro area, and the deposit facility rate is at -0.5% (-1% for targeted long-term refinancing operations, or TLTRO). These measures were useful and necessary to avert deflation both during the 2010s and in the Covid-19 crisis. However, since 2015 the annual inflation rate has been around target only 10% of the time (see Figure 1). Based on its June 2021 forecast, the ECB itself anticipates (after a temporary increase in 2021) an average inflation rate below its 2% target at 1.5% in 2022 and 1.4% in 2023.
Control over wages can empower Indian women: Study prokerala.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from prokerala.com Daily Mail and Mail on Sunday newspapers.