The Expansionary Lower Bound: Contractionary Monetary Easing and the Trilemma https://ift.tt/2JzTsVk The Expansionary Lower Bound: Contractionary Monetary Easing and the Trilemma Author/Editor: Paolo Cavallino ; Damiano Sandri Publication Date: November 2, 2018 Electronic Access: Free Full Text. Use the free Adobe Acrobat Reader to view this PDF file Disclaimer: IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management. Summary: We provide […]
The Exorbitant Tax Privilege https://ift.tt/2qGh5me The Exorbitant Tax Privilege NBER Working Paper No. 24983 Issued in September 2018 NBER Program(s):Development of the American Economy, International Finance and Macroeconomics, Public Economics We estimate and attempt to explain the evolution of the taxes paid by U.S. multinationals on their foreign profits since 1966. In the oil sector, taxes paid to oil-producing States have been contained, allowing U.S. firms to earn high after-tax returns. Foreign taxes fell abruptly after the first Gulf War. In sectors other than oil, the effective foreign tax rate has fallen by half since the late 1990s. Almost half […]
Today’s visualization comes to us from HowMuch.net, and it breaks down U.S. millionaires by state.
Machine learning-enabled price discrimination might allow companies to figure out exactly how much customers are willing to pay for things, and gouge them for every penny. Machine learning-enabled network effects could aggravate the problem of big-company dominance. Algorithms could collude with each other to rig markets, without humans even realizing the collusion is happening.
It is time for Japan to unleash the third “arrow” of Abenomics: a long-term growth strategy underpinned by structural reforms. A critical element of that strategy must be improved human-capital formation, achieved through a revised approach to education.
More than 7% of Venezuela’s population has fled the country since 2014, according to the UN. That is the equivalent of the US losing the whole population of Florida in four years (plus another 100,000 people, give or take).
Anyway, the August edition of ‘Brexit Watch’ has come out now and didn’t disappoint. The manic anti-Brexit bias continues. Very little understanding of the impact of the irresponsible fiscal strategy is demonstrated. The same hacks get a ‘guernsey’ and prophesies of doom abound.
Although it’s hard to get a clear picture of China’s overall credit policy — because there are so many policy levers, and because so much is done behind closed doors — it appears that the country is feeling out a novel approach to macroeconomic stabilization. That program focuses on asset prices, bank finance, real estate and administrative control of banks.
So far, economists see only faint effects of the new tax law in housing prices. The predicted carnage hasn’t materialized.
To exaggerate a bit, the world may soon only have one borrower— In some sense that’s a safe equilibrium: the United States borrows in dollars, so it is less exposed to the risks created by the Fed’s monetary tightening and a rising dollar than others. Exorbitant privilege and all.