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The Złoty draws on recently available Polish archival material from central banks and international institutions to show how long-lived debates about inflation have been central in Polish political history. It offers surprising revelations about the drama of the evacuation and legal treatment of the central bank's gold after the German invasion of 1939 and the long struggle for economic and monetary reform while Poland was part of the Soviet system, going back to the late 1950s. It includes interwar and post-1990 sections that give an exemplary case of how a country on the periphery of the international economic system tried hard to integrate, ultimately failing in the first instance, while succeeding with dramatic success over the past thirty-five years. Written in gripping and non-technical language, this book offers a scholarly yet accessible account of Poland's struggles with inflation, foreign debt, and Nazi and communist rule.
Bridging the gap between undergraduate and graduate macroeconomics, this book approaches DSGE models from a unified perspective based on the concept of competitive equilibrium (CE) and the equivalent social planner problem (SPP). Equilibrium conditions derived from a CE are used to motivate the methods that solve the models. A guided focus on Dynare enables students to solve problems while avoiding the typical pitfalls associated with the software. The approach is 'we have a need and here's a tool that solves it' instead of 'here's a tool and let's look for an application.' It is consistent with current practices: define an equilibrium, characterize its solution, find its steady state, approximate the equilibrium conditions, and solve for its policy functions. This book is for the student who wants to follow current macroeconomic research and build on that to gain a competitive edge in creating and solving empirical models with real-world applicability.
In post-Brexit Europe, it has never been more important to understand who benefits from the European Union and its Single Market. In this innovative approach to the history of European integration, Grace Ballor reconstructs the creation of the Single Market in the 1980s and 1990s through the lens of multinational business. She both shows how policymakers viewed big business as an ally in market integration and uncovers the diverse responses of European companies, ranging from enthusiastic support for the market to opposition to its attendant social and environmental policies. Drawing on institutional and corporate archives and interviews with key policymakers and business leaders, Ballor demonstrates how businesses adapted their strategies to the new realities of integration and how these adaptations in turn shaped international markets. This is essential reading for anyone wishing to make sense of contemporary European economics and the complex relationships between business and policymaking, economy and society.
Kevin Dowd's Totalitarian Money? provides a comprehensive critique of proposals to establish CBDCs (central bank digital currencies) around the world. He argues that they are economically inefficient, as they provide no benefits that cannot be obtained by other means. He explains why CBDCs are dangerous to financial stability and personal freedom as they enable digital currency to be weaponised against people to comply with the political or social agendas of those in control. Dowd reveals that, despite being promoted by central banks as the next 'big thing', public demand for CBDCs is negligible and they have been rejected by the public wherever they have been introduced. Evaluating the track record of countries that have introduced CBDCs, Dowd explores the drawbacks of CBDCs and explains why the private sector is better equipped to provide a retail digital currency to the general public.
The airline industry is fundamental to the workings of the global economy. Yet, ironically for an industry of such sheer scale and economic muscle, profit margins are razor thin and many airlines struggle to break even. The precarious economics of the sector were fully revealed when Covid-19 grounded flights across the world prompting many national carriers to seek government bailouts, while smaller airlines collapsed. The third edition of this standard introduction to the economics of the airline industry has been fully updated and expanded to include new material on decarbonising aviation, aircraft leasing, the application of AI technology, changes to the international regulatory architecture, blocked mergers and the challenges facing Boeing, the cargo market, the growth of ancillary revenues, as well as further analysis of the impact of the pandemic on passenger numbers and the concept of delayed demand. The book remains a comprehensive introduction to the economics of airlines, how carriers compete, how they develop their business, and how demand and cost structure, coupled with the complex regulatory regime, produces the industry we see today.
Quantitative easing (QE) is a relatively new form of monetary policy whereby a central bank buys up government bonds and other financial assets to stimulate economic activity. It came to prominence in the aftermath of the Global Financial Crisis of 2007-11 when standard monetary policy tools were unavailable to central banks due to low inflation levels. Quantitative tightening (QT) is the opposite whereby central banks sell off bonds and assets to reduce the size of their balance sheets. Quantitative Easing and Tightening brings together leading academics and practitioners to assess the legacy of quantitative easing and look at where new quantitative tightening measures may take us. It examines three of the most important actors in the QE/QT story: the Bank of England, the European Central Bank and the US Federal Reserve to provide an overview of the effectiveness, governance, and fiscal costs of quantitative easing and tightening.
For a number of decades our economy has failed to work for ordinary citizens. Stagnant wages have been combined with underemployment and rising costs of basic goods like healthcare, education and housing. At the same time, a small minority of the population make obscene profits, while in the background we continue to hurtle headlong into an environmental emergency. However, despite there being no shortage of anger and anti-elite sentiment expressed in what is often referred to as the ‘culture wars’, no significant challenge to the dominant economic model has broken into the mainstream. The pound and the fury argues that behind this failure of imagination are a set of taken-for-granted myths about how the economy works – myths that stifle debate and block change. The book analyses these myths, explores their origin, how they circulate and how they might be dispelled at a time when, away from the public gaze, economic theory is opening up new possibilities of economic action. Possibilities that, as we emerge from the chaos of Covid-19, could lead to the radical structural changes we desperately need.
What causes cyclical downturns that wreak havoc on our lives? Most economists will say that they result from random external shocks and that, without these, the economy would sail along beautifully. In US Business Cycles 1954-2020, John Harvey argues that overwhelming evidence points to an internal dynamic, one related to the behavior of economic agents that generates what we call a business cycle. He draws on the work of past Post-Keynesian and Institutionalist scholars to create a current theory of business cycles, one that treats them as systemic and not the result of random chance. He addresses not only unemployment and bankruptcies that are the immediate consequence of the business cycle, but critical social challenges like climate change and elderly care. Examining an extensive history of US fluctuations, Harvey fills a long-standing void within the discipline by offering an alternative theory of income, employment, and price determination.
Drawing on insights from sociology and new institutional economics, Extralegal Governance provides the first comprehensive account of China's illegal markets by applying a socio-economic approach. It considers social legitimacy and state repression in examining the nature of illegal markets. It examines how power dynamics and varying levels of punishment shape exchange relationships between buyers and sellers. It identifies context-specific risks and explains how private individuals and organizations address these risks by developing extralegal governance institutions to facilitate social cooperation across various illegal markets. Adopting a multiple-case study design to sample China's illegal markets, this book utilizes four cases - street vending, small-property-rights housing, corrupt exchanges, and online loan sharks - to examine how market participants foster cooperation and social order in illegal markets.
In the 19th century the United States had no formal central bank or lender of last resort, but it did have J. P. Morgan. His unique knowledge of financial markets gave him almost omniscient knowledge for crafting solutions to financial crises. Before the Fed examines Morgan's unusual role in resolving the National Banking Era crises in the U. S., exploring the rocky relationships and ultimatums he used to settle financial panics. It traces how he learned crisis management lessons from his father, passing it along to his son in turn. Citing his own ledgers, telegrams and testimony, Jon Moen and Mary Tone Rodgers detail how Morgan applied and modified routine business practices to solve non-routine crises, managing risk and reward in emergency lending. Analyzing forty last resort loans made over his fifty-year career, the authors challenge the invincibility folklore surrounding Morgan, uncovering how he stabilized American markets when others could not.
In The City's Defense, Robert Yee examines how the City of London maintained its status as an international financial center. He traces the role of the Bank of England in restructuring the domestic, imperial, European, and international monetary systems in the aftermath of the First World War. Responding to mass unemployment and volatile exchange rates, the Bank expanded its reach into areas outside the traditional scope of central banking, including industrial policy and foreign affairs. It designed a system of economic governance that reinforced the preeminence of sterling as a reserve currency. Drawing on a range of archival evidence from national governments, private corporations, and international organizations, Yee reevaluates our understanding of Britain's impact on the global economic order.
Extroverted Financialization offers a new account of the Americanization of global finance through the concept of 'extroverted financialization'. The study presents German banks as active participants of financialization, demonstrating how deeply entangled they were with global markets since post-WWII reconstruction. Extroverted Financialization locates the transformation of global banking within the revolution of funding practices in 1960s New York and shows how this empowered US banks to systematically outcompete their European counterparts. This uneven competition drove German banks to partially uproot themselves from their own home markets and transform their own banking models into US financial models. This transformation not only led to the German banks' speculative investments during the 2000s subprime mortgage bubble, but more importantly to rising USD dependency and their contemporary decline.
From its origins in ancient Mesopotamia, through the advent of coinage in ancient Greece and Rome and the invention of paper currency in medieval China, the progress of finance and money has been driven by technological developments. The great technological change of our age in relation to money centres on the creation of digital money and digital payment systems. Money in Crisis explains what the digital revolution in money is, why it matters and how its potential benefits can be realized or undermined. It explores the history, theory and evolving technologies underlying money and warns us that money is in crisis: under threat from inflation, financial instability, and digital wizardry. It discusses how modern forms of digital money (crypto, central bank digital currencies) fit into monetary history and explains the benefits and risks of recent innovations from an economic, political, social and cultural viewpoint.
This book has examined the way African countries utilise their natural wealth. It has illustrated that weak economic sovereignty accounts for the irony that the most endowed continent on the planet has ended being the most impoverished. It is argued in this book that weak economic sovereignty in Africa has several implications, including the situation where the continent is unable to make the most out of its abundant natural wealth. Weak economic sovereignty on the continent is manifested in the low levels of financial and monetary sovereignty among African countries, but most importantly in low productive capabilities. The conditions of low productive capabilities prevailing on the African continent have created a situation where most African countries are locked into economically debilitating dependencies, including dependence on commodity export, such that they only get a tiny proportion of the value generated from natural resources extracted from their territories. The book has also argued that the persisting weak economic sovereignty on the continent is a clear indication that while African countries attained political sovereignty six decades ago, attaining economic sovereignty has remained an incomplete liberation project that requires a new strategy to accomplish.
How do we, as individuals, accommodate a pessimistic and misanthropic view of the world? If the human condition is impossible to ameliorate, then how should we live? How do we bring about the wellbeing and happiness we seek in the face of such overwhelming evidence that our condition is and will remain very bad indeed and owes significantly to our own entrenched failings?
In this thoughtful and insightful book the philosopher David E. Cooper explores this fundamental dilemma. He rejects an activist commitment to radical improvement of the human condition, and instead advocates quietism as a way to live as well and as happily as we can. This quietist position, which draws on Buddhist and Daoist ideas as well as those from western philosophy, is supplemented by finding refuge from the everyday human world in a 'place' both 'other' and 'better' than that world. Such places of refuge, Cooper argues, are best found in natural environments.
Refuge in nature, whether a garden or a wilderness, cultivates an attunement to, or a sense of, the way of things, and thereby invites assurance of being 'in the truth' and the enjoyment that such assurance fosters. The quietist who finds refuge in nature lives as well as and as happily as anyone can do who accepts the negative verdict on the human condition.
Max Weber (1864-1920) has long been considered a founding figure of sociology. This book offers a fresh reading of Weber's work and highlights his thinking about the economy and economic interactions in society. Complicated by the reception history precipitated by his untimely death, the workings of the economy and capitalism are themes that run throughout his writings but are often overlooked or subordinated to his sociology.
In an attempt to restore Weber's place in the history of economics and to relate his approach to social science to the field today, a distinguished group of Weberian scholars explore the life and works of Max Weber, his interest in economic institutions and forms and his most influential analytical concepts.
This book studies the methodological revolution that has resulted in economists' mathematical market models being exported across the social sciences. The ensuing process of economics imperialism has struck fear into subject specialists worried that their disciplinary knowledge will subsequently count for less. Yet even though mathematical market models facilitate important abstract thought experiments, they are no substitute for carefully contextualised empirical investigations of real social phenomena. The two exist on completely different ontological planes, producing very different types of explanation.
In this deeply researched and wide-ranging intellectual history, Matthew Watson surveys the evolution of modern economics and its modelling methodology. With its origins in Jevons and Robbins and its culmination in Samuelson, Arrow and Debreu, he charts the escape from reality that has allowed economists' hypothetical mathematical models to speak to increasingly self-referential mathematical truths. These are shown to perform badly as social truths, consequently imposing strict epistemic limits on economics imperialism.
The book is a formidable analysis of the epistemic limitations of modern-day economics and marks a significant counter to its methodology's encroachment across the wider social sciences.
The past two decades have seen a global financial crisis, increasing levels of inequality, a pandemic and the intensification of the climate emergency. As debate rages about how to ensure a fairer society, this book asks where we want to be in twenty years' time and how we might get there.