The truth about trade
byThe one subject, which became a headline issue last year, and even divides experts is trade. It will become increasingly important in 2018 as…
Is the fall in prices bad news?
byContrary to the popular way of thinking, we suggest that there is nothing wrong with declining prices. What signifies industrial market economy under a…
Capitalism and How Expectations Coordinate Markets
byOpen, competitive markets have a resilient capacity to successfully coordinate the actions of, now, billions of people around the world. With an amazing adaptability…
Jeffrey P. Snider: Good or Bad, But Surely Not Transitory
byby Jeffrey P. Snider When Federal Reserve officials first started last year to mention wireless network data plans as a possible explanation for a…
Are inflationary expectations the heart of inflation?
byFor most economic commentators the underlying driving force of inflation is inflationary expectations[1]. For instance, if there is a sharp increase in the price…
The Swiss Franc and The Euro: What Now?
byBy Mihai Macovei In January 2015, the Swiss National Bank (SNB) unexpectedly removed the de facto peg of the franc to the euro.1 The move was welcomed by…
Our Outlook for 2018 Interest Rates To Stay Low. The Consensus View is that Europe’s Banks are Recovering but we are Not So Sure.
byby Gordon Kerr, Kevin Dowd and Cavin O’Driscoll, with Enrico Colombatto The Interest Rate Outlook Despite their shortcomings, European banks do not seem on…
The fallacy of insufficient demand
byFollowing the ideas of Keynes and Friedman, most mainstream economists associate economic growth with increases in the demand for goods and services. Both Keynes…
The Hanseatic League: An “Empire” of Commerce
byBy Marcia Christoff-Kurapovna Once upon a time there was a northern, medieval phenomenon as much the subject of universal myth and curiosity as that of…
The essence of profit
byIn most cultures, profit is seen as the outcome of exploitation of some individuals by some other individuals. Hence, anyone who is seen as…