Look for the next GCER Newsletter in June. Past Newsletters can be found here.
News Archive - Page 22
Mar 26, 2011
In a panel hosted by GCER's Matthew Canzoneri, European Central Bank Executive Board member Jose Manuel Gonzalez-Paramo defended the Euro at a recent conference on Spanish economy held at Georgetown University. The event was picked up by many in the financial press, including Reuters , The Wall Street Journal, and Bloomberg.
Mar 5, 2011
Last year's Carroll Round participants
The Carroll Round, the only undergraduate conference for International Economics, is hosted annually at Georgetown University and will be held Thursday, April 14 through Sunday, April 17 this year. The conference provides top undergraduate students from around the world the unique opportunity to present and discuss their research with other students, professors, and policy-makers. This year's featured speakers are Prof. Jeffrey Sachs, Nobel Laureate Joseph Stiglitz, and Prof. Jagdish Bhagwati. For further information about the conference, please visit: Carroll Round
Feb 15, 2011
A new paper by GCER Fellow William Jack and co-author Tavneet Suri of MIT examining mobile banking in Kenya was recently featured in the NY Times Freakonomics Blog. This is the second time that Jack's research on Kenya was picked up by the popular NY Times blog. The first reported last year on a field experiment by Jack and co-author James Habyarimana of Georgetown GPPI, examining the effect of informative posters on Kenyan traffic fatalities.
Jan 20, 2011
Exchange-Rate Dynamics by Martin Evans, GCER Research Fellow and Professor of Economics at Georgetown University. Published by Princeton University Press & forthcoming in 2011.
From the Princeton U. Press web site: ``Variations in the foreign exchange market influence all aspects of the world economy, and understanding these dynamics is one of the great challenges of international economics. This book provides a new, comprehensive, and in-depth examination of the standard theories and latest research in exchange-rate economics. Covering a vast swath of theoretical and empirical work, the book explores established theories of exchange-rate determination using macroeconomic fundamentals, and presents unique microbased approaches that combine the insights of microstructure models with the macroeconomic forces driving currency trading." (Read more from the PUP site ).
Jan 6, 2011
Bachmann and Bai examine the effects of wealth bias in the policy process.
In their paper, "Government Purchases Over the Business Cycle: the Role of Economic and Political Inequality (GCER Working Paper, 2010)," Ruediger Bachmann and Jinhui H. Bai explore the implications of economic and political inequality for the business cycle comovement of government purchases in the U.S. They conduct theirquantitative experiments in a standard model of economic growth in which public expenditures financed by income taxes are determined by the political process. A key feature of their study is a wealth bias in the political process that disproportionately weights the clout of upper income groups. Increases in income inequality therefore lead to increased political inequality. The analysis shows a negative correlation between wealth bias and the degree of business cycle comovement of government purchases.The estimated wealth bias that matches the observed mild procyclicality of government purchases in the data, is also consistent with cross-sectional survey data on political participation.
This effect is illustrated in the graph below where increases in the wealth bias of the policy-making process can be seen to dampen the correlation between income and purchases.