While reading the Krugman blog post on how people on the Right and Left could be bonkers, I came across a link to this article on ‘How the Federal Reserve bought the Economics Profession’. Read the whole thing. It is time well spent. Even if there is no official gag order on contrarian views, it is not difficult to imagine how the perceived and real power of ‘The Firm’ encourages groupthink and perpetuation of conventional wisdom.
While reading this article, saw a link to this article by well-known academic-fund manager Rob Arnott on how the US GDP has been a misleading indicator of US economic health since 1998. The link has an embedded link to his monthly news letter. I am yet to read it.
This blog post in Harvard Business Review (HHBR) on Peru’s health care innovation made for interesting reading. Only thing is that it would have been good to see the impact of the innovation on some of the parameters – mortality rates, access to medical assistance – mentioned at the beginning of the article.
This story in Bloomberg on Mongolia building a rail link to Russia to export its coal makes fascinating reading. It has interesting geopolitical implications.
Good friend and fellow INI blogger Dhruva Jaishankar had drawn attention to this piece by Dani Rodrik in ‘Project Syndicate’ on his meeting with the son of Mr. Muammar Qadaffi of Libya. I like the piece for the ‘dharma dilemma’ question that it grapples with. There are no easy answers. Criticism from an outsider would be easy in such circumstances. I empathize with Dani Rodrik.
Agree or disagree, it is hard to argue that Nouriel Roubini is sitting on the fence in this piece on ‘China’s bad growth bet’:
Instead of focusing on securing a soft landing today, Chinese policymakers should be worrying about the brick wall that economic growth may hit in the second half of the quinquennium. [Full piece is here]
Nouriel Roubini’s predictions might not appear so dire if you juxtapose them with this post and the links therein.
The piece by Andres Velasco, former Minister of Finance in Chile, has written an understated piece on the enormous tensions that are building up in the economies of several developing countries. Something has to give and will give soon.
This post originally appeared at The Gold Standard and is reproduced here with permission.