EconoMonitor

Great Leap Forward

  • New IMF Paper Shows Yet Again that Reinhart and Rogoff Results Are Erroneous

    You all remember the Reinhart and Rogoff claim that debt ratios above 90% lead to slow economic growth. As Yeva Nersisyan and I showed in 2010, their results are crap. (see here http://www.levyinstitute.org/publications/?docid=1273) I’m pretty sure that the Reinhart and Rogoff “study” is the worst empirical research ever undertaken. They simply lumped together data of […]

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  • Let’s Compare the Job Guarantee to the Alternatives, NOT Against Some Distant Utopian Vision

    I’m always shocked at the objections raised against the Job Guarantee—especially by those on the Official Left. Here is what WE propose: Let’s provide a job at a decent wage to anyone willing to work. Here’s the reaction from the crazy right: Zimbabwe! Weimar! You fiat money proponents would destroy the value of our currency. […]

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  • THE EQUATION: A Reconciliation

    OK, “The Equation” seems to be under renewed discussion. Again. And someone seems to have been upset about comments made here some weeks ago. Let’s all be nice and cuddly. We won’t name names and we won’t cast dispersions. So far as I can tell, “The Equation” is this: S = I + (S-I). It […]

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  • JOBS FOR ALL: THE MISSING BUT ESSENTIAL ELEMENT OF DR. KING’S MARCH ON WASHINGTON

    “It was obdurate government callousness to misery that first stoked the flames of rage and frustration. With unemployment a scourge in Negro ghettoes, the government still tinkers with half-hearted measures, refuses still to become an employer of last resort. It asks the business community to solve the problems as though its past failures qualified it […]

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  • GROWING RECOGNITION OF THE NEED FOR THE JOB GUARANTEE

    In recent weeks the Job Guarantee proposal has gained supporters, and the arguments for an increased government role in ensuring full employment have become stronger. (See here: http://neweconomicperspectives.org/2014/01/job-guarantee-2.html;  here http://neweconomicperspectives.org/2014/01/dazed-confused-matt-yglesias-job-guarantee.html; and here http://moslereconomics.com/2013/11/19/comments-on-bakerbernstein-book/.) In this piece, I examine why. Bear with me because I will tie together four threads. First, we have the return of […]

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  • Handy-Dandy Links to the MMT and JG Literature

    OK a commentator complained that she could not find serious examinations of the MMT and JG literature. Let’s try this. Here’s a short list of some of my downloadable but non-blog articles. You can search the list of titles for related pieces. Hope this works. If not, I’ll try to get someone more expert than […]

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  • BOP A MOLE #2: JG WORKERS WILL DO NOTHING USEFUL, THE JG PROGRAM WILL NOT BE MANAGEABLE

    Whenever you talk about a Job Guarantee, that promises to hire anyone ready and willing to work, the Moles Pop Up proclaiming that JG workers will never do anything useful. They’ll all be hired to dig holes, and then will be rehired to bury those holes. It isn’t desirable or feasible to run a JG […]

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  • Push for Job Guarantee Gains Momentum

    I just returned from the big annual meeting of economists (this time in Philly), at which we had a panel on the Job Guarantee. One of the papers on our panel was by William (Sandy) Darity and Darrick Hamilton, which demonstrated how imperative it is to implement the JG to reduce hiring discrimination in the […]

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  • BOP A MOLE #1: DOES MODERN MONEY THEORY NEED A JOB GUARANTEE?

    OK for the next few weeks we are going to play a game called Bop a Mole. Here’s the deal. For more than two decades a small group of scholars hashed out what became Modern Money Theory. We’ve written many books, a hundred chapters for edited volumes, hundreds of published articles, and thousands of blogs […]

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  • The Fed Can Set Mortgage Rates: Guest Post by Warren Mosler

    One of the main reasons for the Fed’s (near) zero rate policy is to support the housing market. And after nearly 5 years of 0 rates, and mortgage rates dipping below 3.5%, though ‘off the bottom’ housing remains far below what would be considered ‘normal’. And then, not long ago, and immediately after the Fed first […]

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