Peterson Institute for International Economics

Roubini Topic Archive: North America

  • Bernanke Did Not Bomb

    On Wednesday afternoon, April 27, 2011, Federal Reserve Chairman Ben Bernanke gave the first scheduled press conference by a Federal Reserve chairman immediately following a meeting of the Federal Open Market Committee (FOMC).  Chairman Bernanke was sure footed and appeared not to be surprised by any of the questions. He answered most of the questions directly, although, like any public official, he did not always answer the question precisely and sometimes declined to do so.

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  • Foreign Manufacturing Multinationals and the Transformation of the Chinese Economy: Faustian Bargain to Trade Technology for Access?

    Testimony before the US-China Economic and Security Review Commission Hearing on “Chinese State-Owned Enterprises and US-China Bilateral Investment” March 30, 2011

    What is the relationship between foreign manufacturing multinational corporations (MNCs) and the expansion of indigenous technological and managerial technological capabilities among Chinese firms? How are foreign manufacturing MNCs changing the skill intensity of activities and the extent of value-added of operations within the domestic Chinese economy?

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  • The Shadow Cast by U.S. Debt

    Carmen M. Reinhart discusses how history teaches that large public and private debt impedes economic growth, a lesson that the United States must heed in the years ahead.

    Edited transcript, recorded February 18, 2011. © Peterson Institute for International Economics. 

    Steve Weisman: It’s budget season, and Washington is dealing with steps to curb the American overhang of debt. This is Steve Weisman at the Peterson Institute for International Economics and with pleasure I welcome Carmen Reinhart, new senior fellow here at the Institute, for her first Peterson Perspectives interview. Thanks for joining me, Carmen.

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  • Too Big to Fail: The Transatlantic Debate

    Although the United States and the European Union were both seriously impacted by the financial crisis of 2007, resulting policy debates and regulatory responses have differed considerably on the two sides of the Atlantic. In this paper the authors examine the debates on the problem posed by “too big to fail” financial institutions.

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  • What the United States Can Do to Help a Post-Mubarak Egypt

    By Jeffrey J. Schott and Barbara Kotschwar

    Whoever emerges on top of the unfolding political crisis in Egypt, there is little doubt that the country is in need of fresh economic policies as well as fresh leadership. One year ago, we argued in Reengaging Egypt: Options for US-Egypt Economic Relations that the United States should pursue programs that help Egypt “create a better environment for expanding economic opportunities and promoting democratic processes in Egypt.”  In the event, both sides dithered.  Economic reforms were pursued in half-steps and too slowly to address some of the underlying economic factors that have contributed to the political rebellion now spreading across Egypt.

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  • A Breakthrough on the Reminbi?

    There are encouraging signs that a breakthrough may have been achieved in the long-running debate over the exchange rate of China’s currency, the renminbi. Its real rate against the dollar is now rising at an annual rate of 10 to 12 percent, which if continued would complete the needed correction of 20 to 30 percent over two to three years, and official US reactions suggest that assurances that the adjustment will continue may have been received. This movement appears to derive from effective US pressure, increasing expressions of concern about the issue from other countries (especially a number of major emerging markets) and, most importantly, changes in economic conditions in China itself.

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  • US-China Trade Disputes Could Grow

    Gary Clyde Hufbauer says that while the specific trade disputes the United States has with China are in line with the levels experienced with other countries, those with China are likely to grow.

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  • Obama Has to Tell Beijing Some Hard Truths

    With policymakers failing to make progress on the critical issue of global imbalances, America has no alternative but to put China on notice. Privately but promptly, Washington has to inform Beijing it will label it as a currency manipulator, back legislation treating the manipulation as an export subsidy, and take it to the World Trade Organization (WTO) if it does not let the renminbi rise significantly.

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  • Estimating the Impact of the Exchange Rate on the Trade Balance and Jobs

    As pressure mounts on China to let the value of its currency appreciate, a debate has occurred among some economists over the potential effect of such a revaluation on the US current account deficit—or on the number of jobs in the United States. In recent congressional hearings, C. Fred Bergsten (2010), director of the Peterson Institute for International Economies, testified that a correction of China’s exchange rate undervaluation would produce approximately 500,000 American jobs. The purpose of this note is to set forth calculations that provided part of the basis for this estimate, in particular, and to further clarify estimations of the impact of the exchange rate on trade and jobs more generally.

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  • The House and China: A Squeak, Not a Roar

    Nicholas R. Lardy says the House of Representatives’ bill to impose tariffs on China over the currency issue is unlikely to pass the Senate and would have minimal effects if it did.

    Edited transcript, recorded September 30, 2010. © Peterson Institute for International Economics.

    Steve Weisman: The House of Representatives, in one of its last acts before recessing, passed legislation to punish China over its failure to let its currency appreciate. Nicholas Lardy, senior fellow at the Peterson Institute, is here to talk about that bill and its prospects. This is Steve Weisman. Thanks, Nick.

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