I am among those economists who have argued that expansive fiscal policy has been missing as a lever to support recovery in advanced economies, especially in the Eurozone. At the same time, I have cast doubts on recent attempts of using it to prop up growth in some emerging markets.
It is inconvenient, if not outright annoying, that most analysts who follow Brazil closely tend to see through the lenses of over-optimism or excess pessimism.
Depending on the model economists use and the assumptions they make, they estimate a net stimulus that ranges from small to very small. But, behind the word "net," lies a wide spectrum of gains, pains, people, and policies.
Without exception, each and every college and university must keep their fiscal house in order at all times by maintaining a balanced budget with "rainy day" funds that promote freedom, action and innovation.
Geared towards what seems to be an uncertain landscape for the country, Colombia continues to prove to be a fragile economy, with serious structural complications in its core and what some may classify as an irresponsible fiscal policy.
Kleinbard describes himself as a "Dutch uncle" which the dictionary tells me is someone who admonishes sternly and bluntly... tells us the hard truths whether we want to hear them or not.
In some countries, particularly in Europe, reform of labor markets may be necessary to remove persistent rigidities. Fiscal policy cannot substitute for such reforms. But fiscal policy can work in tandem with broader structural reform efforts to support job creation.
It turns out, we get results in the places we invest. The question is, are we investing in the right places?
I was listening to an interview with Tim Geithner this weekend, and after going through his new book, they asked him where he thought the economy was headed. "I don't believe forecasts," he said, which sounded smart to me.
Corruption, natural disasters, wars, bad policies, and bad luck made it impossible for African governments to keep up with debt payments without cutting basic services to their people, who were already poor and getting few services in the first place.
We've had a spate of good news on the economic front recently. Does this mean that we are finally out of the fiscal woods? According to our most recen...
Very few taxpayers have ever heard of the Congressional Bed Mandate -- the quota that requires 34,000 undocumented immigrants be detained every single night -- but it's costing them five million dollars, each and every day.
This has all the makings of a bubble and when it bursts, it will hobble students' ability to borrow for college. Reforms are needed, but there is very little political will and talk of bubbles never penetrates those inside the bubble.
Their growth rate dropped about three percentage points in 2013 from 2010 levels, with more than two thirds of countries seeing a decline -- Brazil, China, and India lead the pack.
In our recent annual review of Turkey's economy, regression analysis suggests that, barring a significant change in policies or the economic environment, the level of growth consistent with a stable current account is in the 2¾ to 3½ percent range. In other words, growth above this speed limit would lead to a wider current account deficit.
The global economy looks poised to display better growth performance in 2014. Leading indicators are pointing upward -- or at least to stability -- in major growth poles. However, for this to translate into reality policymakers will need to be nimble enough to calibrate responses to idiosyncratic challenges.