Rethinking and reforms are both taking place. But we still do not know the final destination, be it for the redefinition of monetary policy, or the contours of financial regulation, or the role of macroprudential tools.
The current crisis is an opportunity in disguise. If the European leaders seize the chance, they can improve competitiveness and thereby living standards in the south and east, while increasing the legitimacy of the EU at the same time.
What will bring U.S. back to full employment is a big question among economists. The problem is that the 155,000 new jobs per month in 2012 isn't enough to either absorb new entrants, or those that have lost jobs. Only the investment of more money grows a sluggish economy.
Gross Domestic Product, better known as GDP, is the market value of all final goods and services produced within a country in a given period. That's why GDP per capita is widely used as a summary indicator of living standards in a country.
Over the past two decades, the intercept had been largely in negative territory -- normally between -2 and -5, with the severe manufacturing contraction during the 2000 recession seeing a moment in which the intercept hit -15 for the year.
Christopher Sims and Thomas Sargent won the Nobel Prize in Economics for research on measurement in macroeconomics. While some intellects might not follow The Dismal Science this year, this research has particular relevance for students today.
There is large consensus among economists for the long run: central banks will focus on more than just inflation, especially financial stability; but there will be a real challenge in developing an integrated approach.
Whether in the developing world or the billion dollar hills of Sand Hill Road, companies that invest in the success of women in the workforce will enjoy long-term benefits to both their top and bottom lines.
Picking a new head for the National Economic Council is an important moment for the president's rapidly realigning staff. The old economic models are broken, and a little entrepreneurial populism is exactly what is needed.
Some macroeconomists insist that decision-makers are perfectly rational. This suggests that these people are simply not sports fans. So if you meet one of these macroeconomists, please take them to a game.