- James Heckman tells us why IQ is overrated
- Mihir Desai explains the Wisdom of Finance
- Can we avoid another financial crisis?
- Hirschmania, the final chapter
- The life and speeches of Sadie Alexander
- Kim Rueben on the fiscal impact of immigration
- A sit down with Adair Turner
- Stephen Kotkin explains how Stalin defined the Soviet system
- Richard Florida on geographic inequality
- Further reading
- Jeremy Adelman on Albert O Hirschman’s “Exit, Voice & Loyalty”
- Dan Drezner on the marketplace of ideas
- Robert Lustig on the science behind our addictions
- The economic impact of immigration
- Further reading
- Ricardo Hausmann on the tragedy in Venezuela
- Does Amazon present an anti-trust problem?
- Mary Waters on the integration of immigrants into the US
- Lee Buchheit and Mitu Gulati on Venezuela’s debt
- Gabriel Zucman on tax evasion and inequality
Why finance is a humanistic discipline.
Reserves. Something not needed for immediate use but available if required, or the act of keeping back something today for future use or for a special purpose. Also construed to be a form of purposeful rationing. A form of risk management. A form of operational smoothing. Are reserves expensive? Of course they are. The flip-side to any reserve is the wastage associated with not using stocks in time before they spoil or depreciate. Reserves are inherently costly. But, as the story of Joseph and the pharaoh teaches us, they’re also essential for sound economic planning in systems exposed to unexpected externalities.
Readers interested in higher education funding and off-balance sheet sovereign debt might want to take a look at this story from Monday, by the FT’s Thomas Hale: Cardiff University has sold the lowest yielding higher education bond in British history, as the allure of rock bottom borrowing costs continues to entice universities into global capital markets.
At last week’s FT125 forum Bill Gates called for more investment in breakthrough clean technology research like high-altitude wind, which attempts to capture energy from the the fast flowing narrow air currents found in the earth’s atmosphere. Gates also said he is planning to double his personal investment in transformational green tech to $2bn over the next five years in an attempt to “bend the curve” in combating climate change. But another less expected message from Gates was that billionaire entrepreneurs like him operating in the private sector can’t be depended upon to change the energy paradigm alone — what some might describe as a slap in the face of those American tech entrepreneurs who favour fiercely laissez faire approaches to such challenges.
You can sign up to receive the email here Who saw that coming? Hillary Clinton on Sunday fired the starting gun on her second bid for the US presidency, ending two years of speculation and opening another chapter in a rich political life that has already spanned more than two decades. In a low-key video message posted on her new campaign website, Mrs Clinton set her stall as a champion for everyday Americans, who would put tackling inequality and boosting opportunity for middle and low-income families at the heart of her agenda. (FT and BBC) The New York times has deconstructed the announcement video. (NYT$) Political strategists rate her chances highly given the absence of any strong Democratic rival – unlike 2008, where Mrs Clinton’s candidacy was swept aside by the phenomenal rise of Barack Obama. If she can win the female vote, as her campaign aims to do, the White House is hers to lose argues the FT’s Ed Luce – he notes that women vote in higher numbers than men. (FT)
A university is often valued by the amount its students go on to earn and how much they contribute to economic growth. For a student, the cost-benefit analysis of going to university tends to compare their prospective graduate salary to the actual cost of their degree. But are we leaving something out? Is there a wider, social value to a university education that is being ignored? A new report from the New Economics Foundation, in collaboration with Universities UK, has attempted to quantify the social impact of universities.