Environmental Tariffs Could Be a Game Changer
Opinions

Environmental Tariffs Could Be a Game Changer

Daron Acemoglu, BOSTON – Environmental tariffs may be humanity’s last hope for mitigating climate change, which is on course to become increasingly devastating if we do not curb our greenhouse-gas (GHG) emissions. The most straightforward way to confront this unprecedented global threat is through a multilateral agreement that locks in a “green transition” in all (or most) countries. The […]

Transforming South Africa’s economy
Africa Opinions

Transforming South Africa’s economy

TP Nchocho, A key attribute of the Industrial Development Corporation (IDC) is its dexterity – the agility with which it has been able to respond to the pressing needs of the country at any given time. Since its establishment, the Corporation has been instrumental in spearheading and implementing South Africa’s industrial development trajectory helping to […]

Rate Hikes Alone Won't Curb Inflation
Opinions

Rate Hikes Alone Won’t Curb Inflation

Pinelopi Koujianou Goldberg, NEW HAVEN – As inflation in the United States reaches new heights, economists are debating how high the Federal Reserve will need to hike interest rates to curb demand and rein in price growth. Some commentators believe that the Fed will need to be as aggressive as Fed Chair Paul Volcker in the early 1980s, who ended […]

Why Sri Lanka Imploded
Opinions

Why Sri Lanka Imploded

Kaushik Basu, HAMBURG – As Sri Lanka’s economy unravels before our eyes, one must ask how this could happen in a country that is historically known for its high standard of living and stable economy. Sri Lanka’s achievements go back decades, giving it a per capita GDP that is 70% higher than India’s, and a life expectancy at […]

The Inflationary Consequences of Deglobalization
Opinions

The Inflationary Consequences of Deglobalization

Shang-Jin Wei and Tao Wang, NEW YORK/HONG KONG – The return of high inflation in many developed economies seems to have surprised central banks and has quickly become people’s leading economic worry. While monetary tightening is necessary, the role of structural factors warrants attention, too. Specifically, besides pandemic-related supply-chain disruptions and the energy and food-price […]

The SuppSide Fight Against Inflation
Opinions

The Supply-Side Fight Against Inflation

Michael Spence, MILAN – Central banks’ efforts to contain high and rising inflation are fueling growth headwinds and threatening to tip the global economy into recession. But the proximate cause of today’s inflationary pressures is a large, broad-based, and persistent imbalance between supply and demand. Higher interest rates will dampen demand, but supply-side measures must […]

A Stagflationary Debt Crisis Looms
Opinions

A Stagflationary Debt Crisis Looms

Nouriel Roubini, NEW YORK – The global financial and economic outlook for the year ahead has soured rapidly in recent months, with policymakers, investors, and households now asking how much they should revise their expectations, and for how long. That depends on the answers to six questions. First, will the rise in inflation in most […]