Category: Economics

Fighting foreclosures

The Obama administration announced a new strategy to fight home foreclosure, including requiring lenders to cut or eliminate monthly mortgage payments for many jobless homeowners.  School of Management Finance & Economics Department chair Professor Jack Aber says some borrowers may unfairly benefit at the expense of others, but breaking the impass still makes sense. “Purging […]

Greenspan notes Fed's flaws

Ex-Federal Reserve Chairman Alan Greenspan has acknowledged the Fed’s failure to grasp the magnitude of the housing bubble, but offered some policy prescriptions to avoid another crash.  Economics Professor Laurence Kotlikoff, whose new book “Jimmy Stewart is Dead” is about bankings’s future, applauds Greenspan for saying banks should have to hold bonds that automatically covert to equity […]

Gov't contracts to better workers' lot

The Obama administration plans to use government buying power to prod private companies to improve benefits and wages for millions of workers.  School of Management economics Professor David Weil, an authority on labor-market policy, says there’s a long history of assuring that companies contracting with Uncle Sam adhere to workplace, environmental, and consumer protection laws. […]

Saving Greece's economy

Greece is preparing a bond issue aimed at restructing its economy as the European Union is pushing the country to adopt new austerity measures to cut its crippling budget deficit.  Economics Professor Laurence Kotlikoff, as he explains in his blog, says there’s a way in his view for Greece to to devalue without devaluing.  “The government […]

IMF eases thoughts on capital controls

The International Monetary Fund is apparently rethinking some of its long-held ideas about how unfettered capital flows between countries are “a fundamentally benign phenomenon.”  International relations Professor Kevin Gallagher, co-author of “Capital Controls and 21st Century Financial Crises,” says it’s about time the IMF sees that some capital controls are useful and necessary. “The U.S. […]

EU seeks Greece economic rescue

European Union governments are grappling how to manage the debt crisis in Greece that threatens to undermine the shared euro currency.  Economics Professor Laurence Kotlikoff, who a decade ago in Foreign Affairs magazine predicted the euro’s collapse, says Greece’s debt woes are a precursor to what may happen in the U.S. “Greece is where the United States […]

The challenge to doubling U.S. exports

Commerce Secretary Gary Locke outlined a strategy to meet President Obama’s goal of doubling U.S. exports over the next five years.  It includes government advocacy for U.S. exporters globally, more export financing, and tough enforcement of existing trade agreements.  International Relations Professor Kevin Gallagher, an authority on globalization and development, says it’s going to take […]

AIG backlash heats up

The heat continues to increase on insurance giant AIG, which got $182 billion in taxpayer bailouts yet gave out $165 million in bonuses.  New York Senator Chuck Schumer says President Obama’s pay czar should be given the power to recover the “outrageous” bonuses.  Law Professor Cornelius Hurley, director of the Morin Center for Banking and Financial […]

Citigroup repayment costs taxpayers

On the one hand Citigroup is repaying Uncle Sam that TARP bailout money, which is good for taxpayers.  On the other hand, they’re getting a multi-billion dollar tax break in the process.  Economics Professor Laurence Kotlikoff, a former senior economist in the White House Council of Economic Advisors, doesn’t like the tax breaks built into […]