Of fiscal multipliers and Pandora’s boxes

An Admission and Pandora’s Box Earlier this month, the head of the International Monetary Fund (IMF), Christine Lagarde, called for looser deficit reduction deadlines for Greece and issued a cautionary note regarding the relentless pursuit of ‘austerity’ policies. However, what will prove to be the historically most important point she […]

Who will be the new Masters of the Universe?

The current debate on the size of bankers’ bonuses and new regulation approaches emerging from both the US and EU may miss the most important point. The most important point is that the developed economies’ grip on the international institutions that shape the working of the global economy will weaken […]