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Austerity
Austerity is a set of political-economic policies that aim to reduce government budget deficits through spending cuts, tax increases, or a combination of both. There are three primary types of austerity measures: higher taxes to fund spending, raising taxes while cutting spending, and lower taxes and lower government spending. Austerity measures are often used by governments that find it difficult to borrow or meet their existing obligations to pay back loans. The measures are meant to reduce the budget deficit by bringing government revenues closer to expenditures. Proponents of these measures state that this reduces the amount of borrowing required and may also demonstrate a government's fiscal discipline to creditors and credit rating agencies and make borrowing easier and cheaper as a result. In most macroeconomic models, austerity policies which reduce government spending lead to increased unemployment in the short term. These reductions in employment usually occur di ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
European Debt Crisis
The European debt crisis, often also referred to as the eurozone crisis or the European sovereign debt crisis, is a multi-year debt crisis that took place in the European Union (EU) from 2009 until the mid to late 2010s. Several eurozone member states (Greece, Portugal, Ireland, Spain, and Cyprus) were unable to repay or refinance their government debt or to bail out over-indebted banks under their national supervision without the assistance of third parties like other eurozone countries, the European Central Bank (ECB), or the International Monetary Fund (IMF). The eurozone crisis was caused by a balance-of-payments crisis, which is a sudden stop of foreign capital into countries that had substantial deficits and were dependent on foreign lending. The crisis was worsened by the inability of states to resort to devaluation (reductions in the value of the national currency) due to having the Euro as a shared currency. Debt accumulation in some eurozone members was in part due t ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Great Recession
The Great Recession was a period of marked general decline, i.e. a recession, observed in national economies globally that occurred from late 2007 into 2009. The scale and timing of the recession varied from country to country (see map). At the time, the International Monetary Fund (IMF) concluded that it was the most severe economic and financial meltdown since the Great Depression. One result was a serious disruption of normal international relations. The causes of the Great Recession include a combination of vulnerabilities that developed in the financial system, along with a series of triggering events that began with the bursting of the United States housing bubble in 2005–2012. When housing prices fell and homeowners began to abandon their mortgages, the value of mortgage-backed securities held by investment banks declined in 2007–2008, causing several to collapse or be bailed out in September 2008. This 2007–2008 phase was called the subprime mortgage crisis. ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Expansionary Fiscal Contraction
The Expansionary Fiscal Contraction (EFC) hypothesis predicts that, under certain limited circumstances, a major reduction in government spending (such as austerity measures) that changes future expectations about taxes and government spending will expand private consumption, resulting in overall economic expansion. This hypothesis was introduced by Francesco Giavazzi and Marco Pagano in 1990 in a paper that used the fiscal restructurings of Denmark and Ireland in the 1980s as examples. The concept that fiscal contraction can result in growth is commonly known as "expansionary austerity". Theoretical basis The authors describe this as the "German view" of budget-cutting. The German view also includes the more traditional assumption that reducing government expenditures as a percent of GDP will lessen crowding out, making "room for the private sector to expand" which only operates when the economy is near full employment. The authors also did not provide a model for EFC but r ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Neoliberalism
Neoliberalism (also neo-liberalism) is a term used to signify the late 20th century political reappearance of 19th-century ideas associated with free-market capitalism after it fell into decline following the Second World War. A prominent factor in the rise of conservative and libertarian organizations, political parties, and think tanks, and predominantly advocated by them, it is generally associated with policies of economic liberalization, including privatization, deregulation, globalization, free trade, monetarism, austerity, and reductions in government spending in order to increase the role of the private sector in the economy and society. The defining features of neoliberalism in both thought and practice have been the subject of substantial scholarly debate. As an economic philosophy, neoliberalism emerged among European liberal scholars in the 1930s as they attempted to revive and renew central ideas from classical liberalism as they saw these ideas diminish ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Mark Blyth
Mark McGann Blyth (born 29 September 1967) is a Scottish-American political scientist. He is currently the William R. Rhodes Professor of International Economics and Professor of International and Public Affairs at Brown University. At Brown, Blyth additionally directs the William R. Rhodes Center for International Economics and Finance at the Watson Institute for International and Public Affairs. Early life Blyth grew up in Dundee, Scotland and was raised by his grandmother after his mother died shortly after child birth. He played bass in rock bands and noted in an interview that "I was a musician from age 14 to 28. I've released five or six albums, but all with independent labels that never went anywhere. If they had, I wouldn't be here. I'd be lying on a beach with Heidi Klum." In 1991, Blyth received a Walker Bequest award from the University of Strathclyde and a Scottish International Educational Trust Award for Study in the United States. He eventually became a US citi ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Alberto Alesina
Alberto Francesco Alesina (29 April 1957 – 23 May 2020) was an Italian political economics, political economist. Described as one of the leading political economists of his generation, he published many influential works in both the economics and political science research literature. Background and professional life Alesina was born in Broni, Lombardy, Italy. He obtained his undergraduate degree in economics from Bocconi University. From 2003 to 2006, Alesina served as Chairman of the Department of Economics at Harvard University. He was the Nathaniel Ropes Professor of Political Economy at Harvard. He visited several institutions including Massachusetts Institute of Technology (MIT), Tel Aviv University, University of Stockholm, The World Bank, and the International Monetary Fund (IMF). In 2006, Alesina participated in the Stock Exchange of Visions project. He published five books and edited many more. His two most recent books were ''The Future of Europe: Reform or Declin ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
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