Women’s access to health, education, economic opportunity and political power have been improving but the picture is very uneven geographically. Although most indicators improve with economic development the variation shows that a lot can be done even before countries reach … Continued
Exchange rates are ratios of the price of one currency to another. We should be careful about saying “the” exchange rate without being clear as to which particular ratio we mean and why. * Exchange rates often dominate the financial news. … Continued
The turbulent financial markets in early 2016 can be seen as a battle between two groups of ideas – the economists see little reason for sudden concern but the markets are worried about hidden risks * Global stock markets performed worse … Continued
David Bowie, among his many other creative achievements, was an innovator in finance, with the first ever intellectual property rights securitisation. * Nearly everyone seems to have been affected by the death of David Bowie, a uniquely creative and influential … Continued
The ever fascinating blog of the New York Fed tells us that, among the many different types of bank note issued by around 1,600 US banks during the nineteenth century, some included pictures of Santa Claus. Only in 1861 did the Federal … Continued
Be kind, for everyone you meet is fighting a hard battle. Plato (possibly – it is disputed) [I]in the whole world there are really only two problems. [..] One problem is, “you know what you want but you don’t know … Continued
Nuclear energy brings a lot of problems but it is a necessary part of the fight against climate change * I recently did a webinar about the planned new nuclear power station at Hinkley Point in Somerset, based on part … Continued
On 30 November 2015 the IMF voted to include the RMB (the Chinese “people’s currency” denominated in yuan) in the basket of currencies it uses to calculate the value of the Special Drawing Rights, from October 2016. This is largely … Continued
Most economist agree on the causes of the repeated crises of the Eurozone but that explanation is not the one that many governments, and the European Commission, want you to believe. * The problems of the Eurozone – bank failures, … Continued
The Federal Reserve, the US central bank, is making some changes to the measurement and monitoring of the short term interest rate between banks, which is its key target for monetary policy, * Most central banks have goals such as low inflation … Continued
Despite the increasing ease of electronic payments, cash remains popular in the UK, according to the Bank of England. * Money is anything that fulfils the three functions of money: i) a means of payment; ii) a unit of account; … Continued
The foreign exchange reserves held by governments, having risen for over a decade, have recently fallen. This is mainly because they are being used, as intended, to protect against turbulence in financial markets that would otherwise hurt the developing economies. … Continued
Research from the Federal Reserve Bank of New York finds evidence that women’s pay in banks is not just lower than that of men but the structure is different, in a way that best be explained by the view that … Continued
For years there has been pressure on China to allow its exchange rate to be determined by market forces rather than by the central bank. Now that seems closer to happening but it might mean a fall in the RMB, … Continued
The fundamentals of global economic growth seem broadly positive but there are some reasons for caution, which can be understood through the savings-investment framework described in the previous blog. If savings are “too high” or investment “too low” then the … Continued