Found 71 article(s) for author 'Jeffrey Frankel'

Who’s Right on US Financial Reform?

Who’s Right on US Financial Reform? Jeffrey Frankel, February 24, 2016, Opinion. “Eight years after triggering a crisis that nearly brought down the global financial system, the United States remains plagued by confusion about what reforms are needed to prevent it from happening again. As Americans prepare to choose their next president, a better understanding of the policy changes that would minimize the risk of future crises – and which politicians are most likely to implement them – is urgently needed.Link

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International Coordination

International Coordination. Jeffrey Frankel, January 2016, Paper. “After a 30-year absence, calls for international coordination of macroeconomic policy are back. This time the issues go by names like currency wars, taper tantrums, and fiscal compacts. In traditional game theory terms, the existence of spillovers implies that countries are potentially better off if they coordinate policies than under the Nash non-cooperative equilibrium. But what is the nature of the spillover and the coordination? The paper interprets recent macroeconomic history in terms of four possible frameworks for proposals to coordinate fiscal policy or monetary policy: the locomotive game, the discipline game, the competitive depreciation game and the competitive appreciation game.Link

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China’s Slowdown and the Chinese Stock Market

China’s Slowdown and the Chinese Stock Market. Jeffrey Frankel, January 27, 2016, Opinion. “The Shanghai Stock Exchange Composite Index has dropped substantially in the past few months. China’s growth rate has also slowed. This column argues that the slowdown of the Chinese economy has little to do with the stock exchange, and is mostly due to economic forces. The author recommends a package of policies that need to be implemented to smooth the transition to a sustainable growth rate.Link

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Globalization and Chinese Growth: Ends of Trends?

Globalization and Chinese Growth: Ends of Trends? Jeffrey Frankel, January 26, 2016, Paper. “Two big questions from 20 years ago look somewhat different today. First, would the long-term trend of globalization continue? Contrary to all predictions, trade growth has slowed markedly since the Global Financial Crisis of 2008-09. But the feared increase in protectionism did not materialize, so one must look elsewhere for explanations. Two likely factors behind the slowdown in trade are a maturing of global supply chains and a slowdown in trade-intensive physical investment.Link

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China’s Stock-Market Red Herring

China’s Stock-Market Red Herring. Jeffrey Frankel, January 25, 2016, Opinion. “With the Shanghai Stock Exchange Composite Index down more than 40% since last June, investors worldwide are watching the decline with growing concern – but not because they are invested in the plummeting market (China’s stocks are overwhelmingly held by Chinese). Rather, the fear is that plunging equity prices mean that China’s economy is going down the tubes. But those seeking compelling clues about China’s economic future should look elsewhere.Link

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Nominal GDP Targeting for Developing Countries

Nominal GDP Targeting for Developing Countries. Jeffrey Frankel, 2015, Paper. “Interest in nominal GDP (NGDP) targeting has come in the context of large advanced economies. Developing countries are better suited for it, however, in light of big supply shocks and terms of trade shocks, such as monsoon rains and oil import price shocks in the case of India. Under annual inflation targeting (IT), the full impact of adverse supply shocks is felt as lost real GDP. NGDP targeting automatically accommodates such shocks, while retaining the advantage of anchoring expectations. We derive the condition under which NGDP targeting would dominate other regimes such as annual IT, to achieve objectives of output and price stability. We estimate key parameters for the case of India and conclude that the condition may indeed hold.Link

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Jeffrey Frankel on Fiscal Policy, Macroprudential Regulation, Growth and Inequality

Jeffrey Frankel on Fiscal Policy, Macroprudential Regulation, Growth and Inequality December 2015. GrowthPolicy staff member Devjani Roy interviewed Harvard Kennedy School Professor Jeffrey Frankel, focusing on several questions motivating the GrowthPolicy website. Below is an edited version of Professor Frankel’s comments. Click here for more interviews like this one. What makes a robust fiscal policy? […]

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Congress Should Vote Thumbs Up to Trade Deal

Congress Should Vote Thumbs Up to Trade Deal. Jeffrey Frankel, November 12, 2015, Opinion. “Now that the long-awaited text of the Trans-Pacific Partnership agreement has been released, Congress will have to decide whether to ratify it. It should vote thumbs up. Many who are concerned about labor and environmental issues are fervently opposed to TPP, but they should read the text with an open mind. It seems unlikely that they did so, judging by the speed with which some nongovernmental organizations and others reacted negatively to the document within a few hours of its release last week…” Link

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Why Support the TPP?

Why Support the TPP? Jeffrey Frankel, October 8, 2015, Opinion. “Agreement among negotiators from 12 Pacific Rim countries on the Trans-Pacific Partnership (TPP) represents a triumph over long odds. Tremendous political obstacles, both domestic and international, had to be overcome to conclude the deal. And now critics of the TPP’s ratification, particularly in the United States, should read the agreement with an open mind. Many of the issues surrounding the TPP have been framed, at least in US political terms, as left versus right. The left’s unremitting hostility to the deal – often on the grounds that the US Congress was kept in the dark about its content…Link

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China Confronts the Market

China Confronts the Market. Jeffrey Frankel, September 4, 2015, Opinion, “China’s current economic woes have largely been viewed through a single lens: the government’s failure to let the market operate. But that perspective has led foreign observers to misinterpret some of this year’s most important developments in the foreign-exchange and stock markets. To be sure, Chinese authorities do intervene strongly in various ways. From 2004 to 2013, the People’s Bank of China (PBOC) bought trillions of dollars in foreign-exchange reserves, thereby preventing the renminbi from appreciating as much as it would have had it floated freely…Link

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