Found 84 article(s) for author 'Martin Feldstein'

The Inflation Puzzle

The Inflation Puzzle. Martin Feldstein, May 29, 2015, Opinion. “The low rate of inflation in the United States is a puzzle, especially to economists who focus on the relationship between inflation and changes in the monetary base. After all, in the past, increases and decreases in the growth rate of the monetary base (currency in circulation plus commercial banks’ reserves held at the central bank) produced – or at least were accompanied by – rises and falls in the inflation rate. And, because the monetary base is controlled directly by the central bank, and is not created by commercial banks, many believe that it is the…” Link

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An Economic Checkup

An Economic Checkup. Martin Feldstein, May 28, 2015, Opinion. “The US economy is at a critical juncture. The Federal Reserve’s very easy monetary policy during the past few years has been the root of both good and ill: reduced unemployment on the one hand and increased financial risks an the other. The danger now is that the inevitable rise in interest rates over the next few years could cause substantial losses to banks and investors that, in turn, could weaken the economy’s overall performance and lead to another economic downturn. Here, Feldstein examines the state of US’ economy…Link

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The U.S. Underestimates Growth; The official statistics are missing changes that are lifting American incomes.

The U.S. Underestimates Growth; The official statistics are missing changes that are lifting American incomes. Martin Feldstein, May 18, 2015, Opinion. “Today’s pessimists about the economy’s rate of growth are wrong because the official statistics understate the growth of real GDP, of productivity, and of real household incomes. Understanding this problem should change the political debate about income growth and income inequality. But it should not change the focus on what matters: policies to increase everyone’s real incomes even faster.” Link

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America’s Risky Recovery

America’s Risky Recovery. Martin Feldstein, April 28, 2015, Opinion. “The United States’ economy is approaching full employment and may already be there. But America’s favorable employment trend is accompanied by a substantial increase in financial-sector risks, owing to the excessively easy monetary policy that was used to achieve the current economic recovery. The overall unemployment rate is down to just 5.5%, and the unemployment rate among college graduates is just 2.5%. The increase in inflation that usually occurs when the economy reaches such employment levels has been temporarily postponed by the decline in the price of oil…” Link

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We Don’t Need Fiscal Stimulus at This Point: Feldstein

We Don’t Need Fiscal Stimulus at This Point: Feldstein. Martin Feldstein, April 13, 2015, Video. “Martin Feldstein, an economics professor at Harvard University, talks about the outlook for the U.S. economy and Federal Reserve policy. He speaks with Tom Keene and Olivia Sterns on Bloomberg Television’s “Surveillance.” Langer Research’s Gary Langer also speaks.” Link

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The Fed Needs to Step Up Its Pace of Rate Increases

The Fed Needs to Step Up Its Pace of Rate Increases. Martin Feldstein, March 30, 2015, Opinion. “The Federal Reserve now faces the tough task of unwinding the easy-money policy that has helped bring about the current solid economic upturn. But its projected path for increasing the short-term federal-funds rate over the next few years is dangerously slow. Most members of the Federal Open Market Committee want the real interest rate to be negative at the end of 2015 and approximately zero at the end of 2016. Only in 2017 would the real fed-funds rate even exceed 1%…” Link

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A Window on China’s New Normal

A Window on China’s New Normal. Martin Feldstein, March 27, 2015, Opinion. “Every year at this time, China’s government organizes a major conference – sponsored by the Development Research Center, the official think tank of the State Council – that brings together senior Chinese officials, CEOs from major Chinese and Western firms, and a small group of international officials and academics. The China Development Forum (CDF) occurs just after the annual National People’s Congress...” Link

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The Deflation Bogeyman

The Deflation Bogeyman. Martin Feldstein, February 28, 2015, Opinion. “The world’s major central banks are currently obsessed with the goal of raising their national inflation rates to their common target of about 2% per year. This is true for the United States, where the annual inflation rate was -0.1% over the past 12 months; for the United Kingdom, where the most recent data show 0.3% price growth; and for the eurozone, where consumer prices fell 0.6%. But is this a real problem?” Link

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Ending the Euro Crisis?

Ending the Euro Crisis? Martin Feldstein, January 2015, Paper. “All of the attempts to end the euro crisis and to return the Eurozone countries to healthy growth rates of income and employment have failed. The options that are currently being discussed are not likely to be more successful.  If there is a politically feasible way out of the crisis, it will be through revenue neutral fiscal incentives adopted by the individual Eurozone countries. I describe some of these fiscal options after reviewing the history of failed attempts and the options that are currently on the table.” Link

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Harvard Professor Martin Feldstein: Obama’s Passage To India

Harvard Professor Martin Feldstein: Obama’s Passage To India. Martin Feldstein, December 30, 2014, Opinion. “Indian Prime Minister Narendra Modi’s vigorous foreign policy in the seven months since he took office has surprised observers. After inviting the leaders of Pakistan and other neighboring countries to his inauguration, he embarked on trips to China, Australia, and the United States. More recently, he welcomed Russian President Vladimir Putin to New Delhi and signed a large number of trade deals and orders to import Russian nuclear reactors. India…”  Link

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