Found 1720 article(s) in category 'Q1: Economic Growth'

Trump Is Slowing US Economic Growth

Trump Is Slowing US Economic Growth. Robert Barro, June 4, 2019, Opinion, “The current state of US macroeconomic policymaking across four key areas does not bode well. Although the 2017 tax legislation has done its job in promoting faster growth, rising trade tensions, persistent regulatory burdens, and a lack of investment in infrastructure all threaten to limit the US economy’s potential.Link

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Urban management in the 21st century Ten insights from Professor Ed Glaeser

Urban management in the 21st century Ten insights from Professor Ed Glaeser. Edward Glaeser, June 2019, Paper, “In August 2018, CDE hosted Professor Ed Glaeser, the world’s leading urban economist and the Fred and Eleanor Glimp Professor of Economics in the Faculty of Arts and Sciences at Harvard University. He shared his critical insights based on vast experience during a series of seminars and engagements with leaders, policy makers and officials from the Johannesburg and Cape Town metro governments. To help improve the quality of South Africa’s discussion about cities’ vital role in growth and development, we are publishing here, in collaboration with Professor Glaeser, a summary of the key lessons that we drew from the questions he asked and the talks he gave.Link

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What Marco Rubio gets right — and wrong — about the decline of American investment

What Marco Rubio gets right — and wrong — about the decline of American investment. Lawrence Summers, May 31, 2019, Opinion, “Sen. Marco Rubio (R-Fla.) recently released a thoughtful report highlighting a substantial issue in the American economy: the steady decline of American private investment. The trend, Rubio contends, is the result of shareholder capitalism and corporate short-termism. In other words, business decision making has shifted toward “delivering returns quickly and predictably to investors, rather than building long-term capabilities through investment and production,” as he writes in his analysis.Link

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David Deming on Education and Social Mobility, the Labor Markets of the Future, and Solutions for Income Inequality

David Deming on Education and Social Mobility, the Labor Markets of the Future, and Solutions for Income Inequality May 2019. GrowthPolicy’s Devjani Roy interviewed David Deming, Professor of Public Policy, Education, and Economics at Harvard Kennedy School and Harvard Graduate School of Education and Director of the Harvard Inequality and Social Policy Program, on higher […]

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Parallel Play: Startups, Nascent Markets, and the Effective Design of a Business Model

Parallel Play: Startups, Nascent Markets, and the Effective Design of a Business Model. Rory McDonald, 2019, Paper, “Prior research advances several explanations for entrepreneurial success in nascent markets but leaves a key imperative unexplored: the business model. By studying five ventures in the same nascent market, we develop a novel theoretical framework for understanding how entrepreneurs effectively design business models: parallel play. Similar to parallel play by preschoolers, entrepreneurs engaged in parallel play interweave action, cognition, and timing to accelerate learning about a novel world. Specifically, they (1) borrow from peers and focus on established substitutes, (2) test assumptions, then commit to a broad business-model template, and (3) pause before elaborating the activity system. The insights from our framework contribute to research on optimal distinctiveness, and to the learning and evolutionary-adjustment literature on search. More broadly, we blend organization theory with a fresh theoretical lens—business-model processes—to highlight how organizations actually work and create value.Link

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The Federal Reserve’s Current Framework for Monetary Policy:  A Review and Assessment 

The Federal Reserve’s Current Framework for Monetary Policy: A Review and Assessment. James Stock, May 24, 2019, Paper, “The Humphrey-Hawkins Act of 1978 instructs the Federal Reserve Board to “promote effectively the goals of maximum employment, stable prices, and moderate long‐term interest rates.” The methods by which this dual mandate of maximum employment and price stability is to be accomplished are left to the Fed. Those methods have evolved over time as the Fed and economists learned more about the theory and practice of monetary policy (Fuhrer et. al. (2018)).Link

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The Real Cost of Trump’s Tariffs

The Real Cost of Trump’s Tariffs. Jeffrey Frankel, May 23, 2019, Opinion, “Whereas winners tend to outnumber losers when trade is liberalized, raising tariffs normally has the opposite result. US President Donald Trump appears to have engineered a spectacular example of this: his trade war with China has hurt almost every segment of the US economy, and created very few winners.Link

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Going Digital: Implications for Firm Value and Performance

Going Digital: Implications for Firm Value and Performance. Suraj Srinivasan, May 19, 2019, Paper, “We examine the firm value and performance implications of the growing trend of non-technology (non-tech) companies adopting digital technologies such as artificial intelligence, big data, cloud computing, machine learning. For the entire universe of US public listed firms, we identify companies that are going digital using textual analysis of disclosure of digital-related words in corporate financial reports and conference calls. We first show that digital adoption by non-tech firms has dramatically grown in recent years. Non-tech digital adopters exhibit greater stock price co-movement with technology companies than with their industry peers, suggesting that the digital activities are making them similar to tech firms. The digital adopters hold more cash and are larger, younger, and less CapEx-intensive. Digital adoption is associated with higher valuation — market-to-book ratio is higher by 7-21% than industry peers – and is higher for firms that are younger, more CapEx-intensive, exhibit higher sales growth and are in industries where digital adoption is prevalent.Link

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China Is Vulnerable But Deal Unlikely

China Is Vulnerable But Deal Unlikely. Robert Lawrence, May 17, 2019, Audio, “Robert Lawrence, Professor of International Trade and Investment at Harvard Kennedy School and former economic advisor to President Clinton, on why a China trade deal is looking unlikely in the near future. Martin Stephan, the Deputy CEO of Carbios, a French recycling biotech company, on their technology that aims for zero plastic waste. Alex Webb, Bloomberg Opinion technology columnist, discusses his column: “Amazon-Deliveroo Alliance Would Eat Uber For Dinner.” Will Rhind, CEO of GraniteShares, with his mid-year outlook on gold and oil. Hosted by Lisa Abramowicz and Paul Sweeney.Link


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Long-Term Firm Growth: An Empirical Analysis of US Manufacturers 1959-2015

Long-Term Firm Growth: An Empirical Analysis of US Manufacturers 1959-2015. Gary Pisano, May 16, 2019, Paper, “Firm growth is an essential feature of market economies, shaping together macroeconomic performance and the evolution of industry structures. As a potential indicator of organizational “fitness” within a competitive environment, firm growth is also a central concern to both the practice and theory of business strategy. Despite both its theoretical and practical importance, though, growth remains a poorly understood property of firms. While previous studies have documented the highly skewed nature of firm growth rates, we know far less about the persistence of growth rates over long-periods of time. For instance, do “fast growers” tend to maintain their relative growth rates advantages over long-periods or is superior growth a transitory phenomenon? Is, as predicted by evolutionary and capability based theories of the firm, the process of firm growth path-dependent or is it more akin to a random walk? The answers to these questions are central to building a robust theory of firm growth.Link

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